Video Poker Cards

Bank of Ireland and HM Revenue & Customs, the largest creditor of Your Space, may take a favourable view of the company’s efforts to work out a deal for repayment of its mounting debts.

Your Space is a serviced office operator based in Liverpool and Manchester. Embroiled in financial difficulties, the company was forced into taking huge loans to keep its head above water. However, now its creditors are pushing for repayment, which has prompted the beleaguered company to take steps to break up the debt into more manageable segments for repayment. Towards this end, the company has come up with a Company Voluntary Agreement (CVA), which will allow repayment of dues over a period of 3 years.

The directors of the company have recently finalised the terms and conditions of the CVA before presenting it to creditors.

The CVA shows that Your Space is still committed to running the company in a profitable manner. This was confirmed by Chris Phillips, the non-executive chairman of the company. Following the finalisation of the CVA, Your Space called to creditors who have up to £5.5m claims on the company to put the repayment off, with demand high for desk space, it is thought that this will not be declined

The CVA outlines a proposal for Your Space to deposit £1.1m into safe custody in the form of yearly instalments of £366,667. This will be done over a period of 3 years to complete the total amount, starting on February 16^th 2010.

The CVA proposal came into being after Your Space directors failed to control the company’s expenditure to the desired limits, leading to suspension of trading on the stock market. Under the CVA, unsecured creditors will get 20p in a pound and up to 40p depending on earnings and asset sales of Your Space. 75% of the creditors must agree to the CVA’s terms to bring it into force.

Comments Off