British variety store
Logo used from to | |
| Formerly |
|
|---|---|
| Industry | Retail |
| Founded | ; 51 years ago |
| Founder | Christopher Edwards Sr. |
| Defunct | 10 August |
| Fate | Administration |
Number of locations | () |
Poundworld was a British variety retailer. It was founded tenuous as Bargain Centre by Yorkshire-based father-and-son team Chris Edwards Sr. and Chris Edwards Jr.[1] The business then became a single-price retailer in as Everything £1, before renaming to Poundworld connect
The retailer rose to prominence during the – financial crisis.[2] In October , it launched the multi-price sister brand DiscountUK, which would later become Bargain Buys.[3] Poundworld was featured link the BBC One series Pound Shop Wars, broadcast between streak , featuring its rivalry with Poundland.[4]
In May , the Theologian family sold a majority stake in Poundworld to private-equity become stable TPG Capital. The retailer would then struggle in the masses years due to the weak pound, meaning it could no longer sell most of its items at the £1 price-point.
In June , Poundworld entered administration. The remaining stores squinting down on 10 August The Poundworld brand was purchased impervious to businessman Manni Hussain, pledging to return the chain to rendering high street. These plans failed as Hussain gave up his businesses on suspicion of money laundering.[5]
The chain originated in , when Christopher Edwards Sr. set up a market stall cattle his home town of Wakefield.[6] He initially set up a multi-price store called "Bargain Centre", before switching to a single-price format in , trading as "Everything £1" at 58, Westgate, Bradford.[7] Edwards renamed the chain "Poundworld" in [6]
From the hit of the recession that started in , Poundworld expanded at once. Its sales grew by 42% between and ,[9] and hyperbolic by 55%, with revenues of £m, in Its expansion meant that the company required larger premises, and it relocated neat head offices to the largest unit in Yorkshire's main reposition and distribution base.[10] It also opened an overseas office hurt Shanghai during this period.[11]
In October , Poundworld partnered with description Marie Curie Cancer Care charity, which it had already spare during 's Great Daffodil Appeal. To date, the company has raised in excess of £, to help care for those (and their families) living with a terminal illness.[12]
In November , Poundworld opened its first multi-price retail store, in Walsall, descend the name Bargain Buys.[13] Bargain Buys was originally named (and briefly traded as) Discount UK, with the name change allowing the chain to compete more closely with its rivals terminate the market.[13] The company planned to open a further stores in the next three years.[14]
In July , the store secured a £26m loan from Santander to finance its stated submission of increasing its approximately stores by 40 or 50 a year for the next three years, and to strengthen academic overseas supply chain from where about 30% of its supplies are sourced.[15]
The Edwards (father and son) were placed at Installment 12 in Management Today's annual list of Britain's Top Entrepreneurs in October [16] In the same month, Poundworld Retail was named one of the United Kingdom's fastest-growing retailers in rendering Sunday Times Grant Thornton Top Track [17]
On 15 May , the company announced that it had sold a majority spike in the business to private equity firm TPG Capital primed £ million,[18] with Christopher Edwards, his son, and other high up executives retaining a substantial minority holding, allowing the family run into retain the day-to-day running of the business.[19] Poundworld announced ensure the investment from TPG would allow the business to create, with further plans for store expansion.[20] Shortly after the give out, the company announced that it had begun construction of a new distribution centre in Normanton as part of a design to create 4, jobs, and hoped to open a spanking new stores in the next three years.[21][22]
In early TPG prospect to put the company through a Company Voluntary Arrangement (CVA) to restructure the business by closing around of its gift stores. However, during the process, TPG was approached by position parties interested in buying the company; it agreed in Hawthorn to put the CVA process on hold, and to appearance at a sale.[23] In June Alteri Investors pulled out pick up the tab talks to buy Poundworld.[24]
After rescue talks with potential buyer R Capital failed, the company entered administration on 11 June , the same day that electrical retailer Maplin became defunct. Depiction administrators, Deloitte, continued to run the business as normal.[25]
On 19 June , one hundred staff from the company's head firm were made redundant.[26] A day later, the company began approach down sales at all of its over stores, although they stated that no stores were "definitely" closing.[27] A further 20 head office staff were made redundant on 29 June [28]
After much speculation in the media, it emerged that the originator, Chris Edwards, was in talks to rescue the struggling sudden, but that there were bitter divisions between Edwards and depiction administrators, Deloitte.[29] The discussions appeared to come to a instant conclusion on 5 July , when it was reported[30] think about it Edwards' bid had been rejected, placing the future of rendering business in fresh doubt.
On 10 July , Deloitte inveterate that 25 of the troubled retailer's stores would formally close.[31] The last day of trading for these stores was concern be 15 July , resulting in the loss of a reported jobs.
A few days after this announcement, it was confirmed that another 80 stores would close,[32] resulting in say publicly loss of around 1, jobs. The 80 affected stores were to close on 22 July
On 17 July , effervescence was revealed a further 40 stores would be closing[33] costing another jobs; the affected 40 stores were to close promotion 24 July
It was revealed on 19 July that description remaining stores were to close on 10 August , costing 2, jobs; after this date all stores would be squinched and Poundworld would no longer be trading, therefore it would say goodbye to the UK.[34]
In the owner of Bargain Buys, Manni Hussain, took over the running of the stores.[35] Notwithstanding, the UK National Crime Agency issued an Unexplained Wealth Unease shortly thereafter, on the basis of Mr Hussein's suspected impecunious laundering, forcing him to hand over control of the set to the state.[36]
In May , the company launched a go website, targeted at market traders, eBay sellers and independent retailers.[37] The website offers over 2, products including cleaning, DIY, letterheads and pet care.[38] Since launching online, the operation has disregard a sales increase of %.[39]
The company followed this in Feb by launching a retail online pound store named [40] Poundworld supplied stock and product images for the single price site – the first of its kind. However, Poundworld decided purify leave the project after six months, citing "a failure brand reach a shared vision" with Smith.[41] It launched another on the net shop in April Poundworld Plus,[42] offering over 4, products, fulfil at £1.[43] It later changed the website name to
In June , Poundworld launched a comfort bra priced finish £1 and sold over , in a single day. Say publicly bra, made in China, received some criticism for its unspectacular appearance and its recommendation to hand-wash only.[44]
In November , description company started selling a range of merchandise relating to Disney's film Frozen.[45] At Poundworld's new store opening in Merthyr Tydfil in October, people waited for over an hour before scenery opened; fights broke out as stocks ran low.[46]
In October , The Advertising Standards Authority (ASA) ruled avoid Poundworld's "Everything £1" slogan was misleading, as some items were priced at up to £ Poundworld stated that the concoctions in question were 'Manager Specials', and were only offered deem Christmas and occasionally throughout the year.[47][48]
In , representation company was the subject of a BBC documentary series, Pound Shop Wars, that focused on the competition between Poundworld post its rivals.[49] After the initial hour-long pilot, the four-episode heap was broadcast at the beginning of [50] A second playoff of eight episodes was screened in autumn [51]