Helping directors online for over 23 years.

Talk to us today in confidence:

UK based road transport freight supplier

The director of a haulage company contacted Keith Steven of KSA to discuss the company’s present financial situation.  After the initial telephone conversation a meeting was requested and held at the company’s premises in October 2010. 
KSA were appointed to assist the company with a Company Voluntary Arrangement (CVA) on 28th October 2010. Turnover for the year to March 2010 was c£1.25m (a fall of £250K on previous year).
The company was encountering financial difficulties due to:
– A drop in sales.
– Lack of vehicle resources in Europe after the recession hit 
– Much tighter margins due to greater competition for the work 
– The company occupied licensed serviced offices on a 3 month rolling contract.
– The company employs 9 staff including the directors
Bank & Financial facilities
– The Bank provided a cleared funds account only and held no security against the company
– The company had an invoice finance facility which funded 75% of approved invoices and held a registered Fixed and floating charge over the company’s assets.
– The company had no finace agreements e.g. H.P. lease, contact hire etc.
– The directors had provided no Personal Guarantees (PGs) to any creditor. 
Unsecured Creditor debt:
– Unsecured creditors were owed c£200K of which HMRC was 13%.
Unfortunately, in early 2011 the director realised that the company was no longer viable due in some part to a small number of creditors holding a ransom. In order to make no creditor’s position any worse the director approached KSA to now place the company into CVL (Creditors Voluntary Liquidation).

We can help you get out of the mess!

Call now for free and confidential advice