In May 2015 Simon and Daniel Plant were appointed as Joint Administrators to the case of a media firm specialist in holding events within the aviation industry. The media firm was established in November 2011 to design publications and hold events within the aviation industry in the UK. Only a year after the business’s creation, it lost a large event contract which put enormous strain on the firms cash flow. Action was taken to move to smaller premises and there was a cash injection by management, but the cash flow issues continued. Increasing debt inevitably led the banks to withdraw overdraft facilities until the debts were repaid.
On May 8th 2015 the SFP Group was approached to overcome the cash flow issues and aim to keep the business alive. Simon and Daniel Plant were swiftly appointed Joint Administrators.
The business and assets were successfully sold to maximise realisations. Although five staff were made redundant, the remainder TUPE’d into the new business. Simon Plant commented on the challenges in the media industry: “Whereas insolvencies and administrations are currently down, there are a large number of smaller businesses where the loss of a single large contract or pressure from lenders can be the difference between success and failure.”