Leading UK Furniture Business Collapses into Administration
Triumph Furniture Ltd, one of the largest manufacturers of furniture in the UK, has collapsed after an unprecedented drop in sales over the last few weeks.
The furniture company, with bases in Dowlais amd Merthyr Tydfil, went into administration after it was unable to reduce its costs following an unprecedented drop in sales during the course of last 10 weeks.
Established in the year 1946, the family-run business went on to supply furniture to over 600 office furniture sellers in addition to being a key supplier of the central government. The company previously went in administration in the year 2011, when it was saved by a buyout by the management.
Following the sudden collapse, 13 out of the company’s 252 employees have been retained to help administrators with their duties.
The furniture company’s most recent accounts showed a loss of £342,978 for the financial year ended June 30, 2018, compared to a profit of £66,006 for the financial year ended June 30, 2017. The company blames the deterioration in financial performance on delays in implementation of new government contracts. Lost government sales resulted in lost profit of £401,000 as well as a increase of 2% in overheads.
CEO of Triumph Furniture, Andrew Jackson, said that the family is devastated by this sudden collapse and are very worried for the well-being of all its employees at this difficult time.
Partner at Begbies Traynor, Huw Powell, said that it is sad to see a prominent organization like Triumph Furniture fail. The news even more devastating when you consider the fact that there are so many redundancies involved.
He further said that efforts were made to secure backing of major customers as well as additional funding to support a restructure or to sell the company as a going concern but these attempts ultimately proved to be unsuccessful.
- Global Ethics Code Playing Catch Up with Latest Technology Developments
- Regulator Launches an Inquiry into Operations of a Birmingham Based Charity
- Leading UK Furniture Business Collapses into Administration
- What You Need to Know About Forex Order Types
- How Technology is Shaping the Future of Financial Services for the Better
- ICAEW Signs MoU with ICAI
- Companies House Updates the Penalty Appeal Proceess for Late Filing