Case Studies

Commercial Mortgage

The client is an experienced property investor who also owns a successful lettings agency. He approached ICS to help him remortgage his business premises which comprises the agency on the ground floor and a 2-bed rental flat above.

The Scenario

The client is an experienced property investor who also owns a successful lettings agency. He approached ICS to help him remortgage his business premises which comprises the agency on the ground floor and a 2-bed rental flat above.


The Solution

They were after an interest only mortgage to increase his cash flow, but was struggling to find a lender that would lend on a semi-commercial property.


The Result

Fortunately ICS were able to source a lender who could complete the deal with a 15 year interest only term.

Winding up petition

The client had a winding up petition from one of its main suppliers. The client was cash poor but had secured two new large contracts and therefore wanted to keep the business afloat at all costs.

The Scenario

We successfully negotiated staged payments of the petition debt. The petition was not advertised because of our early involvement, which meant the client’s bank account remained intact and the business continued to trade.

To facilitate the schedule of payments agreed, we introduced the client to a construction finance company who set up a bespoke invoice finance agreement on the back of the two large contracts which the client had successfully been awarded.


The Solution

The client’s finances have improved dramatically and the petition debt has now been discharged completely.


The Result
Company Voluntary Arrangement – following a winding up petition

The client had received a winding up petition from HM Revenue and Customs (“HMRC”) after they had experienced cash flow difficulties due to delayed payments from customers.

The Scenario

The client had received a winding up petition from HM Revenue and Customs (“HMRC”) after they had experienced cash flow difficulties due to delayed payments from customers.


The Solution

With new work coming in and a change to the payments policy with customers, the Company appeared to have a viable future.

Upon review of the financial history and cash flow forecasts it was clear that creditors would be in a better position if the Company continued trading. It therefore appeared appropriate to propose a Company Voluntary Arrangement (CVA) that would enable the Company to pay its debts back over a period of 3 years.

ICS worked with the Company’s directors to prepare a realistic proposal to put forward to the Company’s creditors. Contact with HMRC was maintained throughout.


The Result

The CVA was approved by creditors and as a result they will receive their debt back in full over the course of 3 years, rather than a projected 15p/£ if it had been placed into Liquidation.

Creditors’ Voluntary Liquidation – following a winding up petition

The client had received a winding up petition from a supplier. The petition had already been advertised and the financial position of the Company was poor. Therefore it did not appear appropriate for the Company to continue to trade. The director, however, was keen to maintain control of the situation and wanted to be well prepared in order to minimise losses and potential accusations of misconduct.

The Scenario

The client had received a winding up petition from a supplier. The petition had already been advertised and the financial position of the Company was poor. Therefore it did not appear appropriate for the Company to continue to trade. The director, however, was keen to maintain control of the situation and wanted to be well prepared in order to minimise losses and potential accusations of misconduct.


The Solution

Upon meeting the director it was apparent that the Company should cease to trade, but greater realisations and fewer losses could be obtained if the Company acted quickly and with the advice of ICS. It therefore appeared appropriate to place the Company into a Creditors’ Voluntary Liquidation (“CVL”) rather than wait for the Company to be placed into Compulsory Liquidation.

Engaging ICS provided the director with assistance with the ongoing debt collection and gave an opportunity to discuss the purchase of the assets in a view to ‘starting again’ through a new company.


The Result

A CVL was approved by the creditors of the Company. Prior to our appointment, ICS provided advice regarding the sale of assets and debt collection. As a result a greater amount will be realised than if the Company and been placed into compulsory liquidation. As the director took the initiative and received advice from ICS they are less vulnerable to accusations of misconduct.

Invoice Finance

The client had an existing invoice finance arrangement; however, due to the increasingly contractual nature of their business, the lender was unable to assist with stage payments etc.

This meant that instead of aiding with cash flow to help complete contracts and procure materials, the company was being starved of working capital as the lender could no longer fund invoices.

The Scenario

The client had an existing invoice finance arrangement; however, due to the increasingly contractual nature of their business, the lender was unable to assist with stage payments etc.

This meant that instead of aiding with cash flow to help complete contracts and procure materials, the company was being starved of working capital as the lender could no longer fund invoices.


The Solution

We successfully moved the client to a bespoke construction lender who fully understood their situation and problem.


The Result

Within 48 hours the new lender had put a facility in place and once more funds became available to help the company complete contracts and pay wages etc.

Bridging Loan

The client had a winding up petition from HMRC in respect of unpaid Corporation Tax. The company was cash poor but had ongoing contracts with the local authority, however, these would take time to be fully realised.

The director had a substantial amount of equity in his own property and wanted to avoid the winding up petition being granted at all costs, especially as the business was due to receive funds from the local authority contracts in the near future.

The Scenario

The client had a winding up petition from HMRC in respect of unpaid Corporation Tax. The company was cash poor but had ongoing contracts with the local authority, however, these would take time to be fully realised.

The director had a substantial amount of equity in his own property and wanted to avoid the winding up petition being granted at all costs, especially as the business was due to receive funds from the local authority contracts in the near future.


The Solution

We successfully raised funds via a bridging loan on the director’s property using the equity in the property.

The loan was used to discharge the liability to HMRC and the petition was subsequently withdrawn.

The bridging loan was repaid after a few months from the realisation of the local authority contracts.


The Result

The HMRC debt was discharged & the company free from the liability and the winding up petition.

The second charge on the director’s property was removed once the bridging loan had been repaid from the work which had been carried out but was awaiting payment for.

The company could continue in business and went on to successfully tender for new contracts.

Long standing invoice finance

The client had an existing long standing invoice finance arrangement; however, as the facility had never been reviewed and following reductions in interest rates and increase in competition, the facility was comparatively expensive.

The Scenario

The client had an existing long standing invoice finance arrangement; however, as the facility had never been reviewed and following reductions in interest rates and increase in competition, the facility was comparatively expensive.


The Solution

We arranged to carry out a review with a panel lender, who was able to achieve significant cost savings and improve the efficiency of the facility


The Result

The client was delighted and saw five figure savings and a more bespoke facility in the bargain! The cost savings enabled the client to purchase a new van and employ a new member of staff to drive it.

Unpaid VAT and PAYE.

The client had a winding up petition from HMRC in respect of unpaid VAT & PAYE. The client, a food importer & distributor, had good contracts & a strong order book but little or no cash to pay its debts.

The Scenario

The client had a winding up petition from HMRC in respect of unpaid VAT & PAYE. The client, a food importer & distributor, had good contracts & a strong order book but little or no cash to pay its debts.


The Solution

The director had a substantial amount of equity in his own property and wanted to avoid the winding up petition being granted at all costs, especially as the business had a healthy order book. We successfully raised funds via a bridging loan on the director’s property using the equity in the property. The loan was used to discharge the liability to HMRC and the petition was subsequently withdrawn. The bridging loan was repaid when the business was free from the petition and more long term finance was put into place. This included re-financing the company’s machinery, vehicles and stock.


The Result

The HMRC debt was discharged & the company free from the liability and the winding up petition. The second charge on the director’s property was removed once the bridging loan had been repaid from the re-financing of the business. The company could continue in business and went on to successfully complete its order book and even gain new orders from Europe.

Company Voluntary Arrangement – Marketing Agency

A marketing agency had struggled financially due to a bad debt and not placing enough emphasis on driving forward a profitable business and expanding its client base. As a result they were subject to winding up proceedings. However, changes had been implemented and it was evident the business could be profitable given the chance to continue trading.

Furthermore the bank account had been frozen and there were two Personal Guarantees in place with creditors.

The Scenario

A marketing agency had struggled financially due to a bad debt and not placing enough emphasis on driving forward a profitable business and expanding its client base. As a result they were subject to winding up proceedings. However, changes had been implemented and it was evident the business could be profitable given the chance to continue trading.

Furthermore the bank account had been frozen and there were two Personal Guarantees in place with creditors.


The Solution

Implementing a Company Voluntary Arrangement would allow the Company to continue trading and pay back its debt over the course of 5 years. It was evident this would be a far better result than if it were placed into Liquidation. ICS worked with the Company’s directors to prepare a realistic proposal to put forward to the Company’s creditors. Contact with HMRC was maintained throughout.

ICS also liaised with the bank regarding the frozen bank account and the creditors regarding the Personal Guarantees.


The Result

The CVA was approved by creditors and as a result they will receive their debt back in full over the course of 5 years, rather than a projected 2p/£ if it had been placed into Liquidation.

The bank agreed to unfreeze the bank account and allow trading to continue prior to the CVA been approved.

The Director was no longer liable for the Personal Guarantees in place with the two creditors, as they would be paid back in full via the CVA Proposal.

Business loan

The client was looking for a loan of £20,000 to help the business continue to grow. They operated from leased premises and had only been trading a few months.

The business had no assets of value and traded directly with the public, therefore invoice & asset finance were unavailable.

Neither director was a home owner & therefore bridging finance was not an option.

The Scenario

The client was looking for a loan of £20,000 to help the business continue to grow. They operated from leased premises and had only been trading a few months.

The business had no assets of value and traded directly with the public, therefore invoice & asset finance were unavailable.

Neither director was a home owner & therefore bridging finance was not an option.


The Solution

We arranged an unsecured business loan from a specialist lender.

Although the initial loan was only £15,000, it was subject to a review after 4 months whereby the loan could be topped up if required.


The Result

The client was able to invest in a new website, marketing help and extra stock and the business grew as planned.

After 4 months, having made all loan repayments on time and conducted the account well, the lender reviewed and offered to top the loan up by £10,000 – though the client only took the remaining £5,000 as they planned.

Updating Invoice Finance

The client required more working capital in the business & already utilised invoice finance. The existing invoice finance only had a pre-payment level of 70% & was not working well with the business.

Having no fixed assets of any value, meant realising the required funds was not going to be easy.

They were also in a Time To Pay arrangement with HMRC

The Scenario

The client required more working capital in the business & already utilised invoice finance. The existing invoice finance only had a pre-payment level of 70% & was not working well with the business.

Having no fixed assets of any value, meant realising the required funds was not going to be easy.

They were also in a Time To Pay arrangement with HMRC


The Solution

We introduced a new Invoice Finance funder who immediately agreed a pre-payment level of 85%, thereby releasing new funds into the business.

The balance of the capital was generated from a small unsecured business loan from a specialist lender who took a holistic view of the business & wasn’t prejudiced by the Time To Pay arrangement.


The Result

The business received the required level of new capital and even paid off the HMRC arrears.

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Rescue from the threat of a winding up petition

The client, an international bank, had a long running dispute with its former legal advisors over fees.

Unfortunately, the former legal advisors decided to issue a winding up petition, which sadly became advertised in the London Gazette.

The Scenario

The client, an international bank, had a long running dispute with its former legal advisors over fees.

Unfortunately, the former legal advisors decided to issue a winding up petition, which sadly became advertised in the London Gazette.


The Solution

Due to time constraints and the client being due in court within days. We acted urgently to liaise with the creditor and gained consent to an adjournment of the hearing. With this, we then appointed expert legal counsel to attend the hearing on behalf of the client.

This was to enable a suitable period to conclude negotiations, reach an agreement and discharge the fees owed.


The Result

The client was delighted that our swift actions meant that the threat of being wound up had been averted and that they had the opportunity to resolve matters satisfactorily.

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