A karaoke bars operator in London will continue trading following a restructure and sale process led by PKF Littlejohn.
With four sites across London and Birmingham, Karaoke Box had grown into a popular destination, but the rapid expansion of the business had proven to be overly ambitious and the company ran into financial difficulties.
With the support of the PKF team, Karaoke Box was restructured with a sale to management of two venues in London, and the closure of one London venue and the Birmingham destination.
This sale and restructure was completed last month, allowing Karaoke Box to continue trading and for the majority of the team, 12 people, to keep their jobs.
During the restructuring process, PKF supported the management team to keep HMRC updated of its position and to ensure that the business was in the best possible position to succeed in the coming years.
Paul Williams, Partner and Head of Advisory in the London office, said: “This is a positive result for the team and customers at Karaoke Box. Not only can the business continue to trade and bring people together, but we’ve also been able to help ensure that the vast majority of staff have kept their jobs.
“With the two bars continuing to operate in the capital, we expect Karaoke Box to be on a much more robust footing for the foreseeable future.”
The leisure and hospitality sector has been a longstanding area of specialism for the PKF Littlejohn team, which has been bolstered recently with the addition of former CBRE director Shaun Skidmore to the team. Shaun brings more than 25 years of experience in the hotel, leisure, healthcare and operational living sectors to firm’s clients.
In August, the team worked on the rescue of Beacon Park Boats – an award-winning leisure boating business based in the Welsh Valleys – safeguarding 30 jobs and hundreds of holidays.
The administrators’ legal advisors on the sale of Karaoke Box were Shoosmiths, while Gordon Brothers provided further support.
