Development House Ltd have serious cash flow issues
Development House Ltd, the construction arm of Sunningdale House Developments is in financial trouble. The person with significant control of the company is David Pownceby (pictured).
According to a growing number of sources the company is possibly trading while insolvent; which if correct, places Development House Ltd in a very precarious situation
If the company IS insolvent, and if the board of the company continues to trade whilst it is insolvent, the directors of the company may become personally liable for the debt. The directors have a duty to act in the best interest of creditors and not make the situation worse.
However, from more sources than Heinz 57, they state Development House Ltd are late with payments to subcontractors. This is includes missing/lost invoices which do not get paid, then miraculously show up, and under paying subbies, or not paying them at all.
Most purchases made by Development House are via credit card or proforma, as a growing number of suppliers won’t deal with them, according to the Heinz 57 sources. The number of subcontractors who have contacted us over the last week, means we can estimate that Development House Ltd owe in excess of £2m to subcontractors including historic debts.
We have previously reported, and asked if Sunningdale have cashflow issues.
Now we can be certain they do. In the video below a Development House employee openly admits to the cash flow issues.
The Development House representative then goes onto give a cringe worthy explanation how to run a business, in our honest opinion.
Let’s not forget the person of significant control of Development House Ltd and Sunningdale House Developments Ltd, David Richard Pownceby dissolved Lilybrook Developments Ltd, Lilybrook Construction Ltd, DRP Estates Ltd and other related companies, owing £34,331,309, to 124 creditors, according to companies house, and the Insolvency practitioner who wound the companies up, in mid 2013.
If you are a subcontractor, it might be wise to ask for your money asap, as we honestly believe it’s only a matter of time before the business folds.
The Shepway Vox Team
Journalism for the People NOT the Powerful
I note that Sunningdale House Developments Limited have appointed a new director and appear to have obtained a new loan as per companies house which shows a newly registered charge in favour of west one. Hopefully with the new funds their creditors will now be paid if they haven’t already 🤷♂️