Leading convenience store shopfitters JMS Retail Concepts has collapsed, blaming the fallout from the administration of former Bargain Booze and Central Convenience owners Conviviality.
A source at the company claimed: “As of today, JMS Retail Concepts Ltd has been forced into liquidation by bad debts related to the collapse of Conviviality.”
The source told betterRetailing: “We’ve been waiting and waiting to be paid. We were owed a significant amount but we got a cheque in the post for just a fraction of that sum. There’s plenty of work in the pipeline, but we’re not able to fund it.”
Read more: Bestway buys Bargain Booze at bargain price
JMS Retail Concepts was a preferred shopfitter for One Stop stores, McColl’s BP forecourts, MFG forecourts, Penny Petroleum and Co-op store operator Denovo Retail. The company also refurbished and fitted other retail brands such as Holland & Barrett, The Fragrance Shop and Hawkin’s Bazaar.
The source said the company has made sure no stores are currently undergoing refit work at the time of the collapse.
JMS Retail Concepts has operated for 12 years nationwide and is based in Chorley, Lancashire. Approximately eight head office staff and 75 tradespeople across the UK are affected.
Read more: Conviviality auditor under investigation
On-trade and off-trade alcohol wholesaler Conviviality also operated the Bargain Booze, Central Stores and Wine Rack off-licence and convenience store groups. Following the wholesaler’s collapse, its retail assets were acquired by Bestway for £7.25m through what Conviviality described as an “accelerated sale process”, saving 2,300 jobs.
However, Central Stores alone was worth £25m when bought by Conviviality the year before. BetterRetailing understands that much of the debt owed to companies like JMS Retail Designs was not transferred as part of the deal.
“It is with regret that the Board notes that the companies are not expected to have sufficient assets to satisfy all their liabilities,” said Conviviality at the time of the sale to Bestway.