Updated: 14th September 2015
Geldards Coaches, the largest privately-owned bus and coach company in Yorkshire, has been forced into administration after finding itself in serious financial difficulties.
The business employs 50 people and has the same number of vehicles operating across Yorkshire, with school services in various parts of Leeds halted after administrators were called in to manage Geldards’ affairs.
Having been founded in 1991, the company established a strong regional presence as a bus and coach hire company but its operations have been hindered of late after a fire badly damaged one of its key facilities in Farnely last month.
Bob Maxwell and Lee Lockwood from the corporate recovery specialists Begbies Traynor were appointed as joint administrators of Geldards on 11th September, with the recent fire cited as the primary cause of the company’s financial problems.
“In August 2015, there was a fire at the company’s premises off Whitehall Road in Farnley which destroyed half of a coach repair workshop and damaged three vehicles,” a Begbies Traynor spokesperson said in a statement.
“Unfortunately, it is commonplace for companies subjected to a major fire not to survive and this is the case here,” said Bob Maxwell.
“One of our key concerns has been attempting to minimise disruption to the services operated by Geldards Coaches, particularly the school routes it provides,” Maxwell went on.
“We have spoken to all the customers and we are in the process of arranging to provide emergency cover where required. If parents are in any doubt, they should contact their school.”
A buyer for Geldards’ business is now being sought by administrators but it remains unclear whether the company’s 50 employees will be able to retain their jobs going forward.
A spokesperson for the West Yorkshire Combined Authority has explained that efforts are being made to ensure that the cessation of Geldards bus and coach services does not lead to extensive disruption.
“We are working hard to ensure there will be a smooth handover of services to new operators and avoid, as far as possible, inconvenience to customers,” statements from the authority said on Monday. With 83 offices stretching from Inverness down to Exeter, Real Business Rescue can offer unparalleled director advice across the UK.