FRP administrators save 30 jobs at construction contractor
Administrators sell national contractor Mark Cobb Installations to former customer WT Parker (Retail) Ltd
FRP ADMINISTRATORS have managed to save about 30 jobs at construction contractor Mark Cobb Installations.
Chris Stirland and Nathan Jones, partners at FRP Advisory, were appointed joint administrators on 17 August.
According to a statement from the administrators, the company, which provides electrical and plumbing developments nationwide, experienced trading difficulties during a sustained period of growth, during which time the company’s turnover increased from about £1m to £4m in 24 months.
Stirland said: “Mark Cobb Installations Limited has experienced rapid growth during the past three years, owing to a good pipeline of clients and an expansion of services. Although the company planned for growth, the number and size of contracts exceeded forecasts and working capital requirements.
“Consequently, the business ran into difficulty maintaining supplier payments whilst waiting for payments from contractors.
“It soon became apparent that the profitability of the contracts had decreased to a level that left the company in an unmanageable cash flow situation.”
The directors opted to place the company in administration, with the company now sold to WT Parker (Retail), a former customer of Mark Cobb Installations.
The business and other assets, along with the 30-strong workforce, have been transferred to WT and will continue to trade under the Mark Cobb Installations brand.