Business Recovery Experts, Bridge Business Recovery LLP, have successfully brokered a deal for a consortium of high profile business experts to buy nursery brand retailer Two Left Feet out of administration.
The business, which went into administration in March 2009, had been plagued by poor stock control issues that culminated in a damning televised BBC Watch Dog report, was once the largest independent branded baby business in the UK and ultimately became a victim of its own success when it was unable to effectively manage the meteoric demand generated by its highly successful model of using internet sales to drive showroom visits.
At the end of April the business will be re-launched as House of Baby under the guidance of Matt Evans, Steve Shoosmith and former MD of Olympus UK, Graeme Chapman, who will act as Chairman. Together this triumvirate forms a particularly strong management team whose combined expertise addresses many of the potential weaknesses of the previous operation. In particular, Graeme’s international background in management control systems and ecommerce will prove particularly valuable going forward.
House of Baby has bought all assets of the previous business from the administrator and will continue to operate from the same premises, where there are over 12,000 square feet of retail warehousing and an impressive showroom featuring all baby brands under one roof.
Matt Evans, who will take on the role of Managing Director, says, “We’re very excited about the future. Two Left Feet had a fantastic business model and identified an enormous gap in the market. The issues that led to its downfall were already being addressed when it was forced into administration and we are convinced that the stock control and management systems that have since been developed are sufficiently robust to prevent a similar situation arising again. This has the potential to be a phenomenal business and we are looking forward to the day when the name House of Baby is as synonymous with nursery brands as Mothercare!”
Two Left Feet received enormous support from suppliers and manufacturers when it went into administration and the new management team are bullish about the opportunities to rekindle these relationships going forward. “Whilst no-one is denying that mistakes were made and consumers were at the sharp end when it came to fulfilment issues, it’s widely acknowledged that Two Left Feet were an unjustified victim of the credit crunch,” says Graeme Chapman. “Work was already underway to redress the stock issues at the heart of the business’ troubles and the bank was very short-sighted to pull the plug when it did. We believe the business has what it takes to be a huge success once again and look forward to rebuilding the relationships necessary to support this success.”
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