Thu, 02 Nov 2017 | ADMINISTRATION
A Scottish company that specialises in delivering parts for wind turbines has gone into administration following growing competition and rising costs, costing 21 employees their jobs.
West of Scotland Heavy Haulage, based in Cumbernauld in North Lanarkshire, was founded in 1946 and previously maintained contracts in mining, civil engineering, construction and renewable energy transportation.
Despite having an annual turnover of around £11 million, an increasingly competitive business environment and the rising costs of running a haulage company meant that this week FRP Advisory were appointed as administrators.
Tom MacLennan, partner at FRP Advisory and joint administrator of the firm, said the company also had “unsustainable cash flow problems”.
He added: "Unfortunately, the businesses could not overcome severe operational and financial problems, and administration was the only option.”
"We will work closely with all agencies including the Redundancy Payments Office to ensure employees receive as much support as possible at this difficult time."
West of Scotland has ceased trading with immediate effect while the administrators take over, with 21 permanent members of staff being made redundant and only two retained to assist with the winding up process. Sub-contractors have also been hired to take care of the firm’s three remaining contracts.
MacLennan added that West of Scotland was a “long-standing provider” of specialist heavy haulage vehicles and services across Scotland, often one of the few companies able to deliver certain equipment.
The impact of the administration will be such that Paul Wheelhouse, Minister for Business, Innovation and Energy, said he was “deeply concerned” by events.
He said: "The Scottish government is monitoring the situation and, in the event that any employees face redundancy, we stand ready to provide support through our multi-agency initiative for responding to redundancy situations, Partnership Action for Continuing Employment.”
Search businesses in administration
Subscribe to the Business Sale Report
This company specialises in supplying the highest quality natural stone products, offering a complete turnkey solution to its customers from sourcing, through to processing, design and final distribution and delivery. Offers invited.
RELOCATABLE
Precision Engineering Business for sale operating with a modern, well equipped machine shop, offering Engineering Development Modelling (EDM), CNC turning & milling, grinding, boring and fitting. Offers invited.
LEASEHOLD
High quality practice with strong middle management on the market for the first time. Established: 25 to 30 years. Strong middle-tier management to support acquirer throughout the transition period and on an ongoing basis. Locations: Cheshire, Mersey...
|
20
|
|
Sep
|
Thomas Cook seeking 'last-ditch' fire sale | BUSINESS SALE
Thomas Cook Group is reportedly trying to piece together a l...
|
19
|
|
Sep
|
Smith & Williamson and Tilney to merge | MERGER
After revealing in August this year that talks were in place...
|
18
|
|
Sep
|
Infrastructure investment manager takes stake in LJLA | BUSINESS SALE
Infrastructure investment management group, Ancala Partners,...
Sign up to receive our acquisition alert emails to get your FREE guide
|
22
|
|
Aug
|
Welsh technology firm plunges into administration | ADMINISTRATION
Thought to be one of the country’s leading ICT supplie...
|
17
|
|
Jul
|
Preston caravan manufacturer seeks buyer following administration | ADMINISTRATION
A caravan manufacturing business in Preston is on the lookou...
|
18
|
|
Jun
|
Administrators called in for West Midlands contractor | ADMINISTRATION
A contractor based in Aldridge, West Midlands has collapsed ...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources