Mitch Cassin Groundworks & Construction Ltd (10045947): administration
- Status
- Administration ended
- Administration began
- 2021-08-20
- Administrators
- Gareth Prince, Mark Malone
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2016-03-07
- Location
- Birmingham
- Industry
- 42990 Construction of other civil engineering projects n.e.c.
Why it went into administration
- COVID-19
- Rising costs / inflation
- Sustained trading losses
From the administrators' statement
This Birmingham based groundworks company was incorporated in March 2016 by the sole director, Mitchell Cassin and specialised in new housing developments, road & sewers and commercial groundworks. The Company initially traded from the director's home address and was a modest sized operation with all of the initial set up costs funded by him.
During 2016, the Company won its first contract and then continued to secure new contracts which led to the director hiring additional staff, comprising of a Buyer and an Accounts Administrator. Following this period of successful trading and growth the Company also needed to move to new trading premises. In the following months an Operations Manager also joined the team; further increasing costs and overheads. By late 2019, with the continued success of winning more contracts, the size of workforce had further increased to meet the higher demand. This growth strategy led to additional costs for training, salaries and general office overheads. The Company also relocated into different offices and acquired equipment and vehicles, all on hire purchase agreements.
Unfortunately, in 2020, the global pandemic brought everything to a sudden stop and due to these unforeseen circumstances and the various lockdowns, the director had no other choice but to close the operating sites and all office staff were placed on furlough lasting for 3 months, until the government guidelines allowed construction work to recommence. The Company obtained covid19 support loans during this difficult period.
Administrators' statement of proposals (2021-10-14) · Companies House register