Professional Services
Professional Services Firm
Full Credential Description
A tour operator and coach hire business based in the South East, operating across the UK and Europe, faced significant challenges when the pandemic struck, leading to an immediate and severe impact on turnover. The business, which provided airport transfers, European holiday tours, school transportation, and corporate and private hire, required expert restructuring advice and support to navigate this crisis.
Upon engagement, the restructuring team conducted a thorough review of all available options, including a complete business restructure and potential refinancing. Given the complexity of the situation, which involved multiple secured and unsecured lenders, effective management of creditor relationships was crucial. The team worked closely with creditors to keep them informed of the restructuring strategy and progress. A key focus was on preserving the company’s core assets, particularly its vehicle fleet. The team ensured that all vehicles were properly maintained, securely stored, fully insured, and that financial obligations were met until the novation process was completed. This approach allowed the company to retain ongoing value while it continued to service a limited number of contracts, primarily school contracts, during the pandemic.
As a result of these efforts, in the event that a sale of the business was unsuccessful, a new vehicle was established to take over the business and its goodwill, maximizing returns for all stakeholders involved. Ultimately, a portion of the business and its assets were successfully disposed of on a going concern basis, leading to the novation of the majority of vehicle and plant/equipment contracts to the new company, which retained most of the staff. This new entity is now trading successfully, demonstrating the effectiveness of the restructuring strategy implemented.