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STATEMENT FROM GEORGE & ALISON BOWIE, DIRECTORS OF RAW EXPERIENCE:
It is with personal sadness and lots of emotion that we have to announce that on Wednesday 29th March 2006 the Directors of Raw Experience filed a petition for the company to be wound up.
There are a number of issues that caused Raw to end up in this position. Distribution is a middleman. If the model is based on exclusivity and the supplier does not deliver, we cannot go elsewhere to replace that product or revenue. Other models or businesses have more choice and can switch sell, although this still causes disruption, it offers an opportunity. As a distributor it is lost revenue and cannot be replaced. We are very reliant on suppliers.
The company has been hindered by various changes in suppliers during the past 5 years. More specifically, during the past 6 months we have faced poor deliveries from 2 of our major suppliers. There has been no shortage of sales for these brands, just availability issues from those suppliers. The knock on effect to cash flow and
profitability has been enormous. In December 2005 it was decided that Raw would reduce the number of brands it carried and focus on a selection of brands with high growth potential and a history of good supply. It was planned to have this in effect by July this year.
As part of the process we had to get the support from some of our brands. One brand in particular would not support our plans and in the process revoked our terms, effectively locking us out of raising the finance to continue.
It was decided that in light of this situation and the previous 6 months supply issues, Raw could no longer continue to trade effectively.
Whilst sales grew last year and in some cases the company was up 30%, we were hindered by supplier performance and commercial issues.
The contribution by individuals during this time is unquestioned. Everyone at Raw has worked hard to deliver growth. It has been difficult for us to continue to offer a strong customer service without stock continuity and without accurate information about deliveries.
We are very sorry that Raw has come to this end, but wish everyone in the industry all the best for the future.”
All enquiries relating to the company should be addressed to:
Scott McGregor
Begbies Traynor
2nd Floor Findlay House
10-14 West Nile Street
Glasgow
G1 2PP
Tel: 0141 222 2230
Fax: 0141 222 2330
GETTING WARRANTY GOODS RETURNED:
There’s a ‘viewing day’ on Thursday 13th April between 10am and 1pm at Raw’s former HQ, 34 Dryden Road, EH20 9LZ. You will be asked identify the parts in question and will have to provide proof of receipt of ownership and any warranty returns details.
