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Ex-staff at failed Harrogate firm Amvoc set for liquidation payouts

Staff at failed Harrogate company Amvoc are likely to receive some payment following its collapse, administrators have said.

However, HMRC and unsecured creditors are unlikely to receive any money due to a lack of property.

The telemarketing company, which was based at Cardale Park, collapsed and was placed into administration in March this year.

Staff were left shocked on March 17 when they received a late night email from chief executive Damian Brockway saying “all our offices are closed with effect from tonight”. It went on to blame “covid debts”.

In a report published today, Gareth Lewis, Lewis Business Recovery and Insolvency, said the company would work to make a payment to staff as part of the administration process.

As part of the process, former employees are classed as “ordinary preferential creditors”.

However, HMRC, which is classed as a “secondary preferential creditor”, and unsecured credits are expected to receive no money.

Mr Lewis said:

“A dividend to ordinary preferential creditors appears achievable.

“However, it appears that there will be no property available to enable a distribution to secondary preferential or unsecured creditors.”

The company owed £1.2 million to HMRC, which included unpaid VAT, unpaid employees PAYE and national insurance, student loan deductions and industry scheme deductions.

In an administrators’ statement of affairs last week, it was also revealed Amvoc owed £546,534.71 to former employees against assets of £302,802.63.

It also has £868,267 worth of unsecured creditors. Among them is Hemel Hempstead-based data marketing firm, Aura Media Group, which is owed £154,467.38.

Mr Lewis said administrators would now work to make a payment to preferential creditors.

High staff turnover and winding up petition

Mr Brockway set up Amvoc, the trading name of A Marketing Vocation Ltd, from a small office in Dacre in 2010. It sold telemarketing services, initially in the legal sector, and grew rapidly, moving first to Pateley Bridge and then to large offices at New York Mills near Summerbridge.

It opened a new head office on Cardale Park in Harrogate in 2015, a facility in Leeds in 2018 and an office in Manchester in 2022. It also had plans to expand to London.

At the time of its collapse, Amvoc employed 230 staff.

Mr Lewis said in his report that in September 2017, the company entered into a company voluntary arrangement as a result of “cash flow difficulties” because of the loss of a major customer and “significant bad debt”.

He helped the company pay its creditors claims in full with interest, which was completed on March 31, 2020. However, this coincided with the start of the covid pandemic.

Gareth Lewis of Lewis Business Recovery and Insolvency.

Mr Lewis said the nature of Amvoc’s trade was such that it had “high fixed overheads”, a high staff turnover and that it was not equipped for the pandemic.

He said:

“It had a constant high turnover of employees, regularly having 20-30 employees leave and start each month.

“It was not equipped at the outset of the pandemic to facilitate working from home and also could not operate safely in the ‘call centre’ environment.”

In August 2020, despite the easing of restrictions, Amvoc’s offices were closed by Public Health England after 50 staff contracted coronavirus.

Meanwhile, many of the company’s customers held back on projects due to uncertainty of the pandemic. This led to the firm being unable to generate sales from telemarketing.

Between, April 1, 2020, and September 30, 2021, Amvoc reported a pre-tax operating loss of £1.7 million.

The following year, the company reported a pre-tax profit of £350,000. However, this was not enough to pay off debts.

Mr Lewis said:

“This was insufficient for the company to meet its debts as and when they fell due, most notably HM Revenue and Customs, who by this stage had increased pressure on the company.”

On March 13 this year, Mr Lewis attended Amvoc’s offices to discuss the company’s financial position.

He then contacted HMRC, who had indicated they would be passing a file to its solicitors to issue a winding up petition. This was formally issued on March 16.

The following day, a company director took the decision to inform staff that the company would no longer be trading.

Staff were told by Mr Brockway on March 17 that all Amvoc offices would be closed.

Amvoc’s clients included BP, Barclays, Virgin Media, Leeds Beckett University, and both the Conservative and Liberal Democrat parties.

Twenty-three former employees found work with Brighton-based One-Family, which was a former customer of Amvoc.

Meanwhile, Law firm Aticus said in the days after Amvoc’s collapse it had been contacted by 145 former employees.

The law firm said it was investigating the circumstances of the company’s collapse and concerns around how the redundancy process was managed, as well as whether ex-staff are eligible to claim for compensation.

Emergency services attend crash on Leeds Road in Harrogate

Police and firefighters are at the scene of a traffic accident on Leeds Road in Harrogate after a car crashed into railings.

The incident happened at about 10am at the roundabout where Leeds Road meets St George’s Road.

Debris from the vehicle was scattered on the road.

An eyewitness told the Stray Ferret there were two police officers and two fire crews attending at 10.30am today.

They added it did not appear anyone had been seriously injured.

We will update this story when more information is available.

Business Breakfast: Harrogate beauty brand records improved profits

It’s time to join the Stray Ferret Business Club. Our next networking event is lunch at Manahatta, on June 29th at 12.30pm.

Don’t miss out on this chance to network with businesses from across the Harrogate district. Get your tickets by clicking or tapping here.

A Harrogate-based hair and beauty brand has recorded strong profit results for the last financial year.

CloudNine, which is based at Hornbeam Park, reported a turnover of £35 million and pre-tax profits of £8.6m – a 20% rise on 2021 – for the year ending December 2022.

The firm, which employs more than 60 staff at its headquarters in Harrogate, has credited its results to a combination of continued growth in the UK, significant growth in Australia and New Zealand and the strengthening of its online and in-store presence.

Martin Rae, chief executive of CloudNine, said:

“This is a very pleasing set of results which cements our position as one of the world’s leading hair and beauty brands.

“We are very proud of everything we have achieved, with the ultimate aim of providing the tools to help people feel like the best version of themselves, which is what we are most passionate about.

“We are also very passionate about the environment. We launched the industry’s first hair iron recycling scheme, which has saved over 2,800kg of hair styling tools from landfill so far.”

Business networking event to be held in Boroughbridge

A networking event is set to be held for businesses in Boroughbridge.

Held at the Crown Hotel on Thursday, June 15, the session will focus on supporting local firms.

It will also include guest speakers Alison Laws, business relationships manager at York and North Yorkshire Growth Hub, and Alice Ingram, business engagement manager at West and North Yorkshire Chamber of Commerce.

The event will start at 5.30pm with refreshments and networking and will include a question and answer session.

For more information on the event, contact the Boroughbridge and District Chamber of Trade here.

Man seriously injured after floor collapses at Harrogate home

A man was taken to hospital via air ambulance today after the floor collapsed at his home near Harrogate.

The man, who has not been named, suffered serious injuries in the fall at West End, Blubberhouses.

Firefighters from Harrogate and Skipton and an incident support unit from Ripon responded to a request for help at 11am.

North Yorkshire Fire and Rescue Service‘s incident log said the man had fallen from the first floor to the ground floor due to the floor collapsing. It added:

“Crews created a safe working space to allow paramedics to access the casualty in order to assess his injuries prior to moving him.

“The male casualty was transported to hospital via air ambulance with serious injuries. Crews completed a handover with the occupant of the property and gave advice.”

Harrogate and Ripon libraries host house history exhibition

Harrogate and Ripon libraries are hosting an exhibition which encourages people to discover the history of their past or present homes.

The House History exhibition was created by North Yorkshire Council’s county record office, which has resources dating back 700 years. It includes details of resources residents can use to investigate the history of their home.

The records can help to pinpoint changes in ownership, former occupants, how the land has been used and the history of the wider area.

The touring exhibition is currently on display at Harrogate Library until June 3. It will then be at Ripon Library from June 12 to 30.

Cllr Simon Myers, the council’s executive member for libraries, said:

“The exhibition proved very popular when it was on display in the record office at the end of last year, so we are delighted to be able to share it with library-goers.

“The touring exhibition includes a range of material from historic maps, architectural drawings and old photographs to historic property deeds and electoral registers.

“Every home has its own unique history so we hope you can use your own detective skills to embark on a fascinating and rewarding journey into your home’s history.”

The touring exhibition is not about exploring the history of a specific house but guiding people to learn about their own home. It can be a complex study and which of the record office’s resources will be relevant depends on the age and location of the house.

To delve into the history of your home, visitors can use the resources in the county record office search room at Northallerton. where they will have free access to online resources such as census records.

An online guide is available here.

Meet the local man behind a new Turkish restaurant in Harrogate

A young Harrogate man is taking his first solo steps in the family trade by launching a new restaurant.

Along with two business partners, Hakan Aydin has set up Efes Bar and Grill on the site formerly occupied by Fashion House Bistro on the corner of Swan Road.

It may be a new venture, but it is far from a new career for Hakan, whose father ran restaurants and gave him his first hospitality job. Hakan said:

“My dad is my role model. I always wanted to follow in his footsteps.”

Hakan was raised in Harrogate, attending Harrogate High School, and still lives in the town, along with his brother and parents.

Since leaving school, the 29-year-old has travelled extensively, including a memorable spell teaching English to locals in Turkey:

“I had to have a fake name because it needed to sound English. Steven Gerrard is my hero, so I was Steven.”

When home from travelling, Hakan was working with his father, who ran Istanbul Bar and Grill in Harrogate and is now based at Rubins on Cheltenham Parade.

It was his father who suggested the location for Hakan’s first restaurant and the turnaround has been quick: just three weeks from getting the keys to opening the doors.

Alongside business partners Yusef and Mehmet, responsible for front-of-house and kitchen respectively, Hakan is determined to make a success of a unit that has changed hands repeatedly in recent years.

The trio are adding more outdoor seating with a decking area at the front overlooking Swan Road, and have developed an extensive menu of Turkish and Mediterranean dishes.

They are confident there is space in the local market for what they offer, even though there are several established Mediterranean restaurants in Harrogate already, because Hakan believes people want to revisit a style of dining they have enjoyed on holiday.

Yusef and Hakan

The food at Efes is already going down well. Hakan’s friends from playing football and squash, along with people he knows from the gym, were among the first customers when Efes quietly opened its doors at the weekend.

Having already introduced himself to neighbours around Swan Road, Hakan has welcomed a few into the restaurant this week. He hopes it will become a regular spot for locals, as well as attracting visitors to the nearby Harrogate Convention Centre.

He said:

“Even if you don’t want to come for something to eat, just come for a conversation and a coffee. I like to meet different people of different backgrounds.

“I’d like to think people will come here as guests or customers and leave as friends.”

Efes – named after the ancient Turkish town Ephesius – will be open daily from noon until 10pm. Hakan, Yusef and Mehmet will be there every day, along with a small team of staff who Hakan hopes to give the same help into a career in hospitality that he had as a child.

He also wants the restaurant to give something back to his home town. He said:

“I love this town. I wanted something to link my heritage with my town.

“I’ve been lucky to travel the world – places like Azerbaijan, Ukraine, Greece – but I wouldn’t swap Harrogate for the world. If Harrogate wins, I win.”

Trans-Pennine Run cancelled as organisers seek new Harrogate venue

A popular event that has been held in Harrogate for more than 50 years will not return this summer.

The Trans-Pennine Run, first staged in 1969, sees dozens of historic vehicles driven from Greater Manchester to Harrogate.

Residents and visitors would flock to the Stray along Oatlands Drive to look around the vans, lorries, buses and other vehicles after their arrival.

However, in 2019 the Stray was left unusable by heavy rain, leading the Historic Commercial Vehicle Society, which organises the event, to seek an alternative site.

It found a home at the Yorkshire Event Centre, on the Great Yorkshire Showground, and returned there in 2022 after a two-year break during the covid pandemic.

But this year, event chairman Chris Sant told supporters:

“The management of the Yorkshire Events Centre have informed us that the large area of hard standing that we have in past years used for the finish will not be available this year.

“I contacted them in early January to request the use of the site, and after confirming receipt of my request it [took] over two months to inform us that the area will be unavailable, leaving us too little time to find an alternative.”

Mr Sant said he was hopeful it would be possible to hold the Trans-Pennine Run again in 2024 and was working to find another location for the vehicles to convene at the end of the route.

A spokesperson for the Yorkshire Event Centre said no agreement had been made to use the venue this year, adding:

“We stepped in to help organisers two days before the Trans-Pennine Run in 2019 when their original site at the Stray was waterlogged. The event was cancelled in 2020 and 2021 due to covid and an agreement was made for it to be held again at the showground in 2022.

“Unfortunately, no agreement was put in place for 2023 and the area is now under offer for another event.”

Harrogate army college instructor sets up scheme in memory of Captain Tom Moore

A Harrogate Army Foundation College instructor has set up a charity scheme in honour of Captain Sir Tom Moore.

Corporal Robert Chamberlain set up the Project Give Moore scheme this year.

The aim of the initiative is for junior soldiers to set up their own fundraising events for any given charity with the chance of winning the Project Give Moore award.

Each junior soldier company will be tasked to compete to fundraise the most each year.

Mr Chamberlain, who first joined the British Army in 2012, set up the scheme after winning the college’s Captain Sir Tom Moore Award for Charitable Endeavour in 2021.

He said the idea behind Project Give Moore was to create an initiative that raises more money for more good causes.

Mr Chamberlain said:

“I wanted to create an annual event that would bring the whole college together in support of different charities.

“But it wasn’t just about raising funds or donating money, I wanted to show the junior soldiers, those who were just starting their military careers, the incredible impact of charity work and selfless commitment.”

The scheme is in honour of Captain Sir Tom Moore, who raised funds for NHS charities by walking lengths of his garden in Bedfordshire during the covid pandemic.

He died aged 100 in February 2021.

Captain Sir Tom was made honorary colonel at the Army Foundation College in 2020 and a memorial walkway opened at the college in July 2021.

Corporal Robert Chamberlain receives the Sir Tom Moore Award in 2021.

So far, Project Give Moore has Macmillan Cancer Support, Cancer Research UK, ABF The Soldiers’ Charity and The Armed Forces Charity as its chosen causes.

All the charitable events will take place at the Army Foundation College on Harrogate’s Penny Pot Lane.

However, Mr Chamberlain said he would be open to hosting events elsewhere should there be enough public interest.

For more information on how to donate or get involved with the scheme, visit the Project Give Moore website here.

Sheep’s throat injured in dog attack near Harrogate

A sheep’s throat was badly injured when it was attacked by a dog near Harrogate.

North Yorkshire Police last night issued an appeal for witnesses to the incident, which is the latest occurrence of sheep worrying in the district.

It happened at Stainburn between midday on Saturday May 13 and 9am on Sunday May 14.

Police said in a statement:

“A sheep was chased which resulted in a nasty injury to its throat.

“Officers from our rural task force are now requesting the public’s assistance to help establish the full circumstances surrounding the incident.

“In particular, officers are appealing for information from anyone that might have been in the area at the time and witnessed the incident.”

Anyone with information can email david.mackay@northyorkshire.police.uk or call 101, select option 2, and ask for David Mackay.

If you wish to remain anonymous, you can pass information to Crimestoppers on 0800 555 111.

Quote reference number 12230086282.

Business Breakfast: Local firms sponsor Harrogate International Festivals

It’s time to join the Stray Ferret Business Club. Our next networking event is after-work drinks at Manahatta, on May 25th at 5:30.

Don’t miss out on this chance to network with businesses from across the Harrogate district. Get your tickets by clicking or tapping here.

Two Harrogate companies have announced sponsorship contracts with Harrogate International Festivals.

Harrogate Family Law, which is based at Victoria Avenue, has signed up as premier partners for the festivals alongside Rudding Park, Nicholls Tyreman and Theakston.

Meanwhile, IT company Croft Communications has agreed to be communications partner for the event.

Andrew Meehan, managing director at Harrogate Family Law, said:

“We are delighted to be renewing as a premier partner and supporting the festivals for another year. Harrogate International Festivals is renowned for putting on a selection of world class entertainment with some of the best industry talent.”

Sharon Canavar, Harrogate Festivals chief executive, pictured with Mark Bramley, CEO at Croft Communications.

Mark Bramley, Croft Communications chief executive, said:

“As a new sponsor, our business is proud to be playing a part in the line-up of exciting events Harrogate International Festivals is due to be hosting.

“We look forward to seeing the amazing cultural experiences brought to life in Harrogate this year.”

Company sponsors Boroughbridge Junior football team

A Boroughbridge company has agreed a sponsorship deal with a local junior football team.

The Martin Bell Partnership, which provides strategic and practical support for healthcare, has sponsored Boroughbridge Juniors Under-16s boy’s football team.

It will see the squad wear the company logo on their kits next season.

Borougbridge Juniors Under-16s.

Martin Bell, owner of the company, said:

“I am delighted to be able to support the team with sponsorship. They have had a solid year and can look forward to the new season with a strong squad of local lads who love their football.

“The new kits will provide a boost to the players and give them confidence as they compete in the Harrogate and District Junior League and regional cup competitions.”

Chris Fahy, Boroughbridge Juniors FC chair added:

“Without the support of the community and sponsorship from organisations like The Martin Bell Partnership we would not have such a thriving club, so we thank them for their support.

“That support allows us to provide football experiences for more than 150 children at the club aged six to 18 years.”

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