Swindon-based Folio Hotel Group has gone into administration following a sharp drop in business.
The group runs 36 hotels in the UK and has an annual turnover of approximately £70m, but cash flow problems caused by high rents and a recent expensive refurbishment has caused the fold.
According to administrators MCR, the group is likely to be sold as a going concern.
The company owns The Madison Hotel on Oxford Road in Swindon.
Paul Clark from MCR remained upbeat about the group’s prospects: “All the hotels in the group will continue to trade whilst a buyer is sought as a going concern.
“We are confident that there will be a significant amount of interest.”
