The year 2020 hasn’t got off to a great start for the retail industry with yet another retailer calling in the administrators.
Homewares chain, Ishka, has gone into voluntary administration with Rachel Burdett of Cor Cordis being appointed to oversee the retailer’s affairs.
Owner and CEO, Toby Darvall, shared a message on social media, saying that after some very tough months Ishka’s journey may have come to an end.
“I am so sorry to have to let you know that we have made the difficult decision to put our business into voluntary administration,” he says.
“Australia’s unusually challenging summer period, paired with more than $3 million worth of Christmas stock delayed on the wharfs, crippled our business.
“We have explored numerous options to save Ishka and we have been working tirelessly with our bank, advisors and other creditors to find a sustainable solution. Unfortunately, attempts to secure extra finance were unsuccessful.”
The first Ishka store opened in 1971 in Melbourne and the 50-year-old family business has 60 stores across Australia, employing more than 450 workers.
Darvall says people loved the shop for its welcoming living room atmosphere, knowing they could pop in at all hours to enjoy the loud music and herbal tea served to every visitor.
“We will try absolutely everything we can to save it and stay in business and keep our beautiful stores open! We are working day and night to save Ishka―but we need your help too.”
To help clear stock Ishka announced a massive clearance sale which commenced straight after the announcement, offering 50 per cent discount on all products.
All 60 stores remain open for now.