Lavish Alice wholesale arm falls into administration, website to continue

The wholesale arm of Lavish Alice has reportedly fallen into administration pushing the fashion brand to restructure to be entirely online only.

According to a report by BusinessLive, Quantuma has been selected to oversee the administration of Fashion Collections International Limited, with the directors of the company noting that the move was voluntary.

In a statement to the publication, Lavish Alice said none of the 20 employees at its head office had been impacted.

It further commented that while its website had “experienced significant growth” and its revenue had continued to “thrive”, the wholesale arm had “grappled” with supply chain issues, increased freight costs, currency exchange losses, wholesale cancellations, late delivery charges and “squeezed” profit margins, resulting in financial challenges.

The company further stated that it had now “streamlined its offering” to become online-only in a bid to bolster its D2C growth, adding that it remained “in a robust position to deliver on significant growth plans for 2023”.

Lavish Alice had previously partnered with the likes of Selfridges, Harvey Nichols, Saks Fifth Avenue, Asos and Bloomingdales, reporting a wholesale revenue of more than five million pounds in 2022, while its gross revenue was over 17 million pounds.

Matthew Newton, co-founder of the brand, added: "The Lavish Alice journey is only just beginning. We have traded throughout 2022 and demonstrated consistent post pandemic growth.

"Demand for the brand and website sales are at a record high with revenue up +71 percent YoY and +76 percent pre-pandemic levels, across 100,000 transactions.

"The results are exceptional, and we’re excited to showcase our new SS23 RTW collection next week.”