CMR Business Lifeline from CAVENDISH MANAGEMENT RESOURCES A unique method of assisting the owners of small and medium-sized companies that have terminal survival problems

The Background if you continue to do what you did, Economic climate worsening Banks continue to reduce their exposure Insolvency's are Increasing The Enterprise Act 2002 introduced “Pre-Pack” administration: Provides an “easy” solution to some problems BUT; if you continue to do what you did, you will get the same result

The Current Situation Insolvencies: 2007 - 12507 2008 - 15535 2007 - 12507 2008 - 15535 2007 Q4 – 2008 Q4 = +55% Receiverships, Administrations etc 2007 - 3267 2008 - 5957 2007 Q4 – 2008 Q4 = +224%

The Opportunity What will we do: Restructure terminal companies Minimise owners liabilities What will we NOT do: Insolvency Miracles

The Concept Identify Companies that are close to insolvency. Construct an arrangement to transfer assets to an existing company – possibly a rival. These assets include sales lists, order books, technical skills etc. The rump of the company enters the insolvency system.

Schematic CMR Direct Restructure Accountant Funding Target Lawyer Administration IP

The Mechanics Identify the options Negotiate the CMR agreement Identify the acquirer Arrange the finance Negotiate the asset transfer agreements Negotiate the personal agreements Identify the Insolvency practitioner Negotiate the agreement with the IP

Marketing Corporate Finance Network We will not be advertising We will have PR, articles, presentations etc Best Source - members of CMR: Ensure they know our offer Ensure that they can contact you or alternative Ensure they know their rewards for a project Present to your Regional Meetings Good Source – the clients advisors Corporate Finance Network

The Organisation Specialist Teams The CBL executive team to be involved in the initial projects We have contacts with Lawyers and Insolvency Practices We have standard contracts

The Service The clients needs: - An instant response - Intensive work - Specialised skills CBL can supply An immediate response from specialised teams Experienced Executives Access to our investor database Our contacts in raising funds

The Costs to the Client The initial meeting is free The 1 day assessment - £1500 The 10 man-day Business Analysis - £15000 Potential fees for property work

The Costs to the Acquirer Transfer of Assets - 5% of the value Transfer of employees - £1000 per person Opportunity for fees for integration and support

The Rewards The Introducer - 10% of Fees from the client Contribution to CMR Centre Contribution to CBL marketing and legal costs etc Target fees to The Action Team - Target £1000/man-day