Glenfield Storage Solutions, a successor company to failed Widdowson Logistics, remains a going concern despite net liabilities of close to £98,000.
Reporting its performance for the year to 31 March 2017, the company’s sole director Adam Clements conceded the business, which is based at Mill Lane Industrial Estate in Leicester and was previously named Widdowson Leasehold, had experienced ‘a difficult start up period’.
The company’s total assets less current liabilities stood at £108,578 once money owed to creditors within the year had been paid (less income from debtors and cash in the bank).
However, Glenfield registered a shortfall of £97,647 for the reporting period once the £206,225 owed to creditors after more than one year is included. Despite this, Clements said that with reduced expenditure ahead and the company’s accounts forecasting a surplus in rental income set against its own leasing costs, the business has “adequate resources to continue in operational existence for the foreseeable future”.
Following the collapse of HLD Group-owned Widdowson Logistics in January 2017, the pallet repair side of the business was transferred to Glenfield Storage Solutions.
The two businesses were connected by common director Demis Ohandjanian at that time. He stepped down as a director of Glenfield last October but remains a significant shareholder.
Leonard Curtis the administrator for Widdowson Logistics agreed a service agreement with Glenfield relating to the pallet repair division of the business. It meant Glenfield was able to use the unsold garage equipment, office equipment, general plant, racking and additional unencumbered motor vehicles as part of the deal.
In turn 70% of the profit made by Glenfield will be retained but the remainder will be used in the Widdowson Logistics insolvency process.
- A newly published creditors' report with regards to Widdowson Logistics reveals that the service agreement with the company has now ended with the 39 employees, plant and machinery etc, of the pallet division moved under TUPE to unconnected company Pooling Partners Service Centre Glenfield as of the 1 March 2017. Glenfield Storage Solutions remains listed as active at Companies House as a business involved in letting and operating real estate.
