70 jobs axed at furniture maker

A BELEAGURED furniture maker has gone into administration with the loss of 70 jobs.

Administrators were called in too late to save FM Furniture, established in 1982, which had “long term” trading issues.

Howard Smith and Jonny Marston from KPMG’s restructuring practice were appointed joint administrators to KM Furniture Ltd, the Chesterfield-based manufacturer of educational and contract furniture.

The company, which employed 70 members of staff, ceased trading immediately on appointment of the joint administrators.

Initially, 18 employees were retained by the joint administrators to assist with the completion of work in progress, fitting of furniture on sites, however they are now now longer with the firm.

Howard Smith, associate partner at KPMG and joint administrator, said: “KM Furniture had been suffering sustained trading issues for a number of years.

“Most recently, the company agreed a Company Voluntary Arrangement with its creditors, to help effect a turnaround of the business.

“Unfortunately, however, this was not enough to alleviate the company’s cashflow problems, and the company was placed into administration.”