UK music retailer Dawsons Music has entered administration

Its appointed administrators are seeking a buyer for the business.

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Historic music equipment retailer Dawsons Music has entered administration, following declining sales in the last 12 month amid the backdrop of a “highly challenging retail environment”, further undermined by financial strain attributed to the COVID-19 pandemic.

Rick Harrison and Neil Gostelow from KPMG’s restructuring practice have been appointed joint administrators to the Warrington-based music retailer.

Per the Warrington Guardian, Harrison reported that the majority of Dawsons’ workforce, approximately 75 in strength, were placed on a leave of absence before his appointment. “The majority of staff were furloughed prior to our appointment, and we will be speaking to them as a matter of priority over the days and weeks ahead, as we seek a buyer for the business,” he said.

Harrison stated that while Dawsons’ six physical stores – in Manchester, Liverpool, Chester, Leeds, Reading and Belfast – remain closed, sales through its online platform will continue while business options for the company are assessed.

“We are presently in advanced discussions with a number of interested parties with a view to a possible sale but would invite any other party who may have interest in acquiring the business and its assets to contact us at the earliest opportunity,” Harrison said.

Dawsons Music was established in 1898 and is one of the UK’s oldest music retailers. In addition to music equipment retail, the company’s education division supplies music equipment to schools and higher education institutions across the UK and internationally.

Across the pond, US retail giant Guitar Center has reportedly considered debt restructuring, following two missed interest payments.

Learn more at dawsons.co.uk

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