SOS Wholesale has entered administration, with the majority of the company’s 100 employees having been made redundant.
The discount delivered wholesaler, which supplies consumer goods to convenience, discount, independent, major multiple and garden centre retailers in the UK and Ireland, has suffered from rising input costs and changing consumer spending habits over recent months.
It is understood the business was unable to meet its financial obligations and appointed Interpath advisors Rick Harrison and Howard Smith as joint administrators on 8 September.
According to the company’s latest accounts filed at Companies House, for the year to 31 October 2024, the business reported a decline in turnover to £42.7m, down from £49.5m recorded in 2023.
Profit before tax also fell by more than half a million pounds to £1.0m for the period.
SOS Wholesale was founded in 1996 and provided a range of branded products, including groceries, soft drinks, toiletries, household goods and confectionery from its warehouse and distribution centre in Derby.
However, trading has now ceased and most of its employees have been made redundant. A small number of staff have been retained to assist the joint administrators in their duties as they explore options, including launching a sale process for the business and its assets.
“The retail sector is currently facing a number of challenges which are being felt throughout the supply chain,” said Interpath MD and joint administrator Rick Harrison. “While SOS Wholesale had established itself as one of the largest wholesalers in the market, the challenges it faced and the impact on its finances proved insurmountable.
“Regrettably, the business was not in a position to continue trading and the majority of staff have been made redundant. We urgently call on any interested parties to come forward as we explore options for a possible sale of the business and its assets.
”We are also prioritising support to those employees impacted by redundancy, including supporting them in making claims to the Redundancy Payment Service.”
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