Bulls file notice of intention to appoint administator
Bradford Bulls are compelled to file notice of intention to appoint an administrator...but are still intent on avoiding administration.
The business turnaround and insolvency firm The P&A Partnership have confirmed that they have now completed their review of Bradford Bulls' finances at the request of the club's recently reconstituted Board of Directors following the resignations of Peter Hood and Andrew Bennett last month. Prior to resigning the former directors had stated that £1m was needed to save the club and went on to raise a figure approaching £500,000 of this sum following a plea for donations from the club's supporters.
Brendan Guilfoyle of The P&A Partnership said "The club’s new directors asked my firm to carry out a review of the club’s finances, and the reality is that this is a loss making business. Despite the magnificent effort of supporters in raising £500,000 the club still requires more than £1m to complete the season.”
HMRC is threatening to wind up Bradford Bulls Holdings Ltd and under these circumstances the directors had no alternative but to file on June 12 a notice of intention to appoint administrators to protect the club. This proactive decision gives the club a breathing space to find additional partners to invest in the club. It doesn’t mean that the club will necessarily enter administration but it now has two weeks to find additional funds – this may mean a number of investors coming together to save the club.
Bulls' director Stephen Coulby said, "Unfortunately, developments last Friday and pressure from HMRC has meant that we have had to seek protection whilst positive talks with investors continue now that we have ascertained the full extent of the club's debts. Had the actual position been as we were initially led to believe it to be, that is to say a requirement for a £1m investment into the business, half of which having already been raised through the sterling efforts of supporters, the present uncertainty would have been resolved by now. Regrettably, other matters have recently been brought to our attention which have widened the funding gap, but we are still intent on avoiding administration and its consequences if at all possible."
“Bradford Bulls remains a terrific club with a marvellous history, an iconic brand and has a great deal to offer any partner wanting real value for their investment."
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