We have been advising several large motor manufacturers and/or
their finance arms on problems they have had with their dealership
networks. This has been successful where, working alongside the
manufacturer and the financier, we have been able to use
restructuring processes, both outside formal insolvency (including
solvent liquidations) and involving formal insolvency processes, to
return funds to the secured stakeholders as well as unsecured
creditors. In almost all cases early intervention was an important
prerequisite.
The highest unsecured payout to date has been 40.4p in the
£. In most cases we have helped, alongside the manufacturer,
to retain the dealership presence for the network and many of the
accompanying jobs. There is often a long-standing relationship
between brand and dealership which can mean loyalties can be helped
to endure even after restructuring through a formal insolvency
process. In many cases these loyalties on both sides enhance what
is a
