A Hampshire-based IT relocation firm has been saved from closure, preserving 59 jobs through a pre-pack deal.
- The company, Sunspeed Transport Services, faced financial challenges despite expansion efforts and new investments.
- Chief Executive Kim Lewin secured venture capital support, enabling a transition to new ownership without job losses.
- The firm holds international licences and services major clients, including Disney and Amazon, with advanced logistics solutions.
- Legal warnings are issued to businesses in financial distress against risky liability avoidance schemes.
Sunspeed Transport Services, a Farnborough-based operator with a 37-year trading history, has successfully navigated financial turbulence by entering a pre-pack deal. This strategic move has resulted in the preservation of all 59 jobs within the company, highlighting a significant success in avoiding redundancies during administration. The company’s situation underscores the fragility businesses face when operational expansions meet unforeseen financial hindrances.
Kim Lewin, the company’s Chief Executive, articulated the challenges faced due to cash flow issues, attributing them to delays in anticipated contracts. Despite the circumstances, his proactive engagement with venture capital investors has allowed the firm to pivot effectively, moving forward under the new entity named AJ Galaxy. Lewin emphasized the absence of redundancies, with all staff being transferred under TUPE regulations.
Holding an international operator licence for 20 heavy goods vehicles, Sunspeed operates from two bases in Farnborough and Bracknell, offering tailored logistics primarily to high-profile clients like Disney, Amazon, and Oracle. The company prides itself on managing the full spectrum of physical IT logistics, from warehouse storage in a 15,000 sq ft facility to specialised final-mile delivery services, which distinguishes it in a competitive market.
Lewin highlighted that the firm’s expertise in final-mile logistics, a service integral to their operations, is a core competence highly regarded by manufacturers lacking in-house logistical capabilities. The new investment not only secures their current operations but also positions the company for substantial growth, enhancing their capacity and reducing associated operational risks.
Meanwhile, transport sector warnings would serve as a pertinent cautionary note, reminding firms of the dangers involved in dubious financial recovery schemes. As some Hampshire transport companies succumb to administration due to breaches in corporate agreements, the importance of legitimate financial practices is reiterated.
The strategic pre-pack rescue of Sunspeed underscores the critical role of proactive financial management and investment in sustaining business operations.
