Discussion in 'Fireworks Forum Chat And Discussion' started by Drew Peacock, Apr 20, 2009.
yes, I did hear that there had been a winding up petition submitted but wasn't sure what the outcome was
Raj (Newsbox) just rang me and said that Cosmic has gone as well, and that BrightStar are not bringing in stock for this season...
and despite phone calls and emails I haven't been able to get a response from Kimbolton...
Erm, how does a firework company exist if they don't sell fireworks?
Will check out Menshun tomorrow if I remember, technically the presentation of a winding up petition doesn't mean they've gone bust unless the judge grants the order ie they can't pay it which by definition is the unable to pay creditors bit of insolvency. If it's registered at Northants County Court then likely to be for unpaid VAT/import duty/PAYE.
The receivers were called in at 9am this morning apparently.
Drew you just reminded me
I had an order from a guy last week and thought it was a wind up until I checked the electoral role.
Case was due to be heard back in January in London. The winding up petition was indeed presented by HM Revenue & Customs (so VAT / Import Duty / PAYE related) but it was done as long ago as last November.
Ah, the days when I dealt with such cases from an NI perspective! Glad to be out of it, actually....... but I'm trying to recall if there's any significance in the 2 month delay from when the case was due to be heard and news breaking here. To me it seems possible that a grace period for settlement of the HM R&C claim has elapsed.... if Men Shun had been able to pay, then all would be well. If there was no or insufficient payment, then the company would be made bankrupt. Back in my day, the IR, Customs & Excise & DHSS (as the relevent departments then) were not noted for patience or for being forgiving..... if you were lucky enough that the court gave you a chance and you blew it, tough - very tough.
RR - you're right that HM Customs and Revenue weren't very forgiving previously but in the last six months they have been hugely accommodating to businesses requiring time to pay VAT/PAYE arrears and virtually every request I've seen through customers at work has been granted. More likely there will have been some reneging on a previous time to pay request and let's face it any payment plan agreed in january by a firework importer would be unlikely to see substantial payments being made in the coming months until Autumn ie if they couldn't pay in January when they'd collected in the cash from peak season sales then how could they pay in the next 6-9 months?
Spring sales to raise cash quickly?
I see some Men Shun / Men Shun sub-branded items around as special offers at the moment. It was quiet last autumn - so maybe plenty of unsold stock to shift or stock coming off boats that didn't arrive in time thanks to the Olympic Games?
Cosmic sort of went and are now sort of back! Kimbolton (retail) is up for sale.
yes, just at UK limited and everythings ok
It's strange at the minute that HMRC are petitioning for it. Our glorious leader Gordon said companies could defer VAT and PAYE liabilities in the current climate.
If there is anyone else having trouble paying PAYE and VAT. Speak to the HM Revenue and Customs and agree a repayment plan. As long as they are getting something it keeps them happy and avoids them being nastier than they normally are.
The phone number for the payment deferment scheme is 0845 3021435
If things are looking worse than normal in your business speak to your accountant, those without and accountant get one (PM me if you want), before it is too late as rescue packages and restructures sometimes take time to organise. HOPE, although being an option, isn't generally a reliable way of extracting oneself from the mire.
Special thoughts at this time to Dave, Andy, Gillian & Alan (and their families) who always looked after us very well. We wish them all the best for the future. A bit of good news today is that Darren (from Men Shun) has managed to get another job in the industry.
Yes, echoe that. Althought I spoke to them on a few occassions I never bought from them.
It's unfortunate that people have to loose their jobs this way. Let's hope something comes up soon.
I feel quite sad that Men Shun have fallen prey to the, shall we say, "State of the nation?"
When I progressed beyond the "selection box" stage, realising that it made perfect sense to buy 1 firework for the price of 3 selection boxes, and my budget went up from £40 to £100's it was Men Shun brand that I bought.
A sad day for all indeed.
Hopefully the other firework importers will be able to "weather the storm."
Men Shun could have weathered the storm but the Chinese owners pulled the plug. I would guess that Men Shun China are still fine. The Chinese don't appreciate the costs involved in operating in the UK
I believe that Men Shun sold their factory in China some time ago and hence the UK operation was no different than other importers who source products from factories and have it labelled to their requirements. Whether Men Shun had exclusive supply arrangements with their old or other factories I do not know.
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