Victoria Beckham bailout stories misrepresent Brand Beckham finances, says firm
Victoria Beckham’s fashion business is reported to have made a loss of £4.6m in the last financial year and to have been bailed out to the tune of almost £6.7m by her husband David. But the bailout is part of the regular comings and goings of money for Brand Beckham, a spokeswoman said.
A press report said the high-end fashion business, which made sales of £36.5m in its last full-year period to have been filed (2015), was kept going last year after David Beckham’s business made the loan.
At the weekend his company, DB Ventures, posted a £44m profit. The accounts said its activity included “a £3m pledge - along with Beckham Brand Holdings Ltd, to secure the banking arrangements of Victoria Beckham Ltd.” It went on to reveal that “at the balance sheet date, the amount owed by Victoria Beckham Limited was £6,671,744.”
But a spokeswoman told the MailOnline that “this misrepresents how their businesses operate.”
She added that there is a private holding company, Beckham Brand Holdings Ltd, owned equally by the couple and by Simon Fuller’s XIX, which oversees all the Beckham businesses. “These businesses may be funded in different ways at any point in time, which may entail a mixture of bank debt, inter-company loans or equity investment.”
The news came shortly after the Daily Mail revealed that Victoria Beckham was recently given a formal notice of compulsory strike-off by Companies House saying her label could potentially be closed after it failed to file its annual accounts on time for the third year running.
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