Person to Person Direct Ltd owed £140,000 in salary and holiday pay to 190 former employees when it went into administration last year, according to the administrator's statement of affairs filed with Companies House.
The joint administrator’s report and proposals, published at Companies House on 31 December 2015, showed that as of 30 October 2015, Person to Person Direct Ltd listed 190 individuals as "unsecured creditors". The report estimates that £140,000 is owed in total to "former employees for arrears of wages and holiday pay".
While the report does not specify the amount that was owed for each individual at the time, the administrator wrote that: “At the time of our appointment, the company’s monthly paid staff had wages outstanding for the month of October. In addition, the weekly paid fundraisers, who made up the vast majority of the workforce, had not been paid for their final two weeks' work."
The administrator also said that “the majority of staff also had holiday pay outstanding” at the time Person to Person went into administration.
Person to Person also owed intercompany organisations within the wider Fundraising Initiatives Group £687,333. The report lists the agency owing Fundraising Initiatives Holdings Ltd £263,276 as well as Workplace Giving UK, another group agency which went into administration in early December, £423,057.
Person to Person owed HM Revenue & Customs £488,689 in tax at the time of going into administration, £428,689 of which was unpaid VAT.
Fundraising Initiatives Ltd, another of the group which had been financially propping up Person to Person since "mid-2015", also went into administration on the same day.
The administrator’s report also said that heavy criticism of the wider fundraising industry by the media “had a negative effect on the entire sector” and made “the marketplace complex and fragile”, which in turn made the prospect of selling off Person to Person as a “pre-packaged” entity unfeasible.
Since August 2015, five other face-to-face and telephone fundraising agencies which made up the wider Fundraising Initiatives group have collapsed.
