A maintenance firm covering properties on Tyneside has been rescued out of administration, saving 28 jobs.
First-Rate Maintenance, which began in Newcastle in early 2020 before moving to North Shields three years later, has been sold via pre-pack administration to Scottish-based operator Dima Group.
First-Rate Maintenance’s base in North Shields.(Image: Google Streetview)
The handyman services business offers general maintenance, decorating, roofing, joinery, plumbing, landscaping, tiling and more.
Administrators from FRP Advisory said the Percy Park Rugby Club-based business had built a reputation for delivering services to housing associations, local authorities, landlords and national retailers. But last year the business began to experience cashflow pressures.
Joint administrators Steven Ross and Shaun Hudson said efforts had been made to stabilise the business but that the challenges faced meant directors had to call in professional insolvency advisors who arranged the sale.
First-Rate was originally launched with the support of its sister company and Newcastle student property specialist, Seekers, formerly known as Walton Robinson. The business marketed itself as an expert in odd jobs and property maintenance across Tyneside and Newcastle, working with homeowners, landlords and managing agents on anything from minor repairs to full refurbishments.
The administrators completed a pre-pack sale to Dima Group FM, trading as First-Rate Maintenance Limited. The deal allows First-Rate to continue trading under its current name and will keep existing contracts and services in place for clients.
“This transaction delivers a positive outcome for all stakeholders,” said Steven Ross, restructuring advisory partner at FRP and joint administrator. “The sale preserves employment, maintains service continuity for customers and secures the future of a well-regarded regional business, while achieving the best possible result for creditors.”
“As the new operator, First-Rate Maintenance is committed to building on its established platform supporting its workforce, customers and partners as the business enters its next phase,” said Andrew Gilmour of Dima Group.
Dunfermline-based Dima Group was launched in October 2018, originally as a security company, from a kitchen table with a laptop and a phone. Two years later the firm opened its first office but then faced the Covid-19 pandemic within a matter of weeks.
The business has since relocated four times and now has a head office on the city’s Enterprise Way, where it employs nearly 100 staff. It has diversified into other services including provision of hospitality agency staff and chefs.
Dima works across Scotland and even provides services for every Dunfermline Athletic FC home game—including staff on the turnstiles, terraces, and hospitality areas that cater for fans.