Almost 60 jobs lost as engineering firm goes under
Some 57 people have lost their jobs at a Daventry engineering firm which fell into administration at the end of 2021.
BDL Tool & Die Engineering, which supplied components to the tensioner, motorsport and aerospace industries, called in Begbies Traynor just before Christmas.
The firm, which traded from a 43,000 sq ft premises on the West Marsh Industrial Estate in the town, started to experience financial difficulties when the initial Covid outbreak hit in 2020, as well as having to deal with the impacts of Brexit on the aerospace industry and Formula 1 testing.
BDL Tool & Die Engineering secured multiple Coronavirus Business Loans, according to documents seen by TheBusinessDesk.com, but given the dire state of the company’s finances, these were unable to return it to solvency and given the high level of debt to its secured creditor, HSBC, Begbies Traynor were brought in to consider the options for the company.
Begbies, along with the owner of BDL, decided to wind down the company and make all staff redundant.
HSBC, it transpired, was owned almost £388,000 by BDL, with staff owed just under £55,000, HMRC £685,400 and various unsecured creditors £1.18m.
Begbies estimates that HSBC will be partially paid back, while staff claims should be paid in full. However, HMRC is unlikely to receive the cash it is owed – and neither will the BDL’s unsecured creditors. It total, Begbies says, creditors will miss out on around £1.8m owed to them.
