Fileturn Limited (03604089): administration
- Status
- In administration
- Administration began
- 2024-08-28
- Administrators
- Joann Leach, Francis F A Wessely
- Administrators' firm
- Quantuma
- Formerly
- Fileturn Holdings Limited
- Incorporated
- 1998-07-24
- Location
- Maidenhead
- Industry
- 82990 Other business support service activities n.e.c.
Why it went into administration
- Creditor pressure / legal action
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
From the administrators' statement
3.1 During 2022-2023 the Company commenced work on a substantial hotel project in the Surrey Hills which involved the conversion of an existing dower house on the property plus the new build of associated apartments within the grounds. Although this was outside the ordinary fitout business of the Company, the risks were judged acceptable. Unfortunately, the technical challenges were not fully identified until after works had commenced. These challenges were then combined with the impact of having to replace the mechanical and electrical contractor, who repudiated their contract shortly before their works commenced.
3.2 This resulted in a substantial loss when works ceased in December 2023 from which the Company struggled to recover. Despite winning an adjudication against the subcontractor, which ruled that they had repudiated the contract, further legal action was anticipated to identify the quantum of damages incurred which informally has been estimated at cE2.4m. This was expected to take place in Q2 or Q3 2024.
3.3 The subcontractor responded by filing a claim at the High Court seeking to overturn the original decision and refute that they had repudiated the contract.
Administrators' statement of proposals (2024-10-30) · Companies House register