Multidrive has entered administration following weakened sales of its specialist application tractors.
The company was formed in 1996 with the objective to design and manufacture specialist vehicles for the construction, agricultural and military markets.
Formerly based in Thirsk, Yorks, Multidrive took a step to downsize in September last year and moved to premises in Cheltenham, Glos.
Acting as administrator for Multidrive, financial consultant Grant Thornton says that although tractor production was the key focus for the business, sales were not as buoyant predicted and as a result the firm had suffered substantial losses.
Since entering administration, nine of the firm’s 12 staff have been made redundant.
However there is a chance that the Multidrive name will not be consigned to the history books.
Grant Thornton has confirmed that it has received early interest from an investor which has submitted a bid for the firm.