Fri, 20 Jun 2014 | ADMINISTRATION
Family-owned clothing retailer Lakeland Leather has entered administration with a buyer for the company being sought.
The company, which runs 22 stores across the UK, sells leather coats, handbags and luggage. It stated that financial difficulties occurred because of high lease costs and a mild winter, which resulted in fewer people looking to buy warm leather jackets.
Chris Williams and Andrew McTear of insolvency specialist McTear, Williams & Wood, have been appointed as joint administrators of Lakeland (Lakeland Properties Ltd). They have already achieved a pre-pack arrangement, which will see four of the stores at K-Village in Kendal, Spalding, Gloucester and Antrim closed immediately.
The administrators said that they would continue to trade from as many of the stores as possible while a buyer is sought for the company or some of its leases. Around 200 jobs are reportedly at risk, with 18 of the stores having closing down sales and their future now uncertain.
Richard Standring, who founded the first store in Ambleside in the 1960s, has vowed to do everything he can to save the remaining stores and all the jobs. He commented: "The odds seem stacked against us. We just about survived the depths of the recession but it left the business weak and in debt. Then last winter the weather was really mild so sales of our leather jackets and coats were down. It tipped us over the edge.”
The administrators hope that by slashing the prices in the closing down sales the business will continue to turn over enough money to keep the company afloat while a solution is found.
______________________________________________________________________
Related information:
Businesses for sale
Business acquisition funding
‘Project Matcha’ presents a unique opportunity to acquire a growing, ethically focused coffee shop business located in one of the UK’s most sought-after regions.
LEASEHOLD
This is a unique opportunity to acquire a well-established sheet metal contractor company renowned for its comprehensive expertise in sheet metal work and fabrication.
This thriving business, situated in a bustling trade park in North Essex, specialises in manufacturing high-demand equipment for the health industry.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.