Gorleston merchant on the brink of liquidation
Published: 24 January, 2013
Family-run builders' merchant Yarecrete Construction, based in Norfolk, is on the brink of liquidation with 15 staff set to lose their jobs.
Directors Terence and Chris Hall have instructed insolvency practitioners Parker Andrews to wind down the business before the company is liquidated on 7 February.
Jamie Playford, insolvency practitioner for Parker Andrews, said the firm, which had been trading for more than 20 years, had struggled to cope with the poor state of the construction industry and had been 'out-priced' by national builders' merchants. Profits were also hit when it tried to integrate Halls Group builders' merchant into the business which it purchased from administrators in July 2011. Creditors are owed some £300,000 by the company but some of that money is expected to be recovered through the sale of equipment and machinery.
Mr Playford said: "The construction industry had not picked up as quickly as they thought it was going to, and they found pricing difficult when matched against builders merchants like Travis Perkins. The fact that is had bought Halls out of administration had become a cash drain on the firm as they tried to integrate the business."