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Collapsed fundraiser faces creditor claims of £5m

 

Agency went bust in 2019

Door-to-door fundraising agency Home Fundraising is facing claims of £5m from creditors, a document sent to Companies House has revealed.

The company collapsed in March 2019 and raised cash for around 17 charities before it entered administration.  

It is now being liquidated with claims totaling £4.8m from 56 unsecured creditors, while a further 92 claims are pursuing sums totalling more than £300,000.

Fundraising services were contracted on a payment-by-results model, minimising the risk of liability to charity clients though it is unknown how much is owed to those it worked for.

At the time, the company’s bosses said that a reduction in the size of the face-to-face fundraising marketplace and uncertainties around the UK economy had contributed to its financial problems. 

The CVA – a deal that allows companies to pay creditors over an extended period of time while still trading – pledged to pay off more than £1.5m worth of debt, including £1.3m owed to HM Revenue & Customs.

Its 1,100 former employees are still owed about £239,000.

Liquidation is due to be completed in 12 months’ time, the report states.

 

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