Print Week's Jo Francis reports on warnings that the industry will be engulfed by mergers and acquisitions this autumn as furlough ends and loans need repaying
Print Week’s Jo Francis has reported on a topic repeatedly covered by ICSM as the Furlough scheme comes to an end this month. The leading trade journalist for the printing industry spoke to Steve Phillips of the Business Board who work as consultants to the industry.
Essentially the feature was about what will happen in October when the money from furlough ends and the Government backed loans are due to be repaid. Steve Phillips echoes the views of Ian Carrotte of ICSM when he said there will be an increase in mergers and acquisitions as companies look to survive.
Ian Carrotte said: “It’s a question of survival as the life support systems are finally withdrawn. Firms that have basically not been trading profitably for months are facing collapse or if they are financially healthy will be looking to sell while they can or merge with a competitor.”
Print Week reported that Steve Phillips said: “If you decide to sell your business, it isn’t an overnight decision. So many people in print are lifelong printers, they know all the staff, if might be a family business, and they try and hang on there.”
ICSM has contacts with hundreds of printers and print industry related businesses. In the last few weeks more stories of firms struggling to stay afloat have emerged as the end of furlough approaches. Ian Carrotte said: “ICSM is offering free 90 day membership and free legal letters so companies that are struggling to get paid by their clients can use our services to improve cash flow. Too many firms accept the excuses as to why their invoices aren’t paid by customers when they need to push harder as they could lose money if their customers go bust this autumn.”
Jo Francis interviewed the business consultant at length who explained that there are people out there with war chests full of cash looking for businesses to buy. She said: "Phillips also said there was a strong appetite for M&A deals and bolt-on acquisitions, such as a business with a good order book, at present. Phillips also urged print bosses to look closely at the small print involved with any engagement, such as with a general business broker."
About ICSM Credit
ICSM Credit has more than four decades of experience as a credit intelligence group whose members gain inside information about firms in trouble allowing them to avoid bad debts and rogue traders. To join costs less than a tank of fuel - while at the moment there's a special free temporary membership offer during the Covid-19 crisis which gives access to free legal letters. ICSM also has an effective debt collecting service which has a global reach - ask for details from Paul.
For details about ICSM Credit call 0844 854 1850 or visit the website www.icsmcredit.com or email Ian at Ian.carrotte@icsmcredit.com on how to subscribe and to join the UK’s credit intelligence network to avoid bad debts and late payers. Follow ICSM Credit on FaceBook, Twitter and YouTube and Ian Carrotte on LinkedIn.
To keep up to date subscribe to the FREE ICSM Credit Newsletter to hear all the latest insolvency news and to see who has gone out of business click on the orange panel on the top left of the home page of the website www.icsmcredit.com or send an email to Ian.carrotte@icsmcredit.com
For details for the work of the journalist Harry Mottram visit www.harrymottram.co.uk