Wilkinson family firm on brink of administration

Consumer products business Kin is on the brink of administration as a result of the collapse of retailer Wilko, TheBusinessDesk.com can reveal.

The Worksop-based home and garden products specialist is a sibling company to the retail chain but does have other commercial relationships.

It was set up in 2019 to develop brands and design sustainable products, initially for Wilko. Its Clever Pots and Skin Therapy ranges went on to secure distribution deals into 129 B&Q stores and nearly 900 independent pharmacies nationwide.

However Kin’s latest accounts, signed off last November, acknowledged a “material uncertainty” about the retail group’s ability to continue to support the company in the event of trading conditions worsening.

It has now filed a notice of intention to appoint administrators, which is a legal process that gives it protection from creditors for an initial 10 days to find a solution that might prevent the company’s failure.

Wilko itself is facing an uphill battle to survive in any form. Administrators from PwC had set a deadline for initial offers by the end of yesterday and are expected to select a smaller group for a second round of bids by Friday.

There is significant time pressure as Wilko faces running out of cash while in-store sales are emptying the shelves.

The retailer was established by the Wilkinson family in 1930 and had remained in family ownership.

Chief executive Mark Jackson conceded defeat last week and in an open letter said: “We’ve all fought hard to keep this incredible business intact but must concede that time has run out and now, we must do what’s best to preserve as many jobs as possible, for as long as is possible, by working with our appointed administrators.”