Catering consultancy firm Radford Chancellor Ltd ceased trading on Thursday 16 January and entered insolvency the following day.
However, founder and MD Radford Chancellor is hoping to stave off liquidation so that as many creditors as possible can receive as high a dividend as achievable.
He told Catering Insight: “As we all know, trading conditions were not easy during the later months of 2019. We had to end a loss-making contract with an overseas company which meant considerable staff and debt restructuring.
“We very much hoped to recover and keep trading with a smaller set-up. But soon after this, another overseas company cancelled a contract without any notice. Subsequently they have withheld payment of monies due to us.”
Chancellor went on to explain: “In addition, like many others, we experienced a slowdown in business in November and December, largely thanks to the delays and uncertainty over Brexit. Our cash flow has not been helped by some of our clients delaying payment as they, too, faced cash flow problems.
“It became clear that Radford Chancellor Ltd, in its present form, could no longer continue trading. So there was no alternative but to close the company completely.
“We would like to thank our clients and suppliers for the support they have given us over the last 10 years.”
He indicated that he plans to establish another consultancy in future, though without the manufacturing agency arm that Radford Chancellor Ltd featured.