Thu, 29 May 2014 | ADMINISTRATION
Titpon-based Phoenix Vehicle Hire Limited has entered administration following a loss in turnover earlier in the year.
The West Midlands company leased refuse trucks and other heavy vehicles to both local authorities and national contracting companies across the UK. It entered administration earlier this month with business being ceased and the entire workforce being made redundant shortly after, Credit Man reported yesterday (28 May).
John Kelly and Kirstie Provan of the business rescue and recovery specialists Begbies Traynor have been appointed as joint administrators. In a statement it was revealed that the financial problems occurred after Phoenix Vehicle Hire experienced a loss in turnover earlier in the year and therefore struggled with the high finance costs of running the business.
The result of this was that the company lost several contracts it had with suppliers, meaning it was no longer able to provide fleet vehicles to its customer base.
Mr Kelly explained: “Following the termination of a number of finance agreements prior to appointment, the company did not have access to a fleet of vehicles to service its customer base. As a consequence, the company entered administration and ceased trading immediately, which has resulted in 16 employees being made redundant.
“The administrators novated the fleet support agreements to GMG Asset Management UK Limited, in order to provide continued service and maximise the collection of the company’s book debts.”
______________________________________________________________________
Related information:
The latest businesses in administration
Business acquisition funding
This subscription-based learning and e-assessment services business offers exceptional revenue visibility and high customer retention, driven by its essential legal and regulatory compliance training for transactional finance professionals.
Exciting opportunity to take over a long-standing business with growth potential through marketing efforts.
Exciting opportunity to acquire a reputable removals business with strong public sector partnerships and national growth potential.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.