Sherwood Agencies goes into administration

Sherwood Agencies, a company based in Heywood has announced it has gone into administration just weeks after celebrating its 40th birthday.

Beever and Struthers, Accountants and Business advisers have been appointed administrators of the company which has ceased trading.

Sherwood Agencies is an importer and wholesaler of goods, including items such as electrical products and children’s toys. The company has recently been hit by a downturn in trade, citing the issue that retail clients are buying their own products directly.

Records show Sherwood Agencies sales have steadily declined in the last few years. In 2006 the company made around £38m, whereas in the financial year of 2012 it posted a pre-tax loss of £685,184 on revenues of just under £10m.

Charles MacMillan, partner and head of corporate recovery at accountants and business advisors Beever and Struthers, has been appointed administrator of Sherwood Agencies and said: “Sherwood was one of the first importers of its kind in the region and like many operators in this sector has had problems adapting to the changing face of retail markets.

“Against a backdrop of falling turnover this once great company has invested heavily in developing its internet presence but has simply run out of money. It is a shame because they were almost there.”

“Unfortunately, the firm has to cease trading for the time being while we consider recovery options, and only a skeleton staff has been retained. These options include arrangements with creditors or a sale of the business and assets as a going concern. I am actively pursuing both these strategies.”

In 2004 the owner of Sherwood Agencies, Bhupatrai Mehta, was named on a list of Britain’s wealthiest Asians and was said to be worth £5m.

It is understood the administration has led to a loss of around 20 jobs.