Dundee-based Tayside Plumbing & Building Supplies, which also operates as Kitchen and Bathroom World in the city, said the voluntary winding-up of the business while it was still solvent meant all creditors and staff will be paid.
Accountancy firm MHA Henderson Loggie, which is assisting with the winding-up, said the company has been operating at a loss for a number of years and had faced difficult trading conditions of late.
Shona Campbell of the practice said: “There have been significant changes in the UK plumbers’ and builders’ merchant market, which is now dominated by a few national brands.
“Market consolidation and competition from online retailers and home improvements chains have had an impact on the company, and the directors have taken the difficult decision to wind up the affairs of the company while it is still in a position to meet its obligations and pay in full what it owes staff and creditors”.
The company was set up in 1974 and at its peak had 24 staff although that number has since halved. Its Eagle Mills site will be sold and planning consents for apartments and business units have been conditionally approved.