Administrators of premium Scottish shellfish processor The Crab Company are seeking a buyer for the business and assets.
The business, based at the Peterhead port in Aberdeenshire, was hit by unsustainable cashflow problems stemming from competition in the crab market, according to insolvency firm FRP Advisory.
Rrising costs and a marked decline in sales and income were also to blame for the company’s collapse, FRP added.
Joint administrators Graham Smith and Michelle Elliot, who were appointed to The Crab Company (Scotland) Ltd on the 19 October, are asking potential interest parties to contact the FRP Aberdeen office.
The Crab Company is not currently trading and has 12 employees, with no redundancies so far in the process.
Founded in 2016, the business processed wild-caught Scottish shellfish using traditional and sustainable fishing methods for local and export markets.
Its main products were Scottish brown crab and lobster caught by local fishermen using pots and creels.
The facility also processed other shellfish such as hand-dived scallop, langoustines and razor clams landed from a number of vessels based in other Scottish ports easily accessible to Peterhead.