IDC collapse could cause supply crisis for stores

by Alex Yau alex.yau@newtrade.co.uk

The potential collapse of Londis and Bestway’s partnered drop-shipping company, IDC, could shut down some suppliers delivering to stores, as retailers have already reported order disruption.

Last month, RN revealed that IDC, which also trades as Dropshipment UK, told suppliers it had filed an intention to appoint administrators in December.

Reports from CreditSafe, seen by RN, showed another notice of administration was filed again on 20 January.

Various suppliers confirmed they halted orders after IDC failed to make payments last year.

CreditSafe’s report showed IDC has 946 invoices outstanding, with nearly half unpaid for more than 90 days. The average order value was around £200, giving an estimated £190,000 in orders yet to be paid by the company.

A collapse would mean Bestway and Londis stores that relied on dropshipped goods would face