The Fife-based company, previously known as the Celtic Sea Spice Company, was set up in 2011 and rebranded as Mara Seaweed in 2013. From a bespoke factory in Glenrothes, Mara Seaweed produced a variety of seaweed seasonings, gaining recognition on TV shows like the Great British Bake Off and securing numerous ‘Great Taste’ and food industry accolades.

The administration was triggered by severe working capital issues following the withdrawal of funding for a committed expansion programme, in turn leading to unsustainable cash flow problems with administration being the only option. The joint administrators will now market the brand and assets of the business for sale.

Five staff are being retained for a short period to assist with the sale of stock but unfortunately seven staff have been made redundant with immediate effect. The joint administrators will provide every support to the employees, including assistance with claims to the Redundancy Payments Office for any wages or entitlements due.

Mr Carmichael said: “Mara Seaweed had developed a very high profile and outstanding reputation within the food industry for its innovative approach to harvesting and for the quality of its products.

“The administration provides an opportunity for a business operating in the food seasonings sector, or an entrepreneur keen to enter the rapidly growing seaweed seasonings business. We would ask interested parties to contact the Edinburgh office of FRP Advisory.”