The Winding-up Petition
Misco UK have been forced to close the doors on their Greenock branch after the debt-stricken business plunged into administration.
It’s been reported that dismayed staff at Misco UK’s Scottish branch were told that they were being made redundant. Although bosses fought hard to save the business.
The future of MISCO UK did look promising, as the American retail giant PCM, offered to buyout the company. The buyout negotiations did not materialise leaving the chief executive with no choice but to seek advice from accountants.
The staff were, reportedly, aware of the financial issues as they were asked to return home several times within the week. Staff only received a partial payment of their salary for the month.
They were told that they would be receiving notice and letters the following week. This has resulted with around 80 local jobs being lost.
Bosses told the staff that “if a deal couldn’t be reached by midnight then the company would have to go into administration.”
It is understood that Misco’s financial crisis became unmanageable when HMRC issued a winding-up petition. This was due to an unpaid VAT bill that the company inherited following a management buyout earlier within the year.
Around 30 staff, including a ‘handful’ in Greenock, will remain in position until the firm is wound up.
Geoff Rowley, Tom MacLennan and John Lowe, who have been appointed as joint administrators, stated that “Misco UK has ceased trading and the vast majority of the company’s 330 UK staff have been made redundant”.
In the year up to January 2016, Misco UK posted an operating loss of nearly £8.5m, with bosses blaming ‘intense price competition’ and narrow profit margins.
Winding-up Petition Solicitors
If you have received a winding up petition our legal experts are able to provide legal advice and representation. Our team of solicitors and barristers can obtain a court adjournment; CVA’s or successfully challenge the validity of the winding up Petition to ensure that the petition is dismissed, often without public advertisement.