Temple Mill Engineering Limited (04267032): administration
- Status
- Administration ended
- Administration began
- 2019-09-13
- Administrators' firm
- Leonard Curtis
- Formerly
- Norbresco Limited
- Incorporated
- 2001-08-08
- Location
- London
- Industry
- 25110 Manufacture of metal structures and parts of structures
Why it went into administration
- Bad debts / customer insolvency
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
- Competition / price pressure
- Rising costs / inflation
- Loss of a key customer, supplier or contract
- Loss-making contracts / project overruns
- Sustained trading losses
- Management failings / irregularities
From the administrators' statement
Following Its incorporation the Company grew steadily by taking on small projects within its local area. With a steady cash-flow supporting the Company tt was able to start undertaking larger projects within just a few years The Company had a policy of tendering for new contracts to maintain a target margin of 13%, which is what the Company assessed was required to maintain profitability This target margin was believed to be a realistic figure based on feedback from customers, however, margins were always under pressure owing to high levels of competition in the Company's market sectors
in December 2015, the Company granted a debenture to Lloyds. The security formed part of a compound guarantee provided in respect of two loan agreements between Lloyds and TMFL The current balance due in respect of these loans is £523,452 These loans are secured primarily by way of a debenture granted by TMFL and a fixed charge held over a freehold property owned by TMFL. TMFL is not insolvent and continues its trading activities and is servicing repayments under the loan agreements
The Company has historically traded successfully Accounts prepared for the year to 30 September 2017 show a turnover of £5,300,196, a gross profit of £771,728 and a net profit of £151,971 and accounts for the following year to 30 September 2018 show a turnover of £4,217,191, a gross profit of £653.758 and a net profit of £61,238
Administrators' statement of proposals (2019-11-02) · Companies House register