TMA UK London April - Post event write up

This month’s TMA event in London, held at the offices of City law firm Pinsent Masons and sponsored & chaired by Bibby Financial Services, was a fascinating look at the UK construction industry and how receivables finance can be used to help fund construction businesses.

With its contractual nature and application for payment. based billing methodology, receivables finance is not normally a tool associated with the sector, but the panel, led by Bibby’s Matt Dunn and comprising his colleagues Becky Gilkes and Tony Clampin, Andy Robertson from Pinsent Mason and David Hudson from FRP walked the audience through the challenges of the market and some of the pitfalls associated with recoveries in a market which accounts for over 40% of UK insolvencies and where recoveries by lenders from insolvency situations is traditionally very low.

All the panel members agreed that the keys to a recovery are relationship and early engagement – the earlier a problem is identified, the more actions can be taken to mitigate the problem and preserve value. There were some, shall we say, ‘interesting’ stories about what can go wrong!

The team demonstrated that, while the sector may be difficult for traditional funding providers, with imagination, experience, relationship skills and the right risk tools, receivables financing can be used to help construction businesses through difficult times.

TMA UK is part of TMA, a global organisation that represents the interests of turnaround professionals as its members who have the skills needed to assist companies in challenging times. If you need assistance, please contact our helpline on 0844 804 0116

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