It’s been another busy week as we’re gearing up towards the Eurovision finals in Liverpool at the weekend – the first time it’s been held in the UK for 25 years!

In all the excitement of the semi finals (or in our case Frankie Goes To Hollywood reforming) you might not have seen all the important business and insolvency news stories from the past seven days. 

So whether you’re interested in micro business insolvencies, the potential end of zombie companies, or any other companies going into administration, liquidation or otherwise meeting their Waterloo – you’ll find them all here. 

Howard Russell Construction

Northumberland based Howard Russell Construction has gone into administration. 

They worked across the UK designing and building projects across a range of sectors.

A statement from management said it recognised how liquidity and cash management was key in the construction sector and that the “perfect storm” of the final few months of Covid-19, a boom in the industrial market, material shortages, Brexit, cost increases, shortage of skilled labour and the war in Ukraine had impacted its margin and project programme.  

Auchlochan Garden Village

A retirement village community of more than 200 homes in Scotland has gone into administration. 

The Auchlochan Garden Village retirement complex is now being run by administrators. 

A statement from the business blamed unecominc service charges, staff and maintenance costs and low occupancy levels have contributed to significant and unsustainable losses. 

The village will continue to operate as normal while a buyer is sought and there are currently no redundancies among the 216 staff. 

Sam Monaghan, chief executive of MHA, said: “When MHA originally took over Auchlochan Garden Village in 2009, it was able to prevent it from going into administration. 

“However, the operating model for Auchlochan means it has a range of complex legal, operating and funding issues across the village, which MHA has been unable to resolve despite investing considerable resources over the past 14 years. 

“As a charity , we regret that we cannot continue to do this. This is not a decision we have taken lightly and to support the continuation of services during administration we are able to draw on a contingency fund.

“This will provide the best opportunity for new operators to be found, which includes the potential for leaseholders to set up their own management company. 

Thermoform

A Derbyshire based plastic packaging manufacturer has announced a notice to appoint administrators. 

Thermoform was first established in 1973 originally as a light engineering company but they evolved into providing vacuum formed packaging including purchasing the first TFT thermoforming machine in the UK in 1983. 

Thermoform had previously worked with such well known brands as Tunnock’s, Farmhouse Biscuits and Kinnerton. 

Queen Elizabeth Sixth Form

A sixth form college in Wallsend near Newcastle has announced that it will permanently close at the end of the academic year due to a decline in the number of students. 

49 first year students are being advised about continuing their studies and courses at other colleges throughout the region while a further 66 A-level pupils will be taking their exams this month before leaving in the summer. 

A spokesperson for the college said: “This is a challenging time for further education. As a business we regularly review our curriculum. 

“This review shows that our sixth form offer is no longer financially viable having seen a year-on-year decline in numbers.

“Despite trying to grow the provision with new A level options in the 2022/23 academic year, sadly we did not see growth. With that in mind, we have made the difficult decision to cease our A level provision at the end of this academic year.” 

Lesko

A manufacturer of park lodges based in Peterborough has gone into administration after seeing a drop in demand. 

Lesko Park and Leisure Homes are assessing all the options available to the business while administrators handle affairs.

They produced a wide range of park lodges, park homes and glamping pods. 

Despite this, the business saw a “dramatic fall” in demand for park lodges and homes in the previous year. A spokesperson for the business said: “Amid these difficult trading conditions, the firm had explored every possible option to continue trading.”

Following this process directors decided there was ultimately no alternative to placing the firm into administration.

Despite Summer being just around the corner, the economic black clouds continue to gather including another rise in interest rates – the 12th in succession. 

This is just one more reason why we offer a free initial consultation with one of our team of expert advisors for any director or business owner to arrange. 

After speaking with one of our team of advisors, you’ll have a far clearer idea of what options are open for you and your business to pursue and implement. 

Get in touch with us today to arrange your conversation and you’ll be one step closer to reaching your business goals this year.