A Nottingham-based building maintenance firm has gone into administration, with all 46 members of staff losing their jobs
GM Environmental Services, a Nottingham-based building maintenance firm, has collapsed.
The firm was established in 2006 and was the main provider of building maintenance services to Nottingham City Council. It specialised in a number of areas including roofing and asbestos removal. However, “mounting financial pressure” led the business closing.
Pressure from creditors saw the firm fold
Additional funding had been sought, as had a new buyer for the firm, but increasing creditor pressure meant GM Environmental Services “ultimately ruled out the possibility of the business being saved”.
Administrators Begbies Traynor were appointed on 17 February. Ian McCulloch and Dean Watson will handle the process of shutting down the firm. A handful of staff members have been kept on short-term to handle the administration process.
Speaking to the Nottingham Post, McCulloch said: “It is regrettable to see the demise of such a long standing and well-regarded business. However, due to external factors the closure became inevitable.
“We are continuing to work with key members of staff to maximise realisations for the benefit of the company’s creditors and ensure that former employees receive their entitlements as soon as possible.”
Watson added: “The company has experienced delays in receiving payment on two significant jobs which has had a severe impact on its cash flow which has contributed to its failure.”
A city council spokeswoman said: “There is no impact on current or future GM Environmental Services projects as we are meeting our requirements with alternative providers.”
