A joint administrator of Cross Transport is urging operators to seek professional guidance sooner rather than later, after the Birmingham-based haulier went under.
David Kemp and Richard Hunt of nationwide insolvency practitioner, SFP, were recently appointed as joint administrators of Cross Transport Limited, which provided road haulage services across the UK and Ireland.
Formed in 2010, Cross Transport had a depot in Swadlincote and operating licence for 20 HGVs. It appointed the administrators on 5 June after being hit by a series of economic headwinds.
To add to its woes, the haulier was scheduled to appear at a Birmingham public inquiry on 4 July for the TC to consider disciplinary action and the transport manager’s repute, according to the office of the traffic commissioner.
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Joint administrator David Kemp said: “Cross Transport was in an untenable position in the face of rising costs and other financial difficulties.
“Despite not being able to salvage the business, due to it having already ceased trading, steps could be taken in the administration to protect assets and maximise recoveries.
“From rising fuel prices to driver shortages, 2022 was a difficult year for the road haulage sector. With many companies in the industry operating under the pressure of thin margins, we urge directors to seek professional guidance at the earliest sign of trouble.
“It would increase the chances of saving the business and securing the best result for the company and its employees.”