Harlow-based Hoddesdon Distribution’s problems started after it was sold to an investment company, which prompted an exodus of staff and resulted in a loss of goodwill, according to its administrator.

The transport and warehousing firm, which started in 1997, was purchased by Aquila Food Group Holding Company in February 2022, but according to Kroll Advisory there followed a departure of key personnel – with Hoddesdon Distribution bearing the loss of their knowledge.

The acquisition also led to a loss of goodwill with customers and Kroll added: “Coupled with high interest rates, rising prices of key costs and technical issues associated with the implementation of a new technology system, [this] resulted in the company experiencing significant liquidity issues.”

It entered administration on 17 April, seven weeks after Aquila suffered the same fate. Hoddesdon stablemates TWT Logistics and Switch International Trailers (UK) have also recently called in the administrators.

Kroll said it had made £50,000 selling Hoddesdon’s fleet of trailers and trucks and a further £51,500 in respect of the firm’s warehouse assets.

Its licence to operate 21 HGVs and 30 trailers was revoked last month.

The administrator added: “The company’s books and records indicate non-preferential unsecured creditors total £405,629. Based on current information, it is anticipated that there will be insufficient funds to pay a distribution to non-preferential unsecured creditors.”