Boutique 1 to close, enters voluntary liquidation

Luxury concept store Boutique 1 is closing its doors and has been placed in voluntary liquidation, according to inside sources. The two-storey retail space, which opened its London doors three years ago on Sloane Street, said the fixed costs to operate the store are too high and sales margins insufficient to run a profitable business. Lena Jabbour Matta, Co-Founder and Co-CEO of Boutique 1 Group, is thought to have signed a resolution to wind up Boutique 1 Limited, it’s business in the UK.

The Sloane Street store is part of a portfolio of 20 boutiques in locations in London, Dubai, Abu Dhabi and Beirut as well as its global e-commerce platform, where it continues to sell and operate.

Designers and fashion brands who’s collections were bought by the store may never see full payment for the garments and accessories they shipped in good faith. This is often a financial detriment for smaller brands working with larger retail groups who demand strict payment terms, discounts and margin contributions. Many designers would have shipped their collections as far back as January this year for the Spring Summer 2019 season.

Insolvency firm James Cowper LLP is expected to be appointed as Joint Liquidators to wind up the company, along with Francis Clark chartered accountants to assist with the process.