The fashion brand established by a star of The Real Housewives of Cheshire has said "prevailing economic challenges" has led to customers being left out of pocket temporarily as refunds are delayed.
Manchester-based Forever Unique said it has "encountered a difficult period" and has faced a "temporary cashflow challenge and an unfortunate delay in processing refunds". It added that the situation is "a short-term measure" which has led to "significant" cost-cutting and "business restructuring efforts", which have resulted in "recent growth". The company also said it has attracted interest from potential investors and that it is planning a relaunch in early 2024.
Seema and Sandeep Malhotra established the brand in 2008 and its clothes have been worn by the likes of Holly Willoughby. Forever Unique's website describes the brand as a luxury fashion brand specialising in ladies' occasion wear. The Malhotras are no longer actively involved in the day-to-day operations of the business but Mr Malhotra is the 100% shareholder of the firm.
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In April 2022, BusinessLive reported that the wholesale arm of the fashion company had entered liquidation owing more than £2.8m. Forever Unique Limited, which had an estimated total deficiency of £2.822m, said at the time that it was hit by the Covid crisis and that the brand will now focus on selling direct to customers. It also changed its name to Wholesale Clothing 海角视频.
The Forever Unique brand remained trading through Dress Me Online Ltd. However, in May 2023, BusinessLive reported how that company had also entered liquidation with debts of over £2.8m.
The Forever Unique brand was then transferred to a new operating company, Fashion Store Online Limited. Mrs Malhotra is not a director of the business. The only director is Mr Malhotra.
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The "difficult period" Forever Unique has experienced has led to a spate of one-star reviews on Trustpilot, with customers venting their frustrations at the brand. The company currently has a two-star rating overall based off just under 2,000 reviews.
A user who post a one-star review under the name Danielle said: "I bought a dress in April which was beautiful but too big so I sent it back and ordered a smaller size. On 19th April I received an email to say that they had received my return which would be processed and I would be refunded within 14 days. It is now November!"
Another customer who post a one-star review under the name Julie added: "This company has zero customer service. They have a 14-day return policy, I returned my items in August, in good time and haven't heard a thing.
"I've sent multiple emails, submitted multiple requests on their contact page on the website and have tried them on the business account on Instagram, multiple time[s] and nothing answered, nothing received, I want my refund. So annoying as I like their clothes."
A customer called Natasha Waller said: "I have previously had an issue with a refund and eventually got my money back. I put this down as a one off and decided to give them another try.
"Much to my disappointment I yet again have returned items and I am not getting my money back. I have chased three times now and get nothing.
"Forever Unique are useless. Their owner flaunts the brand all through the real housewives on TV but yet can not sort out the company and their service to customers. They are quick to take my money but not at returning it. I have been a customer for a long time but do not buy from forever unique their customer service is terrible."
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A statement issued by Forever Unique said: "Earlier this year, Fashion Store Online Ltd acquired Forever Unique through a pre-pack deal during the liquidation process. Unfortunately, due to prevailing economic challenges, particularly in the fashion sector, we have encountered a difficult period and therefore our payment gateways have been withholding a portion of our sales funds. This, in turn, has caused a temporary cashflow challenge and an unfortunate delay in processing refunds.
"We want to emphasize that this is a short-term measure, and we are continually reviewing the situation on a monthly basis. Under the new management's guidance, we've undertaken significant cost-cutting and business restructuring efforts, which have resulted in recent growth.
"Moreover, potential investors are showing interest in supporting our vision to rebuild and re-establish Forever Unique as one of the premier special occasion brands. We are planning a relaunch in early 2024.
"It's important to note that Mr and Mrs S Malhotra, while Mr Malhotra is a 100% shareholder, are not actively involved in the day-to-day operations of the business.
"Rest assured, we are committed to resolving the cashflow issues and ensuring that all customers receive their refunds. We appreciate everyone's patience and understanding during this transition period."