Fabb no more: administration for upholstery chain
Nine store upholstery retailer Fabb Sofas has gone into administration after failing to find a buyer to rescue it.
Headed by Dave Payling, former DFS group retail operations director and Gary Pitchford, former DFS buying director, Fabb raised £5m when it launched, including investment from the Kirkham and Harris families.
In company documents last November, Pitchford confirmed that of 31 August 2016 it had £3.35m in cash and was owed £1.1m.
In March 2018 it issued another 574,733 shares increasing the number to 10.574million.
‘Despite achieving significant revenues in such a short period, the business remained reliant on external funding to support trading losses. Without external funding, the business could not continue to meet payments as they fall due,’ said a statement from administrator PwC.
‘Given the cash flow position, the management team undertook a sales process to find a purchaser who could provide the funding required to continue to deliver the business plan and take the company forward. Unfortunately, it was not possible to achieve a sale and as such the directors had no option but to appoint administrators to protect the creditors of the company.’
Image: Fabb employed photographer Bruce Thomas, owner of ImageCreation, to photograph its initial stores.