ReSolve achieves successful CVA for JTF Wholesale - Resolve Group UK

ReSolve achieves successful CVA for JTF Wholesale

Resolve Group UK

ReSolve achieves successful CVA for JTF Wholesale

JTF Wholesale operates eleven mega discount retail warehouses across the Midlands and North of England. Established over 40 years ago, and with a turnover of circa £55million, JTF found themselves struggling to manage debts accrued as a result of the worsening retail climate and excessive head office costs.

In early 2020 the business was acquired by Arthur Harris who immediately implemented a restructuring plan which significantly reduced head office costs. However, he also recognised that the business could not survive with the high level of legacy debts.

ReSolve was engaged to review the options available alongside the management team and it was agreed that promoting a CVA (Company Voluntary Agreement) with creditors would enable JTF Wholesale to continue to trade.

ReSolve assisted the directors in drafting the CVA proposals which were successfully approved by 96% of creditors in favour. The CVA is set to deliver a 90% dividend to the unsecured creditors.

Arthur Harris, Chairman of JTF Wholesale said:

‘We are pleased for our staff and customers alike that our proposals found the support of our creditors. The advice and input we received from the Team at ReSolve was an integral part in securing this support and we would like to thank them for their efforts.’

'We are proud to have been able to assist Arthur and the team at JTF. It shows that well thought out CVA proposals can offer businesses in the struggling retail sector a viable alternative to administration. This together with the forthcoming moratorium procedure will enable other retailers to have the opportunity to restructure their businesses and ensure survival in these difficult times.'

Mark Supperstone, Managing Partner, ReSolve

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