Bactest funded twice through the Syndicate Room platform; around £1m in total. Now with the cash gone and sales unable to meet costs, the company has put itself into liquidation.
There are two kinds of failures with start ups. Genuine companies that do everything in their power to trade and make money and companies that take the money and never had a chance. Bactest is firmly in the former camp.
As the name suggests, the company developed and sold equipment for testing bacteria levels in water.
Its products did sell and the company won several industry awards. Since funding, it had added to its portfolio. But therein lies the problem. Maybe more concentration and spending on driving sales of their original products and less on R&D and this story could have turned out differently. Either that or deeper pockets. But the investment line ran dry and that gave the company little choice.
It is too early to know the state of their accounts but there is sure to be value in their IP.
This is one failure that it seems fair to put down to death by natural causes. Both the company and Syndicate Room are helping with investor enquiries.