The management of Broomhall Castle near Stirling have appointed liquidators.
Located in Menstrie, the castle dates back to 1874 and was turned into a small hotel in 1985. With function rooms, a restaurant and 17 en-suite bedrooms, it was a popular wedding venue.
Unfortunately, the business suffered from the impact of Covid-19 lockdowns with debts accrued, making it unviable.
The hotel ceased to trade upon liquidation and all 12 staff have been made redundant.
Ken Pattullo, managing partner at Begbies Traynor in Scotland, which was appointed liquidators on 2 August, said: “It is sad to see the demise of this popular hotel after almost 40 years in business.
“Unfortunately, the hospitality sector was one of the worst affected by the disruption of the pandemic, with the series of lockdowns over the last two years resulting in a significant loss of revenue.
“We are currently in the process of realising any assets we can to provide the best return for creditors, as well as liaising with anyone who has bookings at the hotel to advise them of the situation, so that they can make alternative arrangements for their weddings.
“There are currently 18 weddings booked, almost all of which have been secured via credit cards, so these customers should be able to get their deposits reimbursed by the credit card companies.”
The joint liquidators will also assist the former staff by helping them to register any claims to the Redundancy Payments Office and access support services from PACE.
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