ANK Manufacturing Ltd, has let go of all its staff following the appointment of liquidators after a difficult year. The firm is a furniture manufacturing business, based on the Nottinghamshire-Derbyshire border. With offices in Manor House Road in Long Eaton, the company was placed in the hands of Carolynn Best and Thomas Harris of Begbies Traynor on October 29. The liquidators confirmed that all 26 employees were made redundant, with creditors also being notified.

Established in 2018, ANK specialised in custom-made sofas but struggled with rising operational costs. Attempts to boost revenue through business development and diversification were ultimately unsuccessful. According to the liquidators’ report, the business faced a particularly challenging past year due to increasing overheads. 

In early 2024, ANK also received an improvement notice from the Health and Safety Executive (HSE) for lacking proper safeguards on a saw. The company addressed the issue with no further action taken by the HSE.

Liquidation reports indicate ANK’s assets totaled around £53,874, with debts exceeding this value. Of this, former employees are owed over £38,000 in unpaid wages and holiday pay, which will be prioritised. HMRC claims £73,399 in taxes, although asset sales are projected to leave a shortfall of £58,059 for the government agency.

The news of this liquidation resonates with the problems most small UK SMEs are facing. Insolvency rates among SMEs have risen sharply post-pandemic and post-Brexit, primarily due to challenges like rising costs, supply chain disruptions, labour shortages, and inflation. With over 6,000 company insolvencies in the second quarter of 2024 alone, this trend shows no signs of abating, especially in industries heavily dependent on manufacturing and imports. Government support measures have lessened, leaving many SMEs more exposed to these economic challenges than in recent years.

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