FASHION retailer M&Co has launched a huge sale following the news that the brand had gone into administration.
The long-standing retailer revealed its collapse yesterday (December 11) after losing the same battle “many retailers” have been fighting amid the Covid pandemic.
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M&Co, which has 170 stores across the UK, is therefore having a massive sale – offering shoppers 25% off in store.
While it looks like the website is also showing a 30% sale on all items, once you click onto each page, such as men’s or women’s, no items are displayed.
In a social media post from one M&Co store, it said: “The 25% off full price discount is now open to all customers who shop with us and will continue for the foreseeable.”
However, it is worth noting that the post also said M&Co was no longer able to process refunds, but could exchange goods, and that they would not be scanning loyalty cards, or accepting reward vouchers.
You may want to think carefully about buying items, or just purchase those you know won’t need to be returned.
Of course, the company may be successful in finding a buyer so we don’t know if this is its final closing down sale.
We’ve asked M&Co and Teneo Financial Advisory – its administrator – if the sale is available in all stores and whether shops are operating as normal.
We’ll update this piece as soon as we know more.
The retailer, which sells high-street fashion and homewares, announced it had gone into administration on social media.
The same store who announced the sale wrote on Facebook: “To all our amazing customers, this is not an easy message to convey.
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“M&Co have entered into administration as of the 9th December 2022.
“We are hoping for a positive outcome and that our lovely shops will be saved.”
It also said they were no longer able to process refunds, but could exchange goods, and that they would not be scanning loyalty cards, or accepting reward vouchers.
What’s included in the M&Co sale?
M&Co has reduced its items buy as much as 25% in store.
Shoppers should find discounts on everything from women’s and men’s clothing and homeware.
But remember, it’s still a good idea to compare prices as you could still find something cheaper elsewhere.
There is no final end date to the sale.
What happens when a shop goes bust?
When a company enters administration, all control is passed to an appointed administrator – who has to be a licensed insolvency practitioner.
Their goal is to leverage the company’s assets and business to repay creditors.
This can mean the business is sold to pay off debts and it will continue to operate as normal or it could be closed down.
How does administration work?
The administrator will write to your creditors and Companies House to say they’ve been appointed.
They will try to stop the company being liquidated but if they can’t, the administrator will pay as much of a company’s debts as possible from the assets.
The administrator has eight weeks to write a statement explaining what they plan to do.
This must be sent to creditors, employees and Companies House and invites them to approve or amend the plans at a meeting.
What are my rights if my order doesn’t turn up?
If you have placed an order with a shop that does go into administration, you’ll be placed in a line of creditors who are owed money from the business.
But this list will also include lenders and key suppliers, and everyone will have to paid out of any money that’s left in the business.
Firstly, you need to find out if the company is fulfilling orders, this information should be on their social media pages or website.
Some businesses who go into administration will continue to operate as normal, processing refunds and accepting gift vouchers – but often they will stop doing this too.
How do I request a refund if I can’t get in touch with the company?
If you can’t get hold of the company or they fail to respond to your request for a refund, there are still ways to get your money back.
If you paid by credit card
If you paid for the item using a credit card, you’ll be covered by Section 75 of the Consumer Credit Act.
This means that if you pay for a big purchase on your credit card and something happens – like the goods aren’t delivered or the shop goes bust – your card provider is just as responsible as the retailer to refund you.
To make a claim, contact your credit card provider – your first port of call should be its customer services phone number – and tell them you want to make a claim under Section 75.
It should then send you a claim form which you can fill-in and your provider will use to process your application.
Your card firm might ask you to provide evidence such as a receipt or a report verifying that the item is faulty.
If you paid by debit card
If you didn’t pay for the item with a credit card – don’t panic. If you paid with a debit card you’ll be covered by chargeback rules.
Chargeback can be used to reclaim cash for goods and services you don’t receive that have been paid for by debit card, or by credit card for purchases under £100.
Claims must be made within 120 days of the transaction and to start a chargeback, you need to contact your card provider.
If you paid for an item using a buy now, pay later provider, you’ll need to contact them first to check if they have a process for you to reclaim the cash.
This sector is largely unregulated and it doesn’t offer customers the same protections as those who shop with a credit or debit card.
If you have a gift card
Unfortunately, there’s no automatic right to a refund if you have a gift card and the company goes bust.
When a firm collapses, administrators are brought in and they view customers with gift cards as creditors.
First of all, you should go to the shop and see if you can still use your voucher as some administrators will honour the purchase.
But otherwise, to get your money back, you’ll need to make a claim in writing to the administrators with proof of your vouchers.
If the gift card was purchased through a third party, you could also approach that business for a refund.
This post first appeared on thesun.co.uk
