Foster Mackay Limited (07595709): administration
- Status
- Administration ended
- Administration began
- 2016-11-28
- Incorporated
- 2011-04-07
- Location
- Sutton
- Industry
- 69102 Solicitors
Why it went into administration
- HMRC / tax arrears
- Creditor pressure / legal action
- Weak consumer demand
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
- Management failings / irregularities
- Regulatory change or action
From the administrators' statement
The Company was incorporated on 7* April 2011 to take over a solicitor’s practice called Fosters Solicitors that the director, Edward Foster, had established from an office in Herne Bay, Kent, in September 2002 At the time of incorporation, the firm traded from 8 offices and employed circa 70 staff
The Company traded profitably for a number of years Approximately two thirds of the Company's business was based in residential conveyancing The Company had a contract with retirement house builders McCarthy & Stone which provided a regular income stream of around £200,000 per year in fees
In November, 2013 the Company acquired the business of John Morley & Co Solicitors, which had 3 offices in North Kent and employed around 45 staff Due to unforeseen difficulties (the existence of a number of undisclosed debts and substantial settlements of a number of employment cases) the acquisition of John Morley & Co ended up costing the Company approximately £180,000 This was not anticipated when the transaction was agreed
Administrators' statement of proposals (2016-12-18) · Companies House register