William Anelay Limited (00218686): administration
- Status
- Administration ended
- Administration began
- 2016-09-08
- Administrators
- Robert Alexander Henry Maxwell, Julian Pitts
- Administrators' firm
- Begbies Traynor
- Incorporated
- 1927-01-03
- Location
- Leeds
- Industry
- 43999 Other specialised construction activities n.e.c.
Why it went into administration
- Creditor pressure / legal action
- Loss-making contracts / project overruns
- Competition / price pressure
From the administrators' statement
in 2015 the Company carried out work with developers on a number of larger, more complex projects These projects were within the Company’s tumover targets However, the expected margins were not achteved and substantial losses were made
In January 2016 the Commercial Director, who was crucial to the Company's operations, particularly management of the Company's QS department and the preparation of key financial reports and projections, handed in his resignation During his notice period it became apparent to the directors of the Company that the figures reported to the Board by the Commerctal Director had been inaccurate {t was also established that the Company's management reporting system was not up to date and was wholly inaccurate, portraying an unrealistic return from projects, especially the complex developer contracts
The Company began to face senous cash flow issues and, following an urgent review of the situation, new management measures were put in place The Company also began taking steps to reach informal agreements with subcontractors and suppliers in order to assist with the cash flow demands These were mainly successful However, creditor pressure was increasing and it was becoming more difficult to deal with the cash flow issues on a longer tenn basis
Administrators' statement of proposals (2016-11-03) · Companies House register