H&L Garages, a dealer group representing Mercedes-Benz vans and trucks, has gone into administration with the loss of 176 jobs.
The group, which has seven outlets across Yorkshire and Lincolnshire, ceased trading after administrators from BDO Stoy Hayward were called in.
A small number of staff have been retained while BDO tries to find buyers for its assets.
Its sites were in South Killingholme, Lincoln, Hull, Boston and York.
Paul Bates, BDO business restructuring partner, told the Grimsby Telegraph newspaper: "Unfortunately the economic climate and difficult trading conditions adversely affected the business.
"The joint administrators are taking all necessary steps to mitigate risks to stakeholders and, going forward, will seek to maximise recoveries for the benefit of creditors."