THE boss of a Barrow building firm has vowed to fight a bid to shut down his company.

Creditors owed money by the Neil Martin Group at Sowerby Woods have launched proceedings against the company which led to administrators being appointed on September 2.

The process of administration is undertaken in response to a company experiencing severe cash flow problems but in circumstances where the underlying business is viable and insolvency might be avoided.

Administration provides breathing space to allow a rescue package to be put in place or for assets to be converted into cash.

An administrator is appointed to manage a company for the creditors.

Insolvency practitioners at Manchester-based FRP Advisory LLP will now attempt to restructure the company or otherwise return it to profitability.

The company's latest accounts, published in August 2018, reveal Neil Martin Group Ltd owed a total of £3.8m to creditors.

The amount owed to the company, by debtors, came to £2.3m.

Director Neil Martin said he intended to overturn the administration which was launched by a mortgage lender relating to the land where the Red Rose Estate off Ironworks Road is under construction.

"I am taking legal action against this," the 51-year-old said.

"It's one of the lenders on the housing estate. It is currently under legal review.

"It means nothing for the people who have bought houses."

Neil Martin Group Ltd was incorporated in 2005. Mr Martin is the sole director.