Lake District Biogas Limited (SC491828): administration
- Status
- Administration ended
- Administration began
- 2019-01-21
- Administrators
- Paul Steven Cooper, Paul Robert Appleton
- Administrators' firm
- Investment Partners
- Incorporated
- 2014-11-24
- Location
- Glasgow
- Industry
- 35210 Manufacture of gas
From the administrators' statement
4.1 As a result of the continuing strain on cashflow, the Company was facing difficulties in making key payments, particularly in respect of feedstock supply and digestate removal. In addition, there were two instances of power failure related damage to the plant in December 2018, which adversely effected production and meant that unforeseen emergency costs were incurred. The Board, conscious of its obligations to stakeholders, therefore considered it prudent to approach professional advisers to assist in assessing the short- and long-term viability of the business in its current form.
4.2 Accordingly, David Rubin & Partners was approached by representatives of the Company for insolvency advice. We had sight of certain financial and other pertinent information, including recent management accounts. The Company’s balance sheet as at 31 October 2018 showed a significant reduction in net assets over the eleven months since the completion of the last set of filed accounts.
43 Following an initial review of its financial affairs, it became apparent that the Company had substantial net liabilities and, when viewed together with its struggles to meet supplier and other key payments as and when they fell due, we considered that the Company was insolvent both on a cashflow and balance sheet basis.
Administrators' statement of proposals (2019-03-21) · Companies House register