Delivery firm failed after collapsed of Evri contract

[TrueBlueTerrier]

https://www.thebusinessdesk.com/eastmid ... i-contract

City Couriers, the Chesterfield-based deivery firm, fell into administration after the turnover derived from its contract with Evri was cut by more than a half, documents seen by TheBusinessDesk.com have revealed.

During late 2023, the company’s revenue from Evri fell from £180,000 a week to just £80,000 – significantly impacting its cashflow.

On 13 March, City Couriers was served with a winding up petition by E-Capital Commercial Finance, relating to its client Praetura Invoice Finance’s factored debt of almost £62,000.

On April 12 Leonard Curtis was appointed as administrator to City Couriers with all employees being made redundant.

Trading results for the year to March 31 show that City Couriers made a loss of over £1.4m against a profit of £195,000 for 2023.

Praetura Invoice Finance, the company’s only secured creditor, will recieve a dividend. However, City Couriers’ unsecured creditors won’t receive any of the money owed to them.

In total, City Couriers collapsed owing more than £2.3m to creditors.

[Barnacle]

So was the revenue reduced from £180,000 per week to £80,000 in 2023 because customers returned to prepandemic buying habits?

Is this company another casualty of the assumption that pandemic conditions, where parcels went through the roof, were going to be the new normal?