Coloured Metal Profiles Limited (01709264): administration
- Status
- Administration ended
- Administration began
- 2018-03-28
- Administrators
- Simon Weir
- Administrators' firm
- DS Insolvency
- Formerly
- Asbestos & Metal Sheeting Limited
- Incorporated
- 1983-03-24
- Location
- Leeds
- Industry
- 28990 Manufacture of other special-purpose machinery n.e.c.
Why it went into administration
- Creditor pressure / legal action
- Management failings / irregularities
- Weather / natural events
- Cash flow / liquidity pressure
- Property / lease costs
- Competition / price pressure
From the administrators' statement
After reviewing cash flow forecasts and projections with the Company's accountants alongside those of the associated business, Cover Structure (td, the Directors resolved in the week commencing 12 March 2018 that there was no prospect of either Company being able to avoid entering into a formal insolvency procedure. In respect of Cover Structure Ltd they projected a net outflow of cash to July 2018 of £7.7 million. They concluded that in the event of Cover Structure Ltd entering into formal insolvency, there was no prospect of Coloured Metal Profiles Ltd avoiding the same outcome.
Problems had been mounting at Cover Structure Ltd over the previous 12 months of trading. Their Work in Progress was believed to have been overstated by in excess of £1 million due to the negligence of an internal QS who was subsequently sacked in November 2017, As a consequence, Final Accounts were much lower than budgeted. There were industry wide issues as a result of the Grenfell Tower Disaster.
The collapse of Carillion impacted on suppliers credit terms with industry wide nervousness.
Administrators' statement of proposals (2018-06-02) · Companies House register