Plexus LAW Limited (11692569): administration
- Status
- Administration ended
- Administration began
- 2023-07-07
- Administrators
- James Richard Clark, Richard John Harrison
- Administrators' firm
- Interpath Advisory
- Formerly
- Honey Acquisitionco Limited
- Incorporated
- 2018-11-22
- Location
- Leeds
- Industry
- 64209 Activities of other holding companies n.e.c.
Why it went into administration
- HMRC / tax arrears
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
- Creditor pressure / legal action
- Sustained trading losses
From the administrators' statement
Management developed a turnaround plan and several initiatives to respond to the reduced revenue/ profitability however, a lack of available cash meant that implementing these strategic initiatives was challenging and as a result, the Group continued to face working capital pressures, forecasting a short-term funding requirement of £1.8m in May 2023.
Interpath was initially engaged by Legal and Law to provide stakeholder management advice in March 2023. In order to meet the funding requirement, the Group was seeking a time to pay (‘TTP’) arrangement with HMRC in respect of outstanding VAT and PAYE (relating to Legal) alongside funding for the Group from its majority shareholder, Access, to support the implementation of a turnaround plan. This also involved negotiations with AIB Group (UK) plc (‘AIB’) in relation to its secured lending to the Group.
In March 2023, Legal reached a TTP agreement with HMRC in respect of VAT and PAYE to repay £0.6 million per month until August 2023.
Administrators' statement of proposals (2023-07-31) · Companies House register