Lucas of Mansfield, a Subaru, Proton, Isuzu and Daihatsu dealership, has gone into administration.
Management said a recent drop in cars sales has left them with no alternative but to call in administrators.
However, the showrooms will be kept open temporarily to sell the remaining stock of cars.
The business founded in 1918 and based on Nottingham Road, Mansfield, employed 27 people.
Stephen Battle, operations director for Subaru and Isuzu, said: "They've been with us for a long time and historically they've been excellent with aftersales.
"The dealer principal is past retirement age and a lot of their staff have been with the business for 30 years, so we're really sorry to see them go into administration."
Lucas of Mansfield held authorised repairer status for Subaru and Isuzu, as well as full franchise status with Daihatsu and Proton.
Battle said: "We have good coverage for Subaru and Isuzu with dealerships in Nottingham, Derby and Chesterfield. It's possible we may be able to negotiate with those dealerships for customer collection for ex-Mansfield customers.
"However we will wait for the dust to settle with the administration process. I think it's unlikely that we'll reappoint representation in Mansfield at this point."