The collapse of Huboo Technologies Limited (now Hub Realisations Limited Company number 09727464) resulted in unpaid suppliers who had relied on the company to fulfill its obligations. The financial losses of these businesses including numerous small and mid-sized firms may prove permanent. The situation involved mismanagement or did suppliers receive intentional deception from the company?
How Much Was Owed?
The financial breakdown of Huboo resulted in suppliers facing unpaid invoices totaling millions of pounds:
Trade creditors: £6.8 million.
Multiple months of unpaid fees accumulated from warehousing and logistics partners.
Software and service providers: Outstanding contracts left unpaid.
Were Suppliers Misled?
Multiple suppliers provided credit to Huboo without knowing about the deteriorating financial condition of the company. Critical questions remain:
Did Huboo’s leadership know they would be unable to pay suppliers?
The suppliers received no advance notice about the company collapse.
Should there be stricter transparency laws for businesses on the brink of failure?
The Pre-Pack Administration Fallout
The sale of Huboo assets to Huboo Tech Limited for £9 resulted in suppliers receiving no compensation. The new company operates as a business but it has abandoned all the suppliers who supported Huboo throughout the years.
Lessons for Suppliers
Suppliers who want to minimize future risks should take the following steps:
Suppliers should perform routine financial assessments on their essential business partners.
Suppliers should establish robust payment conditions and obtain advance payments from clients.
Suppliers need to advocate for legal changes which will safeguard their interests during pre-pack administrations.
Conclusion
The suppliers of Huboo suffered substantial financial damage without any available legal options for recovery. The current situation demonstrates the necessity for improved legal safeguards to stop businesses from abandoning their financial responsibilities through name changes.
