Reviewed: 25th May 2016
A total of 90 jobs have been saved at a company called the Bale Group Ltd, which is among the leading waste disposal management businesses operating in the South West of England.
Administrators were appointed to handle the Bale Group’s financial affairs on May 20th after it succumbed to a financial crisis brought on by serious cash flow difficulties.
John Kelly and Ian Walker were appointed as joint administrators of the company and were able to secure the employment of its 90-strong workforce by finding a new buyer for the business.
The family-run, Honiton-based company was founded in 1998 and has been operating ever since as a specialist provider of services relating to the collection, treatment and disposal of hazardous and non-hazardous waste.
Administrators from the corporate recovery specialists of Begbies Traynor were able to sell the Bale Group swiftly out of administration to a company called Future Industrial Services Ltd, which is based in the North West of England.
Assets transferred to the new owner included a fleet of specialist vehicles, with Future Industrial Services Ltd apparently keen to expand the scope of its operations in the South West of the country.
“This sale represents a real opportunity for the business to re-establish itself as the leading waste disposal firm in the area, joining an existing group that is already established in the North and the Midlands,” said Ian Walker from Begbies Traynor.
“The combined group will now have excellent geographic coverage. We quickly took the view that a sale out of administration was the best course of action, and taking this action speedily ensured we secured the jobs of more than 90 staff.”
Despite having posted pre-tax profits worth in excess of a quarter of a million pounds for the full-year ending September 30th 2014, the Bale Group found itself facing up to serious cash flow problems in the early months of this year.
The business recently had annual turnover levels worth several million pounds but was left struggling to stay afloat after it experienced a sharp downturn in turnover and revenues during recent quarters.