Overview:
On 10 November 2025, David Kemp and Richard Hunt of Exigen Group were appointed Joint Administrators of Cleverchefs Limited, a Cardiff-based catering business serving the education, workplace, and leisure sectors.
Founded in 2016, the company originally focused on weddings and events before shifting into contract catering during the COVID-19 pandemic. This move drove rapid growth, with revenues reaching approximately £7 million in 2022 and the business receiving industry recognition, including Contract Caterer of the Year in 2024. However, despite its growth, the company faced underlying financial pressures that ultimately led to Administration.
Financial Challenges:
Rising supplier prices and wage pressures, coupled with insufficient cost controls and budget overruns, led to a significant decline in gross margins. Delayed supplier payments created substantial debt, limiting the company’s buying power and increasing procurement costs.
Cashflow deteriorated further, resulting in increased reliance on high-interest borrowing. The business also fell behind on HMRC liabilities and ultimately faced a winding-up petition. By late 2025, despite management changes aimed at stabilising operations, the company was unable to recover.
Exigen’s Appointment and Outcome:
Exigen’s Administrators assessed that a pre-pack Administration sale would deliver the best outcome for creditors. The business was marketed through a mailshot to more than 6,000 parties and online advertising. After competitive discussions, the strongest final offer was accepted, covering goodwill and existing contracts. The sale was completed on 10 November 2025, supported by an independent evaluator’s report confirming the reasonableness of the consideration.
Key outcomes included:
- Going concern sale: The business and assets were sold ensuring continuity for clients.
- Employee protection: All 420 employees transferred to the purchaser via TUPE.
- Ledger realisation: An agency agreement was put in place to maximise recoveries.
- Creditors: Returns are expected to various classes of creditors, including secured and preferential (HMRC).
Administrator Comments:
David Kemp of Exigen Group said:
“Cleverchefs’ rapid expansion concealed some fundamental financial challenges. Our focus was on preserving value through a controlled going concern sale, protecting all jobs, maximising recoveries and maintaining service continuity. Given the circumstances, this represents the best achievable outcome.”