Mercer & Hole safeguard 53 jobs as Safesec Ltd goes into Administration
Mercer & Hole Chartered Accountants’ Restructuring & Insolvency team saved a significant number of people from facing a bleak Christmas, when they protected their employment immediately before Christmas by rescuing a business.
Ailing railway security firm, Safesec Ltd, instructed Mercer & Hole’s Restructuring & Insolvency Director, Henry Page and Partner, Peter Godfrey-Evans when faced with the threat of a compulsory winding up.
The prospect of selling either the company or the business quickly proved to be unrealistic and the focus switched to the preservation of jobs and continuation of service in order to secure the best outcome for creditors and Safesec’s employees. Working with the company’s directors and primary contractors, Henry and Peter were able to identify alternative subcontractors to assume the employment of staff and continue with providing security services over the busy Christmas period.
Securing the transfer of 53 staff ensured that they received their Christmas Eve pay cheque on time rather than having to wait weeks for the Redundancy Payments Service to process their claims. Following the completion of the transfer of staff, the company went into Administration on 22 December 2015 with Henry and Peter being appointed as joint administrators to the company. They expect to be in a position to pay a distribution to creditors during 2016, a far cry from the expected outcome should the compulsory winding up have been allowed to proceed.
At Mercer & Hole we believe rescue is the appropriate solution for viable businesses in financial distress. For Mercer & Hole’s restructuring team this is more than a belief – it’s what we do. Mercer & Hole’s Restructuring & Insolvency team have considerable experience and a reputation for dealing expertly with restructuring a business. Our approach is always professional and pragmatic.
Should you or your clients require advice, please speak with your usual Mercer & Hole contact or speak with one of the Restructuring & Insolvency team.
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Date: 22nd January, 2016
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