Managing directors and insolvency practitioners Craig Morrison and Scott Milne from the Edinburgh and Glasgow offices of cross-border advisory firm Quantuma, were appointed as joint provisional liquidators for the firm on 4 August 2023.

The company, which aimed to bridge the digital skills gap in Scotland, taught software programming to individuals from diverse backgrounds at its sites in Edinburgh, Glasgow, and formerly in Inverness.

Despite being buoyed by an expansion to Inverness in 2018, the firm faced significant headwinds during the Covid crisis. While it offered training to individuals, a substantial portion of its revenue came from placing its trainees into employment. This placement side of the business took a severe blow due to the pandemic, leading to the closure of the Inverness branch in 2021.

Recent adverse market conditions have further squeezed CodeClan’s turnover, with the business placement side of the business once again suffering. Efforts to find alternative income streams proved fruitless, with insufficient cash flow forcing the company to cease trading. This move has led to the redundancy of all 57 employees.

Quantuma managing director and joint provisional liquidator Craig Morrison said: “It is deeply regrettable that CodeClan has been forced to cease trading, due to challenging market conditions. A combination of unsettled trading conditions, particularly impacting the business placements side of the business, has seen CodeClan unable to continue.

“As joint provisional liquidators, our immediate priorities have been to provide appropriate support to those whose jobs have been affected. The partnership action for continuing employment (PACE) has been engaged to work with employees.”