A pre-packaged sale can save your business allowing you to re-start the profitable parts without being weighed down by the company’s existing debts. Pre-packed sale or “Pre-pack” is the name given to the process of buying the assets of a business from the old failing company.

Typically a new company owned by the existing management will take over some or all of the assets of the business but not the debts. This structure allows a new business to rise from the remains of the old, often referred to as “phoenix-like”, with the effect that business and jobs are saved. Once the transaction has taken place the old company is placed into liquidation. It is vitally important that a Pre-pack is properly structured and that you take professional advice as soon as possible but in the right circumstances and where there is a sound underlying business this solution can be extremely effective.

Leonard James are specialists in arranging pre-pack sales.  We have access to finance from specialists lenders and know how to make the transaction swift and smooth with minimal disruption to your business.  We will also advise you whether a pre-pack or a company voluntary arrangement will be best for your business