Related Cheshire haulage m&s cuts firms appoint administrators I c o l y ist E r l i N t m ion nic.pryrf
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L.c..ji( RELATED CHESHIRE haulage and storage firms DJM Transport and DJM Logistics (UK) have both gone into administration, with staff from Grant Thornton appointed on 17 May.
The businesses had been running since 2001. but have become the latest victims of the harsh trading conditions in the sector.
Joint administrator Les Ross says: "The reasons for the demise are no different to some of the others in the sector. It is a g competitive marketplace, with overcapacity. This is another example of too many companies chasing too little work." Ross says the transport operation had particularly suffered from declining margins, and although the warehousing arm was the stronger of the two divisions, the warehousing facility "was not full enough or long enough at the right rate".
Both businesses are continuing to trade in the short term, although DJM Transport is only servicing customers from the warehousing operation.
Around 30 employees have been made redundant due to the administration.
DJM Transport is a member of The Pallet Network (TPN). TPN's MD Adam Leonard says the firm will continue to trade with TPN until the result of the administration becomes clear, although he says the network does have contingency plans in place.
Mike Hickman was the finance director at both DJM Transport and DJM Logistics (UK); he has now become sole director of a third firm, RSJ Logistics, based in Wigan.