30,733 customers had paid £13.8million in deposits, over £400 each on average
// Tens of thousands of Made.com customers will be left out of pocket by a total of nearly £12m
// Shoppers paid £13.7m in deposits on large items such as sofas at the furniture retailer but less than £1.9m of this has been returned into customers’ pockets
More than 30,000 Made.com shoppers are collectively owed almost £12m they will not get back, according to the latest report by administrators to the collapsed furniture seller.
Over 300 people were made redundant when the London-listed retailer went into administration in November, hit by consumers pulling back on big-ticket purchases amid soaring inflation and the cost-of-living crisis.
Nearly all 500 employed at the time are expected to lose their jobs and a recent report by PwC administrators has revealed that tens of thousands of shoppers will not see funds repaid.
Subscribe to Retail Gazette to get breaking news in your inbox
Sign up here to get the latest breaking news straight into your inbox as soon as it happens
Some £13.7m was paid in deposits on big-ticket items such as sofas by shoppers, documents filed with Companies House and first reported on by The Guardian have revealed.
Less than £1.9m of this has been returned into customers’ pockets via card charge-backs through credit card providers and administrators admitted there will not be enough cash to repay a £11.9m total sum owed to shoppers.
While Made.com’s £19m stock inventory is set to be sold via Auction house John Pye & Sons, it is anticipated to garner less than £2m.
Next snapped up the brand, domain names and intellectual property of Made.com for £3.4m in a pre-pack administration earlier this year.
At the time, Made.com chief executive Nicola Thompson said: “I would like to sincerely apologise to everyone – customers, employees, supplier partners, shareholders and all other stakeholders – impacted as a result of the business going into administration.
“Over the past months we have fought tooth and nail to rapidly re-size the cost base, re-engineer the sourcing and stock model, and try every possible avenue to raise fresh financing and avoid this outcome.”
Click here to sign up to Retail Gazette‘s free daily email newsletter