Kidderminster car dealership goes into administration
A car dealership in Kidderminster could be sold after administrators were appointed.
Tony Wright and Rajnesh Mittal of specialist business advisory firm FRP were appointed as joint administrators of franchised Vauxhall dealership CMS Kidderminster on August 16.
The business in Churchfields had faced financial difficulties in recent months.
All 46 staff remain employed and CMS continues to trade as the joint administrators explore options for the future of the business, including the possibility of a sale.
Mr Wright said: "Our appointment provides some stability for CMS and enables the business to continue to trade, supporting both employees and customers.
"We're working through our options and are considering the prospect of a sale process to protect the future of CMS. We encourage any interested parties to come forward."
The business, founded in 1987, made a pre-tax profit of £487,475 on turnover of £94.2m for that year.
The firm struggled throughout the Covid-19 pandemic, with a reduction in employees to 79.
It also faced problems with a lack of skilled trained people to employ and a global parts shortage.
CMS has been a long term supporter of Kidderminster Harriers and used to sponsor the club’s centre of excellence and youth development scheme.
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