GoodBox is no longer under administration after a decision from the High Court brought it to a close this month.
Since their appointment as joint Administrators in June 2022 Frost and Wadsted had pursued multiple avenues to try and save the brand’s future whilst protecting the charities, religious organisations and museums reliant on the company’s services for their donations, with more than £4.5mn of donations processed in the course of their appointment.
Now, as of 16 January 2023, the Court has now sanctioned a Part 26a scheme for the company, a judgement that formally brings the administration to a close.
A Part 26a (part of the Companies Act 2006) can be applied when two conditions are met by a company. The first is that it has encountered, or is likely to encounter, financial difficulties that are affecting, or will or may affect, its ability to carry on business as a going concern. The second is that an arrangement is agreed with its creditors or members to restructure its affairs to prevent, reduce or mitigate the effect of any of these difficulties.
GoodBox’s proposed restructuring includes independent scheme administrators, 18 angel investors and the appointment of a new, independent board of directors.
Jeremy Frost, Director of Frost Group Ltd, commented:
“We send our best wishes to the team at GoodBox Co and are hopeful that they can get back to being the essential part of the charitable industry that it once was. There is a plan now for a funded future, however, considerable uncertainty and many questions will need to be answered in the near future.
“It is very sad that these uncertainties, brought into sharp focus whilst acting as Administrator were not addressed in the scheme, a position so serious that it did not allow us to take anything other than a neutral stance.”