In The Style has said to have lined up FTS Recovery to act as administrators after seeing its revenues drop to £30.4million for the year to March 31, 2024, down from £45.9million
Online fashion retailer In The Style is reportedly on the brink of collapsing into administration.
The fast fashion website, which has previously partnered with celebrities including Jacqueline Jossa and Stacey Solomon, is said to have lined up FTS Recovery to act as administrators, according to Sky News. A source told the publication that a pre-pack deal involving its private equity owner Baaj Capital could potentially be on the cards.
A pre-pack administration is a process where parts or all of the business are sold off before an administrator is appointed. In The Style was founded by Adam Frisby in 2013 and was sold to Baaj Capital for just over £1million in March 2023. At one point, it was valued at more than £100million. The Mirror has contacted both Baaj Capital and FTS Recovery for comment.
It comes after In The Style has saw its revenues drop to £30.4million for the year to March 31, 2024, down from £45.9million for the previous year. The fashion retailer also reported a pre-tax loss of £2.6million, compared to its £7.7million loss recorded the year before. UK sales were down from £42.7million to £29million over the same period.
In The Style slashed its headcount from 179 to 140 during this timeframe, after taking “significant steps to reduce operational overhead by investing in automation, clear strategic priorities and the removal of duplication of task”. A statement signed off by the board at the time said: “[This financial year] was a year of realignment and resetting operating practices for In The Style with focus being given to creating robust unit economics on which to trade the business, right sizing of the overhead and developing efficiencies arising from the wider group integration.
“Significant time investment has been made into our business intelligence and reporting suite to surface the right data on which to make robust trading decisions. Through the shift in the focus of the business from top line sales to relentless obsession on net contribution margin, the business has been able to drive significant margin improvements despite a reduction in toppling sales.”
Adam Frisby announced his departure from In The Style in October 2024 after previously stepping down from his chief executive officer position at the end of 2023. At the time, Mr Frisby said: “Although I am gutted to be walking away, this definitely isn’t the end of me in business, and when the time is right I look forward to taking you all every step of the way with me on the next journey.”