Written by: Keith Tully
Reviewed: Monday 5th September, 2016
A television company based in Liverpool on Merseyside has been entered into administration after succumbing to financial pressures over the course of the past several months.
Bay TV, which was founded in 2011 as an on-demand internet service, has reportedly been struggling to retain sufficient cash flows to avoid a position of insolvency.
A cash injection made earlier this year by a separate operator in the same field, Made TV, apparently helped to bolster Bay TV’s financial position but has not proved enough to enable it to avoid administration.
Despite its difficulties in generating cash and establishing financial stability, administrators are hoping to see the operation sold as a going concern and kept on air.
“We are working hard with the administrators to keep the business operating as a going concern,” said Bay TV’s chief executive Chris Johnson.
“I am confident that the station will remain on air - it’s still on air and will remain on air.”
Staff who work for the company have been told by administrators that their services are still required for the time being at least.
“It is my intention for the time being, as administrator of the company, to permit the company to continue to trade whilst I assess the situation,” Gordon Craig, who was recently appointed as Bay TV’s administrator, wrote in a message to the organisation’s staff.
Bay TV was awarded a license to broadcast on Freeview channel 7 in the Liverpool area and in parts of Cheshire by Ofcom in February 2013.
The Toxteth-based company employs a total of 16 staff members and has been broadcasting since 2014.
Local TV stations have become more prevalent in various parts of the UK in recent years after the government announced its intention to back them in 2011.
In the region of £40 million worth of BBC license fee money has since been allocated in support of local TV stations, with much of that cash being channelled towards improving local broadcasting infrastructures.
The Liverpool Echo reported in July that Bay TV was seeking to strike a deal with its creditors, in order to continue operating despite being more than £450,000 in debt, with almost £150,000 understood to have been owed by the company to HMRC at that time.
16th September 2019
There was around a 25 per cent increase in the number of restaurant businesses entering insolvency over the course of the year to June 2019, according to the latest figures on the subject.Read More