S.Clewlow Ltd. (06536245): administration
- Status
- Administration ended
- Administration began
- 2013-02-01
- Administrators
- Nigel Price, William John Kelly
- Administrators' firm
- Begbies Traynor
- Formerly
- SC Civil Engineering Limited
- Incorporated
- 2008-03-17
- Location
- Birmingham
- Industry
- 41201 Construction of commercial buildings
Why it went into administration
- Cash flow / liquidity pressure
- Bad debts / customer insolvency
- Sustained trading losses
- Competition / price pressure
From the administrators' statement
The Company was incorporated on 17 March 2008 and commenced trading immediately from premises at the Old Tramway, Fenton, Stoke on Trent
The Company traded profitably for the first two years and tn the period ending 30 June 2011, trading results showed a significantly higher turnover of c £2 2m, gross profit of c £250k and profit after tax of c £6k However management accounts for the nine month period ending 30 March 2012 indicated the Company achieved turnover of c £1 6m but net losses of £299k
The Cormpany secured a tucrative long term contract worth approximately £1 1m in February 2010 Dunng the term of this contract the price of steel increased significantly and it was not possible to recover the additional costs from the customer Certain aspects of the contract were subcontracted to another contractor The client withheld money from the account for work that they claimed was defective and had caused delays to the overall programme The Company unsuccessfully pursued compensation from the Subcontractor through adjudication The associated legal costs were in excess of £40k The Company was not in a position to follow the same procedure against the client and despite every attempt the Company was unable to secure any payment The contractor therefore still owes the Company in excess of £120k
Administrators' statement of proposals (2013-04-05) · Companies House register