GIN Festival Limited (09442829): administration
- Status
- Administration ended
- Administration began
- 2018-07-05
- Administrators
- Nicholas Edward Reed, Julian Pitts
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2015-02-17
- Location
- Leeds
- Industry
- 56210 Event catering activities
Why it went into administration
- Creditor pressure / legal action
From the administrators' statement
The Company traded as an organiser of gin festivals at various locations around the United Kingdom. It would hire venues, often for a number of days, and then bring its own stock and fixtures to those venues and sell tickets to the public to attend. The Company would then sell gin (amongst other items) to the customers. The Company would also hire entertainment and security.
The Company's directors approached Begbies Traynor on 22 June 2018, following receipt of correspondence from a creditor who threatened to issue a winding up petition against the Company. On this date, given the imminent threat to the Company and with no ability to settle the claim, the board resolved to file a notice of intention to appoint administrators (“NOI”). This notice was filed at Court on 25 June 2018 and served to the National Westminster Bank plc (“the Bank”) in its capacity as the Company's only secured creditor, on the same day.
As part of our initial meeting with the directors, we undertook a high level assessment of the business and concluded that the Company was technically insolvent on both a cash flow and balance sheet basis. This was evidenced by: « The inability of the Company to pay the debt due to the creditor threatening winding up action (in respect of an undisputed debt); and « Management accounts for the year to 31 March 2018, which showed a net liability position of £501k at this date.
Administrators' statement of proposals (2018-09-02) · Companies House register