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Industry Moves

Industry Moves: SpinVox Finally Gets A Finance Chief, From Indian Off-Shoring Company

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Voice-to-text firm SpinVox, which recently found over £45 million more to stave off financial problems and has been without a full-time chief financial officer for the last 15 months, has finally hired a replacement, as it tries to get on top of its money issues, paidContent:UK has learned and confirmed.

In a move that will interest critics of SpinVox’s model, which employs call centre operatives to transcribe an unknown number voicemails, Manoj Parmar comes from Servista, a European IT company that off-shores its services to India. Parmar has served as its CFO for the last five years.

Parmar has told staff he will be: “Working closely with the senior management team at SpinVox to develop the finance team and capabilities to fully support the business as we embark on the next exciting stages of our international growth.” SpinVox has operated call centres in locations like Pakistan and Donnegal.

SpinVox hasn’t had a full-time CFO since Andrew Cherry left in June 2008, since when Roger Frye has been serving as acting CFO, four days a week. Frye will remain on the company’s board and will continue to work with the company. We have also confirmed Abe Morris is being retained by the financial team on a freelance basis, as the company looks to steady the ship.

SpinVox raised what is thought to have been its second $100 million in March 2008, but has hit financial trouble, with claims of unpaid expenses and supplier bills, scheduled late expenses and many staff accepting equity in return for salary this summer - attributable, the company has previously told us, to late payments from some of its customers and to the demands of a Latin America roll-out.

The company raised an emergency fund of over £15 million from existing backers in July and also last month took a £30 million “mezzanine” bridging loan from the Tisbury fund management house, due to be repaid by December. CEO Christina Domecq told paidContent:UK on July 20 the company would be cashflow- and EBITDA-positive within 90 days.

SpinVox’s PR company last week told us there were no planned redundancies or pay cuts, though that will remain under review.

Prior to Servista, Parmar spent seven years in business and finance with Cable & Wireless. He trained as a chartered accountant with PwC.

Sep 2, 2009 12:24 PM ET

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Posted In: Industry Moves

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