Administrators at Begbies Traynor have been appointed to seek the sale of a Shrewsbury-based envelope manufacturing company which has been placed into administration after being affected by tough market conditions.
Rapid Envelopes Ltd, which was established almost 18 years ago, is based at Atcham Business Park, Shrewsbury and is continuing to trade whilst a buyer is sought.
Joint administrators Mark Malone and John Kelly, from Begbies Traynor's Birmingham office, were appointed on March 8. Mr Malone confirmed that they had managed to secure the immediate future of five employees at the company. Regrettably, 19 people had been made redundant as a consequence of the administration process.
He said: "We have had to act quickly to ensure the company can continue to service the needs of its customers, and we have retained a small number of employees to do this whilst a buyer is sought.
"Sadly, market conditions have proven very challenging and there has been a build-up of legacy debt that has created supply issues," he added.
Mr Malone said interested parties were being encouraged to come forward as quickly as possible by contacting him at the Begbies Traynor's Birmingham office.
Mark is a director in the Birmingham and Cheltenham offices. He is a Chartered Certified Accountant and also a Licensed Insolvency Practitioner. He joined the company in 2005 and has over 10 years restructuring and insolvency experience. He advises directors and management teams across a wide range of sectors.