Feeds

Dan Technology teeters on brink

Limbo Land

  • alert
  • submit to reddit

Dan Technology, the UK system builder, is talking to insolvency practitioners BDO Stoy Hayward, brought in today at the behest of its bank.

But the company has not been placed in administration at time of writing (16.46pm), contrary to industry gossip. We called Dan's Leeds HQ this afternoon, but no-one picked up the phone.

Rumours concerning Dan's financial state, centering around its ability to meet this month's pay-roll, swept through the industry earlier this week. We understand that the company did make the payroll today.

Dan Technology has been operating in fiscal limbo land since the beginning of this year, when Euler Trade Indemnity, the major trade insurer, withdrew credit cover from the company.

This meant that suppliers dropped or scrapped credit limits, forcing Dan to pay cash upfront. This is effectively a death sentence in a low-margin, high risk industry which runs on credit.

Set up in 1988, Dan Technology has its HQ in London and a branch office in Leeds. The odds on the company getting a buyer seem fairly good to us - it has a good reputation, consistently winning Which? computer user polls, and it has a big installed base. ®

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.