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Administration · 23 March 2023

ME Construction

Main contractor · London · Greater London

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What happened

ME CONSTRUCTION LIMITED (company number 06280807), incorporated in 2007, entered administration on 23 March 2023. Its status at Companies House is now: liquidation.

Why it failed

Contracts taken over from another firm carried substantial liabilities, and loss-making sister companies drew on the company's credit, exhausting its facilities in a tough market with unrecoverable cost increases.

  • Main reason: Group company failed
  • Losses on contracts
  • Cash flow
  • Market downturn
  • Cost inflation
  • Delays

Our summary of the reasons given in the administrators' proposals. These record the administrators' and directors' account of what happened.

An administrator, a licensed insolvency practitioner, takes control of the company to try to rescue it, sell the business or get a better result for creditors than a liquidation.

Previously known as: ME CONSTRUCTION PLC.

Timeline

The last accounts and payment report before the failure, then what happened, with the time between each.

  1. 31 December 2020

    Last accounts filed were made up to this date

    2 years later

  2. 23 March 2023

    Administration started

    3 years later

  3. 18 March 2026

    Administration ended

  4. 18 March 2026

    Creditors' voluntary liquidation started (shareholders resolved to wind up)

AccountsPayment reportInsolvency

Before it failed

Key figures

Turnover in its last accounts, year to Dec 2020
£15.2m
Accounts at Companies House
Profit before tax, year to Dec 2020
£248k
Accounts at Companies House
Staff, year to Dec 2020
32
Accounts at Companies House
Net assets, year to Dec 2020
£2.9m
Accounts at Companies House
Owed to suppliers and subcontractors (estimated), as at 23 March 2023
£3.8m
HMRC owed £1.1m. a further £1.3m owed to its lenders. Expected return to unsecured creditors: prescribed part only
Administrators' proposals (trade creditors)

The last accounts filed were full accounts made up to 31 December 2020, 27 months before it went into administration. Private companies have nine months after their year end to file, so a gap of more than 21 months usually means the next accounts were overdue, one of the warning signs worth checking for.

The full filing history, including any late filings, charges and director changes, is on Companies House.

Lessons learned report

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In the news

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