Java Brothers Limited (06505181): administration
- Status
- Administration ended
- Administration began
- 2011-06-13
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2008-02-15
- Location
- Leeds
- Industry
- 5551
Why it went into administration
- Creditor pressure / legal action
- Property / lease costs
From the administrators' statement
The director of the company, Richard Liles, was initially introduced to Begbies Traynor by Bartfields (UK) Ltd (‘Bartfields”), Chartered Accountants in Leeds Bartfields had recommended that the director contact Begbies Traynor to seek advice as to the financial position of the company An initial meeting was held on 27 Apni 2011 and a review of the business was then undertaken over the ensuing three weeks
Java Brothers Ltd operated three coffee shops in Ashton Under Lynne, Blackburn and Bury In total it employed 15 staff on full and part time contracts Drfficulties started when a new shopping centre was opened within close proximity to the Bury shop The new complex attracted a lot of the existing retailers away from the high street and consequently the passing trade for the coffee shop decreased Due to the financial situation the company approached the landlord of the Bury premises in an attempt to negotiate a decrease in rent, which they consented to The landlord would not however consider dropping the £10,000 service charge and this left the company still having comparatively high outgoings
The Blackburn shop then suffered creditor pressure from the council and HM Revenue & Customs started to chase arrears of PAYE/NIC dating back to September 2010, totalling £15,500 for all three shops
Administrators' statement of proposals (2011-08-15) · Companies House register