‘No funds for suppliers’, warn Wrapit administrators

Wrapit’s administrators have confirmed that suppliers to the failed wedding gift company are unlikely to see any of their money back.
Most of Wrapit’s newly-wed customers who are still waiting for their gifts will also now be left empty-handed, say KPMG. They are thought to number around 2,000. The business has failed to find a buyer.

In a statement, KPMG confirmed that the business has ceased trading “and that 55 of the 73 staff have been made redundant. This follows unsuccessful attempts by the directors to find a buyer for the business.

“A full report on the progress of the administration will be available within the next eight weeks. This will include the results of our preliminary investigation into the reasons for the company’s failure as well as the prospects for unsecured creditors.

“However, at this stage, we do not consider funds will be available for distribution to unsecured creditors,” KPMG warned.

Unsecured creditors include suppliers and customers: Wrapit’s bank, HSBC, would take priority in receiving any money raised from the sale of assets.

The remaining staff are being kept on for a short period to ensure that couples who have stock allocated to them in the warehouse will receive some of their goods.

But KPMG said: “The majority of couples will not now receive any of their gifts.”

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