Shawyers Limited (trading as Shawyers Tree Specialists) (In Administration)

Transcription

1 Shawyers Limited (trading as Shawyers Tree Specialists) (In Administration) Administrator s final report in accordance with Rule of the Insolvency Rules 1986 For the period from 29 May 2011 to 20 October Venture Road Science Park, Chilworth Southampton SO16 7NP

2 SUMMARY INFORMATION Court The Company High Court Chancery Division Court No of 2010 Shawyers Limited (Trading as Shawyers Tree Specialists) Registered Number Registered Address Trading Address Activity c/o, 2 Venture Road, Science Park Chilworth, Southampton, SO16 7NP Spencer Place Farm, Sandy Lane, Waltham Chase, SO32 2LR Tree Surgeons Date of the Administration 29 November 2010 Administration applied for 29 November 2010 Purpose of Administration Appointor Administrator Achieving a better result for the company s creditors as a whole than would be the case if the company were wound up (without first being in Administration). The Company c/o Garbetts CCA 2-6 New Road Brading Isle of Wight PO36 0DT 2 Venture Road, Science Park, Chilworth, Southampton, SO16 7NP Date of Appointment 29 November 2010 Date of Approval of Proposals 11 January 2011 Extensions to Administration period Not Applicable End of Administration period 20 October 2011 Page 2 of 5

3 Introduction This report has been prepared in accordance with Rule 2.47 of the Insolvency Rules 1986 to provide creditors with an update on the progress of the Administration of Shawyers Limited ( the Company ) for the period from 29 May 2011 to 20 October It should be read in conjunction with my previous reports and correspondence to creditors. The following attachments accompany this report: Appendix A Administrator s proposals approved at the meeting on 11 January Appendix B Receipts and payments account for the period 29 May 2011 to 20 October Appendix C Analysis of Administrator s time costs during the period of this report and the period of the previous report. Appendix D Analysis of Pre-Appointment time costs Appendix E - Creditors guide to Administration fees. Overall Strategy The Administrator of a company must perform his functions with the objective of: 1) rescuing the company as a going concern, or 2) achieving a better result for the company s creditors as a whole than would be likely if the company were wound up (without first being in administration), or 3) realising property in order to make a distribution to one or more secured or preferential creditors. A sale of the Company s business including all of the plant and equipment was completed on 29 November In this case it was not deemed possible to rescue the company as a going concern because the value of the assets was substantially less than the liabilities. The second objective, that of achieving a better result for the company s creditors as a whole than would be likely if the company were wound up was achievable because the goodwill and assets of the company were sold on the date of my appointment. Also there were funds paid to the secured creditor. Asset Realisations Leasehold property The Company rented premises at Spencer Place Farm, Sandy Lane, Waltham Chase, SO32 2LR. No formal lease existed Asset sale Following advice from my agents, Asset Recovery and Insolvency Limited, and after consulting with the top two creditors by value, a sale of the business and certain assets was completed to Aboriculture Limited on 29 November 2010 for 21,000. This was made under deferred terms. To date 19,000 has been received. As stated in my last report I did not collect the remaining balance of 2,000 as this sum would have been paid in full to the secured creditor, National Westminster Page 3 of 5

4 Bank plc. The owner of Arboriculture Limited, Mr Martin Shawyer, will instead pay this sum direct to National Westminster Bank plc, under his personal guarantee. Book debts On my appointment the Company s debts totalled 17, To date 14, has been collected. One debt remains outstanding and is unlikely to be received. Other receipts Refunds of business rates totalling 574 have been received in respect of the leasehold premises. The only other receipt has been bank interest. Other Matters All of the company s employees transferred to the purchaser of the business. Administrator s Remuneration My fees as Administrator were approved on 11 January 2011 by creditors by reference to the time properly given by me and my staff in attending to matters arising in the Administration on a time cost basis. A breakdown of time costs for the period 29 November 2010 to 28 May 2011 is attached at Appendix C as detailed in my previous progress report. Administrator s fees drawn during this period on account of these time costs total 8,530 plus VAT. A breakdown of time costs for the period since my last progress report to 20 October 2011 are set out in Appendix C(1). Time costs total 2,293.50, being 18.1 hours at an average hourly rate of These costs have been incurred in asset realisations, correspondence with the directors and creditors, liaison with agents and solicitors, cashiering duties and general administration including compliance with statutory matters. No fees have been drawn during this period. Pre-appointment costs total 4, being 28.7 hours at an average hourly rate of Attached at Appendix D is an analysis of these time costs. Fees drawn to date on account of these time costs total 3, plus VAT. (A reference to this is contained in the minutes of the first creditors meeting). No expenses have been incurred during the period. As shown on Appendix B, expenses of 2,137 were incurred in the period 29 November 2010 to 28 May 2011 in respect of Legal fees, Agents/Valuers fees, Statutory advertising, and Bond fees. A Creditors guide to Administration fees is attached at Appendix E. Page 4 of 5

5 Creditors Prescribed Part No funds are to be set aside under the provisions of Section 176A of the Insolvency Act 1986, as no charges have been registered after the relevant date. Preferential creditors The estimated outcome statement indicated there were no preferential claims. No preferential claims have been received. Secured creditors The amount due to National Westminster Bank plc, secured by its debenture dated 15 August 2001, has been reduced to 4, Any residual amount will become repayable by the director under his personal guarantee. Unsecured creditors As indicated in my letter to creditors dated 17 December 2010, there are insufficient funds available to pay a dividend to unsecured creditors. Conclusion I am now ceasing to act as Administrator. Notice is being sent to the Registrar of Companies to move the company from Administration to Dissolution in accordance with section 84(1) of Schedule B1 of the Insolvency Act Should any creditor have any queries regarding this report, please do not hesitate to contact me. Administrator Dated 20 October 2011 Page 5 of 5