Business Finance: LEISURE CLUB

BUSINESS TYPE:	LEISURE CLUB
LOCATION:	MIDLANDS
RESTRUCTURING:	CVA SUCCESSFULLY COMPLETED

The directors of this leisure club engaged us as they were very concerned by the major cash flow pressure affecting their business. They had invested heavily in the company and initiated a robust new business plan to develop the club. However, they inherited significant historic liabilities that had built up prior to their involvement and this was putting pressure on cash resources. We reviewed the various options with them and they elected to propose a Company Voluntary Arrangement (CVA) to ‘ring fence’ the unsecured creditors. We prepared the necessary documentation and we are pleased to report that the proposal was formally agreed by the creditors in early February 2008.

“We had invested heavily into our business but the problems that we inherited were frustrating the development potential."

Engaging Beer and Young was the key to helping us stay in control during a very challenging period. The CVA proposal has enabled us to stop the financial ‘fire fighting’ and focus on business development.

We would recommend their specialist services to any company in financial difficulties. They worked quickly and efficiently, which was exactly what we needed.

RC and PC- January 2008
Directors