Published on 24 November 2011 by Tony Groom The support and co-operation of its stakeholders can be crucial to the success or failure of the efforts by a business in difficulty to restructure and survive. There are several ways of defining stakeholders, such as internal and external stakeholders, or primary and secondary stakeholders, but all […]
Articles Tagged: Human Resources
Pre-Pack Administration #024
Published on 31 December 2010 by Tony Groom Pre-pack Administration is a tool for saving struggling businesses that are in severe financial difficulties but are potentially sound. Essentially it means “selling” the business to a new company immediately upon appointment of an Administrator, the preparation for sale being carried out prior to appointment. The sale requires […]
A Guide to Company Voluntary Arrangements (CVA) and When to Use Them #022
Published on 24 November 2011 by Tony Groom A Company Voluntary Arrangement (CVA) is a binding agreement between a company and those to whom it owes money (creditors). A CVA is based on a proposal that will include repayment terms. These should be affordable, realistic and manageable. While the proposed payment period can be much shorter, […]
Employee Equity Can Improve the Chances of a Successful Restructuring #034
Published on 31 January 2011 by Tony Groom Businesses and the UK economy are under pressure from inflation thanks to increased taxes, such as VAT, and commodity prices and also pressure due to declining sales thanks to the reduction in consumer spending. The current situation is unusual as there has been a considerable amount of […]
Working With Trades Unions to Promote Consensual Turnarounds #009
Published on 10 December 2010 by Tony Groom A Company Doctor and former President of the Turnaround Management Association, who seeks to save companies, and who does not work for banks, has approached a number of UK trades unions with a view to forging a collaborative approach to dealing with companies in financial difficulties. Currently, […]
Redundancy Costs Due to Staff Reduction Can Leave a Company Insolvent #006
Published on 23 December 2010 by Tony Groom Companies struggling to survive a severe economic downturn like the current one often consider ways to reduce their overheads. Generally one of the biggest costs on a business is the payroll and looking to redundancies as a way to reduce them is a common response to a […]