Furniture store employees face uncertain future as chain goes into administration

Watford Observer: Furniture store employees face uncertain future as chain goes into administration Furniture store employees face uncertain future as chain goes into administration

Workers at large soft furnishings store in central Watford face an uncertain future after the chain went into administration.

Joint administrators, Lee Manning and Nicholas Edwards of Deloitte LLP, have been appointed to Paul Simon, which has an outlet in the Colne Valley Retail Park.  

The company, which is headquartered in Barking, has 51 retail stores nationwide and employs around 550 staff.

Following the announcement, administrator Lee Manning, Deloitte partner, said a combination of the recent recession and the rise of online shopping had caused the company’s decline.

He said: "We are working closely with key stakeholders, customers and employees to ensure the business has the best possible platform to secure a sale, preserve jobs and generate as much value as possible for all creditors.

"Like many other retailers, Paul Simon has been hit hard by the uncertain economic environment. In addition, its core business has been undermined by the increasing importance of online sales causing an erosion of margins. This was compounded by the impact of the recent widespread flooding which restricted many customers’ access to several stores.

"These issues made an element of the store portfolio unprofitable and led to a projected imminent cashflow deficiency resulting in the Administration appointment."

Customers affected by Paul Simon going into administration are advised to call 0207 007 3200 or email paulsimoncustomers@deloitte.co.uk.

Comments (2)

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11:54am Fri 4 Apr 14

Cuetip says...

The called up surge in the economy is yet to hit ordinary workers faced with all sorts of stealth cost of living rises. Hardly any of them would have reaped any rewards from the latest reckless sell off of the post office as with so many gov't sell offs eg the gold which should have been staggered.

They and small businesses in this country continue to have a very tough and stressful time with costly necessities eg fuel bills, chaotic employment contracts, rising service charges and rents by landlords.

Uncertainty in employment is very depressing and remains a constant nightmare.
The called up surge in the economy is yet to hit ordinary workers faced with all sorts of stealth cost of living rises. Hardly any of them would have reaped any rewards from the latest reckless sell off of the post office as with so many gov't sell offs eg the gold which should have been staggered. They and small businesses in this country continue to have a very tough and stressful time with costly necessities eg fuel bills, chaotic employment contracts, rising service charges and rents by landlords. Uncertainty in employment is very depressing and remains a constant nightmare. Cuetip
  • Score: 2

12:31am Sat 5 Apr 14

Andrew1963 says...

Gosh if a furniture business in the south east of England goes bust during a house buying boom, you have to ask yourself if the so called recovery has any deep roots. Bad news for employees and suppliers. Clearly the business had been on a knife edge for a while. When stressed the banks don't want to know and cash flow problems will mean the business bleeds to death.
Gosh if a furniture business in the south east of England goes bust during a house buying boom, you have to ask yourself if the so called recovery has any deep roots. Bad news for employees and suppliers. Clearly the business had been on a knife edge for a while. When stressed the banks don't want to know and cash flow problems will mean the business bleeds to death. Andrew1963
  • Score: 1

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