Independent toy buying group Toymaster remains confident in its future despite the loss of its largest member, Trod.
Earlier this year, the online toy retailer – whose budgeted turnover for 2016/2017 was at £49 million – announced its intent to enter administration, leaving the buying group with a sizeable dent in its budgeted profit for the year.
The business’ owner, Daniel William Aston is facing possible extradition to America over alleged price fixing on Amazon following an FBI raid on his home and business.
Since the announcement earlier this year, KPMG’s restructuring arm has been appointed as administrator to the online retailer and its subsidiary 247 Toys.
In March this year, suppliers were warned to stop all deliveries to the retailer while the Toymaster buying group paid all undisputed invoices to its suppliers.
In a supplier meeting held on Wednesday, April 6th Toymaster managing director, Ian Edmunds, revealed that despite the loss of Trod, the group remains confident in its viability for a long-term future.
“We have taken a number of measures since the news of Trod’s closure,” Edmunds told a room full of industry suppliers.
“We refuse any admission to internet-only retailers and are also raising the bar for High Street retailers looking to join and will continue to do so. We will not talk to large groups or discounters because we are all about independent, High Street shops.”
In a candid review, Edmunds revealed that the Toymaster group’s risk asset reserve had now been spread across the board to cover the costs left after the departure of Trod.
“With these measures in place, we are confident in the long-term viability of the Toymaster Group.”
Questions were also posed over what Toymaster were doing to secure the future of its next biggest retailers A1 Toys and Midco Toys.
“Toymaster is confident that the future of these two retailers is secure,” said Edmunds.