A FURNITURE outfit that opened a store in Lakeside Retail park just over a year ago is reported to be close to collapse reports The Guardian.
Dwell has 24 stores around the country in
cluding the one that sits between Comet and the Furniture Gallery.
It is described as an upmarket store which sells £300 designer coffee tables and £1,500 leather sofas.
It is reported that they have hired advisers at Argyll Partners and accountants Duff & Phelps but have been unable to find a buyer.
Duff & Phelps have reportedly been lined up as administrators, but it has yet to officially appointment them.
A collapse of the chain, which has a £34m turnover, would add to a long list of retail failures so far this year. Jessops, HMV and Blockbuster all collapsed in January and a month later fashion retailer Republic fell into administration. Dreams, Britain’s biggest bed retailer, was bought through a pre-pack in March. Collapses have led to more than 6,000 job losses.
Dwell chalked up a £700,000 loss in 2012, which it blamed on the slow housing market and low consumer confidence.
Dwell, which was established in 2002, has lost £5.6m in the three years to January 2012.
The retailer opened six new stores last year, including its biggest-ever shop at the Lakeside retail park. Twitter users reported that Dwell stores on Tottenham Court Road and Westfield Stratford were closed on Wednesday morning
A spokesman for Dwell said: “The business has been working with its advisers, including Argyll Partners and Duff & Phelps, to secure further working capital for the business and is currently talking to a number of interested parties who see the value of the Dwell brand and product, its customer base and its multichannel proposition.
“Dwell continues to trade as usual and fulfil customer orders. The business has not appointed administrators.”
Why does this story not surprise me, we are currently is a time of austerity and people are looking for bargains, how can a shop that overcharges for basic items hope to make a profit is beyond me.
Maybe if this store was in Knightsbridge it may stand some chance but never in Essex.