A KENDAL-based Internet company has made more than half its staff redundant and is expected to be sold soon as a going concern.

LocaVista, formerly known as TrinetIMB, has gone into administrative receivership after experiencing what has been called "financial difficulties."

It has already made 13 of its 22 staff redundant, although the impact has been lessened by the creation of a new independent company, called The Creative Branch Limited.

Based at the same Castle Garth site, it is headed by managing director Catherine Rumney, who has bought LocaVista's separate web-design and web-hosting services.

Working alongside ADS Solutions, it will now specialise in website design, design for print and brand development, and has taken on three full-time members of staff made redundant from LocaVista, with a hope there could be further recruitment to follow.

Joint receiver Kroll Limited, which has offices in Manchester and Birmingham, said LocaVista's vehicle-tracking service, which allows businesses to monitor the movements of their vehicle fleets, has already attracted several inquiries and a sale is expected soon.

Receiver Joanne Wright said LocaVista, which had an annual turnover of nearly £1 million, experienced "financial difficulties" because its revenue did not match its overheads.

"The company required additional investment whilst its revenue streams continued to grow. Our intention is to sell this business as a going concern and we are currently working with its business partner to ensure there is no disruption to service.

"We believe LocaVista will be an attractive acquisition for a company with Internet-based services or local-based service industries, as it offers a skilled workforce."

Meanwhile, The Creative Branch is looking forward to the future.

Ms Rumney said: "We are extremely excited about the new venture and feel Kendal is a great location. We are well placed to provide unique design solutions throughout the UK and we have the technical and graphic design experience to compete with larger city agencies. "As an independent company we now have the freedom to develop the range of creative services we offer."

LocaVista was created by the merger of TriNet IMB and Crosland.

Kendal-based TriNet, used its technology to track the progress of sailors in a yacht race around the Isle of Wight last year for Internet users, as well as showing them the journey of cricket legend Ian Botham during his John O'Groats to Land's End charity walk in 2001.

Created in 1996, TriNET notched up a million "hits" on its web sites and followed the progress of Sir Chris Bonington's expedition through Tibet.

Other events included the transmission of live pictures onto the web of the Radio One Roadshow from Bowness, the Westmorland County Show and the Kendal Torchlight parade in 1999.

April 17, 2003 17:00