Bishop Fleming secures a rescue deal for a leading garden centre in Cornwall

Bishop Fleming secures a rescue deal via a Company Voluntary Arrangement (CVA) for a leading garden centre and landscaping business in Cornwall. 

The arrangement marks a turning point for the company, offering a structured path to recovery, while safeguarding all jobs and community ties.

The company had recently faced mounting financial pressures. 

Like many independent retailers, the business was impacted by rising costs, seasonal fluctuations, broader economic uncertainty and unfavourable weather events. Despite its loyal and growing customer base and strong local reputation, the company needed a lifeline to avoid closure.

Recognising the garden centre’s potential for long-term viability, Bishop Fleming’s Restructuring team was engaged to assist the company with a CVA process. 

A CVA is a formal insolvency procedure managed by a Licensed Insolvency Practitioner, that allows a financially troubled company to reach a binding agreement with its creditors to repay debts over time, without going into liquidation. 

The CVA was approved by the requisite majority of creditors (at least 75% of voting creditors, by value, must agree to the Proposal), demonstrating confidence in the business’s recovery plan and long-term viability.

What are the benefits of a CVA?

A CVA can be a strategic lifeline for a business in financial distress, enabling a business to regain control and to rebuild. The key benefits of a CVA are:

• The company can continue to operate whilst repaying debts, preserving jobs and relationships
• Directors stay in control - unlike in Administration or Liquidation, the company can continue to trade under the control of its existing management
• Improved cashflow - creditor payments are spread over time, easing immediate financial pressure, and are specifically timed to suit the business’s cashflows
• Legal action - once the CVA is approved, creditors cannot pursue legal claims or enforcement action
• Time to reorganise – the company can restructure its operations and implement new strategies
• Stigma – unlike more terminal insolvency processes, a CVA signals a proactive approach to resolving a company’s financial difficulties

A CVA is not just a financial fix; it is a chance to reset the business model and emerge stronger, provided the fundamental business is sound and key stakeholders remain engaged.

Contact us

If you would like to discuss our restructuring and insolvency services, please contact a member of our Restructuring Team for a conversation.