# Karhoo INC. (FC032752)

> Why UK company FC032752 went into administration, from the administrators' statement filed at Companies House, by companydig. Interactive version: https://companydig.co.uk/company/FC032752

- **Status:** Administration ended
- **Administration began:** 2016-11-21
- **Administrators:** Paul Steven Cooper, Paul Robert Appleton
- **Administrators' firm:** BDO
- **Incorporated:** 2014-12-08
- **Location:** Wilmington

## Why it went into administration

- Cash flow / liquidity pressure
- Management failings / irregularities
- Competition / price pressure
- Funding withdrawn / unable to refinance
- HMRC / tax arrears
- Property / lease costs
- Loss of key people

## From the administrators' statement

Karhoo encountered a number of difficulties, which in combination led to the failure of the Group One of the key strategic decisions made by senior management was to build the business based on the concept of first mover advantage The management decided to build scale and size very quickly Global presence and scalability were believed to be essential to success as opposed to starting off with a more geographically targeted approach to prove the concept first, launch and scale later This latter approach was deemed to be secondary to achieving global first mover advantage

One of the key determinants to success was the technology offering The technology capability was not at the level required to launch a seamless product to the client base The Group went through a number of iterations of in house technology teams Most recently the core technology

Karhoo Inc — In Administration Joint Administrators’ Report and Proposals (Para 49)

Statement of proposals: https://find-and-update.company-information.service.gov.uk/company/FC032752/filing-history/MzE2NzUzNDIxM2FkaXF6a2N4/document?format=pdf&download=0
Companies House register: https://find-and-update.company-information.service.gov.uk/company/FC032752

Contains public sector information from Companies House, licensed under the Open Government Licence v3.0.