Elecore Electrical collapses
28 jobs lost as electrical contractor goes bust
Derek Forsyth: cash flow problems
Elecore Electrical, which had grown to be one of the top contracting businesses in Scotland, has collapsed with the loss of 28 jobs.
Derek Forsyth and Blair Milne, partners with Azets, have been appointed joint provisional liquidators of the Largs-based business.
Founded in 2017, the family-owned business provided a wide range of electrical design, contracting, data, fibre and project management services for large construction projects.
The liquidation was caused by unsustainable cash flow problems stemming from the Covid pandemic as construction activity dried up, together with delays to projects caused by widespread labour and materials shortages.
The business has ceased trading with immediate effect and all staff were made redundant by the company just prior to the appointment of the joint provisional liquidators.
Mr Forsyth, restructuring partner at Azets, said: “Elecore Electrical Limited was a highly respected electrical contracting firm with a quality client base and a good pipeline of potential work.
“The directors did everything possible to keep the business trading, however the scale of cash flow problems and the impact of the lockdown left them with no alternative other than to place the company into liquidation.
“We will now focus on winding up the business and will work closely with agencies such as the Redundancy Payments Office and PACE to minimise the impact on the staff that have been affected by the closure.”