Biomass boiler specialist BBSM enters liquidation with 30 jobs lost

BBSM Limited, a Tiverton-based biomass boiler servicing and installation business, entered creditors' voluntary liquidation on 1 September, with Nick Harris and Lucinda Coleman of PKF Francis Clark appointed joint liquidators. All 30 employees have been made redundant.

The business and its decline

Founded in 2019 and originally registered as Biomass Boiler Servicing and Maintenance Ltd, BBSM specialised in servicing, maintaining, installing, removing, commissioning and retrofitting commercial and industrial biomass boilers, working across England, Scotland and Wales. According to the company's own website, it managed and serviced more than 500 commercial and industrial biomass boilers ranging from 25kW up to 3,500kW, using a team of around 18 HETAS-accredited engineers. It was among the first UK companies accredited to HETAS MCS040, the standard required for biomass boilers receiving payments under the government's Renewable Heat Incentive scheme, which meant its annual servicing work was often a compliance requirement for customers rather than optional maintenance.

The company grew quickly on the back of that position, increasing turnover to almost £4 million within five years and building a substantial customer base in the commercial and public sectors.

According to the directors, the decline played out over the preceding 18 months through a combination of pressures: bad debts from customer insolvencies, losses on two major projects, and rising operating costs. Cash flow came under further strain as customers took longer to pay, and several significant projects were cancelled or delayed earlier this year.

The liquidation

Harris said the directors had worked to explore options for securing the business's future, but a going-concern rescue proved unavailable. "Unfortunately, it was not possible to rescue the company as a going concern and there was no alternative to liquidation in the circumstances," he said. "Our focus now is on realising the company's assets for the benefit of creditors, as well as supporting former employees with claims to the Redundancy Payments Service."