Receivership Question?!

SEANoftheDEAD · 02-02-2017 2:16pm #1

Hello folks!

I'm in a bit of a pickle. I'm due to start a new job on the 27th.
They called me today to say the company has gone into examinership.
As it stand, I'm still due to start.

I'm 2 weeks into my notice period with my current place and am actually training my replacement right now, so the option to U-Turn is now gone

Am I going to end up out of work?
Should I apply for other jobs?
Should I even start in the receivership place?

Any advice would be appreciated.

Thanks

Mrs OBumble · 02-02-2017 2:33pm

It depends on what the receivers do. But likely yes, yes and yes.

Focus on job hunting.

SEANoftheDEAD · 02-02-2017 2:43pm

Sorry, they are in examinership, not receivership.

the_syco · 02-02-2017 4:57pm

They'll restructure the company to make it last. Possibly last in will be first out, and that's pretty much you. Even if they took you on, there may be an issue with wages later on.

Look for other jobs, but start the job anyway. You may find that you're part of the plan of examinership.

It comes down to; is this a step up? If moving sideways, get another job. If moving up, consider taking the job, getting a feel for it to see if the company will last, and go from there.

SEANoftheDEAD · 02-02-2017 5:02pm

the_syco wrote: »

They'll restructure the company to make it last. Possibly last in will be first out, and that's pretty much you. Even if they took you on, there may be an issue with wages later on.

Look for other jobs, but start the job anyway. You may find that you're part of the plan of examinership.

It comes down to; is this a step up? If moving sideways, get another job. If moving up, consider taking the job, getting a feel for it to see if the company will last, and go from there.

Hmm good advice there, thanks!

It is definitely a step up on my current contract.
3k more a year... plus some nice bonuses and pension etc etc.

The company itself is only 6 years old, it's an Irish IT company and won one of those Best Workplace awards for 2016... So I'm very surprised that they are in this situation.

the_syco · 02-02-2017 6:10pm

SEANoftheDEAD wrote: »

It is definitely a step up on my current contract.

Cool.

SEANoftheDEAD wrote: »

The company itself is only 6 years old, it's an Irish IT company and won one of those Best Workplace awards for 2016... So I'm very surprised that they are in this situation.

Hrm. I read this as; they spent money to make the place nice for the employees, and after spending said money, they hit a wall and go into examinership?

I don't know. If you think you can get at least six months out of it, go for it, and use it as a stepping stone to somewhere else. Unsure, but as you've handed in your notice already, nothing to lose, everything to gain.

In saying that, if you're the main breadwinner in the house, and/or borderline surviving bills wise, maybe an idea to consider your options and look elsewhere. If you can, find out when they went into examinership; was it before or during the process of hiring you?

SEANoftheDEAD · 03-02-2017 9:12am

the_syco wrote: »

In saying that, if you're the main breadwinner in the house, and/or borderline surviving bills wise, maybe an idea to consider your options and look elsewhere. If you can, find out when they went into examinership; was it before or during the process of hiring you?

Unfortunately I am the main breadwinner in the house.
I have a misses and new born baby that need support. Hence my concern about this whole situation...

Apparently they only found out about the examinership on Wednesday, so I was hired and signed my contract with them two weeks before that.

What I know about this company is this; They are only six years old. They are an Irish tech company who specialize in mobile marketing. They got their start up funds from Enterprise Ireland...

So it is wishful thinking on my part to think that because Enterprise Ireland pumped millions into getting them started during a recession, there is no way the high courts would let them fold?
Especially a tech company in "recovery" Ireland?
Surely that would look awful on all the stuff Enda does be spouting?

kennethsmyth · 03-02-2017 12:49pm

Hi if this is a company called B*******e then its an issue with a debtor not paying on time due to regulatory issues in the US. With this in mind one of the customers is looking to pump in money and get them over the hump until the payment due is paid up - ie its a cashflow issue, if this is the case the company could be very well viable and is only in examinership to stop creditors getting trigger happy and give some breathing space. ie your job could be fine.

SEANoftheDEAD · 03-02-2017 12:58pm

kennethsmyth wrote: »

Hi if this is a company called B*******e then its an issue with a debtor not paying on time due to regulatory issues in the US. With this in mind one of the customers is looking to pump in money and get them over the hump until the payment due is paid up - ie its a cashflow issue, if this is the case the company could be very well viable and is only in examinership to stop creditors getting trigger happy and give some breathing space. ie your job could be fine.

This is the company in question. This could be a very important piece of information and will help settle all my concerns if indeed true.

May I ask you know this? We can switch to PM if you don't want to disclose anything pubically... Or if you would rather not say, then that is perfectly understandable too. Either way, thanks for this insight.

ScouseMouse · 03-02-2017 1:04pm

Its on the Irish Times website now. Cash in the US is held up by red tape but its expected to be temporary.

Maybe take a read and take proper advice.

Good luck

kennethsmyth · 03-02-2017 1:22pm

SEANoftheDEAD wrote: »

This is the company in question. This could be a very important piece of information and will help settle all my concerns if indeed true.

May I ask you know this? We can switch to PM if you don't want to disclose anything pubically... Or if you would rather not say, then that is perfectly understandable too. Either way, thanks for this insight.

No its public knowledge - read it in business section of Irish Times this morning, the creditor introducing funds I think was Unilever, pure speculation here now but if thats the case they may buy into company and it could actually take off further, which may increase your options in this company. Sometimes you are not living life unless you take a risk every now and then.

However...digest all the info you can and come to a decision you are comfortable with.

best of luck

SEANoftheDEAD · 03-02-2017 1:22pm

ScouseMouse wrote: »

Its on the Irish Times website now. Cash in the US is held up by red tape but its expected to be temporary.

Maybe take a read and take proper advice.

Good luck

So it is. Thank you!

This reads to me like a positive. Just a young company taking a few steps to keep themselves covered until a customer pays up?

SEANoftheDEAD · 03-02-2017 1:23pm

Thanks to all in this thread.
I really appreciated it!

Mrs OBumble · 03-02-2017 1:36pm

SEANoftheDEAD wrote: »

The company itself is only 6 years old, it's an Irish IT company and won one of those Best Workplace awards for 2016... So I'm very surprised that they are in this situation.

Those awards are marketed to look like a competition but really they're virtually purchased. Everyone who pays to enter is a winner.

But it sounds like you're ok. In fact getting put into examinership fast might be a sign of particularly good management.

LiamaDelta · 03-02-2017 2:01pm

If I were you I'd contact the company and ask them can they reconfirm everything as you're feeling a bit worried by the examinership. They should be able to give you some reassurance that it's just a technical financial issue. When I read that report this morning my immediate thought was that it's just the company trying to protect itself or a way of restructuring. From what I know of the company it seems pretty good and like mentioned already it may even be a platform for the company to emerge even stronger with better potential.

SEANoftheDEAD · 03-02-2017 2:07pm

LiamaDelta wrote: »

If I were you I'd contact the company and ask them can they reconfirm everything as you're feeling a bit worried by the examinership. They should be able to give you some reassurance that it's just a technical financial issue. When I read that report this morning my immediate thought was that it's just the company trying to protect itself or a way of restructuring. From what I know of the company it seems pretty good and like mentioned already it may even be a platform for the company to emerge even stronger with better potential.

In fairness to the HR department and my new manager, they have been keeping me updated every step of the way. I was called less than 30mins ago... Apparently the CEO wanted to call me today and give me a personal reassurance that everything is okay.... So I can't ask for more than that from them. In fact, it makes me want to work for them even more now.
But that said, they did tell me, to keep my options open as everything could change.

LiamaDelta · 03-02-2017 2:59pm

SEANoftheDEAD wrote:

In fairness to the HR department and my new manager, they have been keeping me updated every step of the way. I was called less than 30mins ago... Apparently the CEO wanted to call me today and give me a personal reassurance that everything is okay.... So I can't ask for more than that from them. In fact, it makes me want to work for them even more now. But that said, they did tell me, to keep my options open as everything could change.

Well I'd do just that then! They're doing what they can with the information that they have...it's likely out of their control somewhat and also if everything changes it changes for them too. I guess at this stage you go with your gut feeling but if you get a better offer (from your current employer or otherwise) then you're free to take that up and they would be very understanding so it wouldn't look bad for you.

Receivership Question?!

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