Gluelines Limited (04424519): administration
- Status
- Administration ended
- Administration began
- 2018-05-31
- Administrators
- Andrew Howard Beckingham, David Smithson
- Administrators' firm
- Leonard Curtis
- Incorporated
- 2002-04-25
- Location
- Bristol
- Industry
- 46900 Non-specialised wholesale trade
Why it went into administration
- Cash flow / liquidity pressure
- Funding withdrawn / unable to refinance
- Regulatory change or action
- Competition / price pressure
From the administrators' statement
The Company was incorporated on 25 April 2002 as a vehicle to purchase part of the business of Curtis Industries {U.K.) Limited and commenced to trade as a specialist adhesive distributor and retailer operating from leasehold premises in Eastleigh, Hampshire.
The business had historically been tuming-over circa £265k per annum. The Company looked to expand its wholesale activities by giving customers a wider choice of product at the right price. Its branded product range was diversified and volume discounts on orders were offered. It was a slow process to get customer confidence and traction, but once this was established, the Company's operation began to grow. The Company's turnover eventually rose to £550k through increased adhesive sales before a saturation point was reached. In order to overcome this, the Company expanded its customer offering by adding new product lines such as paints, tapes, and materials.
In the subsequent years, the wholesale market began to shrink quite dramatically due to the increased competition from online retailers and the closure of some of the Company's customers as a result of falling demand for craft supplies. The Company therefore sought to promote its own growth through the direct selling of products to retail customers via its own web site and other digital platforms such as Amazon and eBay. An additional £600k of business-to-customer turnover was created as a result.
Administrators' statement of proposals (2018-07-26) · Companies House register