Experience

Industry

Farming, Agent for the Mortgagee

Appointment Type

Agent for the Mortgagee

The Situation

We were appointed investigative accountant, and later agent for the mortgagee in possession to a large horticultural business with a significant farming and market garden business and a long and proud industry history. At the time of appointment, debt levels had risen to unsustainable levels.

The Solution

As agents for the mortgagee, we worked with the banks customer to identify options for the group to sell non-core property assets to reduce bank debt without impacting the horticultural operations of the business. We worked with local real estate agents and the customer and identified property subdivision options. With the sale of several parcels of land, the Bank's debt was reduced to a satisfactory level that a refinance of the remaining debt was possible.

The Outcome

Whist the trading operation eventually passed into a liquidation due to unsecured creditor pressure, the business operations were able to be preserved within the family ensuring the continuity of farming.