A DUNDEE-based company that specialised in e-bike hire has gone into liquidation, with all staff being made redundant.

Ride-on Scotland, which operated in Dundee and Leicester, ceased operations after running into “unsustainable working capital and cash flow problems” arising from a lack of investment.

All nine employees have been made redundant following the appointment of provisional liquidators Callum Carmichael and Stuart Robb, partners at FRP Advisory.

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The joint provisional liquidators will now wind up the business and market the business and assets for sale. Assets include a substantial fleet of e-bikes, numbering around 200 in Dundee and 300 in Leicester, charging infrastructure, software, and maintenance systems. The liquidators said they will also focus on supporting the affected employees with claims to the Redundancy Payments Office and accessing employment support services.

Mr Carmichael said: “Ride-on Scotland had created a sophisticated and customer-focused e-bike hire business that had attracted a substantial membership base and growing interest from city councils across the UK.  However, the business has been severely impacted by a shortfall in investment leading to unsustainable cash flow problems.”

He added: “We will shortly be selling a modern fleet of urban hire e-bikes and infrastructure that would appeal to an existing operator or an entrepreneur looking to enter the growing urban e-bike hire market.”

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Ride-on Scotland, which was founded in 2018, invested in the latest e-bikes and associated infrastructure, including charging and docking stations, software, maintenance systems, and support. It offered a membership model based on monthly subscriptions, with users able to access e-bikes on a round-the-clock basis, via an app. The company had won contracts to operate its services from Dundee City Council and Leicester City Council.

The business was acquired outright by Enzen Limited in 2020.

Operations in Dundee were suspended in November, followed by Leicester last week. It had eight employees in Leicester and one in Dundee.