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Case Study 3 – Florist

Florist

Location: Lancashire
Turnover: £140,000
Debts: Tax & VAT

Like most businesses this limited company saw a fall in sales as the recession took hold. Flowers were seen as a luxury item and with money tight customers dried up. The bigger wedding and corporate buyers also began to spend less and within 12 months the business had serious cash flow problems.

Outstanding invoices had to be paid or the companies would stop supplying flowers and as such the tax & VAT funds were increasingly used.

When the reminders letters arrived from HMRC they were basically ignored until finally a winding up notice was issued.

This is when we were contacted and began to turn things around. We had limited time but were able to negotiate a repayment plan with HMRC which gave the business some room to breath. In that time we looked at why this problem had occurred and what action could be taken. With trade lower we helped to negotiate reduced prices with suppliers and also sourced some new contracts.

Other cost saving measured were also introduced and the company is now back on a stable footing.

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Case Study 3 – Florist


Like most businesses this limited company saw a fall in sales as the recession took hold. Flowers were seen as a luxury item and with money tight customers dried up. The bigger wedding and corporate buyers also began to spend less.