Employees at the Hereford Citroen and Nissan dealership operated by Wessex Garages face a bleak Christmas.
The dealership faces closure this month due to the group's failure to renegotiate the lease on its showroom, which expires on Christmas Eve.
Keith Brock, managing director, said 22 staff have been given a 30-day statutory notice of consultation, and the closure of the outlet is "a real possibility".
Brock said none of Wessex Garages' other dealerships were affected. It has sites in Bristol, Cardiff, Newport and Gloucester and franchises for Kia, Fiat and Abarth.