Wed, 06 Mar 2024 | ADMINISTRATION
UK Salads Limited, a major UK producer of salad items, has fallen into administration and ceased trading. The company collapsed following a period of challenging trading, with approximately 200 staff made redundant as a result.
The firm was founded in 1992 and based in Harlow, North East London. It supplied major UK retailers, including the UK business of German discount supermarket Aldi, with products including cucumbers, tomatoes, peppers and aubergines.
While the details of the company’s struggles have not been disclosed, the UK’s fresh produce sector has been hit by headwinds including energy, transportation and labour cost inflation, as well as post-Brexit issues such as supply chain disruption and labour shortages.
FRP Advisory partners Alastair Massey and Glyn Mummery were appointed as joint administrators to the company on February 28. Speaking to food industry publication Just Food, the joint administrators described the company as "a well-established growing, packing and importing company supplying to major retailers, wholesalers, catering and the public.”
The joint administrators said that “challenging trading conditions” had left the company “unable to meet its financial obligations”, leading to it falling into administration and ceasing trading. They added that they were now considering the options available to the business and “exploring interest from a number of parties.”
Its most recent accounts at Companies House cover the year ending October 31 2022. During that period, the company saw its turnover increase from £51.1 million a year earlier to nearly £69.2 million, while operating profit increased slightly from £725,483 to nearly £790,000. Net profits, however, fell significantly from £854,177 in 2021 to £467,578.
Despite strong turnover growth and resilient operating profit, the company said in the reports it was “facing significantly increasing high costs and turbulent market business conditions.” At the time, its fixed assets were valued at close to £2.6 million and current assets at £22.4 million, with net assets amounting to £10.3 million.
Read more about high insolvency levels in the UK food sector
Click here to download our free guide on finding and buying distressed businesses and assets
Lancashire based exceptionally well-known licensed Indian restaurant on the market for a keen acquirer, the venue benefits from reputation and a desirable location.
LEASEHOLD
This is a rare opportunity to acquire a highly regarded coffee house situated in the heart of a bustling Oxfordshire town. Located on the high street, the business benefits from high footfall and a loyal customer base, drawn from an affluent catchmen...
LEASEHOLD
This charming, family-run cafe is nestled in a prime recreation area of Cheltenham. Known for its environmentally friendly practices and commitment to sustainability, the cafe offers a delightful range of coffee, organic teas, sandwiches, and cakes....
LEASEHOLD
26
|
Jul
|
Tunnelling construction technology company falls into administration | ADMINISTRATION
A tunnelling construction technology company based in Basing...
26
|
Jul
|
Sumer firm RMT completes second deal of the year | MERGER
RMT Accountants & Business Advisors, which is part of the Su...
25
|
Jul
|
Occupational health service provider secures PE backing for acquisitions | BUSINESS NEWS
A Hull-headquartered provider of occupational health service...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
We can help you capitalise on insolvent businesses. We list UK businesses in administration, liquidation and with winding up petitions daily. Ensuring our members never miss out on an opportunity
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.