We were referred to this client to raise some urgent funding as some fundamental issues has almost brought the business to a standstill.
This 9 year old business set up & operated live music concerts. It had developed a good reputation & track record and was the go-to promotor/events company in its location on the South coast. In 2023 the owners looked to expand the business and undertook a major open-air project with Craig David as the headline act. Far too close to the event, major issues arose relating to planning permission restrictions. Long story short, the venue changed, ticket sales did not materialise and the concert/festival didn’t happen. A significant amount of creditor build-up resulted.
As often happens, situations with owner/manager businesses evolve quickly. In this case our client determined that he was unlikely to be able to make good on repaying creditors in full, and have sufficient monies to bring home as a wage. He was offered a position away from running his own companies.
We determined that putting both of his businesses into CVA’s was the best way to obtain a decent pay-out for creditors. A legal case can now still be pursued, backed by a private investor, against the original venue which if successful will result in a significant return.
Our colleague Michael comments:
“It’s always pleasing to find a solution that gives best chance of repaying creditors. It would have been easy for our client to walk away and liquidate, but he wants to do right by people and we support him in this endeavour.”
