Nathan Jones, director, and Steve Stokes, partner, of restructuring and advisory firm FRP Advisory, sold the business and accompanying assets of Bakeaway Limited to holding company House of Vantage Limited.
The newly incorporated company will continue to trade the business under the Bakeaway brand name.
‘Cash-flow pressure’
The firm had experienced a surge in orders over the key Christmas trading period, creating “unsustainable cash-flow pressure due to its financial structure”, said FRP Advisory.
That eventually led to it entering administration. It began a sales process in an attempt to find a long-term solution for the underlying business. Fortunately, the joint administrators secured a sale relatively quickly.
Established in 2011, Bakeaway produces and supplies own-label baking products, including a wide range of pastries and baked goods, to supermarkets. Its products are exclusively made in the UK and sourced where possible from sustainable ingredients.
‘Continuity of management’
“We are delighted to have secured the future of this well-known Corby-based pastry-making business, securing all 60 jobs in the process while ensuring vital continuity of management under a new company structure,” said Nathan Jones, director and joint administrator at FRP Advisory.
“Bakeaway has grown rapidly since it was formed four years ago, but strong Christmas trading put too much strain on cash flow … threatening the long-term survival of an otherwise thriving firm.
“The immediate sale of the business out of administration has ensured minimal disruption to Bakeaway customers and suppliers for whom it remains very much business as usual. Bakeaway will continue to operate from the same premises in Corby. We wish everyone involved with the on-going Bakeaway business every success in the future.”