In the December issue of Sector Focus, we look at the difficult market experienced by technology companies, especially mobile phone suppliers, in both the UK and the US. We use the example of the recent collapse of Phones 4U Limited in the UK and consider whether its complicated financial structure or its reliance on one or two key suppliers was most to blame.
We also look at the proposed legislative changes in the UK which will require IT and other technology companies to continue supplying companies even after they go into a formal insolvency process. The additional goods and services to be included in The Protection of Essential Supplies Order 2014 which is likely to come into force in Spring 2015 are:
- point of sales terminals;
- computer hardware and software;
- any services enabling the making of payments;
- information, advice and technical assistance in connection with the use of technology;
- data storage and processing; and
- website hosting.
This article first appeared in Corporate Rescue and Insolvency December 2014 Edition.