For those of us who think we’re still early in the year, this week brings two shocks. It’s less than 100 days until the Paris Olympics begin and less than 250 days until Christmas!
So if you feel like time is flying by, make sure to grab some valuable moments to yourself to contemplate, plan your strategies and of course, catch up with all the interesting business and insolvency news stories from the past seven days that you might have missed.
You can find out why directors disqualifications have doubled in a year because of bounce back loans; why a creditors voluntary liquidation can help you keep control of your company and all the implications of every financial change that came into effect this month – you can find these stories and more at our advice centre page.
Superdry
Clothing manufacturer and retailer Superdry has said it wants to delist from the London Stock Exchange and restructure its finances with official administration a potential option.
The debt restructuring will see a range of cost reduction measures including reducing the rents at 39 of its UK stores and extending the maturity date of several large loans. The business currently has 216 stores and franchises across the country.
A statement from the business said it wants to delist its shares from the London markets as a result of the plans which need to be implemented “away from the heightened exposure of public markets”. Delisting will also help it make additional cost savings but shareholders have to approve the measures at the Annual General Meeting.
Chairman Peter Sjolander said: “The business has faced extraordinary external challenges and, while good progress has been made on our cost-saving initiatives, more needs to be done to be made on our cost-saving initiatives, more needs to be done to get the business on a stable financial footing for the future. While we recognise the compromises we’re asking from some of our stakeholder groups, we would urge them to support the proposals which we believe are the best way of ensuring Superdry’s recovery over the long term.”
Social Enterprise Mark
A community interest company that provides externally assessed accreditations for social enterprises has gone into liquidation and closed.
The Social Enterprise Mark was launched in 2023 and offered a variety of externally assessed accreditations for social enterprise organisations including the social enterprise mark which the company described as “the recognised standard of good practice for social enterprises.”
Holders of the award were required to pay a monthly licence fee calculated on the organisation’s annual income. At the time of the closure over 250 organisations held an accreditation.
Lucy Findlay, managing director of The Social Enterprise Mark, confirmed that the business had entered a creditors voluntary liquidation and had ceased all client and partner activity. She said: “It is our belief that this is in the best interests of our Mark Holders and partners, considering the very difficult operating environment in which we all find ourselves currently.
“We have led the way in demonstrating and proving the great work that social enterprises across the world do, and valuing what makes them different from shareholder led businesses.
“When the company first launched social enterprises were poorly understood and lacked credibility. Today they are legitimate, mainstream ventures which are valued and trusted. The Social Enterprise Mark has been central to building this legitimacy and our legacy continues.”
Burntisland Fabrications (BiFab)
A Scottish engineering company has gone into administration after ministers ruled out nationalising the company.
Burntisland Fabrications (BiFab) employs 500 workers on a wind turbine scheme but the Scottish government confirmed they could no longer provide the necessary financial support. Their parent company DF Barnes bought the business in 2018 but said it was “not an investable company at the time”.
The company has yards in Burntisland, Methil and Lewis.
A statement from the business said: “BiFab can confirm that the board has agreed to place the company in administration following the Scottish Government’s decision to remove contract assurances.
“The company has worked tirelessly to bring jobs into Fife and Lewis, with some success. However the absence of supply chain protections in Scotland and the wider UK have consistently undermined our ability to compete with government-owned and government-supported yards outside and inside the European Union.
“We would urge the Scottish and UK governments to address these structural challenges as a matter of urgency in order to ensure that the benefits of offshore renewables are shared more widely with communities across the country.”
The Scottish government has argued that state aid rules prevent it from financially supporting the company further.”
Safe Stage Services Limited
A theatre stage engineering specialist in West Yorkshire has gone into administration and ceased trading with immediate effect.
Safe Stage Services Limited were based in Halifax and were founded in 2016 to provide steel manufacturing and installation services for stages in theatres and studios. As well as supplying stage and performance system products, the company also had its own in-house design and fabrication teams.
The company provided technical stage engineering services including stage lift installation, hoists and drapes, rigging, trussing and variable acoustic systems. Despite a great reputation and working on projects in the UK and internationally, the business suffered as a result of cash flow issues and, due to its financial position, was unable to continue trading.
Two full time employees were made redundant as a result and a process is now underway to sell the assets of the business to repay creditors.
Great North Eastern Brewing Company
A Dunston beer company has gone into administration blaming a series of headwinds including pub closures, rising energy costs and difficulties repaying a bounce back loan.
The Great North East Brewing Company appointed administrators despite attracting new investment and funding a year ago from the British Enterprise Fund (BEF).
The company produced a range of cask, keg and bottled beers produced not far from the old Federation Brewery site in the town producing 6,000 litres of ale a week for more than 400 customers across the region and further afield.
Founder Ross Minnikin said: “It’s been the closing of the pubs, rising costs of hops and malt, electricity prices that have squeezed margins, and the impact of bounce back loans that have caused this.”
Platform Hub One
One of the UK’s most well known gaming bar chains has ceased trading and gone into liquidation.
Platform, trading as Platform Hub One Ltd was founded in 2018 and opened two venues in Shoreditch and Canary Wharf for gamers to enjoy drinks while they played with friends.
A statement was issued to partners this week that read: “Unfortunately, due to the company’s financial position, it is with regret that we must inform you that the decision has been made to cease trading and place the company into a creditors’ voluntary liquidation.
Two other ESports venues have closed this week too, Sidequest which had gaming bars in Westfield and also Canary Wharf and The Wired Lobby in Middlesbrough.
Royal Oak Tree Services
A well-known Arbroath arborist has gone into liquidation with the loss of 40 positions.
Royal Oak Tree Services was formed in 2007 performing services for private households and companies including contracts with Amey and Transport Scotland to maintain all trees and landscaping in an area from Rosyth to Inverness in the west of the country.
A statement released on behalf of the directors said: “It has been proved to the satisfaction of the meeting of shareholders that the company cannot by reason of its liabilities continue its business and that it is advisable to wind up the same and, accordingly, that the company be wound up voluntarily.”
Urban Paws
An animal talent agency owned by a former reality TV star has gone into voluntary liquidation.
Urban Paws UK was owned by Layla Flaherty who starred in the E4 scripted reality series “Desperate Scousewives”.
In a statement, Ms Flaherty said: “You may have heard that Urban Paws Ltd has entered liquidation.
“The business completely stopped trading during Covid and this lasted longer and a bit more deeply than any of us could have imagined. During that time, we continued to honour our commitments to all of you and our team.
“The bill from HMRC alone was eye-watering. I have given my all to recover from this.
“It is with a heavy heart that I want to tell you first that this has proved to be impossible and Urban Paws took the decision to close when this became clear due to rising interest rates and a cost-of-living crisis.”
Factory Transmedia
An animation and TV studio that produced a reboot of the beloved Clangers as well as Scream Street and Strange Hill High has been placed into voluntary liquidation with the loss of eight positions.
Factory Transmedia Ltd was formed in 2000 and expanded to offices in Stockport and the main studio in Altrincham.
A statement from the directors said: “The company has employed hundreds of creative, talented people, building a reputation for production and creative excellence.
“We specialised in a diverse range of animation-led projects but unfortunately, over the last 12 months, the number of projects being greenlit by broadcasters around the world has been severely cut as the global economy and audience behaviours have changed markedly.
“These challenging market conditions were a significant factor in the insolvency of the business.”
The company’s assets are being sold via an online auction including puppets of various well-known public and popular culture figures used for “Newzoids” which ran in 2015 and 2016.
Lymington Boat Makers
A South West boat maker is hoping to find a buyer after going into administration.
The directors of Lymington Boat Makers, formerly known as Scorpion RIBs, confirmed the decision following high inflation and falling sales.
Mainly producing vessels for the leisure sector, the business had produced several designs from their commercial division which began in 2013 including the fast patrol boat Scorpion Sting Cabin Top.
A statement said: “The firm survived Covid restrictions in 2020 but has since faced other difficult market conditions. The outbreak of war in Ukraine resulted in prices increasing rapidly. With contracts already agreed for a fixed price with its customers, the company – like many others – has felt the squeeze on profits.
“At the same time interest rates began to rise and finance for luxury goods became more expensive, resulting in sales falling.
“Following expert guidance, it was agreed that whilst the company no longer had sufficient cash flow to continue trading, there remained potential in the underlying business. There is already interest in a sale, showing the strength of the Scorpion brand.
“It appears that if the business can be moved into a viable company then it could have a promising future.”
ARGLA
A County Durham based glass and aluminium business has gone into administration and ceased trading with immediate effect with the loss of 45 positions.
Architectural Glass and Aluminium Ltd (ARGLA) specialised in designing, manufacturing and installing architectural glass and aluminium primarily for commercial clients.
Directors said the company had suffered unanticipated losses on a major contract and was also dealing with an ongoing legal dispute with one of its main contractors. This resulted in the company incurring a large working capital requirement and despite their best efforts to alleviate these issues, they were unable to secure additional financial support.
A statement confirmed: “Such a large drop in profit on two large contracts significantly and rapidly impacted the viability of the business and the directors had to take the difficult decision to appoint administrators at short notice.”
Harrogate Steel Company
A Yorkshire steel design, fabrication and installation service has gone into administration.
Harrogate Steel Company Ltd was founded in 2016 and worked on construction projects locally including the new stand at Harrogate Town FC but also on sites in Bristol and London.
The business employs 28 workers.
Brooksdale
A tax rebate agent is pursuing a creditors voluntary liquidation leaving questions for customers who are yet to receive their tax refunds.
Brooksdale’s clients seek tax rebates from HMRC with the company charging recipients a 48% fee on any amount successfully claimed. They operate on a no-win, no-fee basis. Their clients were seeking tax refunds as they had received compensation when they were mis-sold payment protection insurance, payday loans or packaged bank accounts and were then wrongly taxed on the original payout.
They also handled claims for marriage tax allowance, uniform allowance and work from home allowance.
Brooksdale is one of 200 tax rebate agents operating in the UK that are collectively used by around 500,000 customers annually.
Regardless of whether you have something to look forward to in the very near future or are marking down the days on the calendar until the summer holidays – time is ticking by for you and your business.
Are you honestly making the most of it?
If you make an appointment for a free initial consultation with one of our advisors, you will have a lot of new ideas and opportunities to use your time more effectively in your business to bring your plans closer to fruition.