Toast Freelance Ltd: Avoid at ALL Costs
December 18, 2011 — There are 37 comments
Toast Freelance Ltd is a freelance agency that scouts talent on behalf of companies for temporary/contract work. Earlier this year, I was scouted to work for a fantastic mobile application development studio in Shoreditch, London. This was great opportunity to work on apps for big companies, many of which are in the Featured section of their respective app stores.
I would invoice Toast Freelance Ltd on a weekly basis who would in turn invoice the dev studio. The dev studio paid Toast, who would take their cut and pay me. This system worked well, except for the part where they pay me. I am owed a lot of money for work I did back in June to August.
I knew something was wrong from the first payment run they promised that I would be in. They said I would be paid on 5th August for all outstanding invoices but the 5th came and went. I was told this was pushed back to the 16th. The 16th came and went with no cheque.
I then received this email on the 18th:
Dear Gaurav
I am instructed to inform you that the directors of Toast and its accountants and advisors have made a fundamental change in its company.
Here at Toatlovesyou ( Freelance ) Ltd we have had an internal restructure and decided to cease being involved in the freelance market.
To this end a cheque has been paid to you for payment of outstanding invoices but these are send dated September 1st as we require our accountant to do a final audit to then allow us to close the Toastlovesyou ( Freelance ) Ltd.
Please ensure these cheques are banked on September 1st and no later than September 5th, as our account will be closed form September 10th.
We thank you for working with us and have added a £25.00 extra payment to your due amount to cover inconvenience costs while we make this re structure.
I thought I’d finally get my money. I waited for the cheque and it did actually come, but it wasn’t for the full amount. The email above recommends banking it between 1st-5th September, but the cheque was dated 9th Sept. I was told it’d go through fine and the remaining invoices would be paid next week.
The cheque bounced. I banked it in a few days later as I was extremely busy with a new job I started, but I was told I’d have a few days to bank it. After chasing them up (by chasing them up, I mean days-weeks of constant emails with no reply), they asked for it to be posted back to them and a cheque for the remaining amount would be sent out.
I received this cheque and it cleared fine. What happened to closing their accounts though? I thought they were restructuring and closing everything? Somehow their accounts were still open even after they said they would be closed.
Alas, at least I had some of my money, even if it was peanuts.
A month literally went by with no communication from them. I constantly sent emails but it was like talking to a brick wall. I managed to dig up a telephone number for them. After asking for a few staff members I knew names of, the receptionist said each one was in a meeting. I knew it was complete and utter rubbish. Every time I called, they were all in a meeting.
After a month went by, one of my emails was magically picked up on 27th October and they reacted as if they didn’t read/receive any of my previous emails. If she scrolled down a little bit in the email, she would have seen a constant stream of emails from myself to the company with no reply.
She expressed how shocked she was and that another payment would be made for me in the next monthly “payment run” with a new bank account that would be activated on the 11th November, and rather than a cheque, it would be an online transfer. So, in my eyes, I had 3-5 days until my money was with me after 11th November.
I emailed them daily just to be kept in the loop and to make sure this supposed payment was still happening. The first couple rounds of these emails were replied to by the same person that had been dealing with all of the above correspondence.
I hadn’t received any of my money and on 15th Nov, I emailed them the following:
Hi Odette,
Me again.
I don’t know if you’re out of the office or what’s happening. Yet again I am getting absolutely zero response when this is a matter that requires attention.
I have cc’d in other members of your team and I would greatly appreciate an update on what is happening. This is causing more inconvenience as every day goes by without being paid … and I have been waiting patiently for over 4 months. Needless to say, I am now looking for inconvenience pay on top of what is already owed to me.
I have checked my account and the money has not yet appeared. Today is the third day. Please advise when I should expect to see the transfer completed.
Can someone please let me know what is going on.
Kind regards,
Gaurav
To which I received the following:
Hi Gaurav
Odette no longer works for the company.
I am in discussions with our newly appointed firm of accountants to resolve payments issues.
My apologies in this matter but we have much to unwind.
Either myself or the accountants will get back to you in the next few days.
Best
J
I knew I was well and truly fucked at this point.
Up until 16th Nov, I was liaising with “Odette”, now “Jemma” has stepped in. Great. Jemma goes on to say in a follow up email that she’ll have an update by the following Monday. Again I would have to chase up and she had the following to say on 22nd November:
22/11/2011
Dear Gaurav
Toastlovesyou (Freelance) Ltd & Toastlovesyou Ltd
It is with great regret I write to inform you of the following developments in regards to the above named companies.
Having had exhaustive discussions with both our accountants and other advisors, we find ourselves in the position that we may now need to accept the position of entering into voluntary liquidation.
While we had hoped that to dissolve the freelance company only would have been sufficient action to stem the flow of costs, as running this company in the freelance sector costs have far out weight the sales results but this won’t now be possible.
However before fully accepting defeat I wanted to try one last thing to both save the company but also to allow some payments to be made to the contractors/ umbrella companies that number 11 at present including yourself, whom still have funds outstanding to them.
If at this point we either except liquidation is the only option or indeed allow one of our contractors who are our creditor to take legal action to close the company, as none of the contractors are preferred creditor such as bodies like HMRC whom would be, this would result in no funds being received however if we find a way to trade out of this position then some funds can be used to make payments and hopefully satisfy all parties sufficiently.
What I am proposing is in order to save the company, is if I can ask each contractor to accept 50 % of what’s currently due to them in full and final settlement paid over a 20 week period this will at least ensure you have some funds paid to you.
I am not in a position to do any more than I have already done to save the company, costs have been cut to the bone in all areas and Odette is no longer employed on doing the accounts, so all matters will now only be dealt with by the accountants, so the companies fate and that of your funds and the other contractors, are more in your hands at this point than mine.
We do however need to act swiftly as I can’t be seen to allow the company to trade while a possible insolvent position.
So I would ask you to write in the next 7 days ( they won’t accept emails ) to our accountants at the address below to confirm if you will accept this settlement, if I can get the main body of the outstanding contractors to accept this compromise, payments will be able to be made and the company will be able to trade on.
Of course I expect and would advise you to talk to your accountant / solicitor about this action before replying.
If we can’t find a way forward via this method then I will have to release all current staff employed by the company on December 1st and cease trading in its entirety.
Please write to:
Jo Bromley
c /o
ToastLovesyou (freelance) Ltd
58A High Street Heathfield
East Sussex
TN21 8JB( This address is the companies registered offices and all post is being forwarded to the accountants direct from this address in order to comply with requirements )
I hope this action will be in some way be helpful and a better result for all than just to fold the company and all payments be lost.
Either I or our accountants will contact you again on Tuesday 29th, when I hope we will have heard from all parties and have a path one way or another to follow.
Kind Regards
J
To summarise: We’re closing the company. If you want to have a hope of seeing any of your money, write to our accountants. I do just that and await a response. I email Jemma a few days later as she states she would have a response for all outstanding freelancers. On 8th Dec, she said she would have an update on 12th Dec. I email her on the 13th and I received this:
Delivery to the following recipient failed permanently:
jemma@toastlovesyou.co.uk
Technical details of permanent failure:
Google tried to deliver your message, but it was rejected by the recipient domain. We recommend contacting the other email provider for further information about the cause of this error. The error that the other server returned was: 550 550 5.1.1: Recipient address rejected: User unknown in relay recipient table (state 14).
Basically, she’s vanished, with £50-60k (guesstimate) of unpaid freelancer fees.
ToastLovesYou Ltd still exists, but it seems “MRS JEMMA STEPHENSON-OLIVER” is looking to start afresh under toastcreativemedia.co.uk.
If you’re still reading this (I love you) and you have any advice, tips or have had a similar experience, get in touch below.
I only know of two resources that can help me, Companies House & Citizens Advice Bureau.
Throughout this entire ordeal, I have been extremely patient and civilised. I worked hard for the period that I was contracted for, but Toast Freelance/Toastlovesyou seemingly set out to take honest peoples hard earned money from the get go.
Jemma, Odette et al.: If you’re reading this, I hope you enjoy spending my money. Looks like you can only get some cash by illegitimate methods.
tl;dr I got fucked.























































