Date Published: 14th July 2021
A language school in Liverpool which has taught thousands of international students for more than 20 years has ceased trading and entered voluntary liquidation.
Craig Povey of Begbies Traynor and Laura Walshe of Keystone Recovery have been appointed as Joint Liquidators of the company (The Liverpool School of English Limited) which was founded in 1999.
The school, based on Mount Pleasant, offered international students the opportunity to learn English in the city and attracted pupils from all over the world including China and Saudi Arabia. Turnover last year was £5.5m.
The impact of the pandemic and the related travel restrictions caused a devastating reduction in revenue which saw the company cease trading and the company wound up voluntarily. Joint Liquidators were formally appointed on 8 July to oversee the sale of assets.
Craig Povey of Begbies Traynor who has been appointed as Joint Liquidator, said:
“Since March 2020, the company has been adversely affected as a result of the global response to the pandemic. These measures made the business unsustainable after so many years of success.
“The directors have explored every single avenue to keep the business going since March 2020 but ultimately the challenges presented to them by lockdown restrictions and a decision by their insurance company not to pay out on business interruption and infectious disease claims were too great to overcome.
“This is an example of a previously highly successful business being devastated by the global response to the pandemic and, regretfully, it certainly won’t be the last.”
Laura Walshe of Keystone Recovery added:
“Like many others, the company was significantly affected as a result of Covid-19.
“The company had previously traded successfully for over 20 years and welcomed many international students to Liverpool. Despite the directors working tirelessly to overcome the challenges presented by lockdown, international travel restrictions, and a decision by their insurer not to pay out on a business interruption claim, these were simply insurmountable, and the company was forced to cease trading.
“The closure of this long-established business is an example of the devastation caused by the pandemic. Although restrictions are set to ease in England, this will sadly be too late for some businesses and the lasting impact of Covid-19 may be seen in relation to the most affected industries for years to come.”
Craig has more than 15 years’ experience in the field of turnaround, restructuring and business recovery and leads CVR Global’s Birmingham office (acquired by Begbies Traynor Group in 2021).
Having qualified as a Chartered Accountant with KPMG, became a Finance Director before returning to turnaround and restructuring as chief turnaround officer for the UK subsidiary of a Japanese listed PLC and an AIM listed business in the UK. He subsequently qualified as a licensed Insolvency Practitioner.
Craig has worked with clients across multiple sectors, including engineering, manufacturing, logistics, IT and construction, along with property development, health, retail and leisure.
He has dealt with formal appointments for high-profile AIM listed clients including Henderson Morley PLC and Galleon Holdings PLC, and public interest appointments including Magical Journeys Limited.