Image copyright Kleeneze

One of Britain's oldest home shopping companies has gone into administration.

Kleeneze, best known for selling household and beauty products through its network of door-to-door sellers, said it had ceased trading on Thursday and 140 jobs are at risk.

But there is also a question mark over the future of 5,000 independent distributors who sell the products.

Administrators FRP Advisory is seeking a buyer in a last ditch attempt to save the 95-year old firm.

Joint administrator David Acland said: "Kleeneze has performed well over the years and has a strong network of independent sales distributors.

"Unfortunately, tough trading conditions have resulted in the business entering administration.

"The business suffered from operational issues after its move to the Heywood distribution site earlier in 2017.

"There were logistics challenges and IT issues that took six months to resolve, which resulted in significant lost sales," Mr Acland said.

Kleeneze's self-employed distributors deliver catalogues throughout in the UK and Ireland, earning cash or rewards for every sale they make - either at the doorstep or through their own online shop.

These sellers are a mixture of self-employed sole traders and partnerships, and many work for Kleeneze alongside other jobs.

The company employs 69 permanent staff at its head office in Accrington, Lancashire, and a further 71 at its warehouse in Heywood, Greater Manchester.

Usdaw, the trade union for Kleeneze staff, said it was seeking urgent meetings with the administrators in a bid to protect jobs.

Annette Bott, an Usdaw area organiser, said: "This is clearly a difficult and upsetting time for the 140 staff based in Accrington and Heywood.

"We are pressing the administrators to find a buyer for the company who will protect jobs and keep the business going. In the meantime, we are providing our members with the support, advice and representation they need."</s>Around 5,000 agents working for catalogue firm Kleeneze face being shown the door after the 95-year-old business collapsed.

And around 140 staff at its HQ in Accrington and its warehouse in Heywood also risk losing their jobs now the firm has ceased trading and been plunged into administration.

Kleeneze sold cleaning products, gifts and homewares through a network of self-employed door-to-door agents.

The blow comes just over a year after a major restructure following a £1.2 million funding deal with the Greater Manchester Combined Authority (GMCA) to consolidate its logistics and distribution operation in Heywood and create up to 100 jobs.

David Acland, joint administrator at FRP Advisory, said: "Kleeneze has performed well over the years and has a strong network of independent sales distributors.

"Unfortunately, tough trading conditions have resulted in the business entering administration.

"The business suffered from operational issues after its move to the Heywood distribution site earlier in 2017.

"There were logistics challenges and IT issues that took six months to resolve, which resulted in significant lost sales."

A buyer is being sought for the business but FRP warned that 69 jobs at its HQ in Accrington, Lancs, and 71 at the warehouse in Heywood, 15 miles away, are in jeopardy.

Kleeneze dates back to 1923 when founder Harry Crook set up in a broom cupboard in Bristol selling simply brushes.

Currently owned by Dallas-based holding company JRJR Net­­works, it was at one stage linked to Christmas hamper firm Farepak, which collapsed in 2006.

The last accounts filed for Kleeneze show a loss of £3.3million in 2016 on turnover of £21million.

Annette Bott, from the union, said: "This is clearly a difficult and upsetting time for the 140 staff based in Accrington and Heywood.

"We are pressing the administrators to find a buyer for the company who will protect jobs and keep the business going.

"In the meantime we are providing our members with the support, advice and representation they need.”</s>Around 5,000 agents working for catalogue firm Kleeneze face being shown the door after the 95-year-old business collapsed.

And around 140 staff also risk losing their jobs now the firm has ceased trading and been plunged into administration.

Kleeneze sold cleaning products, gifts and homewares through a network of self-employed door-to-door agents.

David Acland, joint administrator at FRP Advisory, said: “Tough trading conditions have resulted in the administration.”

A buyer is being sought for the business but FRP warned that 69 jobs at its HQ in Accrington, Lancs, and 71 at the warehouse in Heywood, 15 miles away, are in jeopardy.

Kleeneze dates back to 1923 when founder Harry Crook set up in a broom cupboard in Bristol selling simply brushes.

Currently owned by Dallas-based holding company JRJR Net­­works, it was at one stage linked to Christmas hamper firm Farepak, which collapsed in 2006.

The last accounts filed for Kleeneze show a loss of £3.3million in 2016 on turnover of £21million.

One agent last night said: “The customer pays for the product when it’s delivered.

“There is no outlay by the agent other than the £20 sign up fee. If the customer doesn’t want the product, the agent sends it back. No money lost.”

Usdaw is seeking talks with FRP. Annette Bott, from the union, said: “This is a difficult time for staff.”
Door-to-door sales firm Kleeneze, which employs around 5,000 people, collapses into administration after 95 years.