Working with Insolvency Practitioners – The Manolete Way
Manolete Partners PLC offers an array of financing solutions exclusively to the Insolvency profession. Our products and solutions have been designed by the very best insolvency barristers in the UK.
We have a strong track record of working with the full spectrum of insolvency practices throughout the UK and can provide first class references. There is no minimum case size – if it makes commercial sense then we’ll be interested. No IP will ever be asked to pay for anything and there are no hidden consultancy fees.
The Manolete approach is to either buy claims outright or fund Insolvency Practitioners to pursue claims. In both instances, we pay an amount in cash upfront, we pay all of the costs and disbursements (often including IPs own case-related work) and share the net proceeds but transferring all risk to us.
We don’t use ATE – we simply self-insure the adverse cost risk from our own balance. This enables us to deliver maximum returns to Creditor Estates.
We don’t use brokers – many brokers charge large commissions, which only serve to drive the cost of funding up.
We will also often cover the IP’s ongoing WIP.
Where the legal action is owned by the insolvent entity, we can take full ownership of the case and transfer all risks and costs to ourselves. We pay an initial amount, in cash, upfront and then a 50% – 90% share of the net proceeds back to you. We can also pay in full upfront (for example, if the IP is under pressure to close the liquidation).
Where the case must be in the Insolvency Practitioner’s name (as we are funding him/her to exercise statutory powers) we supply a comprehensive funding package and full adverse cost protection. Upon signing a Funding Agreement with you we again pay an initial amount upfront and then take a pre-agreed share of the net proceeds. All costs are for our account. Where the Office Holder has been appointed on or after 1 October 2015, Manolete can take an assignment of Office Holder claims (e.g. Wrongful Trading, Transactions at Undervalue, Preference claims etc).
Our strict house policy is to always use the lawyers that IP chooses for the case – we have no preferred panel. We then combine to form a powerful three-way team: with Manolete financing the work of the IP and lawyers to make maximum recoveries for the creditor estates that they represent. Lawyers and other professionals working on our cases are remunerated as and when the work is done – they are never asked to act contingently.
The advantages of the Manolete approach to insolvency cases are quite clear: we take the risk, claims are generally settled quickly and more efficiently for the Creditor Estate. Our excellent rapport with Insolvency Practitioners is the strongest indicator of its success.