The sword of Damocles once again hangs over Victoria Beckham’s textile company. Although the former member of the Spice Girls and her husband, former soccer player and businessman David Beckham, amass millionaire fortunes – the most conservative estimates estimate it at around 380 million euros – not all their businesses are so buoyant. A recent audit of accounts on the former fashion firm affirms that her losses are beginning to be debts of considerable size that can put the business at risk.
According to these auditors, in information collected by the British newspaper Daily MailIn 2019, the company lost just over 13.65 million euros, and in 2018 it had already lost 14.2 million; in fact, it was then calculated that he was losing around 4,500 euros a day. In total, since its inception, it has had losses of 53.2 million. And all in the absence of knowing the more than likely setback that 2020, a year marked by a decrease in global consumption due to the coronavirus, will have given the brand.
In the auditors’ report it can be read: “Events or conditions indicate that there is a material uncertainty that may lead to significant doubt about the company’s ability to continue operating.”
Last May it was learned that Victoria Beckham had come to ask for aid from the state that would allow her to solve the financial situation that her company was going through because of the covid. The controversial presenter Piers Morgan came to dedicate the phrase to him in a television program: “Pampered prima donna, the rescue plan [del Gobierno] it wasn’t for millionaires like you. ” Beckham had decided to apply an ERTE to 80% of her workforce, so her salaries came from the coffers of the British state, while she covered the 20% that was missing and had decided to do without her own salary and donate the amount to a bank food. After the criticism he received, a few days later he decided to back down and renounce state aid. “Initially, the shareholders reached an agreement with the management to suspend a small proportion of the staff. At that time we did not know how long the confinement was going to last or what impact it was going to have on the business, “Victoria Beckham told the newspaper. The Guardian.
The couple’s fortunes are uncertain, but inescapably great. Each medium points to a number. For The Times, It would be almost 400 million euros, and the Beckhams would also be among the 50 people who pay the most taxes in the whole of the United Kingdom. For The Mirror would already have 750 million euros, and for Forbes only David Beckham would have made about 800 million. He has diversified the places to put his money and, especially through his DB investment fund, he has divided his money between football, electronic sports or eSports or even companies that investigate the use of cannabidiol.
Victoria Beckham’s fashion company was born in 2008 and, in this long decade of existence, it has become a critical and public success, although not so much in sales. Their numbers have always been difficult to square. At the end of 2018, a company decided to inject just over 33.5 million euros into the firm. That investment by Neo Investment Partners, the company of a former Goldman Sachs banker named David Bellhassen and specializing in luxury brands, contributed that money in exchange for a minority investment in it, but the injection of liquidity was enough for some media claimed that the firm had reached the value of 100 million euros. The designer came to call it “an incredibly exciting new chapter.” We will have to wait to see how fashion firms evolve and this in particular after the passage of the covid to see if that emotion becomes sustainable.
–
