The Stockport-based building and maintenance services firm appointed joint administrators Russell Cash and David Thornhill from FRP Advisory on Monday. After evaluating the business, the decision was taken to cease trading and make all 80 staff redundant.
FT Finley & Co had been struggling with cash flow for a while in tough market conditions. A planned sale of the business also fell through last month, leaving the company with little option but to call in the administrators.
David Thornhill said in a statement:
“We will now be marketing the company's remaining assets and concentrating on realising as much as possible in the best interests of all creditors. As joint administrators our immediate focus is to assist the 80 staff who have lost their jobs and provide them with the necessary support to submit timely claims to the Redundancy Payments Service.”
Directors have a duty to act in the creditors best interests when a company is insolvent – in this case administration proved to provide the greatest return for creditors as possible.
If you are an employee of the business, please listen to the video below as it will tell you your rights as an employee of an insolvent business. There is a link at the end of the video to the Government website which expands further on what you need to know.