Energy consultancy Great Annual Savings (GAS) has been given time to forge ahead with a restructuring plan after a High Court hearing to consider a winding up order was adjourned.
The Seaham based business and former Sunderland shirt sponsor, which has 160 employees, has been helping businesses to reduce their variable costs in energy, water, telecoms, merchant services and insurance for the last 10 years but it traded through challenging times in the pandemic, when staff had to be furloughed. The company built up liabilities owed to HM Revenue and Customs over the pandemic and has since been challenged by rising costs. In efforts to rightsize the firm and get back to growth, the brokerage called in advisors from Shoosmiths and FRP Advisory, which are working on plans to reshape the business.
Bosses at GAS said they will shortly be proposing a restructuring plan under Part 26A of the Companies Act - a statutory procedure under English Law which allows companies to agree a compromise or arrangement with its creditors, and for the terms of that compromise or arrangement to bind any non-consenting or opposing minority creditors. The company said it has also put forward a schedule of repayments to HMRC.
