Australian fashion label BlackMilk has entered voluntary administration this week, the latest brand to hit the wall.
The brand’s owner Linda Lillis, who co-founded BlackMilk with her husband 17 years ago, told customers about the collapse across socials, saying the brand is still operating as usual.
“Our website remains open, our team is here and customer orders will continue to be shipped,” Lillis shared.
“Voluntary administration gives the business an opportunity to explore what comes next. We don’t yet know what the outcome of that process will be, and I don’t want to make promises about something that is now in the hands of administrators.
“What I can say is that entering administration does not necessarily mean the end of BlackMilk, and we very much hope it isn’t.”
Lillis and her husband started the brand in Brisbane, which has since scaled to sell clothes globally. The brand is an online pureplay, with much of its collection coming from licensed collaborations.
Lillis said she is proud of how big the brand has become, and praised her team who have helped scale the brand. BlackMilk employs an estimated 40 to 50 staff members.
“There are people behind this business who have poured enormous amounts of themselves into it, including the team who are here today navigating what is an incredibly difficult and uncertain time,” she said.
“Over the past few years, BlackMilk has undertaken significant change to respond to a very different retail environment and build a more sustainable business. The team has worked incredibly hard and made meaningful progress, but the combination of a challenging consumer environment, rising costs and icnreasingly complex global trading conditions has continued to place pressure on the business.
“Voluntary administration is now the next step in determining whether there is a sustainable future for BlackMilk.”