Outside may be darker in the morning and evenings but as the lights and more frequently the heating go on in our workplaces, you might be as busy as ever getting ready for hopefully a successful last quarter of the year.
But no matter what rate you’re working at, we hope you’ll have time to catch up with all the important and interesting business and insolvency news stories you might have missed from the past seven days!
So if you want to know why August saw a slight respite in corporate insolvency numbers in August or find out more about the 100 year history of VAT and everything you want to know about Winding Up Petitions – you can read all these stories and more at our advice centre page.
Glasfryn Fencing
A popular local family business in Gwynedd has closed with the loss of nine positions.
Glasfryn Fencing was established in 1987 as a sustainable forestry business by the nephew of Portmeirion architect Sir Clough Williams-Ellis, Roger, who died in 2018 aged 94.
A statement from the directors said they regretted having to close before December 22nd as “we’ve got a lot of orders for Christmas Trees and we’ve been busy on the phones having to cancel them all. It’s heartbreaking.”
Additionally, 8,500 trees had been ordered ready for planting as part of the ongoing renewal of harvested woodlands and these too have had to be cancelled as a result.
KCM Kitchens
An Exeter kitchen manufacturer and supplier has closed and entered a creditors voluntary liquidation (CVL) procedure.
KCM Kitchens employed 25 people at their manufacturing site in Exeter providing made-to-order kitchens and furniture across the UK. Its sister company Kettle Co Kitchens which had four showrooms in Plymouth, St Austell, Bodmin and Liskeard is also being liquidated.
Directors confirmed that the main hurdles facing KCM and Kettle that couldn’t be cleared were a combination of factors including increased staff and material costs, a reduction in consumer demand and an accompanying reduction in sales.
i-Ride
One of the UK’s remaining cycling distributors has announced it is going into administration and has made all staff redundant as a result.
i-ride.co.uk are based in Brighton and distribute a wide range of brands including De Rosa bikes and owned the respected Orro bike brand.
I-ride was founded in 1994 and is owned by the Martlet Group and is one of several operators that has run into difficulties in recent years.
The cycling industry suffered particularly from overstock problems which were formented during the Covid lockdowns when cycling became ultra-popular and bikes and components became difficult to come by.
Businesses at all stages of the supply chain put in big orders in anticipation of a years-long boom that never actually materialised.
Murder Trial Live
An events company that brought a live murder trial show to various venues across the country has ceased trading and gone into administration.
Showtour events took place in a mobile inflatable arena but all events including other shows such as The Murder Trial Live, The Post Mortem Live and The Human Body Dissection have been cancelled with immediate effect.
A statement was issued via the company’s website which confirmed the decision and said: “The directors and shareholders met and agreed that the business in its current form was no longer viable and that action to safeguard creditors should be sought in line with the Directors & Companies Duties Act 2006.
“The business battled Covid closures amassing significant survival debts, since the pandemic ended the business has grown thanks to the hard work of the people behind the brand however the ongoing economic turmoil created by domestic political and global head winds have created an environment in which it is now impossible to viably operate.
“The events industry is a very labour intensive sector and requires long working hours, vast pre-payments and working time spent away from home.
“Recent labour shortages, rises in wages as well as ever increasing fuel costs, insurance, IT and advertising costs across the business has driven basic operating costs to such a level that we’re unable to service the legacy debt promptly and operate the events as we planned to the standard we strive for.
“The cost of living crisis that we all feel has drastically reduced consumer spending power and is affecting the volume of ticket sales, on site expenditure and customer expectation.
Dobbies
The garden centre chain has announced it’s seeking the approval of creditors for a restructuring plan to reduce its rent bill and return the group to profitability.
Dobbies are planning to shut 17 of their existing 77 stores which will affect 465 positions. The stores will include locations such as Altrincham, Gloucester, King’s Lynn, Reading and Stratford-upon-Avon. 11 of the stores were large garden centres which they deem to be unprofitable and along with “little Dobbies” high street sites. They are also seeking rent reductions for a further nine sites.
The cold wet spring has come amid a difficult year for garden centres with the high cost of essentials including heating bills, rents and mortgages also prompting households to rein in spending on expensive items such as new fences, patios or garden furniture.
Dobbies was purchased in 2023 by investment firm Ares Management. They said: “The restructuring plan and other strategic initiatives are expected to return Dobbies sustainable profitability through site rationalisations, rent reductions and other tangible cost savings securing its long-term future and allowing access to future investment.”
JPen
A Derbyshire metalworking firm that operated for over 40 years has gone into administration with all 23 employees being made redundant as a result.
JPen, also known as John Patrick Engineering Limited, produced chimneys, ducting, dust extraction equipment, ladders and gantry systems, large steel structures as well as storage tanks, hoppers and silos.
A statement from directors said: “JPen John Patrik Engineering Limited was founded in 1983 initially and JPen incorporated in 2011. We can confirm they have ceased trading and entered into a creditors voluntary liquidation.
“Unfortunately due to market conditions and coupled with the loss of a major customer, which also led to a sizable bad debt, the company was unable to recover from the loss. As a result of the cash flow and creditor pressure, the directors of the company had no option but to seek to initiate a formal insolvency process.”
Cineworld
Cineworld has announced that a judge has finally approved restructuring plans for four of its companies – Cine-UK Ltd, Cineworld Cinemas Ltd, Cineworld Cinema Properties Ltd and Cineworld Estates Ltd – which make up the firm.
As a result five cinemas in Glasgow, Bedford, Loughborough, Yate and Swindon will close immediately.
The court was told that despite being the second-biggest cinema chain in the world, the business was likely to collapse without the plans being approved. The four companies run 101 sites and employ 4,401 staff.
Following the ruling, a Cineworld spokesperson said: “We are pleased the court has approved our restructuring plan. This will enable us to re-set the business for the long term and ensure a sustainable future for Cineworld in the UK.”
There is nearly 25% of the year to go so there’s plenty of time for businesses to have a strong final quarter to bolster their balance sheets or move in a new direction entirely.
No matter what your aims and goals, the sooner you get in touch with us to arrange a free initial consultation, the sooner you can begin to implement the decisions and changes that will get you closer to them.