The arts have been among the worst affected by the pandemic.

Some 70% of those working in creative industries were furloughed and more than double the number of businesses in the sector have a severe to moderate risk of insolvency compared to other industries.

Figures from the Office of National Statistics showed that 23% of the sector, which includes theatres and venues, are reporting the risk compared to 11% across the wider economy.

Here at Company Debt, we have significant experience in both closing and restructuring entertainment businesses. Get in touch for a free, no-obligation discussion about your situation with one of our licensed insolvency practitioners.

Entertainment Pressure Points

Sector is among the worst hit
Many poised to lose their jobs
Theatres and cinemas at risk

What are the Reasons for Entertainment Insolvency?

Cinemas and theatres were slower to open up after lockdowns and they also had reduced earnings because it was not possible to sell tickets for full capacity. Employers also needed to contribute to the furlough scheme and it is expected there will be widespread redundancies.

Insolvencies are also happening with increasing regularity and  theatres in Leicester, Southampton and Southport have all recently collapsed. It remains to be seen if newly opened cinemas will attract capacity audiences now they are reopened, as some are still anxious about visiting indoor attractions, what is more, few new films have been released. All operators from the smallest independent to large chains are understood to be under extreme pressure. Cinemas and theatres were largely closed during 2020 because social distancing rules made it impossible to trade.

Help for your Insolvent Entertainment Business

If your entertainment business is experiencing difficulties, you should not delay seeking advice. Business owners need to address problems and if they put this off, then their options become more limited.

Company Debt provides expert support and advice on the next steps for an insolvent business, whether rescue, recovery, or liquidation.

Knowledge – Insight – Solutions

We are fully licensed and accredited insolvency practitioners based in north London, and with decades of combined partner experience in helping directors find positive solutions to business challenges.

Our goal is first to understand your situation as fully as we can, and then to explain the range of options available to you.

We focus on practical advice, without jargon. We practice total transparency around costs and fee structures. Our wish is to support you as fully as possible so that you can emerge from this situation in the best possible situation.

As a first step, simply book in a call with one of our team to learn more about our approach, and to take advantage of a fee consultation that carries no obligation.

Book My Consultation

If you need an experienced insolvency practitioner or business rescue specialist, seek advice now.

  • Your free consultation will be led by one of our experienced London insolvency practitioners
  • You can speak via phone, online meeting or in person so that we can listen carefully to the facts about your situation
  • The team will provide a preliminary view of the likely best outcome, proposed strategy, and the likely cost
  • We specialise in helping limited comany directors needing immediate professional debt advice

 

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