Jobs go at optical lens manufacturer
AN OPTICAL lens manufacturing business has gone into administration and half of its workforce has been made redundant.
Andrew Mackenzie and Bob Maxwell of business rescue, recovery and restructuring specialists Begbies Traynor have been appointed joint administrators of Humberside Optical Services.
The business, founded in 1987, is based at 4,500 sq ft premises in Barton-on-Humber near Hull and supplies lenses and optical supplies to opticians across the UK.
Over the past 18 months the company has experienced difficult trading conditions and falling order levels following reduced consumer spending in the eyewear sector as a direct result of the general economic downturn.
Following the loss of a significant customer immediately prior to the appointment of the administrators, 20 of the company’s 40 employees were immediately made redundant in order to align the cost base with current level of turnover.
The £1.5m turnover business was owned by founding directors Malcolm McCullagh and Ann Whelpton.
The administrators are continuing to trade the business and are confident that they will be able to secure a sale of the business as a going concern.
Mr Mackenzie said: “The poor recent trading of the business has left the firm with unserviceable debt, and forced the redundancies in order to give the business any chance of survival.
“The firm has a decent order book, some high quality plant and machinery and a very skilled and loyal workforce, and we are optimistic that a buyer will be found to ensure its long term survival and protect the remaining jobs.”
Customers of the business have been assured that past and future orders placed will not be affected, and the administrators are confident that there will be no delay or interruption to the service to customers.
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