Glasgow furniture store goes into administration after nearly two decades due to 'declining footfall'

A Glasgow furniture store has gone into administration after nearly two decades in business, putting a dozen employees at risk.

Morale Home Furnishings has appointed two administrators after facing declining instore footfall and “significant headwinds” for several months.

A closing down sale has begun at the firm’s store in Hillington.

Blair Nimmo and Alistair McAlinden from Interpath Advisory were appointed as joint administrators to Morale Home Furnishings UK Limited on Wednesday.

Morale had been trading since 2006, under the ownership of businessman Khalid Ali and his family.

The company has said its recently faced significant headwinds over recent months with downward price point pressure from online retailers and declining in-store footfall.

Around six people are currently employed, all of which will be kept on following the appointment of the joint administrators, and while they continue to trade the business.

Following their appointment, the joint administrators have announced they will continue to trade the business for a period, and have commenced a closing down sale at the store in the Hillington Industrial Estate.

The sale will initially see discounts of at least 30% off RRP on all stock, and up to 60% off RRP on selected lines on display furniture straight from the showroom.

Alistair McAlinden, head of Interpath Advisory in Scotland and joint administrator, said: “As consumers continue to tighten their belts as a result of the cost-of-living crisis, retailers of big-ticket items and similar considered purchases continue to come under significant pressure.

“Unfortunately, in the case of Morale, the company has been impacted by customers moving to lower-priced alternatives, including those retailers which predominantly sell online.”

Alistair McAlinden added: “Our intention is to trade the business for a short period while we seek to sell all remaining stock, so would encourage customers to visit the store over the coming days, where Morale’s team of dedicated employees will be available to assist.”