pcr

CORPORATEBROCHURE

www.pcrllp.co.uk

PCR LLP is a 5 Partner led business made up of diverse, multi-skilled practitioners, whose experiences are drawn from accountancy and commercial backgrounds. With a combined experience in insolvency practice exceeding 100 years, our partners provide positive help in diverse situations. Our expertise covers all aspects of bankruptcy, liquidation, administration, receivership, CVA and IVA and any instance where a business or individual is facing severe financial difficulties.

At PCR, we provide expert business solutions to companies and individuals facing financial or operational uncertainty and will always look to achieve a business turnaround or rescue where possible. However, there are occasions when a turnaround is not possible, and we would therefore seek to evaluate the position and determine the best course of action.

The most important aspect to consider in all of this though is that should you find yourself struggling with considerable debt, there are potentially many options available for you to take. PCR can assist by reviewing your financial situation and can advise you on the best course of action. For advice, please contact our PCR Head Office on 0208 841 5252 or alternatively, you can email us at info@pcrllp.co.uk.

You can also contact us on the above regarding any insolvency procedures in general to arrange a FREE initial consultation with one of our Insolvency Practitioners.

We operate a nationwide service with eight offices across the UK. Our Head Office is located in Uxbridge and we also operate from offices in London, Bristol, Kent, Newcastle, Milton Keynes, Sussex and Bridgend.

ABOUTPCR

As corporate rescue specialists, PCR has extensive experience in the area of business recovery, helping firms through the traumas of severe financial difficulties.

Being a solution driven practice, if at all feasible PCR always begin by searching for positive ways forward to effect a turnaround of the beleaguered business using the following primary tools;

Businesses facing trading difficulties may look to commission an Independent Business Review with a view to evaluating the business and determining whether a turnaround without a formal insolvency process is possible. The success of this will in part be down to when in the process PCR are consulted, the earlier, the better.

WHAT ISBUSINESS RECOVERY

BUSINESSTURNAROUND & RESCUE

A CVA is a deal offered to creditors where the debt is either compromised or rescheduled or both. This can enable a company to reduce the creditor pressure and focus on the future trading of the business.

Voluntary Liquidation is the legal process used when a company’s directors themselves decide to wind-up a company’s affairs. Unlike Compulsory Liquidation, neither the Courts nor the Official Receiver are generally involved in placing a company into Voluntary Liquidation.

Administration is a true corporate rescue process, one of whose aims is saving the company itself. But if a company cannot be saved, Administration may also be used to produce a better outcome for the creditors than Liquidation, or for a better for certain realisation for certain classes of creditors.

COMPANY VOLUNTARY ARRANGEMENT (CVA)

CREDITORS’ VOLUNTARY LIQUIDATION (CVL)

ADMINISTRATION

“We felt a great deal of relief when we instructed PCR as we assumed it was the end of the road for our business. PCR recommended some tough measures, but the results speak for themselves.”

PCR were approached by an internet wholesale company that had suffered as a result of the liquidation of one of its key customers. The customer accounted for over 25% of the company’s turnover and the resultant bad debt had left the company where it would be unable to pay its debts as and when they fell due in a matter of months.

Following an independent business review by PCR, it was clear that the company had a solid core business, however, in the absence of replacement turnover, the Company’s cost structure was not sustainable. In the circumstances, PCR managed an internal restructuring of the company, which included a streamlining of the workforce, a re-negotiation of the lease to the Company’s premises and implementation of financial controls.

Whilst some negotiation was required with the company’s creditors, there was no necessity for the company to utilise any insolvency procedure. This was possible as the directors of the company had sought advice as soon as the problem arose allowing PCR maximum flexibility in terms of reorganisation.The important lesson from this example is that an early consultation with PCR can significantly improve your business outcome.

Finance Director

REAL LIFECASE STUDIES

WHOLESALERESTRUCTURE

“PCR having the foresight to involve us early on allowed us to assist them in maximising realisations.”

This UK based construction business based in the South East of England, having weathered the recession, won a significant contract as sub-contractor for a mid-tier main contractor working on a residential development. The contract would ultimately be profitable, but the margins were tight, and the Company had to source funding and credit for materials and labour.

The contract provided for stage payments and the Company was able to service the contract with careful planning and cashflow management. However, the final stage payment request was not settled on time and when queried, the main contractor cited deficiencies with works. The vast majority of the defects were disputed as being damage caused by other contractors, but in a gesture of goodwill and to facilitate the payment being made, the Company undertook the majority of the remedial works.

The main contractor still refused to settle and issued notice of termination of the contract. The Company had limited funds to meet ongoing costs and could not afford to instruct solicitors.

Quantity Surveyor

TIME TORESTRUCTURE

THESITUATION

The directors sought advice from PCR LLP who advised that the Company should be placed into Liquidation. Once appointed the Liquidators and specialist quantity surveyors reviewed the contract, met with relevant personnel and challenged the basis and process of the purported termination.

The main contractor disputed the arguments put forward and refused to consider the claim. The Liquidators instructed solicitors with a view to commencing proceedings. At this stage, it was apparent to the contractor that the appointment of Liquidators had given the Company more options and a request for mediation was received.

At the mediation a settlement equal to 75% of the outstanding debt was reached.

The prompt actions of the directors in seeking advice meant that the momentum of the disputed claim was maintained by the Liquidators, which in turn meant the professional advisers were able to quickly and accurately assess the circumstances and advise accordingly.

The resulting settlement at mediation enabled the Liquidators to settle the claim without the need for costly and lengthy Court proceedings, which improved the outcome and facilitated an early dividend to creditors.

THEPROCESS

THEOUTCOME

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WE HAVE SET OUT BELOW 6 KEY TIPS ON GOOD BUSINESS MANAGEMENT.

Watch the cash. Good credit control is essential; ensure that clients stick to terms and that work in progress (WIP)

is regularly reviewed for recoverability, but it is cash through the door that pays the bills, as long as the profit is

ultimately there.

Often overvalued, WIP causes problems for small firms when it comes to billing out. Know what to bill and when

it will be paid; be realistic.

MONEY , MONEY , MONEY ! !

UNDERSTAND THE WORKING CAPITAL CYCLE OF YOUR F IRM

PCR’S TIPS ON WHAT A WELL-RUN PROFESSIONAL BUSINESS SHOULD

BE DOING

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Is the vision for the business shared by all? Have you got shareholder buy-in?

Are you up to date with the compliance officer for legal practice and compliance officer for finance and

administration requirements? Compliance is a hot topic and your practice should invest in skills and infrastructure

to get it right.

One man’s pain is another’s opportunity. What are your successful competitors doing? Looking at other firms doing less well, are there opportunities

to strengthen your own position by merger/acquisition?

Often the first to be cut in tight times, a well-thought out and budgeted marketing plan is a

necessity, not an option!

MAINTAIN GOOD REL AT IONSHIPS WITH

YOUR FELLOW D IRECTORS AND STAFF

KNOW THE L ATEST COMPL IANCE AND

REGUL ATORY FRAMEWORK.

KEEP A BEADY EYE ON THE COMPET IT ION

MARKET ING BUDG ETS

Mark has 27 years’ experience in insolvency practice, dealing with a wide variety of assignments across many industries including construction, sports and leisure, pharmaceuticals, wholesale and retail. Mark also undertakes investigative cases where there are potential claims for, amongst other things, wrongful trading and misfeasance.

Contact Mark: markphillips@pcrllp.co.uk

Julie is a chartered accountant as well as an insolvency practitioner and has worked in insolvency for over 25 years. Julie’s experience is widespread including appointments in construction, fashion, sports and leisure and retail. Julie has also worked within the finance team of a development/construction arm of a listed plc, giving her insight in this area and an understanding of the operational complexities in such businesses. As well as dealing with insolvency issues, Julie lends her experience to cashflow management issues on behalf of solvent clients.

Contact Julie: julieswan@pcrllp.co.uk

Sam is a licenced insolvency practitioner and chartered accountant specialising in providing restructuring, recovery and insolvency advice and programmes to individuals and owner-managed businesses: corporates and unincorporated bodies facing operational or financial uncertainty. Sam has particular experience in the entertainment, fashion, construction and marine industries. Wherever possible, his primary aim is to guide stressed businesses back to financial health with insolvency solutions being the last option.

Contact Sam: samtalby@pcrllp.co.uk

MEETTHE TEAM

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Stratford has 23 years’ experience in insolvency. Over the last 10 years he has focussed on asset recovery through investigations and litigation. He has successfully brought civil actions of fraud and wrongful actions by directors and other individuals on behalf of creditor groups, UK Government agencies and shareholders. His investigations have led to significant recoveries not only here in the UK but also from various offshore locations including United States of America and Malaysia.

Contact Stratford: stratfordhamilton@pcrllp.co.uk

Danny has a range of experience in personal and corporate insolvency, with over 19 years’ at City practices and has developed particular specialisms in property development and asset management, online business and media.

Contact Danny: dannyallen@pcrllp.co.uk

Sonal has over 11 years’ experience within the insolvency industry and has worked for both national and city-based practices. She specialises in all types of insolvency and has experience in dealing with both small businesses and larger operations. Sonal also has experience in trading administrations including a boatbuilding company and completing a TV production for a broadcaster. Sonal is CPI qualified and is in the process of completing her final ACCA exams.

Contact Sonal: sonalr@pcrllp.co.uk

Ahmed joined the practice in November 2016 with a background in retail, marketing and account management, having worked in various industries including the media and tourism industry. His focus is to build and maintain business relationships and work with the partners in client liaison and to develop marketing scope and strategy within the practice.

Contact Ahmed: ahmedali@pcrllp.co.uk

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pcrUxbridge (Head Office)

Unit 1, First FloorBrook Business CentreCowley Mill RoadUxbridge UB8 2FX

0208 841 5252

www.pcrllp.co.uk

London Office

1-7 Harley StreetLondon W1G 9QD

0207 291 4465

Bristol Office

77A Alma Road Clifton Bristol BS8 2DP

0117 239 0343

Kent Office

Unit 39, The Joiners Shop Chatham Historic Dockyard, Chatham KentME3 4TZ

01634 816 066

Bridgend Office

73 Oxford StreetPontycymerBridgendCF32 8DD

01656 837 577

Sussex Office

50 Ham WayWorthingWest SussexBN11 2QH

01903 366 020

Milton Keynes Office

Artemis House4 Bramley RoadMilton KeynesMK1 1PT

01908 229 9656

Newcastle Office

Suite 108Collingwood BuildingsNewcastle Upon TyneNE1 1JF

0191 229 9656