Jobs lost as leather goods manufacturer ceases trading

An East Midlands leather goods manufacturer has collapsed into administration after a month of uncertainty over the future of the firm.

The news comes after Roma Leather, based in Naseby, posted two notices of intention to appointment administrators during June.

Now, Tom Straw and Christopher Lewis of the Birmingham office of RSM have been named as joint administrators of the firm.

Turnover was approximately £1.7m in 2022, with the company employing 33 people.

The business was severely impacted by the fall off in high street and online sales which resulted in customers reducing or delaying their demand for the company’s products, say administrators.

Management explored a range of options to rescue the business, including attempting to sell the business and assets as a going concern. However, no party came forward to buy the business on that basis. All employees were made redundant prior to the joint administrators’ appointment and the business has ceased trading.

Straw said: ’Regrettably this 40-year-old company has been placed into administration despite the efforts of the management team to find a buyer for the business as a going concern. This business failure illustrates the issues facing many UK SMEs in the current challenging economic environment.’

Roma Leather was set-up in 1981 and, according to its website, uses Italian and other European leathers to make belts and dog leads.

The firm claims to draw on the skills and experience of local artisans to produce its goods, describing its staff as “masters at their craft”.

The firm says it produces between 5,000 and 10,000 leather belts and small leather goods a week from its factory in Northamptonshire.

In its latest accounts made up to the end of 2022, Roma Leather had assets of just over £750,000 and owed almost £645,000 to creditors. It was owed almost £370,000 over the same period.