Kirriemuir haulage company AAD Transport has entered administration, with 65 jobs at risk.
Begbies Traynor has been appointed administrators for the Angus firm, which was established in 2011.
The company is continuing to trade while a buyer is sought.
A family-run operation, AAD operates across Scotland, as well as in some parts of Spain and France.
Cash flow problems as a result of rising fuel and operating costs have crippled the firm, administrators said, a problem afflicting the haulage industry.
Hope for company as a future going concern
With an extensive fleet of lorries and vehicles, and a “skilled workforce”, administrators Begbies Traynor remain hopeful a buyer will be found.
Thomas McKay, a partner at Begbies Traynor said: “Unfortunately, the transport sector has been severely impacted both by Covid and by higher than normal increases in fuel and other operating costs in recent times.
“After 13 years in business, we are working hard to enable AAD Transport Ltd to continue trading in order to find a buyer for the business and assets, and help to secure the 65 employee jobs, which are currently at stake.
“The business has a skilled workforce and an extensive vehicle fleet of lorries and trailers.
“We believe the business is viable and we are working with our agents to find a buyer for the business and assets, as the business continues to trade at this time.”
Talks with impacted stakeholders under way
AAD describes itself as a “family run haulage business operating extensively within the UK delivering with accuracy and efficiency”.
The most recent accounts for the business, for the year ending March 31, 2023, showed net assets of £109,965.
This had fallen dramatically from the previous year, when the company had assets in excess of £500,000.
Ken Pattullo, partner at Begbies and joint administrator, said they would be talking to everyone impacted, including customers.
He said: “Our priority is engaging with all stakeholders to find a solution for the business and employees going forward.
“This includes the loyal customer base which has worked with the company since its incorporation.”