Dozens of jobs lost as no buyer found for Angus transport firm

An Angus haulage firm which entered administration earlier this month has now made all 65 workers redundant.

Kirriemuir haulage company AAD Transport initially continued to trade after entering administration.

Administrators from Begbies Traynor had hoped to find a buyer for the business as a going concern.

However, despite a number of bids coming forward, a sale has not been agreed.

It is understood that workers were informed today was their last day of employment.

AAD Transport administrators statement

A statement from administrators Thomas McKay and Ken Pattullo said: “Over the course of the last few weeks, AAD Transport has been marketed for sale in the public domain by our agents to seek a buyer for the business and assets, and attempt to save the 65 employee jobs.

“Our agents and the administrators held negotiations with a number of closing date bidders.

“However, it was not possible for a sale to be completed due to some challenges within the existing business cost model.”

Now the business has stopped trading, employees have been advised on next steps while they now focus on selling the company assets.

“Unfortunately, the company has ceased trading and the administrators’ priority is to continue to provide all employees with all necessary assistance to advance their redundancy claims,” the administrators continued.

“We have also engaged with the department of Skills Development Scotland to ensure all employees have the required support available to them.

“The administrators and their agents are in the process of realising the company assets to maximise value for the creditors of the company.

“The haulage sector continues to have challenges that are sector wide, including high fuel and related costs, often carrying legacy debt/tax arrears, whilst competition for new orders and work is fierce.

“The net impact is low profit margins which will inevitably impact on cash flow.”

AAD describes itself as a “family run haulage business operating extensively within the UK delivering with accuracy and efficiency”.

AAD Transport demise

Established in 2011, 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 crippled the firm, a problem afflicting the haulage industry.

The most recent accounts for AAD Transport, 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 on its balance sheet.