Filing for administration
Discussion
Can anyone give me an idea ( links) as to what this means?
I'm a manager of an Unwins off licence - my shop ceased trading today -so I'm trying to get some information together ....so I know what's happenning - whether me and my staff get paid etc.
There's a thread in the pie and piston that has been running for a few weeks about what's happenning with the Unwins off licence chain.
I can't comment now on anything because it's against a clause in my contract. But I haven't got a clue what all this is about and what does it mean.
Can anyone help ?
I'm a manager of an Unwins off licence - my shop ceased trading today -so I'm trying to get some information together ....so I know what's happenning - whether me and my staff get paid etc.
There's a thread in the pie and piston that has been running for a few weeks about what's happenning with the Unwins off licence chain.
I can't comment now on anything because it's against a clause in my contract. But I haven't got a clue what all this is about and what does it mean.
Can anyone help ?
The company Unwins in is debt to the tune of about 10m £££'s they've been trying to sell off a few shops to pay their way but its not enough. So they are in effect bankrupt, not enough cash to pay the bills. At this point before they get into deeper pooh they must call in the receivers/administrators who oversee the company for a shortish period to see whats wrong & what they can do to either turn it round, prepare it for sale & sell it or wind it up completely (sell off assets to pay the debts)
Wages are one of the items first on the list to be paid but not always, depends on the exact circumstances.
The administrators will be a bunch of accountants who'll want things like stock lists etc from each shop, an inventory etc. If your shop is a viable business & your most likely to know seriously look into having a chat with someone about taking it on privately if its likely to come up for sale which it might do.
Wages are one of the items first on the list to be paid but not always, depends on the exact circumstances.
The administrators will be a bunch of accountants who'll want things like stock lists etc from each shop, an inventory etc. If your shop is a viable business & your most likely to know seriously look into having a chat with someone about taking it on privately if its likely to come up for sale which it might do.
difficult times - and people wanting to get you for breach of contract - I can't talk freely at the moment.There are three stages in the demise of a limited company -
administration
receivership
liquidation.
Administration is usually decided on by the directors/shareholders of the business in an attempt to rescue the company, stave off creditors for a while and hopefully find a buyer willing to purchase the "lame duck" company.
Reveivership usually occurs when an outside lender/investor decides that it needs to try and recover the money it has invested/loaned to the company. Essentially, the original management team is replaced by a team appointed by the lenders (usually a bank). They will manage the company until the funds are recovered. If the funds ARE recovered, they often hand back control to the original directors. If not, they may proceed to the next stage, liquidation.
Liquidation - this is the end. The company is dissolved and its assets disposed of. The funds from the sale of the assets are used to pay off the moneys it owes and it ceases trading. Liquidation can be decided on by the company's own directors/shareholders or it can be applied for by outside creditors such as banks, suplliers , the Inland Revenue, HM Customs and Excise etc.
administration
receivership
liquidation.
Administration is usually decided on by the directors/shareholders of the business in an attempt to rescue the company, stave off creditors for a while and hopefully find a buyer willing to purchase the "lame duck" company.
Reveivership usually occurs when an outside lender/investor decides that it needs to try and recover the money it has invested/loaned to the company. Essentially, the original management team is replaced by a team appointed by the lenders (usually a bank). They will manage the company until the funds are recovered. If the funds ARE recovered, they often hand back control to the original directors. If not, they may proceed to the next stage, liquidation.
Liquidation - this is the end. The company is dissolved and its assets disposed of. The funds from the sale of the assets are used to pay off the moneys it owes and it ceases trading. Liquidation can be decided on by the company's own directors/shareholders or it can be applied for by outside creditors such as banks, suplliers , the Inland Revenue, HM Customs and Excise etc.
I would expect adinistrators or receivers to pay the staff in the normal way. If the company goes into liquidation, unpaid staff become a "ranking" crditor i.e they are high on the list as to who gets paid as the company is wound up and cash generated. However, in liquidations, nothing is guaranteed.
Over the last few years employment legislation has tightened up quite a bit so many aspects of employees' rights are therefore better than they were just a few years ago, However, if a company genuinely hasn't got enough money to pay its debts, then empoyees' rights count for not much.
Terrible time to pull the plug on credit lines, christmas being one of the busiest times of the year and a chance to actually recoup a bit of money.
Sorry to hear about the loss of job, but I'm surprised people in Unwins have no rainy day money as the stock levels have been appalling since well before the summer, or the local ones in South London that I've seen.
Sorry to hear about the loss of job, but I'm surprised people in Unwins have no rainy day money as the stock levels have been appalling since well before the summer, or the local ones in South London that I've seen.
I did warn my assistants this might happen and to keep some money back to tide them over...but this time of year with children and grand children it was always going to be difficult for them to do that.
Seems HBOS put Unwins into administration yesterday evening. KPMG I think are the new administrators, and they've said in the Independant that it's too early to say what will happen to the jobs - hopefully they might know more later on today.
Seems HBOS put Unwins into administration yesterday evening. KPMG I think are the new administrators, and they've said in the Independant that it's too early to say what will happen to the jobs - hopefully they might know more later on today.
This seems to go from bad to worse - just heard that they've been deducting pension contributions from us for the last couple of months but not paid them into our pension fund.
It could be months before I see any funds from them - and I'm still technically employed until I'm dismissed so can't claim benefits.
It could be months before I see any funds from them - and I'm still technically employed until I'm dismissed so can't claim benefits.
condor - my sympathies.
Not good news I'm afraid.
A friend of mine was working for a company that went into administration, and the administrators paid people from the time the administrators took over, until the time they got dismissed. They then had to wait many months to see what other money could be recovered to pay the outstanding wages from before the administrators took over. So if you have only been paid until end of November, there is a risk that you may not see 3 weeks wages, at least in the short term.
Not good news I'm afraid.
A friend of mine was working for a company that went into administration, and the administrators paid people from the time the administrators took over, until the time they got dismissed. They then had to wait many months to see what other money could be recovered to pay the outstanding wages from before the administrators took over. So if you have only been paid until end of November, there is a risk that you may not see 3 weeks wages, at least in the short term.
Eric Mc said:
What's the lastest. BBC are reporting that KPMG have closed down all 350 retail outlets and made 1,400 redundant. They are only keeping on 20 Unwins staff to help KPMG out.
Will be interesting to see what happens as if I understand it right Unwins was sold recently for £32 million and is now worth not a lot. Quite how can that be achieved so quickly?
That's about right. I've read todays papers where DM private equity are going to sue Unwins previous owners in a pathetic attempt to try and make people believe it wasn't their fault.
The same DM private equity that have been wasting hundreds of thousands on a totally pointless restructuring exercise - they were still interviewing for 'team leaders' the last couple of days !!
All of this month they've been holding pointless assessment days for half of the branch managers to become multi-site managers. As well as hosting 'franchise meetings' with hopeful other branch managers that want to take over their own business. I've been at both - and the lies spouted about how they've got a refinancing deal sorted - how their new company ' Unwins Franchise Systems' is separate from the Unwins wine group - and they would deliver to their franchisees.....etc etc.
My personal opinion is that DM private equity was set up just for the purpose to buy out the company 9 months ago. It was possibly a last ditch attempt by Philip Wetz senior for a sale - there was an established company that was bidding at the time, but they were passed over for Deveraux Montagu.
DM allegedly paid £32M for the company, mainly paid for by the revenue received from private investors in a leaseback scheme ( temptation of high rents )of the sale of 96 freehold properties.
The same DM private equity that have been wasting hundreds of thousands on a totally pointless restructuring exercise - they were still interviewing for 'team leaders' the last couple of days !!
All of this month they've been holding pointless assessment days for half of the branch managers to become multi-site managers. As well as hosting 'franchise meetings' with hopeful other branch managers that want to take over their own business. I've been at both - and the lies spouted about how they've got a refinancing deal sorted - how their new company ' Unwins Franchise Systems' is separate from the Unwins wine group - and they would deliver to their franchisees.....etc etc.
My personal opinion is that DM private equity was set up just for the purpose to buy out the company 9 months ago. It was possibly a last ditch attempt by Philip Wetz senior for a sale - there was an established company that was bidding at the time, but they were passed over for Deveraux Montagu.
DM allegedly paid £32M for the company, mainly paid for by the revenue received from private investors in a leaseback scheme ( temptation of high rents )of the sale of 96 freehold properties.
Since they took it over - they've barely paid for any stock - relying on the stock already in the shops and relying on lots of distributors to give them credit terms....of which they didn't pay. As soon as the 30 day credit limit ran out - of course companies are going to say no more till you pay up.
Rents, rates, maintenance and utility bills all unpaid...for the last 3-5 months. We were given a direct mobile phone number to give out to the bailiffs as an 'emergency fund' but presumably this was going down to quickly the last month or so.
Cash collections were introduced about 4 months ago - the money was to go directly into DM private equities account at Lloyds, Threadneedle St branch bypassing the Unwins retail group banking facilities ( I had always banked at the Post office for them).
Comments were raised in the trade press - and Unwins staff were instantly dismissed because they'd spoken to the media - was pointed out was a breach of contract and any further external talk would be instant dismissal.
Rents, rates, maintenance and utility bills all unpaid...for the last 3-5 months. We were given a direct mobile phone number to give out to the bailiffs as an 'emergency fund' but presumably this was going down to quickly the last month or so.
Cash collections were introduced about 4 months ago - the money was to go directly into DM private equities account at Lloyds, Threadneedle St branch bypassing the Unwins retail group banking facilities ( I had always banked at the Post office for them).
Comments were raised in the trade press - and Unwins staff were instantly dismissed because they'd spoken to the media - was pointed out was a breach of contract and any further external talk would be instant dismissal.
apologies for the break in posts....but there's a posting limit.
My own personal opinion is that they've salted away a good £20-£30 Million. I have every intention of telling everything i know to the DTI - and hopefully they'll be investigated and prosecuted for the thieves that they are.
I went to my shop today - phone was cut off, the 2 girls pay slips had been sent - no other communication. We still haven't had official communication that our jobs are redundant...it's just what we can get from the news sources.
I rang the jobseeker number to make a claim - got a 3 week wait for that - you can only apply by phone nowadays....and after 30 mins on my phone bill I thought the government are just trying to make it as difficult as possible. A brochure on insolvency I was given by the job centre 2 days ago gave the wrong helpline number ( was a recorded message from a lovelorn girl to her fella)then I realised the brochure was from July 2001, the website given for updates didn't work either. Other phone numbers given to me are just wrong - no wonder why claimants use the phones in te job centre....must have cost me a fortune today - and I haven't got anywhere.
My own personal opinion is that they've salted away a good £20-£30 Million. I have every intention of telling everything i know to the DTI - and hopefully they'll be investigated and prosecuted for the thieves that they are.
I went to my shop today - phone was cut off, the 2 girls pay slips had been sent - no other communication. We still haven't had official communication that our jobs are redundant...it's just what we can get from the news sources.
I rang the jobseeker number to make a claim - got a 3 week wait for that - you can only apply by phone nowadays....and after 30 mins on my phone bill I thought the government are just trying to make it as difficult as possible. A brochure on insolvency I was given by the job centre 2 days ago gave the wrong helpline number ( was a recorded message from a lovelorn girl to her fella)then I realised the brochure was from July 2001, the website given for updates didn't work either. Other phone numbers given to me are just wrong - no wonder why claimants use the phones in te job centre....must have cost me a fortune today - and I haven't got anywhere.
Gassing Station | Business | Top of Page | What's New | My Stuff