Doomsday Co Limited - Case Update

The proposals filed by the Joint Administrators of Doomsday Co Limited tell the sad story of a side hobby that grew into a profitable business, before ultimately succumbing to financial pressures resulting from Brexit and the cost of living crisis.

Corey Smith-Wilkes, the company’s director, began designing logos and garments as a side hobby for a small collection of friends and customers. The company was formally incorporated in 2014. It initially manufactured contemporary streetwear clothing with an emphasis on tattoo culture for the youth demographic.

The company began to make traction through collaborations with tattoo artists and when celebrities began purchasing the company’s products. Between the years ended 30 September 2018 and 30 September 2021, the company’s turnover increased from approximately £300,000 to approximately £2.6 million.

However, the company began to experience difficulties following Brexit, when shipping costs more than doubled, resulting in a decrease in overseas purchases for the company’s stock (its main revenue stream). In addition, the ongoing cost of living crisis caused the company’s main demographic (18-30-year-olds) to cut down on unessential items. Supply chain issues also made it difficult for the company to fulfil orders.

The company’s director sought independent advice from Leonard Curtis, resulting in the approval of a CVA on 5 January 2023. However, the CVA was subsequently voided on 24 May and Sean Ward and Siann Huntley of Leonard Curtis were ultimately appointed Joint Administrators on 31 May 2023.

Since their appointment, the Joint Administrators have completed a sale of the company’s physical and intangible assets to High Dive Apparel Limited for £51,000.

The Joint Administrators have been assisted by Carbon Law Partners. Their proposals can be found HERE.