Bespoke fit-out firm appoints administrator and makes 50 out of 70 staff redundant
Steven Muncaster and Sarah Bell of MCR were appointed joint administrators at Johnson & Johnson Furniture on 17 January 2011 by the directors.
Johnson & Johnson, which employed around 70 staff, is a family-run business which first started trading in the 1960s.
It makes and sells high-end bespoke kitchens, together with bedroom, home office, media room and open plan living space furniture solutions.
In 2009 it entered into a company voluntary arrangement with its creditors. A statement from the administrators said: “Following the CVA, many creditors insisted upon pro forma payments which placed severe strain upon the company’s cash flow.
“There was also downturn in trading conditions during 2010 which further exasperated the company’s trading difficulties and as a result the company defaulted upon its obligations under the CVA.”
So far, the administrators have made 50 redundancies in order to “facilitate ongoing trading” whilst they seek a going concern sale of the business as soon as possible.