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
Available to acquire this profitable 1982 established Polish grocery and convenience store located in Old Trafford, Manchester.
LEASEHOLD
Established in 2004, this construction industry business is located in a prominent trading position with nationwide loyal client base.
A 2004 established MOT garage located in Dorset, benefits from excellent reputation and offers further scope for growth.
25
|
Apr
|
Ambulance services provider acquired in pre-pack deal | BUSINESS SALE
Elite Emergency Medical Services Ltd (Elite EMS), an ambulan...
25
|
Apr
|
Tile business old to management team by Norcros | MBO/MBI
Johnson Tiles UK, a tile business based in Stoke-on-Trent, h...
25
|
Apr
|
New private equity owner for fleet hire firm | BUSINESS SALE
West Lancashire-based fleet hire business NRG Riverside has ...
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
We can help you capitalise on insolvent businesses. We list UK businesses in administration, liquidation and with winding up petitions daily. Ensuring our members never miss out on an opportunity
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.