Perfumes business a Star performer

SALFORD-based perfumes wholesaler Star Global Trading increased its sales by 33% in the year to April 30 last year to £69.7m.

The company, which was co-founded by Dipak Thakrar and Neil Barron in 1999, also more than doubled pre-tax profits to £126,829.

The business sells designer brands of perfumes and aftershaves directly to the retail trade. It stocks more than 4,000 product lines at its 110,000 sq ft warehouse in Salford, and sells to clients in over 50 countries.

Notes to the accounts prepared by directors indicate that they believe the company’s financial position to be “satisfactory” as its current assets outweigh its current liabilities by £21.9m.

However, its long-term debt increased by over £11m as its three directors pumped more money into the business to fund growth.

The business now owes directors Dilpak and Rachana Thakrar and Neil Barron more than £21m. Interest rates on loans varies between 5%-9.5% over base rates.

“The company operates in a competitive marketplace but the directors remain confident that they have appropriate strategies to deal successfully with the risks encountered in this environment.”