Colour Five has formally been placed in liquidation after being hit by rising costs and a slump in demand for its specialised UV litho printing.
Gary Lee and Paul Stanley of Begbies Traynor were appointed as joint liquidators for the Perivale, west London-based outfit last Tuesday (18 June).
They confirmed that Colour Five closed its doors on 31 May, at which point all staff were made redundant. A notice of intention to appoint liquidators was sent to creditors on 11 June.
Lee said: “The business was hit hard by a combination of the rising cost of raw materials, the loss of a key customer and a general decline in demand for specialised UV litho printing.
“Following a detailed review of the business and after the directors explored a range of options and strategies, it was clear it was no longer viable.
“After meeting the directors and reviewing the current financial position we confirmed that it was insolvent and that steps should be taken to place it into a creditors’ voluntary liquidation.”
Colour Five employed 36 members of staff on a turnover of £1.6m, according to accounts made up to 31 March 2018. Lee said the company’s headcount fluctuated between 30 and 40 people depending on seasonal demand.
The firm’s co-located sister company, notebook and gift stationery manufacturer Go Stationery, is a separate company and continues to operate, according to Lee.
Colour Five registered directors Neil Atkinson and Susan Townsend are both also registered directors of Go Stationery.