Portland was instructed after Titchfield Carpets ran into financial difficulty due to a slow-down in house sales and the rising price of wool.
Stewart Goldsmith, Manager at Portland commented:
“We explored all options to save the company with the directors. With losses continuing and without the investment available to rejuvenate the business, they decided regrettably they had to call it a day. Whilst liquidation dealt with the immediate pressure from creditors, we still had to realise what money we could for them by selling the business assets whilst goodwill value remained. In this case, the shareholders were effectively the largest creditor through guaranteeing the bank debt and the landlord.”
After a negotiated bidding process, a sale of the trading name, goodwill, premises was secured, as well as relieving the shareholders of a significant guarantee liability, and one of the directors being re-employed.
James Tickell, Director of Portland Business Recovery commented:
“Stewart, one of our younger but fast-developing managers, dealt with the liquidation and disposal in its entirety and very competently so. We expend considerable time and effort in developing our staff so we remain not just the largest but the best business recovery practice locally. It is always gratifying to see this bearing fruit and the appreciation shown by the clients.”