Boma (UK) Limited (05081626): administration
- Status
- Administration ended
- Administration began
- 2013-11-04
- Administrators
- Jonathan Elman Avery Gee, Stephen L Conn
- Administrators' firm
- CG&Co
- Incorporated
- 2004-03-23
- Location
- Manchester
- Industry
- 56101 Licenced restaurants
Why it went into administration
- Property / lease costs
- Sustained trading losses
- Cash flow / liquidity pressure
From the administrators' statement
The Company operates a restaurant from leasehold premises adjacent to the Marriott Hotel, Hale Barns, Cheshire The Company has traded from these premises since Incorporation in 2004 The Company had historically generated profits but the general economic climate had meant that the turnover declined from previous levels causing cash flow difficulties resulting In a reduction in gross profits which with the fixed overheads, which were not capable of being reduced, caused trading losses to be incurred In July 2013 the director attempted unsuccessfully to renegotiate the terms of the lease together with a payment plan for the arrears which had accumulated at that juncture
CG&Co were approached by the director of the Company in October 2013 following distrait proceedings by the landlord in respect of the arrears of rent Further negotiations took place by the Company with the landlord’s agents but a solution could not be achieved The director explained that the cash flow of the Company was insufficient to pay down the rental arrears Advice was then sought from auctioneers and values, Robson Kay & Co Limited, as to the saleability of the busmess as a going concern Robson Kay & Co Limited recommended that in their opinion the business could be saleable and had value The director was advised that
administration was likely to produce a better result for creditors than could be achieved In
Administrators' statement of proposals (2013-12-24) · Companies House register