Designer Alice McCall shakes off debt for Australian Fashion Week return

Alice McCall has spoken about her label’s financial woes and its comeback after it was placed into voluntary administration.

Designer Alice McCall has reluctantly spoken of her fashion label’s recent financial woes.

McCall’s eponymous label was placed into voluntary administration at the end of last year owing $7 million.

The designer put on a brave face as she stepped out to announce her label would show at Afterpay Australian Fashion Week at the end of next month.

Alice McCall announces showing at Afterpay Australian Fashion Week launch. Picture: Tim Hunter

“As they say, diamonds are created under pressure so I feel very positive and humbled about the position I am in,” McCall told Confidential.

“I am incredibly positive and humbled and really reinforcing and reiterating what is important to me and that is this creative journey and connecting with my customer.

“I am humbled and I am excited to be where I am.”

McCall will show at Fashion Week at Carriageworks alongside top Australian labels including Ginger & Smart, Anna Quan, MacGraw, Rebecca Vallance and Romance Was Born.

In November, McCall’s label was placed into voluntary administration nearly two decades after she first founded the brand, citing the downturn in sales from COVID lockdowns and unsustainable rental agreements for the decision.

Fashion designers Georgie Renkert from We Are Kindred, Luke Sales and Anna Plunkett from Romance Was Born, Alice McCall, and Lizzie Renkert from We Are Kindred at launching Afterpay Australian Fashion Week on Wednesday. Picture: Tim Hunter.

Eleven of McCall’s 14 stores were closed and administrator Ian Purchas of SVP Partners revealed McCall owed $2.3 million to its largest related-party creditor, $5 million to ordinary unsecured creditors, $400,000 to the bank and $130,000 to redundant employees.

Through a deed of company arrangement (DOCA), creditors voted to accept a 10 cents in the dollar dividend while employees have been paid out in full.

“I am driven by my creativity and just the connection with the customer and creating clothes that are keepsakes, that there is a longevity in the product,” McCall said.

“I think it is super exciting where Australia is at the moment and that we are able to do events.

“People always love entertainment, obviously COVID restrictions are prudent but that aside it is an amazing opportunity to showcase Australian talent.”

Originally published as Designer Alice McCall shakes off debt for Australian Fashion Week return