Over 100 jobs saved as major regional estate agency is bought out of administration

All 108 jobs have been saved at a major regional agency after it was bought out of administration in a pre-packaged sale.

Miller Metcalfe was founded over 125 years ago, and has ten branches in locations across north Manchester, Cheshire and Lancashire. As well as residential sales and lettings, it also has property surveying and commercial arms.

Julien Irving and Andrew Poxon of Leonard Curtis Business Rescue and Recovery were appointed joint administrators on August 24.

Irving said: “Following a period of losses, the company began to fall into arrears with a number of creditors, despite ongoing financial support from the company’s shareholders.

“A CVA [creditors’ voluntary agreement] proposal was presented but unfortunately rejected, which left the company with no choice but to consider an alternative insolvency procedure.

“Appropriate steps were then subsequently taken to preserve the value of the business.”

The joint administrators concluded a pre-packaged sale of the business to a number of connected parties after a period of marketing.

This has resulted in the transfer of all 108 employees to the new purchasing entities.

We have approached both Leonard Curtis and Miller Metcalfe for further comment and we are expecting an update.

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16 Comments

  1. J1

    The tax man and board company will possibly be the biggest loser here.

    There will be a lot more of this from mid sized regional Agents this next year.

    High fixed overheads with directors too afraid to take early decisions to protect themselves is a big problem!!

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  2. AgentQ73

    Glad the staff are safe but it’s not the first time they have done this.

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  3. 40yearvetran08

    This winter will take it’s toll on sales influenced agents. Cash flow will be the killer unfortunately. I suspect the vultures are getting ready to start circling.

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  4. NotAdoctor32

    Yet still, they spend like money is going out of fashion.  The swankiest branches on the biggest plots in town with 4 people working in them and they are market leaders in pretty much every town they are in.    Where is all the money being spent?  It doesn’t bode well for a lot of agents they are playing 2nd/3rd fiddle to them in the local areas.

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    1. AgentQ73

      Think it’s more about that company than the market they operate in.

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  5. LordElpus56

    AGAIN?????!?!?!

    That’s twice in a year, and at least four times in my memory, and that’s in addition to a CVA in which over a million was supposedly owed to the bloke who owns it as well as nearly half a million to HMRC. Convenient, that, just enough to outvote HMRC.

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  6. man perero

    pre packing is way too simple for failed companies to do. It may have saved some jobs at the firm for now, but i suspect their positions will come under pressure again.

    No mention for the creditors left high and dry by this action or indeed the potential cost of jobs in those companies.

     

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  7. Callmecynical

    As someone else said, second time in a year. Questions should be asked as to whether the best price was achieved for the creditors. Disgraceful!

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  8. Disgruntled 5

    As a supplier currently owed money by this company, I have no sympathy whatsoever.

    The Directors are safe and the company continues to trade – the only losers here are the suppliers, including us, that have been left with large unpaid bills – which will now not be paid – and I’m sure there are plenty of those!

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    1. AgentQ73

      I feel for you and everybody else who has lost out to them, Did you look into the history of this company before agreeing to supply them and give them credit ?

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      1. Disgruntled 5

        Unfortunately we had worked with them previously, so took them at their word this time around – mistake!

        Estate Agency is a niche industry, with a finite number of service providers – I hope the word spreads that this company deliberately avoids paying their suppliers!

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  9. PeeBee

    Canny way to “lose” your debts?

    That being the case, karma is often the female dog it is described as…

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  10. Arthurs acorn

    Its all too easy for people to pass the buck of debt onto the suppliers and HMRC

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  11. Property Poke In The Eye

    More of EA closures to come.  I don’t even think some will last to the end of the year.

    Shame how the Industry is going down the pan due to government policy.

     

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    1. LordElpus56

      They haven’t closed anything. They’ve gone into administration to lose their creditors and bought the business back to continue trading with all their branches and all their staff. The customer won’t notice any difference.

      But they did all this, this time last year as well, so twice in 14 months they’ve screwed over HMRC and countless other suppliers, yet they’re allowed to continue. Who’s to say they won’t do this again next year? They’ve even used the same, presumably friendly, insolvency practitioner as last time as well!

      This latest insolvency of theirs is nothing to do with government policy.

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  12. AgentQ73

    Had a CVA a few years ago as well.

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