SilkFred falls into administration amid tough trading

Independent brand platform SilkFred has become yet another victim to challenging trading conditions in the UK, where it has now filed for administration. The “majority” of SilkFred’s 14 employees have been made redundant as a result.

Andrew Watling and Duncan Beat, managing directors at advisory firm Quantuma, were appointed joint administrators for the company. They are now seeking a buyer for SilkFred’s assets, including its intellectual property, international trademarks and inventory.

According to a note on Quantuma’s website, SilkFred did not have enough money to pay its debts, and thus administrators were appointed to ensure those that were owed were treated fairly.

While the company’s website remains online, administrators have decided to pause trade, halting both orders and returns. Quantuma said that customers who are owed over 100 pounds in returns should ask for their money back under the Consumer Credit Act.

Watling said he was confident SilkFred “should attract significant interest” due to its status within the industry. “Our enquiries into the reasons for its failure continue, but SilkFred appears to be another victim of tough trading conditions for retailers,” he continued.

Watling said the current priorities were on identifying potential purchasers, supporting staff, communicating with those that are owed money and gathering information on current debts.

Launched in 2011, SilkFred set out to provide small, independent brands with a platform for them to both sell their products and gain exposure. According to Quantuma, at the time of the administration, the company had almost two million customers globally, and offered around 600 brands.