One of North East’s best-known bakers goes into administration.

Administrators have cut 25 of 111 jobs at Burnopfield-based pie-maker Tindale & Stanton while they attempt to sell the business, which was only bought out of a previous administration in November byYorkshireentrepreneur Arthur Harris.

Harris’s other business – Scarborough-based Bakery Products – has also gone into administration, and has ceased to trade with the loss of about 100 jobs.

Administrators have also taken over Harris’s two Howards Bakery shops inHarrogate, which are still trading. Another of his businesses, the Ugo chain of budget supermarkets, also went into administration earlier this year and was later sold to Poundstretcher.

A former director of both bakery firms has blamed one of the company’s backers for pulling the plug because of a short-term cashflow problem.

He said the business required large increases in sales to survive and these were taking longer than expected to come on stream.

To bridge the gap, the company agreed a short-term cash lifeline from a London-based funder, but this fell through. Efforts were being made to source money from elsewhere but support was withdrawn by the company’s invoice discounter, Bibby Financial Services.



About newcastleetcfinanceblog

Blogging about all finance and related issues in the North East region of England.
This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s