Businesses can have trade disrupted for many reasons, as a result of government directive, fire, flood, supply failure, product liability/recall issues and compulsory purchase orders. However, whatever the timing or cause of the interruption there are always two common factors:
- it is always a major inconvenience to the business, which can often impact upon profitability and the individual employees within the company; and
- from the forensic accountant’s point of view, the task is more or less the same. Our role is to establish how the business was performing prior to the incident, and assess how it would have traded were it not for the interruption.
At FAR Consulting we believe that by putting into place a simple set of procedures as soon as possible after the interrupting event, the task of collating the information and evidence at a later date can be substantially improved and effort reduced. Whilst such processes must not interfere with the operation of the business at this difficult time, once the situation has “normalised” it will enable the business to recover faster as management can focus their time and effort in driving the business forward once more, safe in the knowledge that the information necessary for supporting their claim has already been successfully captured. We have experience and solutions in this field that can be of major benefit as soon as the crisis occurs.
Whether acting for the business affected, or the defendant, we provide reports in a language that is understood by all parties. We understand how solicitors and insurers interact and the commercial pressures upon them. We don’t rigidly crunch the numbers; we look for the more rounded solution that best reflects the specific circumstances of the interruption. Our forensic skills and our client’s in depth knowledge of the business are the perfect combination for achieving the right result.
Recent cases include:
Acting for defendants assessing the losses suffered by a number of windfarm owners and operators as a consequence of past disruption to trade and future anticipated disruption to trade in order to enable remedial work to be undertaken as a consequence of defective foundations having been designed and built for a number of turbines on the sites.
Assessing losses suffered by a Country Hotel, Gym and Spa following a fire that destroyed one whole wing of the hotel.
Assessing costs incurred by cargo recovery specialists after water inundated a hazardous cargo at sea which forced a ship into port and an emergency unloading, storage and then safe onward transportation by land of the contaminated cargo.