Luxury-house builder Kenham Building has called in administrators, with all staff made redundant.
The west London firm appointed ReSolve partners Cameron Gunn and Chris Farrington as administrators after encountering cashflow problems.
Kenham operated for 25 years but hit technical challenges related to groundworks on a large residential refurbishment scheme. After losing money on the job, it approached advisory firm ReSolve shortly before Christmas to assess its options.
With no significant pipeline of new work and clients rejecting existing contracts, all staff were made redundant. The company had an average of 19 staff in 2022, but ReSolve has not confirmed how many were made redundant.
ReSolve partner Chris Farrington said: “It is unfortunate to see a business with a strong trading history and a portfolio of superb construction projects completed over the course of many years, encounter the difficulties experienced by Kenham Building.
“It is also particularly regrettable that staff were not able to be retained through this process, a reflection of the extremely challenging conditions being experienced not only by Kenham but the wider construction and homebuilding sector.
“At ReSolve we have an extensive track record of approaching challenging corporate situations with sensitivity and speed. Our work will now be focused on ensuring the best outcome for all stakeholders.”
Kenham’s last filed accounts show that at the end of 2022 the firm had more than £750,000 in cash along with £2.3m owed to it by debtors.
The sum owed to creditors within the following year stood at £2m, but this was down from £3.1m at the end of 2021.