The company is keen to reassure its customers that trading is continuing uninterrupted.
Borrow A Boat Ltd entered administration in March 2023, and Ovenden’s new company The Boat Engine Ltd has now acquired the business and assets of Borrow A Boat in a pre-pack process, but not the financial liability associated with the charter firm.
A pre-pack process is an arrangement under which the sale of all or part of a company’s business or assets is negotiated with a purchaser prior to the appointment of the administrator, and the sale contract executed on the appointment of the administrator or very shortly afterwards.
The 19 employees of Borrow A Boat have been transferred to The Boat Engine Ltd, and the business’ approximately 3,000 original crowdfunding benefactors will also be brought over to the new entity.
“Following a challenging start to the year, we’re looking to optimise the technology to create super lean operations and scalable digital growth, minimising reliance on external investment.
“We’re delighted that we’ve been able to save the business and give it a future for the employees and crowdfunders, and are excited about the digital growth we can now look to achieve in this massive global market.”
Since 2017, Borrow A Boat has raised millions of pounds in investment, with £7.8 million coming from crowdfunding.
In previous years, Borrow A Boat acquired HELM, Barqo and Beds on Board, after successfully raising £1.5 million. This also enabled it to expand into the US, Canada, Australia and New Zealand.
HELM has now been re-acquired by the company’s founders, Peter Harrison-Hill and Simon Morgan.