06706462 Limited (06706462): administration
- Status
- Administration ended
- Administration began
- 2018-07-12
- Administrators
- Hugh Francis Jesseman, Stephen John Evans
- Administrators' firm
- Antony Batty
- Incorporated
- 2008-09-24
- Location
- London
- Industry
- 47640 Retail sale of sports goods, fishing gear, camping goods, boats and bicycles
Why it went into administration
- Competition / price pressure
From the administrators' statement
Realms Limited (“the Company”) was incorporated on 24" of September 2008. The Company was set up by Daniele Foffa (“the director”). Daniele Foffa had, prior to setting up the Company and opening a London showroom, been refurbishing and selling vintage bicycles from his bedroom for 1.5 years, He realised there was a demand for custom bicycles from the London cycling community and felt confident that he could set up a showroom, design and import branded components from the Far East Sadlo selling custom bicycles and accessories in the UK and beyond.
The Company was initially Funded by a personal loan from Daniele Foffa, starting from £100K and with a further £300K of injected personal funds over the years as well as a business loan from HSBC, initially of £30K, then of £150K (using the directors house as a security).
For the first 4 years the Company was operating from the London showroom and then in 2013 due to the high overheads and more competition entering the market, the Company decided to close down the shop in order to run an online operation and start selling to European dealers (which in 2014 consisted of over 100 producing in 80% of all bike sales), the Company could take advantage of outsourcing producers (as the Far East manufacturers were now supplying the bikes already built up based on some of Foffa’s previous best selling models) as well as fulfilment centres, in order to cut down costs considerably and offer more competitive prices.
Administrators' statement of proposals (2018-09-07) · Companies House register