Beauty Bay has filed a notice of intention to appoint administrators.
The Salford-based online cosmetics retailer has taken down its website, which now shows a holding page with the message: “We’ll Be Back Soon. BEAUTY BAY is offline right now, we’ll be back shortly.”
The company, founded by owners Arron and David Gabbie as Fragrance Bay in 1999, has been seeking a sale or investment in recent weeks with advisory firm Interpath.
The brothers also launched a sale process in 2022, but that did not result in a transaction.
Having filed a notice of intention to appoint administrators, Beauty Bay now has 10 days in which creditors cannot pursue any action against it.
“Like many other companies operating across the retail space, we’ve been battling hard in the face of strong headwinds over the past 12 months,” it stated.
“Cost inflation and fragile consumer confidence have had a heavy impact on consumer spending.
“Over recent weeks, we’ve been working closely with our stakeholders to find a path forward, including exploring options for sale and investment, with the aim of putting in place a stable financial platform upon which we can continue to build.
“While we continue to explore the options available to us, we have today taken steps to protect the position of the business as we strive to find a way forward.”
Beauty Bay reported sales of £78.1 million in the year to 31st March 2024, up from £75.5m in the prior year.
Following a £5.6m loss in 2023, it returned to profitability (£836,000).