Throughout the Covid-19 crisis, Mulbury Homes has faced falls in trading, planning delays and rising costs – all of which have resulted in cash flow issues which have caused its collapse
Affordable housing provider Mulbury Homes has fallen into administration. Kroll professionals Andrew Knowles and Steve Clancy will now oversee the sale of the firm’s remaining assets.
Founded in 2010, Mulbury Homes has offices in Cheshire and Manchester. A partner of choice for registered providers, care groups, global financial institutions and land owners across the UK, the company employs around 40 staff, and specialises in the procurement and delivery of affordable housing.
However, along with the rest of the construction sector, the firm has struggled amid the continued pandemic.
Throughout the Covid-19 crisis, Mulbury Homes has faced falls in trading, planning delays and rising costs – all of which have resulted in cash flow issues which have caused its collapse.
A statement from the Mulbury directors said, since we started the business in 2010, Mulbury Homes has worked in partnership with our housing clients to deliver over 2,000 homes across the North West and we are proud of our record. We have been working tirelessly to keep the business going but the current conditions left us with no option but to call in administrators.
Kroll experts Andrew Knowles and Steve Clancy have been appointed joint administrators of Mulbury Homes.
While Mulbury’s statement claimed it has a ‘strong pipeline’ of projects, the administrators have ceased to trade the business as a going concern and made all existing staff redundant.
Knowles remarked, the continued difficult trading conditions, rising costs, and financial pressures as a result of bad debt has led to a weakened cashflow position. The joint administrators are continuing with their duties following the sale, realising assets, and distributing funds to creditors as well as investigating the financial affairs of the Company as part of their statutory duties.