Dozens of jobs have been lost in Aberdeenshire after a century-old agricultural machinery business was placed into administration.
Balgownie Limited and Balgownie Rentals Limited, which had traded for 117 years, appointed Richard Bathgate and Graeme Bain of Johnston Carmichael LLP as joint administrators on March 15 following “cash flow problems”.
The Inverurie firm confirmed that 24 employees have lost their jobs immediately, with 17 workers retained to help try and sell the company’s assets.
Managing director 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, one of the administrators, described Balgownie as “a well-respected company known for its outstanding customer service.”
He added: “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.”
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