In the span of about a month, four start-up car-building companies in the US have encountered serious problems. Fisker laid off 75 percent of its employees, Coda filed for bankruptcy, Carbon Motors pulled out of its Indiana assembly plant and now VPG Autos has ceased its operations. VPG has not officially filed for bankruptcy, but it is no longer building its wheelchair-accessible MV-1 (pictured) at the AM General plant near South Bend, IN.
The MV-1 was a purpose-built vehicle designed to accommodate disabled drivers or passengers, but according to Business Insider, the company ran out of cash following the US Department of Energy freezing its assets. VPG took a $50 million loan from the DOE in 2011 but failed to keep its reserve funds at an amount required by the loan. Sadly, there was no shortage of orders for the MV-1, but VPG just didn't have the capital to get the vehicles built.