What business and insolvency news stories have happened already this year?
Welcome to our first news round up of 2025 and we’ve got a bumper selection of the most important and interesting news stories from the past ten days for you in one convenient place.
So if you want to know what important upcoming tax and employment law changes are coming in 2025; why retailers fear this coming year might be as difficult as the last and why 2025 could have more twists in store for Capital Gains Tax – you can read all these stories and more at our advice centre page.
Crafters Companion
Dragons’ Den and Strictly Come Dancing star Sara Davies is planning to return to the company she founded as a student by purchasing it in a pre-pack administration deal.
Crafter’s Companion was formed by Davies in 2005 and is based in Newton Aycliffe where it manufactures and supplies crafting products including stamps, dies, die-cutting machines, embossing folders and cards.
The business entered administration on January 7th 2025 after current directors reached a point where they did not have sufficient working capital to continue.
Under the new deal, Davies will inject capital into the business and return as its chief executive safeguarding the majority of jobs and continuing to trade as a going concern.
Sara Davies said: “As everyone knows Crafter’s Companion means a huge amount to me.
“Having founded it while I was still at university, to have this chance to bring the company back on track is an opportunity I grabbed with both hands.
“There’s no secret that the company was struggling post-pandemic, and its owners tried to pursue an expansion strategy at a time of real economic uncertainty, which was unfortunately unsuccessful. It’s an unprecedentedly difficult time for many retail and consumer businesses.
“This means a lot to me. To be going back to the business alongside the fantastic team at Crafter’s Companion is an opportunity I couldn’t pass up.”
Swifty Scooters
A Manchester electric scooter manufacturer has gone into voluntary liquidation after nearly 15 years of operation.
Swifty Scooters was founded in 2010 but faced several insurmountable challenges including rising production costs, delayed e-scooter legislation and the withdrawal of vehicle insurance underwriters along with an ongoing cost of living crisis.
CEO Jason Iftakhar said: “In a normal business year, you could deal with any one of those things because that’s business. It hits the fan and you deal with it, Brexit and Covid were examples of that but at least they were spaced apart.”
“Currently e-scooters are legal to buy and sell in the UK but cannot be ridden on public highways unless part of the government’s e-scooter trials that were initially set for six months but have been ongoing for four years – the government has been dragging its feet.”
Wharfside Industrials
A specialist metals manufacturer employing over 500 workers based in Wolverhampton has posted a notice of intention to appoint administrators just three months after the firm was bought out of administration.
Wharfside Industrials was formed in September 2024 after Ensco 1 acquired the collapsed Fablink group and its subsidiaries based in Evenwood, Luton, Northampton, Durham and Brixworth in seven pre-pack deals with 521 employees transferring to the purchaser.
The firm specialised in the production of metal pressings, operator cab assemblies, fuel and hydraulic tanks and complex structures as well as the clean build of vehicle assemblies for some of the world’s largest OEMs within the automotive, power generation and material handling industries.
Fablink suffered from a number of adverse events in the previous two years that caused it to go into administration including delays to receiving grant funding to support its relocation to Wolverhampton and the insolvency of one of its major customers which in turn caused a significant bad debt.
Crazy Bear
A hotel group which operates two hotels and in-house restaurants in Stadhampton and Beaconsfield has filed a notice to appoint administrators after attempts to attract new investment failed.
A statement issued on behalf of the business said: “Crazy Bear Group is in advanced discussions with its key stakeholders in respect of a sale of the business following a period of formal marketing.
“Crazy Bear will continue to operate as usual and the group is now working to conclude this exercise and will make further announcements regarding the sale process when appropriate.”
The company had planned to launch new restaurants in the early part of 2025 and was working to attract new investors.
Crazy Bear was founded by Jason Hunt in 1993 at the original Stadhampton hotel with 23 unique boutique bedrooms. The Beaconsfield hotel followed in 2008 and has 48 bedrooms, event spaces and an outdoor swimming pool.
Customade Group
A Gloucestershire window & door manufacturer has undergone a significant financial restructuring preserving 500 jobs but 101 positions have been lost after one of their sub-brands was not sold and has closed down.
Customade Group sold the assets and trade of Polyframe, Stevenswood, REAL and Atlas to new buyers but was unable to find a buyer for their Virtuoso brand based in Newcastle which ceased trading with immediate effect.
Group Chief Executive Will Gold said: “Over the past two years the market for our products has been contracting. We’ve witnessed numerous businesses within our sector struggle and ultimately go into insolvency.
“Our goal throughout the process was to secure the trading future of as much of the group’s previous operations as we could and thereby protect the jobs of as many of our employees as possible.”
Clarkebond Engineering
Clarkebond, a 77-year-old engineering consultant, has ceased operations three months after being acquired by Independent Design House Group (IDHG).
A respected player in the engineering industry, the acquisition was expected to boost Clarkebond’s prospects and protect its 90 employees – tripling IDHG’s existing headcount at various offices across the country including London, Exeter, Bristol, Darlington as well as offices in Ireland and Poland.
Following the move, internal culture clashes led to a number of key staff leaving the firm along with other redundancies impacting contracts and performance which led to undelivered project targets.
Relate (pre-pack)
National counselling charity Relate has been purchased in a pre-pack administration deal by another charity, preserving 185 jobs.
Family Action, a national family support charity, are the new owners.
David Holmes, chief executive of Family Action, said: “We’re excited about the obvious alignment between Family Action – the charity for families – and Relate – the charity for relationships – and see excellent opportunities for mutually beneficial development for our combined organisations in the future.”
Relate will continue to trade under its own branding and the federated network of local counselling services it supports – the Relate Foundation – remains separate and financially independent from the entity acquired by Family Action.
MySpa UK
A Derbyshire hot tub firm has gone into liquidation with the immediate loss of 19 positions.
MySpa UK was founded in Chaddesden in 2008 and won awards for their hot tub installation, servicing and repair.
An announcement said: “We regret to inform you that MySpa UK has made the difficult decision to cease trading and enter liquidation due to ongoing market challenges.
“We sincerely appreciate our customers’ support over the years and sincerely apologise for any inconvenience caused.”
Dancing Leopard
An Indian inspired online fashion brand based in Walsall has gone into administration.
Dancing Leopard Clothing was founded in 2009 by Jade Hildreth and Jack Burrows following a trip around the world.
They were inspired by the vibrant fabric markets in India and set out to create colourful clothes that made people feel good including women’s boutique clothes from dresses to pyjamas and knitwear.
Their designs were worn by celebrities such as Alison Hammond and featured in both Cosmopolitan and Vogue. The company opened an office in Ibiza but was mainly run from the Walsall warehouse facility.
A statement from directors said they were aware that: “cash in the company had declined significantly in the previous year following a decrease in turnover and an increase in expenses due to an operational change.
“The directors are happy that the company has resolved these issues and has been profitable for the final months. The company’s cash flow has become more stable, however the directors note it will take time to build back the working capital.”
Applecart Arts
A popular arts centre in London has announced that it is to close after falling short in a fundraising campaign to keep their doors open.
Founded in 2008, Applecart Arts ran the East London arts centre in East Ham.
In a statement Applecart Arts said the decision came despite making every effort to sustain the organisation and credited the “tremendous support” it had received from patrons, artists and friends.
“After years of serving as a vibrant hub for creativity, storytelling and community connection, we must say farewell.
“The Arts Centre was more than a venue – it was a family, a collective and a challenge to local leaders, showing what could be achieved if the local authority placed more faith and investment in its grassroots organisations.
Local MP and Minister of State for Social Security and Disability Stephen Timms said: “I deeply regret this closure, a huge blow to East Ham.
“We owe Applecart a great deal for their enormous, positive contribution in our community. It’s very disappointing that the Arts Council England grant did not materialise. We now need this superb venue very quickly to be brought back into use.”
According to the Local Democracy Reporting Service, Newham Council, the local authority, faces a £175 million budget deficit over the next three years. More than half of this is attributed to rising temporary accomodation costs as the borough has the highest number of households in temporary accommodation in the country.
EDAM Group
A financial group with its head office in Manchester that provides drivers with credit hire and post-accident repair services has gone into administration with the immediate loss of 101 positions.
EDAM Group Ltd and sub-brands Easi-Drive Ltd and Credit Repair Ltd announced the decision this week.
Another 95 staff have been retained at their support office in Sunderland and depots in Falkirk, Bristol, Hitchin and Horsham to assist in the orderly wind-down of the group’s operations.
A statement from the business was released saying: “Like many players in the credit hire market, EDAM Group has faced challenging macroeconomic trading conditions following structural changes to road traffic volumes encountered since the pandemic, as well as the associated supply chain impact of the UK garage network.”
The statement said the EDAM board had sought to explore options available to the group including a sale, investment, refinance and restructuring options following a sustained period of challenging trading conditions witnessed across the wider credit hire market.
In the absence of other viable options, the group was unable to meet its financial obligations and the directors took steps to seek the appointment of administrators.
Magic Rock
A Huddersfield craft brewer has filed a notice of intention to appoint administrators.
Magic Rock is owned by In Good Company (IGCO) which also owns Fourpure which went into administration in October 2024 to “protect the brand from future liability, ongoing market pressures and tough commercial realities”.
The Fourpure brewery in London was closed in August with production shifting to Magic Rock.
Didsbury Gin
An award-winning Manchester distillery has gone into liquidation.
Alderman’s Drinks, who created the well known brand Didsbury Gin, was formed in 2017 and won bronze prize at the World Gin Awards in 2022 supplying Wetherspoons, Aldi and Harvey Nichols.
They received a £75,000 investment on Dragon’s Den from Jenny Campbell in 2019 for a 15% share of the business. At the time she said: “Didsbury Gin has always been a no-nonsense kind of brand. Just sumptuous, deliciously vibrant gin. This is what caught my eye initially, as well as the strong capabilities of the co-founders, and why I was so keen to invest.”
During the pandemic the company turned its resources towards making hand sanitiser for which the founders received OBEs for services to the community in Greater Manchester.
Hopefully this year brings you everything you want for your business but rather than leave anything to chance – you can begin how you hope to continue by finding out all the options available to you by taking advantage of a free initial consultation with one of our expert advisors.
Get in touch with us and depending what your goals are for 2025 – you can begin to work towards them straight away.