More UK companies could be saved if “company doctors” were consulted earlier
More UK companies could be saved if “company doctors” were consulted earlier, that’s the message from corporate recovery specialists Quantuma.
Quantuma has recently been able to save three business – the most recent, Hertfordshire engineering firm PaveTesting Ltd which went into administration in August 2016.
Other successes announced in March this year included Caged Laser Engineering (Frome) Ltd and Repair and Calibration Ltd.
Quantuma partner Simon Bonney said: “It is rare that we, as restructuring professionals, are allowed to take an early look at the finances of a business.”
His comments followed the publishing of a recent survey conducted by npower Business that found that one in five SME owners is missing a pay day in order to survive, and one in five are also using personal fund to meet ongoing costs.
“This, combined with research last year that showed that within five years some 60% of new businesses will have failed, suggests a fairly gloomy outlook for all SMEs,” he said.
But, he stressed, failure was not the only inevitable result if directors took an early decision to seek help.
“All too often we are only involved with payday looming, staff demotivated and with the better ones looking elsewhere.
“This means the opportunities to turn around an ailing business are significantly reduced.
“What options are no longer available because we were not consulted earlier?” he asked.
He said Quantuma’s early advice is invariably not to put in personal funds before understanding the nature, and size, of the problem.
“It is not uncommon to find directors investing personal money, where this only serves to defer wider problems, rather than provide a cure,” he said.
He said earlier consultation would enable Quantuma’s experts to find a solution more often and lead to many more beneficial outcomes, on top of their three successes in just four weeks.
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For further information, please contact:
Andy Skinner, Managing Director, ASAP PR – 07990 978257
Marie Wadeson, Head of Marketing,
Quantuma LLP, Vernon House, 23 Sicilian Avenue, London, WC1A 2QS
Tel: 07464 545678
Notes to Editors
Quantuma LLP is a leading restructuring and insolvency practice delivering partner-led solutions to businesses and individuals facing financial distress with offices in London, Southampton, Marlow, Watford, Brighton, Bristol and Manchester.