Broadfield Park Hotel Limited (06670060): administration
- Status
- Administration ended
- Administration began
- 2012-03-09
- Administrators
- Anne Clare O'Keefe, Simon Wilson, Scott Gaillie
- Administrators' firm
- AlixPartners
- Formerly
- Hallco 1639 Limited
- Incorporated
- 2008-08-11
- Location
- Manchester
- Industry
- 5510
Why it went into administration
- HMRC / tax arrears
From the administrators' statement
The Company's principal interest was the operation of a 29 bedroom, Best Western branded, leasehold hotel. Despite a recent refurbishment program, the Hotet had been unable to generate sufficient cash to meet its creditor obligations and had faited to adhere to the terms of {ts third ‘Time To Pay’ agreement with HM Revenue and Customs (HMRC).
As the Company’s cash position continued to deteriorate, and in light of the increasing threat of creditor action (most pertinently from HMRC), Zolfo Cooper LLP was engaged on 19 December 2011 to review the cash position and assess the Company’s options. The review highlighted that the business required a significant cash injection to continue trading in the short to medium term. The Company’s bankers, National Westminster Bank plc (the Bank) advised that there was little scope to provide further funding and the Company’s sole director advised that he did not have the means to do so.
The review of the business highlighted that a sate of the business as a going concern would result in the optimum return to the Company's creditors. As a result, Christie + Co LLP was engaged to pursue a sale of the business as a going concern and a full marketing process was undertaken. Several offers were received, however, due to the Hotel’s debt burden, the offers were based on the premise that the business and assets would be purchased from the Company in Administration.
Administrators' statement of proposals (2012-04-04) · Companies House register