Parker’s Bakery Limited, a cherished family bakery that has been a staple of Hartlepool for over half a century, has fallen into administration.
The bakery, located on the Parkview West Industrial Estate, ceased its operations immediately after the announcement was made on October 12.
This unexpected development has left the local community devastated, as generations have grown up savouring the bakery’s delicious offerings.
In a somber Facebook post that echoed the sentiments of a heartbroken community, Parker’s Bakery Limited officially announced their plunge into administration on October 12, 2023.
The post read, “Parker’s Bakery Limited was placed into administration on October 12, 2023, and has regrettably ceased all trading activities from the same date.” The task of overseeing the bakery’s uncertain future now falls into the capable hands of Steve Kenny and Richard Cole, who have been appointed as joint administrators of the company.
Parkers Uppercrust Bakeries – In Administration
A cherished institution in the North-eastern community since its establishment in 1959 by G. Waugh, the bakery originally traded under the name ‘G. Waugh Ltd.’ However, it underwent a significant transformation when the Waugh family expanded, as Mr. Parker joined the family through marriage, prompting a change in the bakery’s name to ‘Parker’s Bakery.’
Throughout the decades, Parker’s Bakery remained a steadfast presence, continuing to serve the North-east region through the 1980s. Ownership eventually transitioned to a partnership led by Mr. Hope and Mr. Murphy, culminating in the bakery’s rebranding as ‘Parkers Uppercrust Bakeries’ in 1987. The location also moved to the Park View West Industrial Estate, becoming a landmark in the area.
In a more recent chapter of its storied history, in September 2022, Parker’s Bakery saw new ownership under the guidance of Adam and Scott. With fresh enthusiasm and a commitment to preserving the bakery’s legacy, they introduced the company as ‘Parkers Bakery Ltd,’ accompanied by the inspiring slogan, “Baked with Pride.” This change marked a continued dedication to the bakery’s rich heritage while injecting new energy into its future.
What happens next for the business
In the wake of Parker’s Bakery Limited falling into administration, the appointed administrators, Steve Kenny and Richard Cole, face the challenging task of navigating the company’s uncertain future. Their primary duties involve assessing the bakery’s financial health, managing its assets, and identifying a sustainable path forward.
The administrators will conduct a thorough examination of the bakery’s financial records, debts, and assets to gain a comprehensive understanding of the business’s current standing. This assessment will help them determine whether there are viable options for rescuing the bakery or if selling off its assets is the most prudent course of action.
To find a suitable buyer for the business or to liquidate its assets at auction, the administrators will employ various strategies. They may initiate negotiations with potential buyers, which could include competitors, investors, or individuals interested in continuing the bakery’s legacy.
Additionally, they might advertise the sale of the business or its assets to attract potential purchasers. In cases where finding a buyer proves challenging, the administrators may opt to conduct an auction, where the bakery’s equipment, properties, and other assets would be sold to the highest bidders. The goal is to maximize the value of the bakery’s assets to meet its financial obligations and, if possible, provide some return to creditors while preserving any jobs and the legacy of the establishment.
Throughout this process, the administrators must adhere to legal requirements and regulations governing insolvency proceedings to ensure fairness and transparency in the sale of the business or its assets.
With over three decades of experience in the business and turnaround sector, Steve Jones is one of the founders of Business Insolvency Helpline. With specialist knowledge of Insolvency, Liquidations, Administration, Pre-packs, CVA, MVL, Restructuring Advice and Company investment.