Digital Electronic Products Limited (06003830): administration
- Status
- In administration
- Administration began
- 2026-04-01
- Administrators
- Philip Lawrence, Gareth Howarth
- Administrators' firm
- Path Business Recovery
- Incorporated
- 2006-11-20
- Location
- Manchester
- Industry
- 32990 Other manufacturing n.e.c.
Why it went into administration
- HMRC / tax arrears
- Loss of a key customer, supplier or contract
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
- Creditor pressure / legal action
From the administrators' statement
The Company first experienced significant operational difficulties in June 2023, following the incapacitation of a key individual, whose absence severely impacted performance. This compounded earlier challenges, including the loss of a major contract in 2021 that halved turnover. Creditor pressure became unmanageable in July 2025. Cost-cutting measures included workforce reductions and nonreplacement of staff. A Time to Pay arrangement was agreed with HMRC for PAYE liabilities. Efforts to sell the business have been ongoing for two years, with further credit support provided personally by Yaacov Zvi Kahn.
In the Directors’ opinion, the principal reasons for failure were a downturn in customer orders, delays in the delivery of raw materials, and the loss of key personnel and contracts. The final trading period was marked by attempts to sell the business and restructure operations. At cessation of trade, the Company was in the process of being sold, with the intention that trading would continue under new ownership.
The Company granted a fixed and floating charge to Barclays Bank plc on 26 February 2016. By mid-2025, it had become apparent that the Company required funding beyond the level available from its Bank. Neither the Company, nor its investors, were in a position to advance the necessary funds to meet obligations such as wages. A review of cash flow revealed insufficient working capital to sustain operations while a purchaser was sought. Discussions with Barclays Bank ple confirmed that the Bank was unwilling to provide further funding support. Consequently, the directors concluded that a pre-packaged Administration was the best course of action.
Administrators' statement of proposals (2026-06-03) · Companies House register