The failure of Arcadia Group is not only affecting its own business but is also having a ripple effect on its suppliers. Lloyd Shoe Company, a UK footwear supplier and concessions retailer, is now facing its own financial difficulties and is preparing to file for administration. The company has sought the help of administrator FRP Advisory to find a buyer for the business, but as of now, no further details have been released. This news puts 243 jobs at risk.

Lloyd Shoe Company is known for its footwear concessions within certain Arcadia-owned stores. Despite the administration process, the company will continue to operate normally. Lloyd originally focused on men’s footwear but expanded its product offerings to also include women’s footwear five years ago. Currently, the company operates more than 800 men’s and women’s footwear concessions across several countries, including the UK, Ireland, Germany, The Netherlands, and the US.

The collapse of Arcadia Group has raised concerns about the wider impact on its suppliers. Lloyd Shoe Company’s administration filing is the first known consequence directly linked to Arcadia’s failure. The fashion industry has already been struggling due to the COVID-19 pandemic, facing challenges such as lockdowns, reduced footfall, and a shift towards online shopping. This difficult environment, combined with the decline of high street brands, has created a challenging situation for suppliers like Lloyd Shoe Company.

While administrators are searching for a buyer, the future of Lloyd Shoe Company and its employees remains uncertain. The company’s extensive presence in the footwear industry and its international reach make it an attractive investment opportunity for potential buyers. However, the ongoing uncertainty in the retail sector and the aftermath of Arcadia’s collapse may pose obstacles in finding a suitable buyer.

The downfall of Arcadia Group and the subsequent struggles of Lloyd Shoe Company highlight the importance of resilience and adaptability within the fashion industry. As the sector continues to navigate the challenges brought on by the pandemic, suppliers and retailers must find innovative ways to survive and thrive in an increasingly volatile market.

The fate of Lloyd Shoe Company ultimately depends on the outcome of the administration process and the willingness of a buyer to invest in the business. Meanwhile, the company will continue to operate and provide its range of footwear within the Arcadia-owned stores where it has concessions. The wider impact of Arcadia’s failure on other suppliers in the fashion industry remains to be seen.

Useful links:
FRP Advisory
Arcadia Group