Made.com faces final curtain, Next buys IP and website
Online furniture retailer Made.com has gone into administration, leading to hundreds of job losses and customers in the dark over refunds.
The administrators PWC said there will be 399 job losses, most of which are redundancies announced today. 79 employees who had resigned and were working their notice have also been let go.
Retailer Next is buying Made’s brand name, website and intellectual property for £3.4m. Made.com enjoyed soaring sales during Covid lockdowns, but hit problems as households cut back.
Says Susanne Given, chair of Made:
“Having run an extensive process to secure the future of the business, we are deeply disappointed that we have reached this point and how it will affect all our stakeholders, including employees, customers, suppliers and shareholders.”
She adds:
“We appreciate and deeply regret the frustration that [Made.com] going into administration will have caused for everyone.”
Thousands of customers also face uncertainty over whether they will receive their outstanding furniture orders. It is understood about 12,000 orders for the UK cannot be completed and delivered to customers, and they will not get a refund.
Says Lisa Webb, Which? Consumer Rights Expert:
“The news that Made.com is entering administration will be devastating for employees, as well as a real concern for customers with orders placed, particularly as exercising your rights is not always straightforward in these circumstances.
“When a company enters administration, it may not accept the return of items. Many customers could find themselves in a situation where items have not been delivered. It is always worth trying to claim for a refund in this situation, but customers should know it is not guaranteed. The cost of repairs for faulty items could still be claimed if they came with a warranty.
“If you’ve bought something on your credit card costing more than £100, the card provider is jointly responsible for any breaches of contract. You can claim under Section 75 of the Consumer Credit Act if the item is faulty or not delivered. If you paid for goods that cost less than £100 on a credit or debit card, you may be able to claim under chargeback.”
