Dependable Auto Shippers Inc., a Texas-based auto hauler, filed for bankruptcy, blaming its financial woes on debt it took on to buy 25 trucks in 2015, the Wall Street Journal reported today. The privately held company, which moves vehicles across the country with a fleet of auto carriers and a network of more than 97 storage facilities, filed on Wednesday for chapter 11 protection in U.S. Bankruptcy Court in Dallas. In early 2016, Independent Bankers Capital Fund II LP and Paragon LLC pumped $3 million into Dependable Auto by purchasing equity in hopes that Dependable Auto could pay off past due creditors and improve operations. But the cash infusion came too late to turn the company around. As company revenue declined, Dependable Auto Shippers began selling its trucks to improve its finances. When it filed for bankruptcy, the company only owned one truck, which it plans to sell.
