McDonald Vague The Insolvency & Business Recovery Specialists

RURAL AND AGRIBUSINESS

Our Rural & Agribusiness Experience

With a dedicated team that specialises in farm insolvencies, McDonald Vague is uniquely qualified to ensure it delivers the best possible results for clients. Our team comprises a group of highly experienced individuals, whose background in farming or related industries is complemented by our expertise in insolvency, forensic accounting and investigation.

We are very results focused, with a proven track record of financial success. We provide extensive expertise while practicing responsible and realistic fee management.

On a personal level, we're down to earth and easy to talk to.  Trust and integrity form the basis of all our relationships, and we have a solid commitment to giving you direct access to partners, listening well, keeping you informed, and always being available and responsive.

Our specialist team all have a rural/ agribusiness background, including the ownership and management of various rural businesses in both the North and South Islands. Our experience throughout the rural sector extends from dairy farms to sheep stations; from orchards to transport operators; from wineries to food distributors.

We know and appreciate the challenges of this industry, and we're able to use our practical knowledge to obtain the best possible results. Our team can swiftly assess the situation, deploying resources without delay, taking control of management and finances and, most importantly, delivering fast, tailored results to the maximum benefit of all parties.

We have an excellent network of contacts in the rural sector which includes key Fonterra representatives, farmers, farm advisors, farm contractors, real estate agents, live stock agents, valuers and auctioneers

McDonald Vague understands the unique economic and personal impact of insolvencies on rural communities. Our knowledge of rural practices avoids incorrect and costly decisions, and creates gains in efficiencies and cost-savings.

Our strategies have resulted in successful outcomes for our appointers. In some cases, we have successfully recovered the bank's full debt (including penalty interest). And as a mid-sized firm, we are able to offer leading insolvency expertise in a flexible and cost effective manner.

We're national, with local teams across NZ

Our key agribusiness team is based in Auckland, and travels around New Zealand as required. We also have offices in Whangarei and Hamilton. McDonald Vague is part of NZCA, an association of independent Chartered Accountants throughout New Zealand. NZCA provides a network of alliances and business support. It allows our firm to draw on the considerable expertise of a much larger organisation, and to offer our clients an even higher level of service.

We are able to undertake assignments anywhere in NZ and can align with a local firm for assistance. McDonald Vague would still control the assignment and ensure the same high level of expertise and service is maintained. Working with a local firm is more efficient, reduces travel costs and makes our appointment more cost effective. Our clients also benefit from the associated firm's local knowledge, and their specialist experience providing accounting services to farmers. More about NZCA can be found at www.nzca.com.

Recent Rural Receiverships

Split Rock Station Limited (In Receivership) 4 July 2011

In July 2011 we were appointed over Split Rock Station Limited. The company operated a sheep and beef farm in the heart of the Kaitieke Valley 45 minutes south west of Taumarunui.[Read More]

Stoney Range Wines Limited (In Receivership) 4 July 2011

In July 2011 we were appointed as a receiver over Stoney Range Wines Limited who own two vineyards totalling 26 hectares in the Marlborough region and supply grapes to Sherwood Estate who sell the wine under the Stoney Range label. The vineyards were offered for sale by the mortgagee. We have realised accounts receivable to repay our appointer and we have negotiated an agreement to repay our appointer in full.[Read More]

Jarra Farms Limited (In Receivership) 7 July 2011

Implementing a quick and decisive plan to realise a dairy herd on the brink of calving produced a good result for the secured creditor being repaid in full considering the potential animal health issues. The management of retro milk payments, insurance credits, investment shares, plant and machinery led to a full recovery for the bank.[Read More]

Vintage companies (In Receivership) 9 December 2010

In December 2010, McDonald Vague was appointed as receiver of Vintage 2008A Limited, Vintage 2008B Limited, Vintage 2009A Limited and Vintage 2009B Limited. The Vintage companies were in the business of producing wine at Matakana Estate Limited, a winery north of Auckland that was itself placed in liquidation on 21 November 2010.[Read More]

Tawera Land Company Limited (In Liquidation & Receivership) 3 December 2010

McDonald Vague was appointed receiver over Tawera Land Company Limited “TLC” in December 2010. This entity owns millions of dollars worth of farmland associated with a bankrupt businessman. TLC owned and operated significant land holdings in the Manawatu and Taumarunui comprising 15,000 acres. Over the past 12 months, our Agri-Business team has managed the farming operations which included running a dairy farm as well as sheep and beef farms.[Read More]

Cooper Horticulture Limited (In Receivership) 15 June 2010

In June 2010 we were appointed over four stone and pip fruit orchards in Hawkes Bay totalling 110 hectares. The properties were taken to market but did not achieve a satisfactory price. After controlling costs, a management agreement was signed with a local fruit processing company to manage these orchards on behalf of the receivers. McDonald Vague now attends a monthly management meeting and approves purchases over $10,000. This allows the orchard to run efficiently and profitably.[Read More]

Work Outs

On some occasions the mortgagee decides that it isn’t necessary to appoint a receiver and we work alongside the mortgagee to sell down the assets. As an example McDonald Vague assisted on a forestry block in South Otago and a high country 13,000 stock unit property in Southland. We helped negotiate a successful outcome for all parties.[Read More]

Agribusiness Services

PRE-INSOLVENCY ALTERNATIVES

In certain circumstances, a receivership or mortgagee sale is not the best answer and value in the property can be maintained by adopting an alternative approach. When McDonald Vague is appointed as an independent specialist, it has the ability to maximise your return on your investment, and provide a long term solution for your customer.

With McDonald Vague, you can expect innovative thinking and a creative alternative to achieve the best outcome. We can provide the following services as an alternative to a forced sale:

• An assessment of pre-insolvency options;
• Carrying out pre-lending reviews for banks;
• Preparation of due diligence reports for banks;
• Financial analysis focusing on debt reduction or refinance (as opposed to a full I.A. report);
• Identifying covenant breaches;
• Monitoring creditor issues;
• Monitoring the flow of funds;
• Identifying any animal welfare and environmental risks;
• A focused, orderly selldown to maintain value;
• Identifying methods to reduce production costs;
• Identifying surplus or unproductive assets to be sold to reduce bank debt;
• Identifying strategies to reduce bank debt such as a simple subdivision;
• Providing advice and managing business restructuring for clients;
• Performance monitoring;
• Development of strategies for work-outs or asset realization;
• Investigative accounting

INVESTIGATIVE ACCOUNTING REPORTS

We specialise in preparing independent accounting reports for banks, secured lenders, private security holders and other third parties, on the financial affairs and current and ongoing solvency of companies as well as on possible restructuring proposals and options available. We provide reasoned recommendations to our appointer to assist them in making financing determinations, particularly where concerns may be held as to ongoing viability.

RECEIVERSHIPS

A farmer has an emotional attachment to his land and business which is unlike any other business sector. A receivership has to be managed with a great deal of empathy and understanding but at the same time requires a firm direction of what is expected. Where possible we try involving the borrower in the solution as no one has a better understanding of the property and it is the most cost effective option. We have a track record of successfully repaying our appointers in a timely manner.

LIQUIDATIONS

We provide a number of liquidation services. We often serve as court appointed liquidators. Similarly, where directors or creditors wish for an urgent appointment we can act as interim liquidators. We implement the necessary procedures to put a company into liquidation voluntarily when the director(s) and shareholder(s) consider the company is insolvent. We serve as liquidators when solvent companies no longer wish to trade or in situations when a group of companies need to be reorganised for commercial or tax benefits.

Our Rural & Agribusiness Team

Roy joined McDonald Vague in March 2004. He is an exceptionally skilled forensic investigator and accountant, and plays a key role at McDonald Vague in unravelling the financial position of a company, often tracking down funds that most other investigators would miss. [Read More]

A former Canterbury boy, Tony Maginness started his career at PPCS (now Silver Fern Farms) in the late 80’s buying livestock in Canterbury and Central Otago. His family owned a sheep and beef farm at Banks Peninsula and Tony has spent time working on farms and in the meat industry. He has an excellent understanding of the New Zealand farming sector. [Read More]

Tracy comes from a farming family and lived on the family cattle farm near Nelson, where she helped raise bobby calves for beef. She has worked on a wide variety of businesses, including those in the agricultural and horticultural sectors. [Read More]

Chris graduated with a Bachelor of Business degree majoring in Finance and Management. He has a solid background in farming, having grown up working on his family’s farm in Waikato, and maintains a keen interest in dairy and cattle farming. [Read More]