Absols Limited (05837552): administration
- Status
- Administration ended
- Administration began
- 2023-02-24
- Administrators
- John Walters, Francis Gavin Savage
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2006-06-05
- Location
- Brighton
- Industry
- 62020 Information technology consultancy activities
Why it went into administration
- COVID-19
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
From the administrators' statement
Absols was founded in July 2006 by lan Wilkinson. The Company is a service company now based in Stroud, Kent, specialising in creating and managing bespoke IT infrastructure and support solutions to smaller businesses based in Kent. As a managed IT service provider, the Company provided services including end user support, server management, managed hosting services, managed security, cloud-based business continuity solutions, infrastructure design and strategic IT consultancy. The Company's income arises from recurrent contracted income and project income.
Allteks Newco Limited acquired the Company in 2021 and integrated it into the Allteks model, spending a great deal of time developing the business, improving the margins and moving the focus towards systems Management and software support. During the pandemic, the key focus was on protecting employees and customers. That meant going above and beyond the scope of agreed upon contracts to support these customers during a challenging time for businesses around the world. It was also during the pandemic that the Company experienced a significant attrition (over 50%) in its customer base - with some customers acquired by larger businesses, others unable to continue with their business operations, while some opted for cheaper service providers in a bid to keep costs down.
In the 12 month period to 30 September 2022, the Company's profits halved over the previous year. Despite being profitabie, the business had become integral to Aliteks and the businesses were unable in the medium term to generate the cash to meet the funding obligations and the historic debt.
Administrators' statement of proposals (2023-03-21) · Companies House register