CR Services Limited (05432745): administration
- Status
- Administration ended
- Administration began
- 2020-04-15
- Administrators
- Lee Antony Manning, Mark Supperstone
- Administrators' firm
- ReSolve
- Incorporated
- 2005-04-22
- Location
- Hyde
- Industry
- 45111 Sale of new cars and light motor vehicles
Why it went into administration
- COVID-19
From the administrators' statement
As detailed above, the Company was unable to continue trading operations due to the Covid-19 pandemic and - had ceased to trade. Notwithstanding this, the Company was not immediately Placed into Administration at this time.. ;
On 23 March 2020, CLS’ management notified its secured lenders of its inability to generate new business and the fact that CLS would likely default on repayment terms as well as the fact that the lenders were likely to suffer a shortfall on their lending. Following notification of this and concerns surrounding their exposure, one of CLS’ secured creditors, Conister Bank Limited, issued a notice of default and demand in respect of its indebtedness. Subsequently, on 26 March 2020, CLS was placed into Administration and Lee Manning and Mark Supperstone were appointed as Administrators. —
During the Administration of CLS, investigations indicated that there was an outstanding intercompany balance owing from CRS to CLS of c£1.45m, a sum which had increased by c £500,000 since 1 January 2020. This debt was secured by way of a first ranking debenture in favour of CLS. LGB also held a cross guarantee and debenture over CRS in respect of its outstanding debt from CLS and accordingly it served demand on CRS for payment.
Administrators' statement of proposals (2020-06-12) · Companies House register