Madhouse in Administration

3 February 2012

Madhouse, the fashion retailer, has gone into administration today with 700 jobs at risk.  Alexander Lawson Jacobs has been appointed administrator.  Deluxe Retail, that traded as Madhouse, had a turnover of £29m but made a loss of £231,000.  Last year, according to Insolvencynews.com the firm had a deficit in the accounts of £39k but the auditors felt it was viable as a going concern as the main creditor was supportive of the firm.  We suspect that this is no longer the case and the firm had little choice.  No winding up petition was advertised.We will post more details when we know more.  If you are an employee of the firm then please refer to our help for employees pageIf you are struggling retailer remember that administration is not the only option.  A CVA can help you restructure the firm and you stay in control.