Talk to us today in confidence0800 970053907833 240747

Winding Up Petition Case Study - Haulage Firm

14 November 2013

KSA Group persuades HMRC not to advertise a winding up petition issued against a haulage firm

We were approached by a North London haulage firm specialising in delivery to retail outlets. HMRC had already served a winding up petition on the 12th October and the advertising date was set for 19th November with a hearing date on the 2nd December. The advertising date is crucial as if the petition was advertised the bank would freeze the company's accounts.

The business was suffering for a number of reasons; It was under capitalised, it had high maintenance costs of an ageing fleet and high costs of subcontracted drivers.

KSA group advised on the options. However, once a winding up petition has been served then the business cannot go into creditors voluntary liquidation and if the petition is advertised then a CVA is very difficult given the timeframe available. Under these circumstances administration is likely to be the only option, with its higher costs, leading to a much lower dividend for unsecured creditors.

KSA Group advised that a CVA could be put together quickly as the company was viable going forward and there was a good chance of a high dividend. Stuart Nicholls of KSA Group set about to persuade HMRC not to advertise the petition. We have an excellent relationship with HMRC as they know we can help companies. Stuart produced the draft CVA on the 17th November. HMRC did not advertise the petition. A creditors meeting was held on the 15th January 2010 and the CVA was approved with the unsecured creditors getting 45p in the pound over 5 years. This amounted to over £90k. The company is still trading well in its second year of the CVA.

Call KSA Group on 0800 9700539 and talk to the experts.

Categories: Winding Up Petition, Winding up petition

Flowers Sent By A Client!

Bouquet of Flowers

We agreed a 2 year Time to Pay Arrangement with HMRC for a client.  They sent some lovely flowers today

A happy client created this cartoon strip for us!


A Worried Director

The Ultimate Guide For Worried Directors

Worried about poor cashflow? Feel you have got into a bit of a mess? Covid-19?, How to pay wages on pay day? For reassuring advice on a range of issues download our free Ultimate Guide For Worried Directors today. Or just call us on 0800 9700539

You are currently offline. Some pages or content may fail to load.