Self-funding Administration of care homes
Quantuma achieve the self-funding Administration of two residential care homes and a charity shop.
- Senior secured debt, c.£2.5m
- Subordinate secured debt, c.£1.5m
- A registered charity which owned and managed two 30-bed residential care homes and a charity shop
- Insolvency was precipitated by losses in the charity shop and excessive central overheads
- Quantuma closed the charity shop and head office, transferring core administrative functions to redundant space in one of the homes
- Because Quantuma re-established a profitable trade the Administration became self-funding
- 30 jobs were saved and all care home residents were able to remain in their home
- An 18-month track record of profitability resulted in the sale of the homes for c.150% of their value on appointment
- The senior lender was paid in full. The subordinate lender recovered c.75% of its debt.
- A dividend was paid to unsecured creditors
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