Explore learning went from £9 milion profit to a CVA in a little more than a year

Explore learning went from £9 milion profit to a CVA in a little more than a year.

Explore Learning's CVA.

Little more than a preparation ground for computer based behavioural addiction .

Explore learning, the high street tuition firm went from £9 million profit to a CVA in a little more than a year.

How did this happen?

We are all for firms being ambitious, progressive and profitable. Bring value to their clients.

However, how can an organisation rapidly move through a CVA in a pandemic.

when barely a year before they made £9 Million profit. With a £7 million a year before.

With a range of share holders, including Carbon Capital, Explore Learning were in a reasonable position to ask their share holders for funds to continue their operations post lock down.

However, evidently they decided to take the CVA route. Which escaped them from many of their creditors including their many leases. essentially re positioning the firm to take on the online tuition model.

It is hard to argue that the market for outside of school tuition is shrinking. In fact, the growth of non school learning will continue to grow. Both on and off screen. Teacher led and computer lead. Even with the growth of tutors and exams outside schools.

The CVA that Explore Learning went through was a cynical approach to the working with their creditors and investing in the future of the high street. There is no real way they are consider themselves a serious CVA contender when they made consistently so much cash. Year in year out.

The Explore learning CVA used a get out clause which made us all poorer!

I doubt the CVA was curated as a form of administration was designed to used for this sort of cynical strategy.