Solution Junkies Companies House
Ronald Frison
Please Note: the figures given above are provided as a measure of the stresses faced by the retail sector in any given year. They refer ONLY to the UK and only include retail companies - not American businesses and not restaurants, cafes, food services, hairdressers or tattooists. Where a business is named, below, this normally means it has gone through a legal process termed 'administration' . It should not be taken as meaning that the business has not survived or is no longer trading, because many do so or continue as online-only. Further discussion can be found at the bottom of this webpage in the section headed 'What is Included and Excluded'.
Stanley Gibbons, the stamp dealer and world-famous auctioneer went into administration on 22 December 2023. It had been established 168 years ago by Edward Stanley Gibbons, who started selling unusual stamps whilst working in his father's pharmacy store. With a turnover of 12.5 m (2022 Annual Report), Stanley Gibbons has a shop on The Strand, London, but the business is dominated by stamp and card-token auctioneering. The probable cause of the insolvency was a strategic decision to use stamps to create retail investment portfolios through its Guernsey operations. The company was rescued by a pre-pack administration, ownership passing to a team T/A Strand Collectibles. Pheonix Asset Management, the new owner, intends 'to revitalise its fortunes by reconnecting with the nation's obsession with stamp collecting' (source: Cahill, H. [2024] 'New Owner Says Stanley Gibbons Will Now Stick to What it Does Best', The Times, 6 Jan, p. 46). The employees, assets and IP have been retained by the new business, which also owns Games Workshop. The 2022 Report shows there were 65 employees
Designer Childrenswear, an independent childrenswear seller based in Sunderland, went into administration and ceased trading towards the end of November 2023. There were thirty staff, who have all been made redundant. The business, which started with a market stall in Newcastle Quayside, sold 160 brands online and via a single store. Its turnover in 2022-3 was 5.3m. However profits fell in its final trading year and delays in revamping its website meant it was unable to trade during the Black-Friday period in 2022, possibly losing 1m of potential sales. Cashflow problems relating to creditors' liabilities of around 1.5m were the immediate cause of the business closing.
Totsbots, the small online retailer of nappies and children's products, went into administration in November. All 47 employees have been made redundant. The business was sold back to its founders earlier in the year by owners Frugi Organic Childswear, but unffortunately it has now failed.
Wilko Update - November. Just to prove all the doubters wrong (including us) The Range will open its first Wilko stores at the beginning of December 2023, starting with the Plymouth Armada Shopping Centre, the Guildhall SC in Exeter, and a few days later in Luton's Arndale Centre. Poundland has opened 56 of the 71 Wilco stores taken over Wilco's administration, employed 700 former Wilco staff, but has contractual problems with the remaining stores over concrete. B&M expects to convert the 51 Wilco stores it took over to its own brand over the next 12 months.
Wiggle, the multi-sports online retailer, went into administration towards the end of October 2023 owing its unsecured suppliers 26.7m. Its sister brand, Chain Reaction, is also included in the in administration. The Portsmouth-based European online retailer, selling cycle, run, swim and outdoor equipment and apparel has suffered a fall in trade as well as liquidity problems for several months. The company is ultimately owned by InternetStores, part of SIGNA Sports United based in Germany, which has suffered liquidity problems following the downturn in demand for cycle and cycle products. Wiggle continues to trade. There are around 670 employees of whom 105 have been made redundant. Probikeshop, a French online cycle business owned by Signa has also gone into administration. Wiggle and Chain Reaction was acquired for c.10m by Frasers in early March 2024.
Victoria Plumb, a bathroom specialist, has passed through pre-pack administration before being acquired by AHK Designs at the end of September. AHK also owns Beds.co.uk and Cox & Cox, the furniture retailer. Endless, the previous owner of Victoria Plumb, had bought the retailer in 2019, but wanted to auction it off as its results were weak following Covid restrictions, supply chain problems and gathering inflation. It is understood that all 300 employees will transfer to the new owner.
Thought Clothing, a small apparel company with 2.1m in net assets, went into administration in September 2023. It sells online, via JLP and independent stores. Around 25 non-trading staff have been made redundant.
People Tree UK, the UK arm of athe ethical fashion brand, is to go into liquidation owing suppliers in India and customers a total of 8.5m. Three suppliers are owed 1.6m and staff are believed to have last been paid in June 2023. People Tree established itself as a leading business, campaigning for better treatment of textile and garment workers and using organic products. It expects to continue trading in continental Europe and Japan and hopes to sell People tree merchandise into the UK using its website.
Wilko, the large Worksop-based hardware-&-general merchandise retailer with 408 outlets (formerly 'Wilkinson's Hardware Stores') went into administration on 10 August 2023. In terms of the numbers of staff and stores, this is the largest retail failure since Woolworths in 2008. There were several possible rescuers, the most serious of whcih was possibly the owner of HMV, but these all proved fruitless. However B&M's acquisition of 52 Wilko stores, Poundland's acquisition of 71 stores and The Range's purchase of Wilko's IP and online marketplace will go ahead. Wilko made a profit of 3.2m in 2021, but lost 36m in 2022. It owed about 70m to suppliers and needed at least this amount to continue trading. The Company borrowed 40m from Hilco (owner of Homebase) in early 2023. Its pension fund (it was reported on 21 Sept 2023) has a gap of 50m. The Company's failure means that creditors are now owed as much as 625m. Wilko had been badly affected by covid and, as a major high-street player, the fact that shoppers have not returned to high streets in the numbers they once did has adversely affected its sales. Renewed competition from other low-cost sellers such as B&M, Poundland, The Range and Home Bargains (often based in retail parks) meant further problems for Wilko. The Company had 408 stores before administration, 12,000 staff and a turnover of around 1.2bn. The business started in Leicester in 1930. Descendants of the original founders ran the Company until administration.
August 2023. The previous seven months have seen lots of problems in the retail sector, but particularly in areas which looked to have high demand and plenty of well-heeled customers - prestige fashion and sports cycling. We have loaded some of the most significant problem companies here, reflecting issues since Jan 2023.
Micromobility. Mate UK, a Danish supplier of ebikes, put its UK operation into liquidation in June 2023. In 2022, the company was prosecuted for selling an ebicycle powered by 750W (which could achieve speeds of 40 mph, hence needed registration as a motor bike and riders needed a licence). Its cycles can still be purchased from other cycle retailers or online. The Van Moof Group, a major Dutch ebike retailer with 190,000 ebikes sold globally was put into liquidation/bankruptcy by a Dutch Court in July 2023. Its UK facilities, including repair, are to be closed.
Hotter Shoes, the footwear retailer, has been acquired by WoolOvers, a knitwear firm owned by Verdane (a European investment firm). 'Hotter Shoes' is the trading name of Beaconsfield Footwear Ltd, which went into pre-pack administration in mid-July before being purchased by WoolOvers. Hotter Shoes was formerly owned by Unbound, a group focusing on the 55+ years demographic. Unbound itself was looking to raise 2m to avoid going into administration. The sale of Hotter Shoes has prevented this. Verdane had tried to acquire Hotter Shoes earlier in 2023, but lost out on price to a bid that was never consumated. Hotter Shoes has 421 staff and trades from 17 stores and 10 concessions: all these will transfer to the new owner..In 2020, Hotter Shoes went through a CVA, which resulted in the permanent closure of 46 stores.
UK Flooring Direct, the online floor-covering retailer, went into administration in early July 2023. This Coventry-based business was acquired via pre-pack administration by Keswick Flooring, a subsidiary of Nestware Holdings, which owns UK retailer Carpetright. All 85 Flooring-Direct staff will continue with the new owner which wants to develop its ebusiness further.
Ideal World, a transaction-based shopping channel based in Peterborough, went into administration early in July 2023. The Company's owners blamed Covid for creating a change in consumer behaviours that led to falling sales at Ideal World. Most of its 275 employees have been made redundant. The business's assets, goodwill and IP have been acquired by Shop TJC Limited, an Indian-owned subsidiary of Vaibhav Global, which is to re-start transmission, but from London. Ideal World was started in 1980 as mail-order company, Wrightway Marketing, using press advertisements and a presence at exhibitions. As a TV channel, operating eventually on Digital Terrestrial Television (DTT), online and satellite, it started in 2000. Last year it sold its Craft Arm to Hochanda Global (owner of the Craft Store).
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