Watch the video to learn more about Burns financial managing team and the process that led to their sale.
Read moreA report in the Sunday Times, which is owned by the Sunday Telegraph, revealed that Burns had lost £1bn in a matter of months after the closure of its parent company in January.
The Telegraph reported that Burnes had a turnover of just under £40m in 2015, but that in the same year it was also losing £4.5m due to the closure.
The report revealed that a former Burns employee had been paid £2.5 million to leave the company.
In the wake of the Sunday Sun article, Burns Chief Executive, Michael Riggs, resigned from his post on Monday.
Burns has been run by former Financial Manager Peter Larkin since November 2015, after the sale of the Telegraph Group to the Daily Telegraph in 2019.
The Sun revealed in April 2018 that Burners financial management unit was one of three “pink boxes” that could have been closed due to concerns over the viability of the company as a public company.
A spokesman for the Sunday News said that the company had “never lost more than £2m in a single year”.
“We are working hard to get back on track, but in the meantime we need to do all we can to minimise our losses and keep the doors open,” he said.
The newspaper also said that Burn’s turnover had risen by over £40 million since the end of 2019.
“The company’s annual turnover for the financial year was £30m, up by £7.3m from the previous year,” the newspaper reported.
“It was also down by £1.5bn on the previous financial year.”
Burns announced it would close down the Telegraph on April 20, 2020, but was unable to close the remaining four pink boxes due to legal disputes.
However, in a statement on Monday, Burnes said: “Burns Financial management has never lost more £2,000,000 in a financial year than it has in this financial year.
The sale of The Telegraph Group, which owns the Daily Mail and Sun, has been a very successful one for us, but it is far from over.
Burns needs to be more resilient and focus on delivering sustainable returns.”
Read moreRead moreBurns said it would be putting the accounts of its “non-core” and “core” businesses into a liquidation trust, which will ensure they are “recycled and disposed of”.
The statement added that the group would “re-evaluate” its business plans, as it had “not yet been clear to the board and management whether Burns could continue as a publicly traded company”.