Administrators seek buyer for long established clothing retailer
Devon based Samuel Daw & Company, a family owned business that specialises in schoolwear, menswear and formal suit hire, has entered administration.
Trading from a single high street location in Barnstaple, the business incurred trading losses which resulted in cashflow problems and accumulated debt. Added to this, it lost some school contracts and also suffered due to changing market trends. While losses were absorbed in previous years, these were exacerbated by the impact of Covid-19 lockdowns.
South coast based Portland Business Recovery have been appointed as administrators for the retailer and are now seeking a buyer via Lambert Smith Hampton. In the meantime, Daw & Co will continue to trade to maintain goodwill in fulfilling backorders for local schools.
Portland director Steve Godwin said: “Despite Daw & Co’s diverse market and customers base, which included local businesses workwear, schools and educational establishments as well as the general public, the sudden drop in sales has meant that it is no longer financially viable for it to continue to trade.
“It is unfortunate to see another much loved business, such as Samuel Daw & Co, fall victim to the worldwide pandemic. Once furlough and Government support ends in September, and as businesses are required to budget for the repayment of deferred debt and Bounce Back and CBILS Loans, we could see many more of them struggle to meet their financial commitments. This could lead to Insolvency and ultimately mean that many well-known brands may disappear forever.”
All seven employees have been retained by Portland to fulfil the backorders and to ensure that business is still able to trade in the short term.