Maker of high-end slippers enters administration

Thu, 03 Jan 2019 | ADMINISTRATION



With a reputation for minimalism, Mahabis, a Scandinavian-inspired brand and the maker of high-end slippers, has gone into administration.

The company has appointed administrators from KRE Corporate Recovery, ceasing trading while the administration is underway.

The company sold £1.5 million worth of slippers in its first year, £10 million in the second, and over £20 million last year.

Although the exact reasons for the collapse remain unknown, it seems when a brand rises to fame extremely quickly, there can be difficulties in using a direct-to-consumer model.

Launched four years ago, Mahabis has sold nearly a million pairs of slippers in over 100 countries.
In a statement on its website, the company said: “[B]ear with us as we do our best to work through the current circumstances.

“Unfortunately, we are very sorry to report that Mahabis Limited entered administration.

“We have, for the moment, ceased trading as the administrators take over the business. During the four years since we launched, we sold nearly a million pairs of slippers to customers in over 100 countries; we are all desperately disappointed at this outcome.”

Joining the growing number of direct-to-consumer brands, Mahabis heavily used social media platforms to market to customers and with the wide availability of contract manufacturers, was able to make new products quickly and take payments using cheap computing infrastructure.

Its founder, Ankur Shah, set out to build the “Nike of downtime” and his social media presence of the cosy-looking slippers with a distinctive yellow rubber gained wide popularity on Instagram and Facebook.

For more news stories about administrations click here. For all our administrations listings, click here.


Share this article



Latest Businesses for Sale

Fireplace & Stove Business
Buckinghamshire, UK Wide

Affluent trading area for the business. Demand in place to undertake servicing. Jobs booked in up to 6 months in advance. This is a retirement sale. Offers invited.

Asking Price: Offers Invited
Turnover: £431,410

Fish & Chip Shop
Ealing, London, UK

Popular fish and chip shop in busy West London area (W5). Highly populated area of Ealing. Trading has taken place here since 1996. Offers invited.

Asking Price: £175,000
Turnover: £425,129

Designer Ladies & Gents Fashion Retailer
Bawtry, Yorkshire and the Humber, UK

Established since 1986. Parking available directly outside. Exclusive Designer brands in stock. Offers invited.

Asking Price: £250,000
Turnover: £1,307,349


View more businesses for sale

News Search

Latest News

 
17
 
Jul
 

Preston caravan manufacturer seeks buyer following administration | ADMINISTRATION

A caravan manufacturing business in Preston is on the lookou...

 
16
 
Jul
 

Farsound Aviation sold to AGIC for £115 million | BUSINESS SALE

A supply chain management company operating in the aviation ...

 
15
 
Jul
 

Specialist engineering firm forced to appoint administrators | ADMINISTRATION

Rail contracting company Aspin Group Limited has been forced...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
04
 
Mar
 

Online holiday site placed into liquidation | BUSINESS NEWS

A failed online holiday site has entered liquidation with &p...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources