A rescue deal at cake supplier More Food has saved 150 jobs after price rises and costs related to a move to new facilities squeezed the business.
More Food had expanded revenues to more than £8m by 2016.
Demand grew at the business as it moved away from running a coffee shop and began supplying handmade cakes and tray bakes to local bakeries, major retailers, wholesalers and international sandwich shop chains. Directors decided to move to a new site, but related costs, plus recent raw material hikes, placed a “substantial strain” on the business, administrators said.
Andrew Duncan and Alex Cadwallader of recovery firm Leonard Curtis Business Solutions Group were appointed as joint administrators of More Food Ltd on 1 September 2017 after efforts by the directors to find new investment proofed fruitless.
The business was sold as a going concern to Sussex Bakes, a third-party business.
“The sale of the business via a pre-pack ensures the continued employment of all 150 members of staff and means that work at the bakery can continue as it did before under the new ownership of Sussex Bakes.”