A Falkirk-based engineering firm has collapsed owing £3 million, with nearly all 95 jobs lost across its two factories. The 42-year-old business, which specialised in metal and steel works and supported the oil and gas sectors, entered administration in May 2026.
Administrators appointed and trading ceases
James Alexander and Alistair McAlinden were appointed as joint administrators in May 2026. Trading officially ceased on May 12, 2026, just a few weeks later. The administrators' report, shared with Companies House, confirmed that AIM Engineering & Fabrication Limited took the difficult decision to send all employees home after the business had insufficient funding to meet its payroll obligations.
Financial challenges cited
The administrators said the business faced a number of financial challenges, including the loss of its largest customer in February 2026 and pressures from creditors that impacted cashflow. The report noted that the company was experiencing sector headwinds common across the building and construction supply chain, leading to the conclusion that there was no viable alternative but to seek administration.
Job losses and creditor details
Following the appointment, all 60 employees at the AIM factory were made redundant. At Hescott Engineering Company, all jobs were also axed except one staff member retained to help with the winding-up process. AIM had one secured creditor, Cynergy, with principal indebtedness of £139,995. Ordinary preferential claims were estimated at £151,000, with a possible dividend anticipated. Secondary creditors include Ashton Building Systems of Glasgow, owed over £174,000, and Carron Phoenix in Manchester, owed over £171,000.
At Hescott, secured creditor 4SYTE was owed £807,917, with ordinary preferential claims estimated at £72,454. HMRC submitted a secondary preferential claim of £281,813. Additional secondary creditors include ArcelorMittal Distributions in Scunthorpe, owed £527,960, ASD Limited of Leeds, owed £217,674, and Voestalpine Metsec Building in Oldbury, owed £183,210. The administrators' reports from Interpath suggested it is unlikely that any of the secondary creditors across both firms, owed over £1.5 million combined, will see any return.
