BusinessBusiness RecoveryRescue me: Calls for turnaround work on the up

Rescue me: Calls for turnaround work on the up

Company rescue work has seen a major upswing in the past few months as troubled businesses ask for advice from turnaround specialists before financial problems turn critical, experts said this week.

Link: Company insolvencies on the rise

According to specialists from the Big Four, an increasing volume of their work is coming from companies and banks, which are requesting help for troubled businesses before they become insolvent.

Alan Bloom, head of corporate restructuring at Ernst & Young, said the work was ‘growing considerably’ in the economic slowdown. ‘It is the fastest growing part of our business,’ he added. ‘Companies are becoming more aware that they need advice or they will be in trouble if they leave it too late.’ Bloom added that the banks were encouraging clients to call in the experts early. In some cases, he has appointed external company doctors.

A spokeswoman from PricewaterhouseCoopers confirmed the growing tendency towards turnaround work. She said: ‘The hope is that businesses can be rescued before insolvency becomes necessary.’ James Wheeler, a company doctor at interim management company Ashton Penney, confirmed the increase. ‘A lot of large corporates are doing internal turnaround work behind the scenes. At the current time, we are very busy.’

Related Articles

Carillion CFO blew whistle over 'sloppy accounting' months before collapse

Business Recovery Carillion CFO blew whistle over 'sloppy accounting' months before collapse

3m Alia Shoaib, Reporter
Toys R Us UK and Maplin enter into administration after failing to secure buyers

Business Recovery Toys R Us UK and Maplin enter into administration after failing to secure buyers

3m Alia Shoaib, Reporter
How to avoid a Carillion collapse

Business Recovery How to avoid a Carillion collapse

4m Russell-Cooke
Carillion collapse: The week so far and industry reaction

Business Recovery Carillion collapse: The week so far and industry reaction

4m Emma Smith, Managing Editor
Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

Business Recovery Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

4m Emma Smith, Managing Editor
Carillion: PwC appointed as special managers – what happens now?

Business Recovery Carillion: PwC appointed as special managers – what happens now?

4m Emma Smith, Managing Editor
Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

5m Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

5m Emma Smith, Managing Editor