Hampshire construction company Laishley has gone into administration, owing huge sums to its supply chain.
The Michelmirsh-based contractor had been the subject of a winding-up order from angry creditors.
All employees were sent home by the business on 28 May 2010 and have since been made redundant by administrators Vantis.
Administrator Frank Wessely, said: “Laishley has been affected by a number of culminating factors including the loss on a recent contract which has led to significant cash flow difficulties. Adverse weather conditions in December 2009 and January 2010 also meant that sites had long periods of inactivity, leading to time and cost overruns. Furthermore, the general unfavourable economic climate has lead to a reduction in new work and delays in contracts being awarded."
He added that the administrator does not expect to sell the business. "The purpose of the administration is to achieve a better realisation for creditors than would otherwise be the case if the company was to be placed into liquidation without first being placed into administration," Wessely said.
Reports suggest Laishley may have debts of almost £12m.
The last published accounts for the firm, for 2007, show turnover of just £8.5m and a loss of £279,000.
Laishley, which was established 25 years ago, worked across the commercial, healthcare, education, leisure, and residential sectors.