Fit-out and refurbishment contractor KelSco has gone into voluntary liquidation with an administrator appointed.
Neil Stanley, a director, blamed lack of cash flow. He said: “People are chasing their money straight away and cash flow is king.”
The company expected a £3m turnover for the financial year ending April 2008, but Stanley said: “All our creditors wanted money at the same time and that brought things to a head.” Net assets in 2006, the last accounts, amounted to £63,429. It was owed £143,299 by creditors.
KelSco now owes suppliers about £400,000. All supplies were said to have been used in commercial refurbishment.
KelSco’s eight staff are unemployed. “It’s a tricky time of the year to find new work, just before Christmas,” Stanley said.