Charity specialist goes bust, again

StoddardCSDM Fundraising, the charity direct marketing agency set up by Chris Stoddard, has gone into administration just three years after his previous venture, CSDM, went bust owing £1.4m.
Stoddard, who has been the subject of a number of press investigations over so-called “begging letters” for small charities, is reported to have left a trail of previous failures.
The companies specialise in managing direct mail fundraising campaigns for charities which do not have the internal resource to do it themselves. It claims to have been contracted by a number of charities over the years, although declined to name them.
Justin Brown, manager at the administrators MB Insolvency, released a statement which read: “We can confirm that CSDM Fundraising went into administration on 28 June and we are dealing with the case.”
Stoddard has now set up a new business, CS Fundraising, which is to take on all the “clients, contracts and obligations” of CSDM Fundraising. All staff will continue to be employed, he said.
He blamed the failure on an unnamed third-party subcontractor that “failed to meet its obligations”.
“The losses from this event are still being assessed but are estimated at some £300,000,” Stoddard told Third Sector. “It is not possible to comment further on this as the matter is subject to legal proceedings.”
Stoddard cited the same reason for the closure of CSDM back in 2010, in this case a mailing company that did not deliver CSDM’s letters.
He claimed that “relatively few creditors” remained on CSDM Fundraising’s purchase ledger.
Based on an industrial unit in Ross-on-Wye, Herefordshire, according CSDM Fundraising’s most recent accounts – filed at with Companies House – the company owed £338,000.
Stoddard is also listed as chairman of specialist charity list broking and management firm Cleardata Direct Media, although the status of this business is not known.

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