A-B-A-C-U-S Franchising Company Limited (04987125): administration
- Status
- Administration ended
- Administration began
- 2016-09-02
- Administrators
- Gerald Maurice Krasner, Gillian Margaret Sayburn
- Administrators' firm
- Begbies Traynor
- Formerly
- Sandco 821 Limited
- Incorporated
- 2003-12-08
- Location
- Newcastle upon Tyne
- Industry
- 69201 Accounting and auditing activities
Why it went into administration
- Creditor pressure / legal action
From the administrators' statement
An initial meeting between Gerald M Krasner of Begbies Traynor (Central) LLP and Stephen Jackson the Dyecior of the Company took place at the Company's premises on 7 July 2016 The Company had received a winding up petition on 12 May 2016 due to be heard on 8 July 2016 The winding up petition was from Abacus 8 Limited one of the franchisees who claimed that the Company had failed to provide Abacus 8 Limited with the amount of leads into new clients that the Company was obliged to do under the relevant franchise agreement The Company was not in a position to pay the £22,000 which had been judged to be due to Abacus 8 Limited
Immediately following this initial meeting Gerald M Krasner requested the hearing be adjourned to allow the Company to take insolvency advice This was granted and the hearing was adjourned to 9 August 2016
The Company's difficulties stemmed from the 2008 recession The business model involved selling franchises to in house finance directors and controllers who wanted to set up accountancy practices As the economy became more uncertain less people were prepared to leave their jobs and take the nsk of setting up on their own The Company was recerving less in terms of tnitial franchisee fees but as time passed the income steam from the existing franchisee was reducing and dropping off as the franchise periods came to an end
Administrators' statement of proposals (2016-11-04) · Companies House register