Charltons Furniture Ltd (09856084): administration
- Status
- Administration ended
- Administration began
- 2017-09-04
- Administrators
- Siann Huntley, Andrew Howard Beckingham
- Administrators' firm
- Leonard Curtis
- Incorporated
- 2015-11-04
- Location
- Bristol
- Industry
- 31090 Manufacture of other furniture
Why it went into administration
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
From the administrators' statement
The Company was incorporated in November 2015 as a vehicle to acquire the furniture division of A.J Charltons & Sons Limited which is a long established family business mainly specialising in the supply of gates and fencing, The furniture division had been operating for about 10 years, and specialised in sourcing furniture products from the Far East and then paint finishing them in the UK. The business therefore offered a semi bespoke product to consumers and this gave it a niche position in the market which allowed it to focus on the mid to upper price point and therefore generate increased gross margins.
The existing management completed a Management Buy-Out of the business in January 2016 and commenced to trade from premises in Radstock near Bath. The tenancy at will of these premises is held by A J Charltons & Sons Limited and the Company occupied them by informal agreement only.
The Company has traded at a loss since incorporation and in January 2017, took the decision to reduce dependence on its own spray shop and thus reduce the overheads of this department by importing 80% of its stock from China in a pre-finished state. The aim was to improve margin and stock turn, increase customer service and delivery times, and reduce costs in the business. However, this change in supply resulted in teething
Administrators' statement of proposals (2017-10-12) · Companies House register