Gateshead flooring company Sandafloor collapses

Mar 15 2010 by Iain Laing, The Journal

A 40-YEAR-OLD flooring business has been placed into liquidation with the loss of 16 jobs.

Gateshead-based commercial flooring company Sandafloor which had worked in offices, hospitals, universities and schools across the North East has collapsed with around £350,000 of debts.

Sandafloor managing director Peter Storey said: “After being with this local business for 39 years it has been very hard to see matters come to this, both for myself and the workforce, but after a recent review of the finances it was clear that there was no realistic prospect of continuing so an orderly closure had to be implemented.”

The liquidator, Greg Whitehead of insolvency practitioners Northpoint Associates said: “The business has traded successfully for many years although margins in a business of this nature are always under pressure.

“The effects of the recession have been felt heavily and this, combined with some bad debts, meant that the company became insolvent and with a severe cash flow situation the directors felt that they had no choice.”