Derbyshire-based mountain bike manufacturer and retailer Stanton Bikes has fallen into administration.
PKF Smith Cooper was appointed as administrators to the company on 11th November and will now seek a buyer for the business as a whole or its assets. Stanton Bikes, based near Matlock, specialises in hand-built steel and titanium mountain bikes.
In a Facebook post, Dan Stanton said: “11 years ago Stanton Bikes became a business built on the popularity of the first frame I ever made. It wouldn’t have happened without the faith and support shown by others in what I do, people who love the culture of MTB as much as I do. I appreciate it now as much as I did when I first started.
“So, now I find myself in the heartbreaking situation of seeing the business I built falling into administration, I want to be as open as I can with everyone.Like many businesses that want to grow, particularly in manufacturing, we rely on financial backing. The last 2 years have obviously been extremely difficult to navigate and the exposure to severely unpredictable market forces has tested everyone to the limit. We find ourselves in a situation where our backers are looking to minimise their portfolio exposure. Meaning that we need to look for a new source of investment and that’s the task that the administrators have been brought in to achieve.
“As things stand, Stanton Bikes Ltd is now under the control of the administrators. It is operating as a business but is in the hands of the administrator not mine. The main thing me and the staff here care about is making sure the handful of customers who have frames boxed up and ready to go get their frame as fast as possible, and the eight customers waiting on bikes get their new trail weapons shipped too. Goodwill and trust are hard earned and it would be the worst outcome for me and the staff to see that damaged.
“What’s slowing that down is the shifting of the business from our ownership to the administrators’ ownership. The switching of accounts and contracts with suppliers and shippers is taking a deal of time to sort out and put the necessary things in place to keep business as usual. Thank you to everyone who has been in touch with messages of support, it keeps us going and lets us know that you’re there for us whatever the outcome. What binds me, the staff here, our customers, and the wider MTB community together is our love and passion for the scene. These ‘key metrics’ might not show on a balance sheet but sometimes it’s the things you can’t count that count the most.”
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The business will continue to trade under the supervision of joint administrators Dean Nelson and Nick Lee, business recovery and insolvency partners at PKF Smith Cooper, while a buyer is sought for the company and its assets.
Joint administrator Dean Nelson said: “We will be providing creditors with relevant information regarding the administration process to allow them to participate in proceedings. We are currently dealing with all enquiries. We will strive to achieve the best outcome for everyone involved at this difficult time.”