FRP’s Financial Advisory team help secure funding package for security services company, safeguarding over 1000 jobs

FRP team secure funding to protect over 1000 jobs and ensure continued trading of security services company

Background

Space provides comprehensive security services across the UK, from door security to large scale events. Following the Covid-19 pandemic, the company faced difficult trading conditions which resulted in mounting HMRC arrears and significant cashflow issues.

Action

Instructed by the incumbent bank, FRP’s Financial Advisory team, led by Director, Joanne Price and Partner, Chris Adlam were engaged to undertake a short term cashflow review and consider the options available to the company and lender.

The FRP team undertook the financial analysis quickly to enable them to present the best options to the company and lender. The team subsequently negotiated a funding solution between the directors, bank and HMRC, including a c£1 million Time To Pay (“TTP”) arrangement.

Outcome

Following our recommendations, the bank provided additional funds and HMRC agreed to the TTP arrangement. This funding solution enabled the company to restabilise their cashflow, allowing them to continue trading and preserving over one thousand jobs.