Tayside Aviation Limited, a distinguished flying school in Scotland, has closed its doors after offering over five decades of flight training services at Dundee Airport.
This development has resulted in 22 of the company’s 25 employees being laid off, with Interpath Advisory stepping in as administrator.
As a UK CAA Approved Training Organisation (ATO), Tayside has a long history of providing a range of courses, from PPLs to commercial licences. Additionally, the company has been involved in delivering the RAF Air Cadet Pilot Scheme for more than three decades.
According to reports, the administrator was informed that Tayside faced substantial liabilities for prepaid flying courses when the existing owner purchased the company in December 2021. Fulfilling these commitments negatively impacted the company’s ability to generate revenue from new sales as resources and air slots were consumed by legacy obligations.
Concurrently, the company faced difficulties due to delays in hiring senior personnel, which further hindered business performance. Even after a substantial investment of £1.5 million by the shareholder on top of the purchase price, Tayside struggled with working capital requirements that could not be met.
Customers with pre-paid flying hours will be included in the list of creditors and contacted regarding the claim process. In a tweet from the British Airline Pilots’ Association (BALPA), the organisation confirmed that it has contacted members involved to offer support.