The Biggleswade-based business specialised in print-on-demand softbound and hardback books, magazines and journals. It operated a zero warehousing business model.
The company was part of the Netherlands-headquartered Printforce group of companies, which established the UK operation in 2018.
CB Printforce UK went into administration in October.
The latest reports from administrators at FRP Advisory detail how, in 2022, the firm opted to expand its operations rather than go to the expense and disruption of finding a new location after its landlord became insolvent.
This resulted in CB Printforce UK taking on the whole building from January 2023, whereas it had previously occupied the ground floor and warehouse.
From that point, the firm’s rent increased by 21% and business rates by a whopping 73%.
This “significantly deteriorated” the firm’s cash reserves “as they were unable to reach significant turnover levels to meet these increased costs,” the administrators stated.
CB Printforce UK then opted to make a big investment in additional production capacity, but amid poor market conditions in 2023-2024 was unable to achieve the volume levels required to break even.
By this point parent company CB Printforce BV had decided it wanted to exit the UK market and began searching for a strategic shareholder.
It also injected further funds and implemented a cost reduction programme.
However, the collapse of book specialist United Independent Distributors group of companies in the summer of 2024 impacted CB Printforce UK, and possible strategic partners fell by the wayside.
CB Printforce UK has left an estimated total deficiency of just under £4.58m.
Parentco CB Printforce BV was owed £1.5m and is expected to be paid €750,000 (£623,240) of that amount, which is the part that is secured via a charge.
Logistics firm Centraal Boekhuis, based in the Netherlands and Belgium, is owed nearly £1.7m.
Printforce Holding BV, is also owed nearly £1.7m.
Unsecured creditors were owed a total of £5.28m.
Total assets available to unsecured creditors were estimated at £815,390.
Preferential creditors are expected to total £10,644, including relevant employee pay and pension payments.
FRP said: “It is anticipated that preferential creditors will be paid in full.”
The firm had employed around 30 staff. Four were kept on initially to help with the administration process, but all employees have now been made redundant.
Secondary preferential creditor HMRC, owed £24,274, is also expected to be paid in full.
The eventual outcome for unsecured creditors is not known, although a distribution of some sort is likely, according to FRP.
Wyles Hardy & Co was enlisted to sell CB Printforce UK’s unencumbered assets and equipment.
Note: Printforce (Northern) Ltd, based in Bury, and Printforce (Staffs) Ltd based in Newcastle-under-Lyme are both completely separate and unconnected businesses.
