Waste haulier saved as two more go under

By Chris Tindall

A haulage firm providing services to the waste and recycling sector and operating 45 HGVs has been sold in a pre-pack deal after it collapsed into administration.

Wrexham-based 4 Seasons Beer Tent Co, which traded as Ningbo Walking Floors, appointed administrators on 17 January after experiencing financial difficulties.

Begbies Traynor said the Covid19 pandemic was the catalyst for the firm’s problems and that it had experienced “significant losses”.

Joint administrator Joanne Hammond (pictured) said: “The disruption of Covid lockdowns combined with historic HMRC debts, rising overheads and the need to repay CBIL loans pushed the business into insolvency.”

However, after the business was put up for sale, a pre-packaged deal was agreed with Stockton Property, which bought the business for £120,000 and saved all 38 jobs, including 31 HGV drivers.

Stockton, which shares the same director as 4 Seasons, paid £40,000 up front and the remainder will be paid in regular monthly instalments.

Financial records showed that 4 Seasons reported a £304,000 pre-tax profit for the period ending 31 December 2021, but Begbies Traynor said over the following six months trading losses grew to £545,588.

News of the rescue came as two more hauliers collapsed amid financial difficulties.

The first was Lincolnshire-based international haulage firm BritPol, which closed down on 11 January with the loss of 80 jobs.

Based in North Killingholme, the haulier held a licence authorising 108 HGVs and 145 trailers out of its Immingham operating centre.

The company collected goods in Europe and delivered to bluechip customers in the UK, as well as in Germany, the Netherlands and Luxembourg.

A spokeswoman for Begbies Traynor said: “Unfortunately, the increase in fuel prices and inflationary pressures led to creditor action for non-payment.

“Due to a lack of interest as a going concern, the business’ assets have been sold.”

Unaudited abridged accounts for the year ending 30 September 2021 showed that Brit-Pol had fixed assets worth £6.3m.

Meanwhile, Merseyside-based Optimum Logistics ceased trading last November after its floating charge holder grew concerned about recovering its outstanding liability, despite the company’s most recent financial results showing that it had returned to profit by the end of 2021.

For the year ending 30 November 2021, it had increased turnover to £915,011 and reported a pre-tax profit of £51,372.

KBL said: “The joint administrators think that the company has insufficient property to enable a distribution to be made to unsecured creditors.”