Poppleton & Appleby appointed to oversee the closure of historic family business

A Walsall-based painting and decorating firm, which has been trading in the area for over a century, has been forced to close.

George Buller & Son located on Brace Street has been forced to shut up shop after failing to overcome the financial difficulties it incurred during the recession.

The family-run company was established in 1896 and has since passed through five generations.

The company had built up a reputable name as one of the leading painting and decorating contractors in the Midlands and had developed long-standing relationships with both contractors and clients, some of which had lasted for over 20 years.

Brothers Steve and Dave Buller were the latest generation to run the firm and had worked within the company for more than 40 years.

They were forced to make the difficult decision to place the company into voluntary liquidation after it fell victim to a continuing rise in costs as well as an increase in competition from national firms.

Business recovery and insolvency experts Poppleton & Appleby, which has offices in Birmingham, Coventry and Wolverhampton, has been appointed to manage the formal insolvency procedures.

Steve Buller said: “It has been an uphill battle for us as a company since the start of the recession. Fortunately, the business was in a healthy position back in 2008 otherwise, we would have had to cease trading there and then.

“It is a real shame that we have had to liquidate the company but it was no longer operating effectively. Our profit margins had become smaller and smaller and we were unable to increase our prices as this would have made it even more difficult to source new work.

“It came down to a multitude of problems not only a rise in costs to operate the business but also an increase in competition. For a medium-sized family business to try to go up against the bigger national firms – well we just couldn’t compete.

“Both the staff and the directors haven’t received a pay rise in over six years and despite making cut-backs we were struggling to pay our set costs. Unfortunately, we were left with little alternative.”

Andy Turpin, a partner at Poppleton & Appleby, has been appointed as liquidator and will collect the company assets and settle claims on behalf of George Buller & Sons.

He said: “The last two to three years have been about survival for the business following the recession in 2009. In common with many small companies in this sector, volumes have been down and margins have been extremely tight as competitors have fought for what business there was.

“Losses have been funded by increased borrowing from the company’s bank and although management accounts produced up until the end of 2013 show a slight improvement this was not sufficient to make inroads into the previous losses sustained.

“It is a real shame to have to see the company close its doors after serving the local community for more than 100 years.

“The directors made the difficult decision to commence liquidation proceedings due to pressure being brought to bear by creditors as well as the likely withdrawal of its overdraft facilities at renewal.”

During its peak George Buller & Son employed around 50 staff and in 1999, the company received a recognition award for the painting project it completed at the 120-year old City Council House in Birmingham.

Although the company witnessed sustained growth at the start of the Millennium, over the last seven years the firm has had to make a series of cutbacks including reducing its workforce by almost half to 25 staff.