Administrators called in for online bike retailer

Wed, 15 Nov 2017 | ADMINISTRATION

A company that sells bikes and cycling gear online has entered administration on the back of unfavourable trading conditions.

Mango Bikes, based in Gloucestershire, sold custom bikes for use in cities, on roads and as commuter cycles to customers across the UK via its online store.

The company was founded by two university flatmates in 2012 – Ben Harrison, a competitive mountain biker and former World Cup mechanic, and Jazz Skelton, a marketing expert – and would import parts and frames to make custom-built machines. The brand was set apart by painting their bikes in bright, neon colours.

Mango Bikes traded successfully for some years, landing £150,000 of funding from Lloyds Bank Commercial Banking in 2015, which was intended to help the company create 10 jobs and expand its product range.

Over the course of the past year, however, the cost of raw materials needed for making bike parts has increased sharply, hiking up prices throughout Mango’s supply chain. Ongoing uncertainty around Brexit has only exacerbated matters.

Difficult trading conditions meant that earlier this month Harrison bought the company back for only £1, after it stacked up £250,000 and made many staff members redundant, leaving only 5 permanent staff in the firm’s Cirencester head office.

RSM Restructuring Advisory’s Steve Ross and Matthew Higgins were then appointed as joint administrators on 8 November.

Ross said: “It’s early days but we are progressing all options for the business and assets to maximise realisations for creditors."

Neither Ross nor Higgins commented on what future steps Mango Bikes would be taking, though the administrators are considering a trade sale or moving the business to a more profitable location and restructuring.


Share this article



Latest Businesses for Sale

Independent Plumbers Merchant
North East, UK

North East based plumbers merchant supplying local tradesman with an extensive range of plumbing and heating equipment in addition to a wide variety of bathroom products. Comprehensive design and product support service such as 3D design. Stocks high...

Asking Price: Offers Invited
Turnover: £1,231,000

Sales & After-sales Services for Major Manufacturer of Food Processing Equipment
UK Wide

Exclusive UK sales & after-sales service provider for a German manufacturer of food processing equipment. Predominantly works across the convenience foods confectionery dairy & meat processing sectors adding value to the product range through advance...

Asking Price: Offers Invited
Turnover: £2,613,000

Supplier of HVACR Products with E-commerce Platforms
UK Wide

Established trade supplier of heating ventilation air conditioning and refrigeration (HVACR) products such as walk-in cold rooms freezer rooms and commercial refrigeration equipment and components as well as access panels and commercial and domestic...

Asking Price: Offers Invited
Turnover: £805,449


View more businesses for sale

News Search

Latest News

 
07
 
Aug
 

Wrexham-based wire firm falls into administration | ADMINISTRATION

Wire manufacturer Wrexham Wire has fallen into administratio...

 
06
 
Aug
 

Leading UK tour operator Ski Weekends enters administration | ADMINISTRATION

One of the UK’s leading ski tour operators Harris Holi...

 
05
 
Aug
 

Pizza Express puts itself up for sale and looks to close 67 outlets | BUSINESS SALE

Pizza Express has announced that it is seeking a buyer for i...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
07
 
May
 

Sigma Dynamics purchases Manchester software business out of administration | BUSINESS SALE

Sigma Dynamics has acquired the Dynamics 365 Finance and Ope...

 
05
 
Sep
 

Grantham’s Olde Barn Hotel enters administration | ADMINISTRATION

A very highly rated hotel in Lincolnshire has fallen into ad...

 
27
 
May
 

P2P firm Lendy enters administration | ADMINISTRATION

A peer-to-peer (P2P) banking firm has collapsed into adminis...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources