Catering and kitchen equipment manufacturer Lines and Jones has entered into administration after the company ran into “financial difficulties” earlier this year.
Carl Jackson and Andrew Watling of business advisory firm Quantuma have been appointed as joint administrators, and the group’s manufacturing plant and freehold property are due to go to auction – after attempts to find a buyer for the business were unsuccessful.
According to the Quantuma, the financial difficulties were a result of reducing cash flow and challenges surrounding staff retention. Prior to its appointment as administrators, 20 employees were made redundant.
Founded in 1947 and based in Morecambe, the manufacturer of metal products provided services across the UK and had an annual turnover of £1.1m.
Jackson said: “We are seeing a number of challenges in the manufacturing sector, due to economic turbulence and a widespread skills shortage. As a result of these difficult trading conditions, the business found itself facing difficulties in retaining staff, and diminishing turnover.
“We have been appointed administrators to the business, and will endeavour to secure the best possible outcome for creditors, with the plant and freehold property due to be sold via auction shortly.”