Solus' Edinburgh regional distribution centre will close at the end of June, as the wholesaler,
which went into administration three weeks ago, continues to struggle financially.
Four employees have already lost their job at the branch, along with 87 other employees throughout the company.
At present it is not known what will happen to the remaining 14 staff at the Edinburgh depot, but administrators PwC have said it is providing all employees with the support they need.
In order to keep supplying Scottish customers, Solus is moving this part of the business to its Midlands branches.
Customers affected by this closure are to be contacted by Solus to confirm ongoing arrangements.
PwC joint administrator and director, Tony Barrell, said: "We would like to thank all employees for their continued support and contribution over the last three weeks and this difficult period of change.
"We're pleased to say that trading continues to hold up well post administration.
"Customers are continuing to order products, purchases are being made from suppliers and we are now close to getting to a business as normal state as possible in these circumstances."
Mr Barrell added that discussions with interested parties looking to buy Solus were ongoing and that they remain hopeful a sale can be completed.
Based in Hunnington, Worcestershire, Solus entered into administration on May 15 after suffering financial difficulty for some time.
In the six months to March 30 this year Solus reported a turnover of £29.3m and for the latest year accounts are available for, to September 2012, the company reported annual sales of £84.2m, which is down 12% from the previous year's £96.2m.
In a bid to turn things around, in February Solus announced that
Scotts Miracle-Gro would be acquiring the company.
However, only
weeks later the deal was off.
But in the latest twist of events, only last week
rumours were circulating that the deal was back on the table, although these whisperings were quickly dismissed by Martin Breddy, vice president and general manager of Scotts Company (UK) and PwC.