Director David Sharman said the company was hit by “intense competition and considerable increases in the cost of paper and ink” and met with BRI Business Recovery and Insolvency in early February to discuss options.
As a result of the discussion, the decision was taken to liquidate the firm and Lauren Auburn and Peter Windatt of BRI's Northampton office were appointed joint liquidators on 21 March.
Staff redundancies were then staggered over the period 19 February to 2 March. According to BRI, all employees were paid up to their leaving date but are owed holiday, notice and redundancy pay, which is set to be covered by the Redundancy Payments Service, subject to statutory limits.
Auburn said: “Fortunately, we were called in early to advise on the situation, meaning that there was sufficient time to properly plan its closure. Careful planning resulted in the company being able to complete profitable work in progress, which was of benefit not only to the creditors of the company, but also its customers.
“So far, as liquidators, we have agreed a sale of the company’s printing equipment and are now dealing with the collection of the remaining book debts. The director and a former employee are assisting with the book debt collections and, only a month after being appointed, more than 50% of the debtor book has been collected.
“Based on asset realisations to date, we are delighted to report that a dividend will be paid to secured and unsecured creditors from the liquidation.”
Portland’s creditor list comprised 66 entries totalling £486,303. Significant creditors included Denmaur Independent Papers and Vision Paper and Board, due £40,656 and £34,483 respectively.
The company’s statement of affairs indicated assets that were estimated to realise £146,884 for creditors, but this didn't include plant and machinery, which was listed at £500,000 but was marked as “uncertain” in terms of the value that would be realised.
The firm has been directed by members of the Sharman family since its incorporation in March 1961.
