THE second-hand car company Carcraft, is to close, with the loss of about 500 jobs.
The dealership, based in Rochdale, Greater Manchester, has 10 showrooms around the country including one on the Lakeside Retail Park.
Carcraft is the UK’s seventh-largest second-hand car chain, selling more than 12,000 used vehicles a year, administrators said.
A spokesman warned customers with Carcraft policies, including break-down cover, would no longer be covered.
Administrators Grant Thornton said the group had suffered from "poor market reputation, lack of investment, a high cost base, expensive loan note financing and an insolvent balance sheet".
The group is said to be making annual losses of about £8m a year.
It is understood all employees have been informed and have been made redundant.
Daniel Smith, partner at Grant Thornton, said: "With great regret a conclusion was reached that it is no longer viable to keep Carcraft in operation.
"In order to prevent further losses it has been agreed with management and creditors to cease operations with immediate effect."
He added the business would retain a "skeleton staff" to help with selling off the assets.
