A Doncaster-based footwear retailer has been sold out of administration after a CVA (Company Voluntary Arrangement) failed.
Hobson and Bates Shoes Limited, a family-run business established in the 1980s, entered administration earlier this month after suffering financial losses as a result of the economic crash.
The company also suffered as a result of supplier credit terms being reduced and a general decline in demand for luxury footwear.
Simon Plant and Daniel Plant of SFP Group were appointed as joint administrators to the company on 8 May.
Reduced credit terms meant Hobson and Bates was unable to maximise its stock holding, leading to a decline in cash flow.
A CVA was sought in June 2013, however “ongoing trading conditions” meant the deal could not be achieved. A restructuring of the company was undertaken instead, leading to the closure of one store in Grantham.
Simon Plant, director at SFP Group, said: “Hobson and Bates Shoes Limited was a successful and established business, with a quality product.
“Despite arranging a CVA, the company continued to struggle as the market remained relatively flat. Thankfully however, following the restructure, a buyer of the business and assets was found and the majority of the jobs have been saved.”