ICSM Credit issues warning to potential suppliers of major firms who show signs of collapse ‘don’t supply them without guarantees of payment’

Monsoon have asked landlords for help. Pic: The Sun

ICSM Credit issues warning to potential suppliers of major firms who show signs of collapse ‘don’t supply them without guarantees of payment’

When fashion brand Autonomy went into administration in March it oved suppliers £940,000 reports Drapers, and just as alarming the firm was ordering stock right up to when they went bust.

“It’s a warning to all suppliers,” said ICSM Credit’s Ian Carrotte, “as many go on trading with firms who are showing all the signs of being in trouble but blindly supply them with goods and services which will never be paid for. There are a lot of companies in all industries that are struggling to survive but as long as they are paying suppliers, or have a repayment plan in place or another arrangement that guarantees payment then fine. But it a client airily dismisses concerns without addressing them then the rule is DO NOT SUPPLY THEM.”

Penguin Books have had a CCJ this week. Pic: Sky

Several companies are in the news because they are having major financial problems including Monsoon Accessorize who are pleading with landlords to lower rents for their retail outlets. The fashion store are thought to be on the brink of going into administration with thousands of jobs at risk and a long list of suppliers concerned they won’t get paid. Penguin books suffered a series of County Court Judgements last week while Heaton Press in Stockport have had their credit rating changed to high risk after they suffered a CCJ in court this week.

Automony went bust owing nearly £1m to suppliers

Many of ICSM Credit’s members are in the print and allied industries and they may have noted a report in the trade journal Print Week by Jo Francis on the problems of the ink manufacturer the Flint Group. She reported this week the company was seeking to refinance it debts with liabilities of more than a billion pounds.

And another firm that has been reported to be in trouble is the haulage firm Abbey Logistics who have reported in Motor Transport by Steve Hobson as having made a pre-tax loss of £3.67m last year which again is a concern. The same publication also reported on the administration of Karl King Transport from Felixstowe by Chris Tindall who said they claimed their collapse was caused by the termination of a warehouse facility at the port.

ICSM Credit

ICSM Credit has more than four decades of experience as a credit intelligence group whose members gain inside information about firms in trouble allowing them to avoid bad debts and rogue traders. To join costs less than a tank of fuel - while at the moment there's a special free temporary membership offer during the Covid-19 crisis which gives access to free legal letters. ICSM also has an effective debt collecting service which has a global reach - ask for details from Paul.

For details about ICSM Credit call 0844 854 1850 or visit the website www.icsmcredit.com or email Ian at Ian.carrotte@icsmcredit.com on how to subscribe and to join the UK’s credit intelligence network to avoid bad debts and late payers. Follow ICSM Credit on FaceBook, Twitter and YouTube and Ian Carrotte on LinkedIn.

To keep up to date subscribe to the FREE ICSM Credit Newsletter to hear all the latest insolvency news and to see who has gone out of business click on the orange panel on the top left of the home page of the website www.icsmcredit.com or send an email to Ian.carrotte@icsmcredit.com

For details for the work of the journalist Harry Mottram visit www.harrymottram.co.uk

Tel 0844 854 1850 ___ Fax 01454 327 355
Privacy Policy   © ICSM All Rights Reserved