Friend of the Smaller Business sponsors Credit Today Insolvency & Rescue Award
Ashley Commercial Finance Limited, “Friend of the Smaller Business”, is to sponsor the Credit Today Insolvency & Rescue Award in the category Corporate Recovery Firm of the Year – Small Firms.
Here at Ashley we recognise that IP’s owe a duty to creditors to maximise their return. In many cases the best option is that the business continues to trade whether in Administration or by the sale of its assets as a going concern. This is because a break-up of the company’s assets would not produce the best return to creditors. Sometimes this is impossible because there is no adequate funding to support the restructuring route.
IPs often overlook invoice finance, but this can prove a very useful tool, generating funds very quickly to allow businesses to continue trading. In the current climate it is particularly valuable as banks are reluctant to fund these types of situations. As cash flow is crucial at this stage, IP’s will welcome the ability to restructure businesses, which will maximise the return to creditors.
Recent types of transactions include:-
- Paying off overdrafts and consequently removing banks from the situation.
- Funding “pre-packs” allowing companies to restart trading and maintain the value of the assets.
- Funding companies that are trading in administration or in CVA.
The Insolvency & Rescue Awards are to be held at the prestigious Grosvenor House Hotel on 30 October.