NORTH of Scotland equipment specialists Balgownie Limited and Balgownie Rentals Limited have been placed in administration, resulting in 24 immediate redundancies.
Richard Bathgate and Graeme Bain of Johnston Carmichael LLP have been appointed as joint administrators of the Inverurie-based business.
Balgownie MD Mike Singer said, “As a result of cash flow issues, the board of directors is deeply saddened to announce that we have had to make the difficult decision to appoint administrators to the company with immediate effect.”
Richard Bathgate of Johnston Carmichael LLP, commented, “Balgownie is a well-respected company that provides machinery to the agricultural, construction, and ground care industries in the north of Scotland. It has a trading history as far back as 1907 and is known for its quality and outstanding customer service.
“Unfortunately following the identification of cashflow difficulties, the board of directors has had to place both Balgownie Limited and Balgownie Rentals Limited into administration. This has resulted in 24 redundancies with 17 employees being retained to assist the joint administrators in marketing and selling the company’s assets.”
Partnership Action for Continuing Employment (PACE) will be offering free advice and assistance to employees.
Richard Bathgate added, “I would encourage any party who may be interested in acquiring the business and its assets to contact Neil Woodgreaves of Johnston Carmichael. This is an opportunity to acquire the business and assets of a highly respected, long-established business which operates at its wholly owned trading premises in Inverurie and Turriff, Aberdeenshire.”
The joint administrators said they are ‘urgently’ assessing the stock and asset positions at the Inverurie and Turriff depots to assess whether the business may be in a position to continue some limited trading in the short-term under the administrators’ control whilst a purchaser is sought for the business as a going concern.
