A Derby alarm and security installation firm is sold, saving 14 jobs.
Lucinda Matkin of LM Insolvency and Advisory Limited was appointed liquidator of Manguard Electrical Security Limited on 23 July 2018.
The business operated from Unit 3, Parker Centre, Derby providing alarm installation and monitoring services.
Manguard Electrical Security had been inflicted by a change in marketing approach on account of new GDPR regulations. The administrators explored other available choices prior to Insolvency, together with a sale of economic however became unviable given valuation reports additionally, the company’s liabilities. Because of this they selected a CVL (company voluntary liquidation) instead.
Despite the company going into liquidation, 14 of 16 jobs were saved plus the business rescued from a sale of assets and customer contracts to Ideal Alarms Limited Of 25 Butterley Hill, Ripley within the first week in the liquidation.
The secured jobs, additionally, the sale of customer contracts means for a 1000 customers who had paid fully upfront for alarm and monitoring services will continue to acquire the service for the remainder of their contracts.
Lucinda said: “We’re delighted to have secured sales of the customer contracts whereby the client has adopted the liability for ongoing service, contributing to continued service for 1200 customers, in place of them becoming unsecured creditors during the liquidation.”
If there had been no sale from the contracts and liability adopted, the customers can have lost somewhere between mostly £1000 and £5000 each, causing them to unsecured creditors inside liquidation, and could have no service through out their contract either.