Upholstery chain falls into administration

Mon, 11 Jun 2018 | ADMINISTRATION

Fabb Sofas, the furniture retailer founded in 2016 by billionaire Lord Kirkham, has fallen into administration after failing to “meet payments as they fall due”.

The company was unsuccessful in finding a buyer and thus appointed PwC as its administrators. Toby Scott Underwood and Peter David Dickens of PwC, who have been appointed as the joint administrators of the company, stated: “Despite achieving significant revenues in such a short period, the business remained reliant on external funding to support trading losses.”

Lord Kirkham is reported to have a net worth of £1.2 billion according to the 2018 Sunday Times Rich List. The 73-year-old Conservative Party supporter started Fabb Sofas with a single outlet in Southampton, and has since grown the chain to nine stores across the country.

The company, however, has tackled challenging market conditions as buyers have cut down on purchasing more expensive items.

Kirkham is also the founder of DFS, which started in 1969 in an old billiard hall in Doncaster. The business was sold to private equity firm Advent International in 2010, and reportedly earned him £300 million from its sale.

Analysts at DFS’s brokers, Peel Hunt, said: “Many saw Fabb as a possible disruptor, so this is clearly good news for the likes of DFS.”


Share this article



Latest Businesses for Sale

Provider of Home Care
Yorkshire and the Humber, UK

Offers a variety of services including domestic assistance, medication administration, companionship and palliative care, as part of a 24/7 service. Care Quality Commission with a rating of ‘Good’ in all domains. Contractually provides its services t...

Asking Price: Offers Invited
Turnover: £1,300,000

LEASEHOLD


Fast Food Chain Restaurant
UK Wide

Currently operates from a number of restaurants, all of which are situated in prominent trading locations and benefit from high levels of footfall. Long-standing brand with a multitude of excellent reviews online. All dishes are prepared in store by...

Asking Price: Offers Invited
Turnover: £6,100,000

FREEHOLD


Landscaping & Maintenance Services
Midlands, UK Wide

Specialises in commercial landscaping, maintenance, restoration and ecology services. Has won multiple awards throughout its time in operation. Embraces works of all sizes and complexities, undertaking a diverse range of projects and working to ensur...

Asking Price: Offers Invited
Turnover: £602,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
09
 
Dec
 

Scunthorpe construction group call in administrators | ADMINISTRATION

Scunthorpe-based Clugston Group and Clugston Construction ha...

 
06
 
Dec
 

KPMG agrees to sell pensions arm | DIVISION SALE

Professional services network KPMG has announced that it has...

 
05
 
Dec
 

What a Labour government would mean for UK entrepreneurs | BUSINESS NEWS

Private business mergers and acquisitions expert Sue Green o...

Free guide: 10 Biggest Buyer Mistakes

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

Email


Related News

 
13
 
Aug
 

Forensic science equipment supplier completes MBO | MBO/MBI

A private equity firm has backed the management buyout of a ...

 
21
 
Sep
 

Cycle retailer seeks buyer | BUSINESS SALE

Evans Cycles have entered the market and are on the hunt for...

 
15
 
Jun
 

Cumbria hotel on sale for an undisclosed price | COMMERCIAL PROPERTY

A Georgian hotel from the 19th century has been put on the m...

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