Latest news with #Gear4Music
Scottish Sun
12 hours ago
- Business
- Scottish Sun
UK's ‘biggest' music retailer shuts ALL its stores with immediate effect as it collapses into administration
Find out if you could be affected FACE THE MUSIC UK's 'biggest' music retailer shuts ALL its stores with immediate effect as it collapses into administration ONE of the UK's biggest music retailers has closed all of its stores after it collapsed into administration earlier this week. PMT Play Music Today - a retailer of musical instruments - reportedly went into administration on June 11. 2 PMT entered administration on June 11 and has been partially acquired by Gear4Music Credit: Alamy 2 The retailer cited financial problems as the reason behind the closure Credit: Getty Customers became concerned after its website ceased operations, reopening this week under the retailer Gear4Music. A statement on Gear4Music's website stated that "S&T Audio Limited, trading as 'PMT Play Music Today' entered administration on 11 June 2025 and is no longer trading." They added: "We understand this might come as a surprise. While PMT is no longer operation, we want to ensure you still have a reliable place to turn to where you can find the products you were interested in, get support if you need it, and continue shopping with confidence and hence you've been redirected to Gear4Music. The company was the largest chain of musical instrument stores in the country, and the fourth largest in terms of revenue. However, all 11 of its shops have now closed, as well as its Liverpool-based warehouse. According to Insider Media, 96 people have been made redundant, as 48 people have been kept on to assist administrators. It added that while they had purchased some of PMT's assets, including some stock, branding and websites, the original company is still responsible for its liabilities and "may not have funds to meet them." Its stock is thought to be worth up to £2.4 million, while its websites, trademarks and commercial data could be worth up to £1.2 million. In addition, Gear4Music has no plans to us PMT's trading name after it entered insolvency. Despite being the fourth-largest multi-channel musical instrument retailer, boasting a reported annual turnover of £43 million for the year ending April 2024, it is one of several retailers to enter administration. Company adminstrator Interpath cited challenges like the competitive pricing of musical instruments reducing profit margins, and fragile consumer confidence, as some of the reasons for the closure. Popular bank with over 400 spots confirms it is shutting 18 branches in August – it follows 148 closures by rivals They also faced problems like upward pressure on fixed costs like rent, business rates, and people costs. While the directors considered reorganisation of the company, or refinancing and investment, they ultimately filed to appoint administrators. Rick Harrison, managing director at Interpath and joint administrator said: 'It's been a tough few years for specialist music equipment retailers who have battled headwinds including rising costs, dwindling margins and the rising cost of living affecting consumer behaviour. "Unfortunately, despite the best efforts of the board, in the case of PMT, these challenges proved too difficult to overcome. "While we are pleased to have concluded a sale of the stock and other assets to Gear4Music, our immediate priority is to provide support to those employees who have been made redundant." Stores in major cities like Birmingham, Cardiff, Manchester and Oxford will be impacted by the closure. What does going into administration mean? WHEN a company enters into administration, all control is passed to an appointed administrator. The administrator has to leverage the company's assets and business to repay creditors any outstanding debts. Once a company enters administration, a "moratorium" is put in place which means no legal action can be taken against it. Administrators write to your creditors and Companies House to say they've been appointed. They try to stop the company from being liquidated (closing down), and if it can't it pays as much of a company's debts from its remaining assets. The administrator has eight weeks to write a statement explaining what they plan to do to move the business forward. This must be sent to creditors, employees and Companies House and invite them to approve or amend the plans at a meeting. A Notice of Intention is used to inform concerning parties that a company intends to enter administration. It is a physical document which is submitted to court, usually by directors aiming to prevent a company from being liquidated. Like with a standard administration process, a Notice of Intention stops creditors from taking out any legal action over a company while they try and rectify the business. The update on Gear4Music's website also included guidance for PMT customers. Those whose outstanding orders were not fulfilled by June 11 will no longer receive their order, but could claim as an unsecured creditor by contacting Interpath's office. Customers hoping to return items for a refund, or use a gift card, may also be able to make a claim as part of the insolvency proceedings. In order to make a claim, you should contact the Insolvency pratitioners' team at Interpath. You will then be sent a form and guidance on how to submit your claim, although they have said customers should "please be aware that unsecured creditors often receive only partial repayment, if any." Warranties or guarantees on products purchased from PMT are "likely void". Customers who paid by credit/debit card, PayPal or Klarna should contact their credit provider to raise a dispute directly with them. It comes after Gear4Music's recent acquisition of GAK in April after the fellow UK-based retailer sold its stock and assets for an estimated £2.4 million. Staff at Gak's Brighton store were unaware of the company's financial troubles before they were made redundant on April 7. PMT has been approached for comment.
The Sun
12 hours ago
- Business
- The Sun
UK's ‘biggest' music retailer shuts ALL its stores with immediate effect as it collapses into administration
ONE of the UK's biggest music retailers has closed all of its stores after it collapsed into administration earlier this week. PMT Play Music Today - a retailer of musical instruments - reportedly went into administration on June 11. 2 2 Customers became concerned after its website ceased operations, reopening this week under the retailer Gear4Music. A statement on Gear4Music's website stated that "S&T Audio Limited, trading as 'PMT Play Music Today' entered administration on 11 June 2025 and is no longer trading." They added: "We understand this might come as a surprise. While PMT is no longer operation, we want to ensure you still have a reliable place to turn to where you can find the products you were interested in, get support if you need it, and continue shopping with confidence and hence you've been redirected to Gear4Music. The company was the largest chain of musical instrument stores in the country, and the fourth largest in terms of revenue. However, all 11 of its shops have now closed, as well as its Liverpool-based warehouse. According to Insider Media, 96 people have been made redundant, as 48 people have been kept on to assist administrators. It added that while they had purchased some of PMT's assets, including some stock, branding and websites, the original company is still responsible for its liabilities and "may not have funds to meet them." Its stock is thought to be worth up to £2.4 million, while its websites, trademarks and commercial data could be worth up to £1.2 million. In addition, Gear4Music has no plans to us PMT's trading name after it entered insolvency. Despite being the fourth-largest multi-channel musical instrument retailer, boasting a reported annual turnover of £43 million for the year ending April 2024, it is one of several retailers to enter administration. Company adminstrator Interpath cited challenges like the competitive pricing of musical instruments reducing profit margins, and fragile consumer confidence, as some of the reasons for the closure. Popular bank with over 400 spots confirms it is shutting 18 branches in August – it follows 148 closures by rivals They also faced problems like upward pressure on fixed costs like rent, business rates, and people costs. While the directors considered reorganisation of the company, or refinancing and investment, they ultimately filed to appoint administrators. Rick Harrison, managing director at Interpath and joint administrator said: 'It's been a tough few years for specialist music equipment retailers who have battled headwinds including rising costs, dwindling margins and the rising cost of living affecting consumer behaviour. "Unfortunately, despite the best efforts of the board, in the case of PMT, these challenges proved too difficult to overcome. "While we are pleased to have concluded a sale of the stock and other assets to Gear4Music, our immediate priority is to provide support to those employees who have been made redundant." Stores in major cities like Birmingham, Cardiff, Manchester and Oxford will be impacted by the closure. What does going into administration mean? WHEN a company enters into administration, all control is passed to an appointed administrator. The administrator has to leverage the company's assets and business to repay creditors any outstanding debts. Once a company enters administration, a "moratorium" is put in place which means no legal action can be taken against it. Administrators write to your creditors and Companies House to say they've been appointed. They try to stop the company from being liquidated (closing down), and if it can't it pays as much of a company's debts from its remaining assets. The administrator has eight weeks to write a statement explaining what they plan to do to move the business forward. This must be sent to creditors, employees and Companies House and invite them to approve or amend the plans at a meeting. A Notice of Intention is used to inform concerning parties that a company intends to enter administration. It is a physical document which is submitted to court, usually by directors aiming to prevent a company from being liquidated. Like with a standard administration process, a Notice of Intention stops creditors from taking out any legal action over a company while they try and rectify the business. The update on Gear4Music's website also included guidance for PMT customers. Those whose outstanding orders were not fulfilled by June 11 will no longer receive their order, but could claim as an unsecured creditor by contacting Interpath's office. Customers hoping to return items for a refund, or use a gift card, may also be able to make a claim as part of the insolvency proceedings. In order to make a claim, you should contact the Insolvency pratitioners' team at Interpath. You will then be sent a form and guidance on how to submit your claim, although they have said customers should "please be aware that unsecured creditors often receive only partial repayment, if any." Warranties or guarantees on products purchased from PMT are "likely void". Customers who paid by credit/debit card, PayPal or Klarna should contact their credit provider to raise a dispute directly with them. It comes after Gear4Music's recent acquisition of GAK in April after the fellow UK-based retailer sold its stock and assets for an estimated £2.4 million. Staff at Gak's Brighton store were unaware of the company's financial troubles before they were made redundant on April 7. PMT has been approached for comment.
