The owner of the Scottish Jeweller, Henderson, has gone into liquidation causing the company to collapse after trading for 128 years.
Ketling Limited bought the Jewellers last year before it was due to go into administration, however, on the 31st January 2013 after poor trading, Brian Milne of French Duncan was appointed provisional liquidator of the company.
Sadly, most of the Jeweller’s 79 members of staff have been made redundant across 14 branches. At its trading peak, the company had 30 stores across Scotland.
Milne said, ‘Following my appointment, I have initiated a thorough assessment of the circumstances leading up to the liquidation, though it would seem that Henderson has fallen victim to the challenging trading conditions that the economic downturn has imposed on many retailers over recent years.’
Among its debt, the company owed £157,164 to HMRC. MLM Corporate Solutions were appointed administrators in November last year, however the property and assets of Henderson had already been sold to Ketling Limited in September. MLM have been clear to point out they were not involved in the deal between the two companies.
Putting a company into liquidation is usually seen as the last resort. There are other options available like Company Voluntary Arrangements which can protect the company against aggressive creditors and allow a debt repayment plan to be prepared. Still underused in Scotland, the CVA is a very powerful tool. See below for more information: