THE future of Hampshire staff at furniture retailer Land of Leather is in doubt after the ailing firm called in administrators.
The Kent-based chain, which has a store in Hedge End, was forced to appoint Deloitte after efforts to secure additional funding and sell the business failed.
Land of Leather has been crippled by a slump in demand for so called “big-ticket” goods as consumers come under pressure and house prices tumble.
“The company has made every effort to reduce costs and conserve cash, but market conditions have continued to be difficult and the results from the January sale have been very disappointing,” the firm said.
The firm said it had taken ''all the necessary steps'' to ensure customers who have paid deposits for furniture were protected.
The company is debt-free but was unable to secure working capital to keep the business going.
Yesterday bosses of the furniture retailer had suspended its shares “pending clarification of the company’s financial position”.
The move follows last week’s revelations from rival chain Sofa Workshop, which said it had begun moves to appoint administrators.
Deloitte joint administrator and partner Lee Manning said stores would continue to trade as normal while a buyer is sought.
Mr Manning said all customers who have either paid a deposit by credit card or Visa debit card – or indeed have paid a deposit by any means since December 26 – are fully protected.
Any customers who paid a deposit by cash or by a non-Visa debit card before December 26 will be offered a discount on other stock if their original order cannot be fulfilled.
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