Australian fashion label Alice McCall enters voluntary administration

An Australian women’s fashion label has entered voluntary administration due to financial troubles sparked by COVID-19.

Australian fashion label Alice McCall has entered voluntary administration. Picture: Richard Dobson

Australian fashion label Alice McCall has entered voluntary administration, blaming the coronavirus pandemic for its financial struggles.

The women's fashion brand named after the designer confirmed on Monday it had appointed a Sydney-based insolvency firm as administrator, flagging store closures are likely to occur.

It is understood the company’s 14 stores are at threat of closing.

Stores and the company’s website will trade under normal conditions until the administrator completes further measures.

Administrator SV Partners said: “Unfortunately, that will require the closure of a number of its stores and the redundancy of some employees.”

Fashion designer Alice McCall says she has been forced to ‘edit down’ her business. Picture Rohan Kelly

In a statement, Ms McCall blamed the economic woes of the pandemic for the failure of her 17-year-old business.

“It is with a heavy heart that due to the unprecedented effects that COVID-19 has had on our economy, as well as some unsustainable bricks and mortar rental obligations, I have had to make a necessary decision to edit down my business, with the objective of building a more sustainable business model for the future,” she said.

“There is nothing that fuels me more than a customer sharing their experience of a meaningful memory that they have lived while wearing an ‘Alice’ garment. This truly is what motivates me to do what I do.”

Alice McCall had recently launched a dedicated Chinese website following growing demand in the major economy.

Originally published as Australian fashion label Alice McCall enters voluntary administration