Corporate: Celebrity car museum has six weeks to raise £46k 27 January 2012

A custom car museum which has become something of a celebrity hang out has been given until 5 March to settle debts with HMRC.

The London Motor Museum – which counts pop stars Kelly Rowland, Will.I.Am and Akon among its clientele – specialises in custom and classic cars.

It was landed with two winding up orders last year and is now facing a renewed challenge by the tax man. The High Court heard the company has managed to sell £15,000 of assets and is in the middle of trying to meet the remaining £46,000 debt.

According to the museum’s website it is home to more than 100 designs, including the Batmobile and the Delorean which starred in the Back to the Future films.

Speaking at the hearing, a director of the business, said: “We have made an agreement with the Revenue and we have also asked them to give us more time to sell some assets to be able to settle the payment in full.

“We have sold £15,000 and we need to pay the rest – I am trying to sell some stuff.”

On hearing the company’s latest position Registrar Nicholls agreed to adjourn the hearing until March 5.

According to the latest accounts filed in January 2011 the company’s net assets were -£269,443.

The Middlesex-based museum states it ‘is the only custom car museum in Europe’ and is home to classic from the 50s, 60s, 70s, and 80s.

Some of its cars have also featured in fashion shoots and music videos, starring the likes of the Black Eyed Peas.

By Andy Pearce