Collapsed M Igoe owed £7m to creditors
The Northwich-based civils contractor went bust last October due to the accumulative effects of several years of market volatility.
An administrators report published on Companies House by BDO shows M Igoe had debts of £7m at the time of its collapse, half of which is owed to trade creditors.
Another £1.5m is owed to the firm’s directors who took out loans to keep the company afloat.
The report also states that the M Igoe was owed £10m by debtors when it went to the wall. It is unclear how much of that amount will be clawed back.
The family-owned company, founded in 1985, was hard hit during the pandemic and posted a loss of £375,000 after tax in 2020. By 2022, the business was in better shape, recording a £475,000 profit after tax.
However, economic upheaval in 2023 – including inflated costs of materials and increased interest rates – prompted a reduction in demand for new housing.
This downturn caused cashflow issues for M Igoe, which counted several large housebuilders among its clients, rendering the firm unable to pay its debts.
