A HIGH street retailer with 12 locations has suddenly closed all branches after the brand was forced out of business.
UK-based start-up Sook has closed all its branches after failing to find enough funding.
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The company ceased operations on December 31
It had branches in locations such as London, Birmingham, Southampton, Liverpool, Newcastle, Leeds and Kent
The company was founded in 2019 to improve “the future of the high street by giving brands access to flexible pop-up spaces”.
It brought empty retail spaces back to life by allowing brands like Depop and TikTok to open pop-ups.
Founder John Hoyle said in a LinkedIn post: “I am devastated to announce the closure of Sook.
“Despite the exceptional efforts of our team, growing sales and achieving international scale, we have not been able to raise enough investment to continue in the current environment.
“I’m so proud of everything we’ve achieved and incredibly sad that we can’t continue.
“Please support our team members as they search for new roles.
“They have first-hand experience of the disruption of the retail and real estate sectors during incredibly challenging times.
“Thank you to everyone who has supported us over the past five years.”
More than 200 people reacted to the news of the brand’s closure on Linkedin.
One person said: “This is terrible news to start the New Year with.”
Another said: “I’m sorry to hear that. Sook was a brand that everyone knew. I think it’s a testament to how much everyone talks about you.”
“A great effort in difficult times which has undoubtedly taken its toll,” said a third.
Why are retailers closing branches?
The cost of living crisis, stubbornly high inflation and energy costs are taking their toll on retailers.
Shoppers have cut back on spending, while the cost of actually running a store has also risen, meaning some outlets have struggled to stay afloat.
Figures from the British Retail Consortium (BRC) revealed last summer that the UK had lost 6,000 stores over five years.
Several major brands have also failed and closed shop for good in 2023.
Wilk’s collapse in August marked the biggest collapse in UK retail since McColl’s went into administration in May 2022.
Paperchase fell into administration at the end of January 2023 and all 106 stores closed for good.
Scottish clothing brand M&Co and jacket retailer Joules were among a number of other well-known brands to fail in 2022.
But shoppers still have reason to cheer as other retailers expand this year.
The Sun recently revealed that discount chain Costco is expanding in the UK and plans to open 14 more warehouses in the next two years.
Bonmarche is opening at least seven new stores after filing for administration in 2019.
Once-major bakery chain Patisserie Valerie, which also fell into administration and closed most of its stores, has begun reopening branches, the Sun can reveal.
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Source: HIS Education