But managing director and founder Nick Hanley, said: '80% of my rentals go to fleets and while a lot of them have already said they will stand by us, I want to let the others know that we are going to survive and come back stronger.' He said plummeting residuals had cost the firm up to £5 million because it has traditionally carried the residual risk on all its 4,000-strong fleet.
The rescue plan being co-ordinated by Hanley and administrators from receiver KPMG involves disposing of 1,000 vehicles from Standish's fleet and replacing them with cheaper ones on contract hire. 'We want to get rid of the larger cars that are costing us more than £400 a month to finance and replace them with cheaper models,' said Hanley. 'Our competitors are hiring a small van out for £47 a week. But 10 years ago it was £94. We just cannot compete with this.'