Dragons Logistics Transport UK Ltd (11462828): administration
- Status
- Administration ended
- Administration began
- 2019-10-25
- Administrators
- Ian Robert, Christopher Purkiss
- Administrators' firm
- Moore Kingston Smith & Partners
- Incorporated
- 2018-07-13
- Location
- London
- Industry
- 53202 Unlicensed carriers
Why it went into administration
- Competition / price pressure
- Cash flow / liquidity pressure
From the administrators' statement
The Company was incorporated on 13 July 2018 under the registration number 11462828. The sole director, Mr Edward Lau, was appointed as such on the same date.
Since April 2019, the Company utilised the services of Ultimate Finance Limited (“Ultimate”) for invoice discounting. The Company would receive payment of issued invoices from Ultimate in advance and Ultimate would collect the amounts due directly from the debtors. As is standard practice with invoice discounting agreements, Ultimate secured a fixed and floating charge over the Company's respective assets, including its book debts. This was created on 9 April 2019.
In October 2019, it became clear to Ultimate from the Company's management information that the Company had significant cash flow problems and was insolvent. As such, it had lost confidence in the Company's ability to trade. In addition to having various large arrears, HM Revenue & Customs had commenced seizure proceedings on the Company's motor vehicles, and certain suppliers had placed the Company on stop.
Administrators' statement of proposals (2020-01-02) · Companies House register