Hope for Lybster's creative glass studio shattered as provisional liquidators appointed
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The death knell has sounded for a Caithness creative glass studio with an international reputation as provisional liquidators were called in.
Previously, it was reported on August 10 that three full-time and three part-time staff were told at the end of July that North Lands Creative (NLC) in Lybster had "ceased trading" and were further informed, without any advance warning, that they had all lost their positions at the glass studio.
Now, it has just been announced that Blair Nimmo and Geoff Jacobs from Interpath Advisory were appointed joint provisional liquidators of NLC yesterday (Tuesday, August 22).
The specialist glass studio was established in Lybster in 1995 to stimulate the growing interest in the possibilities of glass as an art form and provide cultural activities to the community of Caithness and across Scotland. The vision was to be an international centre of excellence in glass making, dedicated to the study, appreciation and development of glass art.
Related article:
North Lands Creative glass studio in Lybster ceases trading – six staff lose jobs
It was said to generate income from various sources including studio rental, space hire, education and training and aimed to self-generate around 50 per cent of its overall income, with the remainder being obtained through support from various public sector, charitable bodies, trusts and patrons.
The company, however, operated at a loss for a number of years but had continued support from its non-trade funding sources. A loss was avoided in 2021 when Covid-19 support mechanisms offset salary costs. Unfortunately, post-Covid, losses continued. The directors took various actions to reduce the losses including a strategy of investment through refurbishment of its premises, the purchase of a new furnace and creation of a café in an attempt to drive additional revenue.
Despite the directors’ efforts, in recent months, the company started to face more intense challenges with significant increases in costs through the well-publicised high inflationary environment, along with operational problems including difficulties with recruiting staff in the region. Coupled with this, income was also declining
As a result of these issues, NLC was no longer able to continue to trade and the directors took the difficult decision to cease trading towards the end of July 2023, and subsequently took steps to appoint provisional liquidators. Upon appointment of the joint provisional liquidators, the company’s six employees were formally made redundant.
Blair Nimmo, chief executive of Interpath Advisory and joint administrator, added: “North Lands Creative Glass is a unique organisation with a well-founded reputation for developing glass and therefore it is extremely disappointing for the company’s many stakeholders, funders and employees that it could not continue to trade viably.”
Geoff Jacobs, managing director at Interpath Advisory and joint provisional liquidator, said: “Our focus will now be on supporting the employees affected and securing and realising the business and assets of the company, which include freehold property, artwork, furnaces and other equipment.
"Clearly it would be great to see the business continue in some manner and therefore, if any party is interested in acquiring the business and/or its assets, they should contact the joint liquidators as soon as possible.”
Around two months ago the centre announced that it had recently employed three new members of staff – Karlyn Sutherland, interim general manager; Eric Dahlberg, studio manager; and Rachel Weir, administrative support.
In September 2021, NLC celebrated 25 years in Lybster and announced that building work had "commenced across its campus" to create a new Creative Community Hub. A programme of works was to see a "much improved modern facility for the benefit of the local community" with welcoming spaces to enjoy creative arts and includes a community café, dedicated disabled toilet with baby change facilities and a gallery and makerspace.
At a Welcome Day event, coinciding with the 25th anniversary two years ago, then director Karen Phillips said: "So far we have raised over £300,000 which will be a welcome significant boost to the local cultural economy. This funding will help to allow studio activities to restart; our organisation to plan for developing new community spaces; and help protect jobs and create opportunities for creative freelancers."
