Respolab Ltd (12533699): administration
- Status
- Administration ended
- Administration began
- 2020-08-19
- Administrators' firm
- MHA
- Incorporated
- 2020-03-25
- Location
- London
- Industry
- 74100 specialised design activities
Why it went into administration
- Weather / natural events
From the administrators' statement
Creditors should note that, unless otherwise stated, this section of my proposals has been prepared based on information provided to me by the director of the Company and not from my personal knowledge as Administrator.
The Company was incorporated on 25 March 2020 and began operations shortly after. The Company’s primary trading activity was the design of Personal Protective Equipment (PPE), and it was developing face masks specifically for preventing the spread of COVID-19. The Company used third party intellectual property (IP) rights to develop and manufacture a facemask with replaceable filter cartridges which was to be sustainable, without valves and reusable. It is understood that the third-party IP is owned personally by the Company’s director, William Wood. Much of the Company's initial funding came from as a result of a grant.
Mr Wood decided to withdraw the Company’s right to use the IP after it became apparent that the Company was having cashflow issues due to a lack of pre-orders and securing further investment. In part the issues in relation to securing further investment stemmed from a break down in the relations with the original investors, which resulted as a consequence of the minority shareholder failing to deliver on the sales orders that had been offered in exchange for their original equity stake.. The Company was ultimately rendered insolvent as it was not able to pay its liabilities as they fell due and there was little prospect of trading out of the position given the removal of the key IP rights, and it could no longer continue its operations. In light of the situation, Mr Wood decided to seek advice regarding the Company’s insolvency and the options available to the Company.
Administrators' statement of proposals (2020-10-27) · Companies House register