Posted by Harry Mottram on 9th Mar 2018
Print Week have reported on the collapse of Henna Press in Watford – a situation created by FT Solutions failing to pay on time according the publication’s website.
Richard Stuart Turner reported for the trade publication that the firm had been ‘hit for six figures, when its biggest client, FT Solutions, went into administration’.
The Print Week report continued: “Established in 2009 by managing director Thomas Duffy, the circa-£1m turnover company produced litho print for both commercial and trade customers. Glyn Mummery and Paul Atkinson of FRP Advisory were appointed joint liquidators of the business on 13 February.
The liquidators said the business had faced a number of financial challenges in recent months that led to severe cashflow problems, ultimately forcing it into voluntary liquidation. All of its seven staff have been made redundant. FT Solutions’ recently filed statement of administrator's proposal shows that Henna Press was owed £167,029.”
Print Monthly reported on the same story. They said: “It is a huge amount of cash to be owed even by a large print firm let alone by an outfit the size of Henna Press. Some in the industry have already pointed the finger at the accounts department of the company and implied a problem over good housekeeping and credit control. However one voice in the print business has said there is a wider problem affecting many companies and in particular ones that get into trouble.”
The trade publication said there is sometimes a tendency for the managers and owners of firms to ignore the advice of their own accounts department. They said that’s fine as long as the client is paying on time but if a client fails to pay on the agreed date then it could be the beginning of the end for a company.