Tone World Limited (07512306): administration
- Status
- Administration ended
- Administration began
- 2014-01-08
- Administrators
- Nigel Price, William John Kelly
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2011-02-01
- Location
- Birmingham
- Industry
- 47591 Retail sale of musical instruments and scores
Why it went into administration
- Cash flow / liquidity pressure
- HMRC / tax arrears
- Creditor pressure / legal action
- Sustained trading losses
From the administrators' statement
Tone World Limited was incorporated on 1% February 2011 as a specialist high end guitar retailer At the time of incorporation, there was no business in the M62 corndor or the North West specialising in boutique guitars and related products Gary Sharpe, the Managing Director has over twenty five years experience in the musical instrument retail industry and prior to incorporation had worked as Jornt Managing Director for a long established general music retailer in the Manchester area
The business start up was financed by a £100,000 investment of the directors’ personal funds and a £150,000 EFG Loan from National Westminster Bank pic The directors have personally guaranteed the EFG Loan as well as leasehold contracts in respect of {T equipment, the premises & motor vehicles
Trading commenced on 1° December 2011 from a temporary basement unit whilst the showroom was designed and fit out at a cost of circa £15k The company’s current leasehold showroom was opened in March 2012 There were inttally 5 members of staff, 4 full-time and 1 part-tme The staff were responsible for sales and IT/website population and development The Directors were responsible for maximising sales, margins and also undertook the ‘back office’ management activities A further member of staff was added in October 2012 In response to increased requirements.
Administrators' statement of proposals (2014-03-03) · Companies House register