45 jobs at risk as Fashion Factory prepares to close
A major store in Cannock is to shut with the loss of up to 45 jobs after losing its lease - but the owners say they are trying to find alternative premises in the town.
Fashion Factory in Vine Lane is closing at the end of this month, three years after it went into administration and re-opened under a new owner.
The company said its lease was coming to an end and it has lost it to another retailer. Bosses had tried to negotiate an extension until after Christmas but were unsuccessful. The shop will close on November 28.
Workers have spoken of being devastated at losing their jobs four weeks before Christmas.
The business is owned by Leicester-based KM Shepshed, which owns four shops in the Midlands. It took over the Cannock store two years ago.
Company chiefs say they are now scouting for other premises, around 20,000 sq ft in size, either in Cannock or within a 10 to 15 mile radius.
Business development manager Venetia Sanders said: "It's awful that people will be losing their jobs so close to Christmas but the management team is travelling around the Cannock area looking for sites.
"It may be that there is a gap between closing our current premises and opening a new one, and that is likely to be around eight to 12 weeks because of the legalities involved.
"Staff who lose their jobs will be offered first refusal at the new site and some workers will relocate to our Stafford store. It's a negative situation but we want to turn it into a positive."
The company said it had been up to date with its rent and bills but simply lost out in the bidding process.
A clearance sale has now been launched.
The store, which houses several franchises, closed in July 2012 after 18 years when it went into administration with the loss of 30 jobs.
The business was resurrected by entrepreneur Philip Yates who opened up again three months later, re-employing many ex-staff.
Previous owner Michael Edwards said he had been forced to close the store because it was losing trade heavily to the internet.
Known for selling designer labels, prom dresses and outfits for special occasions, sales at the store regularly saw queues of people outside waiting to snap up bargains.
The shop stopped selling proms dresses some time ago but concessions like Pavers Shoes andYankee Candle continued to attract customers.
One employee, who did not want to be named, said: "It's a shame, especially for the younger members of staff. One lad was devastated by the news."
