A hair salon and beautician has been handed a 42-day lifeline to deal with its £50,000 debt.
Reading-based Rumors (sic) – which was set up in 2000 – was handed the extra time until April 2 by Mr Registrar Nicholls at the High Court.
On making his decision Nicholls also took into account it was the company’s first appearance in the winding-up court.
Counsel for HM Revenue and Customs (HMRC) had previously pushed for the company – which owes £57,000 – to be wound up after arguing its draft CVA proposal had been rejected.
A company director insisted: “I would like an adjournment please, I only got the refusal on Friday – my accountant was not around and we need to come back to you.
“I would like an adjournment to speak to my accountant and seek advice from insolvency practitioners.
“There will be (the prospect of settlement”.
The beauty store is a dedicated Afro Caribbean hair salon.
According to its latest accounts filed in October 2010 until February this year the salon’s net assets stood at -£24,113.
It also owed creditors some £101,015.
By Andy Pearce
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