Rugby Super League team wound-up & northern brewery appointing administrators this week.

With the Christmas party season in full swing, on top of one of the busiest trading periods of the year, we hope you’ll be able to grab a couple of moments of peace and quiet to yourself.

Maybe even enough to catch up on all the important and interesting business & insolvency news stories you might have missed in the past seven days.

So if you want to know why Kevin Pinkerton is joining BusinessRescueExpert; why closing your firm with an MVL is a great gift directors can give themselves and why it’s not a wonderful life if your business receives a CCJ this Christmas holiday – you can read all these stories and more at our advice centre page.

Basic Prime Limited

A company claiming to provide financial services which received around £175,000 from a client but failed to deliver promised services has been wound up in the public interest. 

Basic Prime Limited claimed to be based in Croydon in South East London but on investigation had no genuine business presence, no contact details in operation and a director who failed to provide information and documents that were requested.

Basic Prime Limited claimed to provide trade finance guarantees and credit enhancement services but was suspected by Insolvency Service investigators of operating an advance fee fraud scheme. The company at no time was registered as a financial services provider with the Financial Conduct Authority.

The company has agreed in April 2024 to arrange a financial guarantee worth £382 million ($500 million) for a client – a type of bank-backed promise known as a standby letter of credit. After the client paid an upfront fee of £175,000 ($231,000), Basic Prime Limited failed to deliver the guarantee and stopped responding to the client by September 2024. They were wound up at the High Court in London. 

Mark George, Chief Investigator at the Insolvency Service, said: “Basic Prime Limited presented itself as a legitimate financial services provider, but our investigation revealed a company that took substantial fees without delivering services. 

“The company operated with no transparency, maintaining a registered office where it had no actual presence and providing contact details that were not in service. The director failed to respond to any of our enquiries or provide any business records.

This case demonstrates our commitment to protecting the public from fraudulent operators. Companies that take money under false pretences and then disappear will not be allowed to trade.”

Basic Prime Limited was incorporated in October 2023 and claimed to offer financial advisory services, asset management and loan and credit consultancy. 

According to its website, the company specialised in credit enhancement, project finance and providing payment guarantees using standby letters of credit and bank guarantees.

Further concerns emerged when investigators discovered that Basic Prime Limited had misrepresented its banking arrangements. The company claimed in its client agreement to hold an account with a major bank. The bank confirmed to the Insolvency Service that it had no banking relationship with Basic Prime Limited.

Basic Prime Limited and its director failed to provide any of the requested information or business records. This prevented investigators from establishing where the company actually operated from, who controlled it, its true financial position or the extent of its trading activities.

Thurston Group

A Wakefield modular construction specialist has filed a notice of intention to appoint administrators.

Thurston Group (along with Thurston Holdings Ltd and Thurston Group Estates Ltd – the ultimate parent company) all applied on the same day last week. 

Thurston was first established in 1970, initially trading at BTH Trailers Ltd before being acquired by private industrial investment in 2021. The firm currently holds places on several public sector programmes such as LHC Procurement Group’s modular buildings framework, the Major Works Education Framework in London and the Modular Buildings framework operated by NHS Shared Business Services.

They currently employ an average of just over 300 members of staff.

Versarian

A Gloucestershire-based advanced engineering materials group has served a notice of intention to appoint administrators. 

Versarian made the announcement after confirming that a UK quoted public company had withdrawn its interest in investing in the business. 

Directors said there continues to be interest shown in acquiring these assets, the company’s board said it was conscious that it’s reliant upon the support of its creditors to continue its operations.

Keystone Brewery

The brewery group behind Black Sheep Brewery is facing further uncertainty after filing a notice of intention to appoint administrators amid mounting financial pressures.

Keystone Brewing Group, which also includes Fourpure, Purity Brewing Company and distribution rights for brands such as Hofmeister, has taken the step which will protect itself from creditor actions while restructuring or a potential sale.

The group employs around 190 staff across the UK including Black Sheep which was purchased out of administration in 2023.

CBS Engineering and Heat Treatment

A 65-year-old Nottinghamshire engineering business has gone into liquidation and made all staff redundant after admitting years of financial decline. 

CBS Engineering and Heat Treatment, traded from Long Eaton, appointed administrators to oversee the orderly closure last week. 

The company provided industrial heat treatment and precision engineering services to other businesses but ceased trading in October with all 15 employees losing their positions. 

Directors said that despite the business having a rich history, they were unable to arrest a prolonged downturn in trade that was further accelerated by increases to running and material costs.

Lighthouse Travel

An Isle of Wight based travel operator and school contract provider has gone into liquidation and ceased trading. 

Lighthouse Travel, previously known as Island Coach Services Ltd, blamed the “economic climate” for its closure. 

The business was an executive private hire and school contract provider on the South coast and provided school transport services for Ryde School. 11 members of staff have been made redundant as a result.

Acacia Training

A major Midlands training firm has unexpectedly gone into liquidation after 25 years of trading with the loss of 66 positions.  

Acacia Training is based in Stoke-on-Trent and offered courses in childcare, health and social care including awareness of bullying, suicide, mental health and adult social care.

In the previous 12 months sales had dropped by 27% and profits more than halved during this time.

Salford Red Devils

A famous North West Rugby League team has gone into compulsory liquidation after 125 years of operation. 

Salford Red Devils came bottom of the Super League due to financial difficulties, were relegated to the first division and now have closed entirely. 

A statement from the club said: “We regret to inform stakeholders, supporters and partners that Salford Red Devils and its operating company, Salford City Reds (2013) Limited, have been subject to a winding-up petition filed by HMRC and liquidation proceedings have now commenced.  

“We understand the gravity of this situation and the uncertainty this creates for everyone connected with the club. For the original club staff who remained up until this point, this is an incredibly emotional moment. 

“Whilst there is sadness in seeing things come to this point, there is also a sense of relief that an extremely challenging period for the club has finally come to an end. We want to express our heartfelt thanks to all the fans who have stood by us through everything. Your passion and loyalty have meant the world to us. More than anything, we hope that the club’s proud name and history can live on and continue to represent the people of Salford.”

The winding-up petition had been extended on four occasions over the past few months.

Mallows Beauty

A Welsh beauty brand which created a global customer base via TikTok has gone into voluntary liquidation after experiencing financial difficulties. 

Mallows Ltd which traded as Mallows Beauty was set up by Laura Mallows in Llantrisant in 2019 selling a range of Vegan cruelty-free skincare and body products.

At its height the business was generating annual sales of nearly £5 million and employed a team of 25. However due to trading difficulties they went into voluntary liquidation.

Ms Mallows said: “A lot has happened over the last six years. Having started Mallows Beauty on my kitchen table and borrowing £600 on my parent’s credit card. I had absolutely no idea what I was doing and didn’t know how hard it would be. 

“I just wanted to create a fun brand about body positivity, skin positivity, mental health, self-love and create amazing products. I didn’t expect it to grow as fast as it did or to go as far as it did. I never wanted to be famous or the face of a brand.

“This year has been especially tough. I underestimated how hard it would be to run a business and how hard it would be to grow a business. I have also made loads of mistakes and some of them have been catastrophic. But with every failure there is growth and every failure is a new chapter.”

Warwick Ward

Almost 90 positions have been lost after a long-established earthmoving and waste recycling  equipment supplier entered administration. 

Warwick Ward was founded in 1970 and grew to become one of the largest stockists and suppliers of new and used earthmoving and waste recycling equipment in Europe. 

The business was based in Barnsley but had additional depots in Bromsgrove and Harlow and was employee owned from 2023.

A statement from the company said: “With strong economic headwinds continuing to impact the construction and groundworks market, specialist plant hire operators up and down the country are coming under increased financial pressure. It’s a tremendous shame that these challenges have proven to be so devastating.”

They said the firm had faced significant financial difficulties in recent times, exacerbated by the general drift in capital spending witnessed across the building and construction and waste recycling sectors. 

In response the company undertook an exercise to explore options for refinancing, sale and investment; however, when a solvent solution could not be found, the directors took steps to file for administration. Following this decision, operations across the company ceased and 89 members of staff were made redundant as a result.

So whether you’ve had your Christmas party and are concentrating on the rest of the time to boost your business or if you’re looking forward to a deserved break – you still have time to set the business on a firmer footing in 2026 and beyond.

Get in touch with us today to chat with one of our advisors about what options you’ve got on the table – usually more than you realise!

The sooner you make contact, the sooner you can begin to move forward to the future you want.