It has been reported that the youth fashion chain, must secure funding by tomorrow night in order to avoid administration. Lloyds Banking Group have lent over £28m to the chain and reportedly have KPMG on standby to initiate administration proceedings.
Liquidators of Kaupthing and Glitnir, the collapsed Icelandic banks, have put their stakes in the British clothing chain All Saints up for sale, though the majority of the retailer's stock is owned by the entrepreneur, Karen Millen.
Retail commentators have said that the chain expanded too quickly by opening 60 shops in an already very competitive market.
Larger companies such as All Saints Fashion can always ask for emergency funding from their investors. However, for smaller retailers without larger backers this is not an option. So what can you do if you suddenly find yourself running out of cash. A CVA can terminate leases on loss making shops and give the business time to restructure.
For more information on how we help retailers please refer to our retailer rescue page.