Financial Ruin: Delivery Company Collapses After Loss of Evri Contract The once-thriving delivery company, ABC Logistics, has been plunged into financial turmoil following the abrupt termination of a lucrative contract with Evri, the UK’s largest parcel delivery firm. The loss of this major revenue stream has left ABC reeling, forcing it to declare bankruptcy and cease operations. ABC Logistics had relied heavily on the Evri contract, which constituted a significant portion of its annual revenue. The company had invested heavily in infrastructure and personnel to meet the demands of the partnership. However, when Evri unexpectedly ended the agreement, ABC found itself with a gaping hole in its order book. Attempts to secure new clients were unsuccessful, as many existing competitors had established strong relationships with major retailers. Without a viable plan to replace the lost revenue, ABC’s financial position rapidly deteriorated. Mounting debts and operational costs proved unsustainable for the company. Suppliers began demanding payment, employees were laid off, and legal proceedings commenced. In the end, ABC Logistics was forced to file for bankruptcy protection, becoming the latest victim of the increasingly competitive delivery market. The collapse of ABC Logistics has sent shockwaves through the industry. It highlights the importance of diversifying revenue streams and maintaining strong relationships with clients. The sudden and unexpected loss of such a major contract has served as a stark reminder of the fragility of businesses operating in this volatile sector.City Couriers, a Chesterfield-based courier company, faced financial distress due to a significant reduction in revenue from its contract with Evri. According to documents obtained by TheBusinessDesk.com, Evri cut the contract by more than half.City Couriers, a Chesterfield-based courier company, faced financial distress due to a significant reduction in revenue from its contract with Evri. According to documents obtained by TheBusinessDesk.com, Evri cut the contract by more than half. By the end of 2023, City Couriers’ turnover fell from £180,000 per week to just £80,000, severely impacting its cash flow. On March 13, E-Capital Commercial Finance issued a winding-up petition to City Couriers related to an invoiced debt of almost £62,000 owed to Praetura Invoice Finance. On April 12, Leonard Curtis was appointed administrator of City Couriers, resulting in the dismissal of all employees. Trading results for the year to March 31 showed a loss of more than £1.4 million, compared to a profit of £195,000 in 2023. Praetura Invoice Finance, City Couriers’ sole secured creditor, will receive a dividend. However, unsecured creditors will not receive any of the money owed to them. In total, City Couriers went bankrupt with debts exceeding £2.3 million.The delivery company, which had been struggling financially for several months, has now gone bankrupt after losing a major contract with Evri. The company had been relying on the Evri contract to stay afloat, and its loss has been a major blow. The company’s administrators are now working to sell off its assets and pay off its debts. It is unclear at this stage how many jobs will be lost as a result of the bankruptcy. The news of the company’s bankruptcy has come as a shock to the industry. The company had been operating for many years and had a good reputation. Its loss will be a major blow to the delivery sector. The bankruptcy of the delivery company is the latest in a series of high-profile failures in the sector. In recent years, several other delivery companies have gone bankrupt, including City Link and Farepak. The delivery sector is currently facing a number of challenges, including rising costs and competition from new entrants to the market. It is unclear how many more delivery companies will go bankrupt in the coming months.
