The company that formerly traded as children’s furniture retailer Room To Grow has entered liquidation owing creditors over half a million pounds.

Ninos Koumettou and Yiannis Koumettou, both of Begbies Traynor (Central) LLP, were appointed as joint liquidators of RTG Retail Limited, which traded as Room To Grow, on 23 July 2024.

Detailed in newly filed documents on Companies House, the business owes preferential creditor, the HMRC, a sum of £86,000, while unsecured creditors are owed a combined figure of £598,000.

These include £283,000 owed to banks and financial firms, such as Funding Circle, owed £190,000, Paypal Cash Advance, owed £39,000, and American Express, owed £36,000.

Other trade creditors are owed a combined sum of £204,000, while one employee is owed £32,000 as well as a family loan of £50,000.

It is expected that creditors will suffer a shortfall of £681,000.

Room To Grow is still trading under TCFC Retail Ltd, which was incorporated in February 2023 and took control on the business. The parent company also trades as The Children’s Furniture Company.

Back in June 2023, Room To Grown appointed debt specialist Bell & Company to assist with outstanding debts owed to creditors.

Bell & Company was approached on 22 March 2023 following pressure from company creditors in relation to debts owed, with some dating back to December 2022.

Following the appointment, Bell & Company, acting on behalf of RTG Retail Limited, tried to implement payment plans with suppliers due to the business not having enough funds to pay outstanding balances owed in full. Read more.