MoneyPlus acquires rival debt management specialist

Debt Management specialist MoneyPlus Group has bought Baines & Ernst after it went into administration. FRP Advisory was appointed administrators of Baines & Ernst. The business and assets of Baines & Ernst were then sold, resulting in the transfer of all 80 staff and all its debt solution plans and customer data.

Baines & Ernst has operated in the debt management market for more than 20 years providing debt advice to consumers across the UK and offering a range of debt management solutions. Baines & Ernst was fully authorised by the Financial Conduct Authority (FCA) in August last year.

FRP Advisory said that following FCA authorisation, the business faced rising costs. While the underlying business was profitable, the business had incurred significant exceptional costs and a deteriorating asset based placed increasing pressure on bank facilities this resulted in unsustainable pressure on cash flow and ultimately the need to seek the protection of administration to allow for a more viable solution for the on-going business.

Anthony Collier, Partnercat FRP Advisory said “We are pleased to have found a solution that ensures continuity for the Baines & Ernst customers and secures the transfer of 80 Manchester jobs in the process. MoneyPlus Group is a long established, fully authorised, financial solutions firm that is ideally placed to take on the Baines & Ernst business. We wish the enlarged group all the success for the future.”