Receiver for Machine Shop in Liquidation
Inglewood was recommended as receiver by the bank for this $15 million machine shop and was accepted by the company based on Inglewood's reputation. A portion of the assets had been sold pre-receivership and those assets were still comingled with the receivership assets making management of the business difficult. Initially, the buyer of the assets intended to assume the contracts that were produced by the sold assets, but Inglewood made it clear that the contracts had not been sold and were still owned by the receivership. Inglewood operated the business reducing the labor costs by about 20% and negotiated a structured sale of the remaining receivership assets to maximize proceeds there from. Inglewood negotiated with the largest customer to pay 65% of outstanding accounts receivable that were potentially eligible for offset in excess of the receivable balance. This customer was so impressed with the way that Inglewood handled the situation that they subsequently engaged Inglewood's services for an operations improvement assignment. Inglewood also negotiated with an equipment vendor to return two thirds of the deposit despite the vendor's substantial non-recoverable investment.