Pride Park fitness club enters administration

A fitness club  located in Derby County’s iPro Stadium has entered administration after failing to meet its business rates.

Administrators from Smith Cooper have appointed to Funktion Fitness’s parent company Funky Fitness Club after the firm failed to pay £85,000 in rates to Derby City Council – a debt dating back to January 2013.

Dean Nelson, head of business recovery & insolvency at Smith Cooper was appointed joint administrator today (26 July).

Prior to his appointment, the business and its assets were marketed, as a going concern, to a database of parties requesting expressions of interest, with a view to saving the business and jobs.

Despite various expressions of interests being received, and a going concern bid being accepted, subject to contract, this offer was subsequently withdrawn, leaving the director with no alternative but to cease to trade on 25 July and appoint administrators.

Nelson said: “Whilst every effort has been undertaken to try and save the business and its assets as a going concern, protect employees and provide circa 1000 gym members with continuity, unfortunately a sale could not be achieved, and as a result it is regrettable that the company has now ceased trading with all nine employees being made redundant with immediate effect.

“My agents, John Pye & Sons have now been instructed, with a view to realising the company’s asset base.”