Et Tu Parity...

[SupremeSpod]

From the other place...

Sale

Parity have just announced the sale of their US resourcing operation to Kenda.

The payments will be spread out over a period of time but will be in the 1.1m to 1.3m range.

That means that they have now got rid of their US operation after previously getting rid of their mainland Europe operation.

Debt

Their Net Debt is £15.5m – up by £1.8m from last time.

They have Total Assets of £62 million – which is about the same as the equivalent period last year.

However their Liabilities have shot up from £52m to £59m.

This means that a company of their size has Net Assets of only £3m – which is down from £10.7m last year.

And this includes £9.6m of Goodwill. If that is taken away then they have negative assets.

Worrying

This must be very worrying for the group – especially as the recruitment market seems to have got stuck at around the same levels.

Their banker Lloyds TSB has recently rescheduled their loan payments. This is a bit of a worrying sign.

The same happened to SBS before the banks called in their loans and broke up and disposed of the various businesses.

Parity has put a new man in place to create a strategic plan and carry it out. Part of this is the disposals that are taking place.

The question is... "Goodwill"? £9.6m?

[milanbenes]

how can companies be having such a hard time when the economy is doing so well ?

Gordonomics

Milan.

[wendigo100]

Strange company, Parity.

A small consultancy I worked for in 2001 was doing well when the owners decided to sell out for several million and retire. Parity bought it, let it drift, and ran it into the ground. It wasn't as if Parity were a competitor either, they weren't. In the end they had lost all the customers.

What I most remember is them trying to change everyone's contract to the standard Parity IR35-fodder. I sent it back unsigned.

I have always wondered how Parity have survived this long.

[expat]

The question is... "Goodwill"? £9.6m?

"Goodwill" is simply the name given to the difference between the price a business is sold for, and the value of its assets. I'm not sure what "goodwill" means for a business that is not being sold. Perhaps the difference between the price that the speaker asserts that it is worth, and the value of its assets. Hmm. "The speaker" might be wrong there.

[Crown Royal]

Parity

I'm actually having troubles getting paid by them right now....hearing some dodgy excuses

I did put the payment routing instructions, quite clearly on my invoice to them, which they do not appear to be too capable of following... so I wouldn't be too suprised if there are indeed problems internally within Parity

[MrsGoof]

hmmm

I'm invoicing then today, due to be paid next week, also lookin to extend current contract though them

Fingers crossed.