Luxdeco Ltd (08067602): administration
- Status
- In administration
- Administration began
- 2024-03-15
- Administrators
- Paul Robert Appleton, Gary Paul Shankland, Jacob Beake
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2012-05-14
- Location
- London
- Industry
- 47910 Retail sale via mail order houses or via Internet
Why it went into administration
- Creditor pressure / legal action
- COVID-19
- Supply chain disruption
- Funding withdrawn / unable to refinance
- Cash flow / liquidity pressure
- Property / lease costs
- Sustained trading losses
From the administrators' statement
The Company was incorporated on 14 May 2012 by Jonathan Holmes and operated as an online retailer of luxury furniture and homeware. At the time of our appointment, the Company traded from leasehold premises located at Holmes House, Lea Road, Waltham Abbey, Essex, EN9 1AT (“Holmes House”) and had an office at Salisbury House, 29 Finsbury Circus, London, EC2M 5SQ (“Salisbury House”). On 31 January 2020, Ben Sinclair was appointed as the finance director of the Company.
The Company primarily sourced stock from suppliers upon requests / orders from its customers, as well as selling its own ‘LuxDeco’ branded stock. The Company operated within an extensive, and diverse, supply chain which allowed it to offer its customer base access to over 300 premium brands. In the early stages of trade, between 2012 and 2018, the Company attracted 8,700 customers, generating sales of circa £16m. During this period, the Company gained customers in 59 countries and saw its annual growth rate increase, laying a solid foundation for future growth.
However, though this initial growth was positive, the Company remained loss-making whilst the business grew, which ultimately meant that it was heavily reliant on external finance to fund day-to-day operations.
Administrators' statement of proposals (2024-05-16) · Companies House register