Sawrite Company Limited(The) (01322860): administration
- Status
- Administration ended
- Administration began
- 2011-07-21
- Administrators
- Stephen Paul Grant, Anthony Malcolm Cork
- Administrators' firm
- Asset Recovery & Insolvency
- Incorporated
- 1977-07-25
- Location
- London
- Industry
- 9305
Why it went into administration
- Cash flow / liquidity pressure
- HMRC / tax arrears
- Sustained trading losses
From the administrators' statement
The Company commenced trading in October 1972 and was financed by a company in the metal industry In 1974 Nigel Viney bought the Company and traded as a sole trader The Company was incorporated in 1977 and at that time specialised in metal cutting saw blades In the 1990's after a lot of metal working companies moved away from the South of England this Company started to offer a full saw sharpening service sharpening all types of saw blades and related tooling
The Company continued to grow and in 2002 it moved to a larger unit and invested heavily in robotic machinery enabling it to work 24 hours a day It purchased 2 other sharpening companies and increased its turnover rapidly In June 2008 it purchased Andy Foreshew Saws adding another 20% of business, but had to pay for it over the next 3 years, along with purchasing another saw centre to cope with the additional work
Cashflow and consultations with both the Company’s accountants and bank manager confirmed that the business could meet the extra payments and this proved to be correct until the banking crisis hit the manufacturing industry in November 2008 and the turnover dropped 35% almost overnight With such a drop in income, finances became stretched but the directors and shareholders believing that the Company could make cuts borrowed money personally to keep the Company trading
Administrators' statement of proposals (2011-09-13) · Companies House register