Cars4You Ltd, a family-owned used-car dealership group based in Edinburgh, entered administration on October 2, with all 26 staff made redundant. George Dylan Lafferty, of BTG Begbies Traynor (Central) LLP, was named as administrator.
The company, which operated second-hand car dealerships across Scotland for 10 years, had outlets in Edinburgh West, Edinburgh, Straiton, Dunfermline and Falkirk. It also ran two other businesses, E-Cars4You and Performance-Cars4You, both located on Bankhead Drive in west Edinburgh.
Administrator confirms redundancies
Thomas McKay, managing partner of BTG's Scotland and Northern Ireland offices, said the company was "implementing safeguards" at the showrooms and offering support to workers hit by the closure.
In a LinkedIn post, Mr McKay said: "BTG have been appointed administrators over Cars4you Ltd by the company lenders BCA. We have implemented safeguards across the car showroom sites all over Scotland and are providing support to the employees affected by this engagement."
Support for affected employees
The firm is believed to have had an online stock of around 1,500 vehicles, including second-hand cars and light commercial models. Discussing the staff impacted by the decision, Mr McKay spoke to specialist automotive news outlet AM-online, stating: "At this point in the process we can confirm that sadly, all 26 employees have been made redundant, and we have been working closely with those affected to help them access the support and financial entitlements available to them, including assistance from Partnership Action for Continuing Employment (PACE) and the Redundancy Payments Service."
"Our priority is to ensure the employees receive the guidance and advice they need during this process, and also to maximise the return from the sale of assets including vehicle stock to benefit the creditors."
Affected sites listed
The affected locations include Edinburgh West, Edinburgh, Straiton in South Ayrshire, Dunfermline in Fife, Falkirk, and the two Edinburgh-based businesses E-Cars4You and Performance-Cars4You.
This follows Telford Transport Solutions Limited, a warehousing and logistics operator based in Telford, Shropshire, being put into administration after directors recognised the company was insolvent. Its services included local, national and international courier services, as well as warehousing and distribution operations. David Kemp and Richard Hunt of Exigen Group were appointed as joint administrators on October 2, according to The Gazette. Exigen confirmed that over several months the firm had built up HMRC arrears of approximately £1.2 million.
