Pre-pack insolvencies – what’s to be done about the situation? Over the years we’ve run many a story on the damage they do, but all we can do is report. Can we do more as an industry? FaberExposize UK and Northern Flags MD Iain Clasper-Cotte – while still celebrating fab wins at the UK Graphic Awards – is up in arms about the situation, as are many others. He recently pointed out on a LinkedIn post that: “Over the past few years we have lost lots of monies when clients have gone into receivership. The first we know of it is when mysteriously another company has bought them and wants to trade with us. They have not taken on the historic debt as the receiver neatly packages all the good bits (i.e not the money owed to us) and sells it for way less than, to my eyes, the assets are worth. It’s interesting to see a number of printers/directors have done this a couple of times over the years – effectively getting a major competitive advantage over the rest of us who have paid full price for our printers, inventory and tax.” With the post of small business minister having been scrapped by the new PM, it would seem likely the problem isn’t going to get looked at very seriously anytime soon. Ideas?
