Make an enquiry

Enquiry Form









Contact

Enquiry Form






Supporting Document


FJG Solicitors in Essex, Colchester, Chelmsford, London – Fisher Jones Greenwood
  • 0845 543 5700
  • [email protected]
  • Make an enquiry
  • Home
  • Services
    • Services for you
      • Advocacy
      • Civil & Commercial Disputes
      • Clinical and Medical Negligence
      • Conveyancing
      • Employment
      • Family Law
      • Children Law
      • Immigration & Visas
      • Personal Injury
      • Public Law & Human Rights
      • Wills, Life Planning & Probate
    • Services for business
      • Academies Portal
      • Agricultural and Rural
      • Business Immigration
      • Commercial Dispute Resolution
      • Commercial Litigation
      • Professional Negligence
      • Commercial Real Estate
      • Planning Consultancy
      • Corporate and Commercial
      • Education Services
      • Employment Law
      • Healthcare Services
      • International Services
      • Landlord & Tenant Services
    • Services by sector
      • Agriculture & Estates
      • Care Homes
      • Charities & Social Enterprise
      • Construction
      • Education Law
      • Energy
      • Family Owned Business
      • Healthcare & Dentistry
  • Our people
  • About us
    • CSR
    • Awards
    • Our Vision
    • Equality & Diversity
    • Careers
    • FLOCC
    • FJG Foundation
    • SAFE Forum
  • News & Events
  • Blog
  • Contact us
    • Colchester
    • Chelmsford
    • Billericay
    • Clacton-on-Sea
    • Holland-on-Sea
    • London

Is this the end for BHS?

25 April 2016 by Ashton Carter

Ashton Carter
BHS

Dominic Chappell, owner of the British Home Stores chain, has now announced that the company is set to enter into administration, placing around 11,000 jobs at risk.

The retailer has been struggling to survive for some time and went so far as holding a company voluntary arrangement last month. This is an informal meeting between all the company’s creditors where a strategy for saving the company can be developed. At this meeting, the BHS chain was given a brief reprieve when landlords agreed to reduce their rent by as much as 75% at 87 shops.

Unfortunately, another £100m was needed in order to continue trading but, despite investigating property sales, considering private equity loans and re-negotiating contracts, it appears that BHS was unsuccessful in trying to source these funds. There were also talks to sell off some of the BHS stores to Sports Direct which initially looked promising, but even this appears to now have fallen through.

These events culminated in a letter from Chappell to employees stating that the company is now facing administration. This will involve an independent insolvency practitioner being appointed to run the company with the ultimate goal of selling the business as a going concern, or at least achieving a better result for creditors than if the company were to be wound up.

The fall of BHS is generally being attributed to its failure to keep up with the times and allowing competitors to get ahead. A lack of focus upon online sales and mobile browsing has lead to the chain being viewed as outdated by the general public and, sadly, BHS now look set to go the same way as Woolworths.

If you are looking for guidance on merging with a competitor, negotiating contracts or any other general commercial matters, please contact our Corporate Commercial department on 01245 584515 or [email protected]

Authors
Archives
Subscribe to RSS feed

Recent Posts

  • How long does it take to buy a house?
  • “Drop in” to our Conveyancing drop-in at the Clacton office
  • Be Aware - Who says romance is dead!
@FJGSolicitors

@solicitorchat 2/2 Another common issue is the difficulties new businesses experience in setting up their business… https://t.co/0KvUcSbjDU

11 hours

@solicitorchat 1/2 The need for a set of trading terms and conditions is essential but often overlooked – it is imp… https://t.co/6zE7Lz4Azw

11 hours

@solicitorchat 2/2 ...processing in compliance with the GDPR regulations, incorporating this in to their trading ac… https://t.co/yZVfGhKGhj

11 hours
Billericay 01277 623132
Chelmsford 01245 890110
Colchester 01206 835300
Clacton 01255 323103
Holland-on-Sea 01255 818900
London 08455 435700
  • Disclaimer
  • Accessibility
  • Terms & Conditions
  • Privacy Policy
  • Cookies
  • Price & Service
  • Signup to our Newsletter
Website designed and built by Green Square

Fisher Jones Greenwood is the trading name of Fisher Jones Greenwood LLP, a Limited Liability Partnership authorised and regulated by the Solicitors Regulation Authority and registered in England ( Number: OC305854 ). A list of members is available for inspection at the registered office at Charter Court, Newcomen Way, Colchester Business Park, Colchester, Essex CO4 9YA

​