Bio-Force, an environmentally focused catering equipment distributor, is to be wound up after the directors decided that the business was unsustainable.
According to the former sales director of the Leeds-based firm, Owen Bradley: “I was brought into the company last year with a remit to broaden the scope of business. Some areas of the market were suffering and so we needed something to fall back on.”
However, Bradley suffered ill-health this year and was off work for several months, during which time Bio-Force lost a crucial bio waste contract.
“That was the straw that broke the camel’s back and we reluctantly decided the business was not viable,” he told Catering Insight. “We had to go into administration and unfortunately make all of our staff redundant.”
However, a new company has emerged from the ashes: Cater-Force. A separate entity, this business will focus on catering equipment servicing, with some sales available, in the local area.
This has enabled Bradley to re-hire some of those made redundant from Bio-Force and make a new start. “We will start slowly and concentrate on engineering contracts within a 10-15 mile radius, supporting independent local businesses,” he detailed. “Going forward we hope to work with and sub-contract for bigger clients.”
Cater-Force is aiming to honour the service contracts from the previous company, with Bradley reporting that these customers are happy to make the switch, as long as their service level remains the same.
Bio-Force’s statement of affairs from Companies House shows that it entered liquidation with debts of £50,115 and assets of £5,960. Around 60% of the debt was owed to trade suppliers, including Chef Line (£5,748), European Water Care (£1,220), Lincat (£1,794), Mechline (£6,902) and Universal Food Service Equipment (£7,851). The largest creditor was HMRC, with £10,700 owed.
Bradley has approached the former company’s supplier creditors about how to proceed, saying: “We have always carried on speaking to our suppliers and we are hoping to come to some arrangements with anyone Bio-Force owed money to.”