DB Denman Limited (10488055): administration
- Status
- Administration ended
- Administration began
- 2023-05-12
- Administrators
- Brian Baker, Ian Robert
- Administrators' firm
- Moore Kingston Smith & Partners
- Incorporated
- 2016-11-21
- Location
- London
- Industry
- 82990 Other business support service activities n.e.c.
Why it went into administration
- COVID-19
- HMRC / tax arrears
- Funding withdrawn / unable to refinance
- Rising costs / inflation
- Energy costs
- Property / lease costs
- Rising interest rates
- Brexit
From the administrators' statement
The Brand was established in 2014 with its first location at Kensington. It was founded by Dipak Panchal as a speakeasy bar with American food, a rife on the night life in New York City. Jamie Sulkin joined the business in 2015 and became a co-founder and CEO. Together the Founders had extensive experience in the hospitality sector having operated nightclubs and pubs. They felt there was a gap in the market for venues that could service an evening’s enjoyment from cocktails, dinner and after hours entertainment.
Initially the business was funded by Dipak Panchal at Kensington, but later sold equity to enable the business to open a second site at Carnaby and included a gastro pub founded by Jamie Sulkin, The Black Dog, in 2019. Shortly after the Carnaby Street site opened, the business raised further equity to open a third site at Shoreditch. At the same time, a commitment was made to open sites at Soho and Oxford. A private loan of c. £2m was intended to pay for the acquisition/capex on these sites.
Regrettably this deal didn’t complete, and a bridging loan of c. £600k had to be arranged at a high interest premium, and more equity had to be sold. This loan remained in the business for longer than hoped as Brexit impacted the markets and the team struggled to refinance the loan. It wasn’t until March 2020 a loan of £1.6m was obtained from the QFCH to refinance the business debts.
Administrators' statement of proposals (2023-05-31) · Companies House register