We’re into the last month of summer but you’d be forgiven for thinking you’ve been cheated with our “blink and you’ve missed it” weather this year.
It is definitely the holiday season and rain or shine, many people are taking the chance to get away or get some downtime at home.
No matter what you’re doing, if you’ve got a spare few minutes you can use them to catch up on all the important and interesting business and insolvency news stories from the previous seven days right here.
Find out what else has happened this week right here!
Budget retailer Wilko has announced that it plans to appoint administrators from next week.
The chain with 400 stores filed a notice of intention to appoint administrators at the High Court on Thursday and has confirmed it is looking for a buyer to secure additional funds to keep trading.
A notice of intention provides legal protection from creditors for 10 days but does not guarantee that the company will go into administration at the end of the period, merely that this is the intention.
Sales have fallen at the retailer and one credit insurer withdrew cover from them prompting some other suppliers to pause deliveries.
Chief Executive Mark Jackson said: “Today we’re having to take the difficult decision to file a notice of intention to appoint administrators.
“We continue to believe that our robust turnaround plan, with significant re-stablisiation cost savings in progress, will deliver a profitable Wilko and maximise the significant opportunities that we know exist.”
School Milk UK Limited
Unsustainable losses have led to the collapse of a milk distributor that made thousands of deliveries to schools across the north of England every day.
Normanton’s Fresh Pastures Limited and School Milk UK limited have gone into administration with the loss of 66 positions. The company had sustained losses for years despite providing thousands of products to schools, nurseries and councils.
They provided outsourced administration of milk programmes for schools and nurseries.
A statement from the business said: “Unfortunately the business has been loss making for several years and despite concentrated efforts by management it did not prove possible to turnaround performance or find a buyer for the entire business.
“With further losses predicted over the summer and a large funding requirement imminent, the directors took the difficult decision to close. Schools have broken up for the summer so we are hopeful that they now have some time to find an alternative supplier before the Autumn term starts.”
A supplier of ballast and counterweight products in Dudley has gone into administration blaming the impact of the war in Ukraine.
Metalast was founded in 2008 to supply heavy lifting solutions to the marine, civil engineering and heavy lifting industries with clients such as Siemens, JLR and Aston Martin.
Two of its main markets were Russia and Ukraine so the war halted sales to them.
A statement from the business said: “Regrettably, due to the cash flow issues, the company has been placed into administration. This business failure illustrates the knock on effect of the war on some sectors of the UK economy.”
A Gloucestershire manufacturing firm has gone into administration and put itself up for sale at the same time.
Trackwise Designs specialises in printed circuit technology used in the aerospace, automotive, medical and scientific sectors and has been looking for investment since 2022. The sale was listed due to “current financial uncertainty and increased creditor pressure” with administration following 24 hours later.
Chief executive Philip Johnston said: “It is beyond words the disappointment that I feel in having to make this announcement.
“I want to assure all that we have explored all possible routes in raising finance without success. It is with personal regret that the strategy we set out has failed and I can only apologise for the end result.”
Haydon Mechanical and Electrical
A London based mechanical and electrical engineering company is to appoint administrators following the failure of its company voluntary arrangement (CVA) agreement with creditors.
Haydon Mechanical and Electrical arranged a CVA in 2022 as a result of Covid-19 cash flow problems. A statement from the business said: “There can be considerable unpredictable variations in the timing of cash inflows and the pandemic resulted in a slowdown in the industry, delays on contracts, cost increases and the erosion of contract margins.”
The company estimated in its CVA agreement that while it would run until November 2025, the firm would return to profitability in 2022 but for various reasons this has not happened.
Brian Maule at L’Chardon D’Or
One of the most popular restaurants in Glasgow has gone into administration.
Brian Maule at Le Chardon D’Or made the announcement at the weekend with the restaurant closing immediately with all 21 positions being made redundant.
First launched in 2001, the company ceased trading after its final service on Saturday July 22nd.
Like many other restaurants in the UK, they have faced relentless economic and trading headwinds including soaring food and energy costs, the suspension of business rates relief, declinding city centre footfall and consumer confidence dented by the cost-of-living crisis which had a detrimental impact on cash flow and trading performance.
A statement from the restaurant said: “These are tough times for the hospitality industry, which was first left reeling by the impact of lockdown measures during the pandemic, and which has since had to contend with hyperinflation and the impact of the cost-of-living crisis on its customer base.”
The Club at Tuffley Park
A popular wedding venue in Gloucester has announced it will close next month and enter into voluntary liquidation.
Owner of The Club at Tuffley Park, Ross Nichol said the decision to close due to the cost of living crisis, the increase in energy bills, rent charges and the rise in the minimum wage had “broken him”.
He took over the venue in June 2019 as a Community Interest Company but was forced to close it for 18 months due to Covid. He said: “We have tried everything we can to remain open for as long as we have but with bills continuing to rise, it’s no longer possible since being served notice by the city council.
“My hope is that the council will allow someone who would be willing to take on the legacy of the club and keep it in the community. We tried our best but it’s almost impossible for businesses at the moment.
“No money has been taken fraudulently nor has there been any intention of malice behind all this.”
A popular pub in North Yorkshire has taken the “difficult decision” to close after rising costs and staffing issues made it impossible to continue operating.
The Fleece in Richmond will cease operations at the end of the month after honouring existing room bookings.
In a statement, owner Chris Miles described current business taxes as “an incredible burden” for organisations like The Fleece.
He said: “Whilst I do not want to appear bitter, although I am a little to be honest, it is imperative that our Government take action to provide much needed support to businesses like The Fleece.
“We don’t need a handout but we must be able to keep more of the money that we generate. Since opening in May 2019, in addition to the increasing costs we’ve had to contend with, we’ve paid £350,000 to HMRC in VAT and a further £100,000 in employer National Insurance and business rates.
“The combination of unrelenting chronic staffing issues and ever increasing costs mean we are simply unable to continue operating. To be absolutely clear, The Fleece has not gone bust, I am choosing to close at this time to ensure that we can do it on our terms and in an orderly way.”
The Big O Project
A production company for a national touring product called The Big O Project has gone into insolvency.
Written and produced by Kim Cormack, she also managed The Big O Project Ltd which is the company behind the production. The business is being liquidated due to “debt and disability”.
The Big Project O Ltd was set up to bring about discourse and societal change for survivors of violence in the UK through theatre and outreach work. Ms Cormack said: “I am incredibly proud of the work achieved and people we were able to help.
“Due to debt and becoming disabled, I have as company director given notice of intention to strike off the company. It is a devastating situation for all concerned.”
The Big O Project ran from April to June playing in theatres in Coventry, Birmingham and London.
11 cast and production members have been made redundant as a result.
Whether now is the busiest period of the year for your business or if you’re able to take some deserved time off – it’s also the perfect time to plan what you’d like the rest of 2023 to look like for your business.
Depending on what your plans are, our expert advisors will look at where you are now and what choices you have available.
The most important step is the first one so make your appointment today and make hay while the sun is meant to be shining!