The Lancashire-based company, formerly known as Debt Free Direct, shed 90 jobs during a `very disappointing' first six months of 2008 as revenues slipped and the business dived into the red.
Fairpoint, which has its headquarters in Chorley, posted pre-tax losses of £1.2m against profits of £2.9m in the corresponding period of 2007. Turnover fell from £14.2m to £13.9m.
Along with its results, Fairpoint unveiled further boardroom changes. Co-founder and chief executive Andy Redmond stepped down to become non-executive deputy chairman in May, just months after Paul Latham quit as finance director. Chris Moat replaced Mr Redmond as CEO.
Chairman Michael Blackburn has now retired and has been replaced by Matthew Peacock.
Andrew Heath, 41, has stepped up from acting finance director to take over the role permanently, while former MyTravel group finance director John Allkins has joined as a non-executive director.
Mr Moat said that, when he took over, the business was performing `significantly below' expectations and potential but added that steps had been taken to improve its cash position and reduce costs, notably by transferring operations in Nottingham to Chorley.
Employee numbers have declined from 479 to 389. Fairpoint has also sold its Australian operation.
Mr Moat said Fairpoint's first-half performance was hit by lower margins, operational weaknesses and one-off costs to restructure the business.
However, it has laid the foundations for a return to growth, in particular by broadening its product range.
The trading environment is increasingly favourable as more people seek help with their debt problems, he added.
Mr Peacock said substantial improvements had been made to the business and the benefits would filter through during the second half of this year.
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