Firm linked to fashion label closes with debts of €1m

ONE of the main backers of high-profile fashion designer Deborah Veale has gone into liquidation, with the firm believed to owe creditors up to €1 million.

The Irish Examiner has learned that the OTIF clothes store chain went into liquidation late last week due to mounting debts which it is struggling to pay off.

While the designer’s label continues to operate, OTIF — which has been in operation for almost a decade — was forced to make the “unavoidable” decision to cease trading due to the “current economic climate”.

Staff at OTIF were unable to comment when contacted. However, a spokesperson for the designer confirmed that SGS was appointed as liquidator to the firm last Friday due to continuing profit margin difficulties.

At the end of February, the company employed three people, with the main creditors awaiting payment understood to be its two directors.

“OTIF Limited, one of the companies behind designer Deborah Veale, has ceased trading, but the Deborah Veale label is unaffected and will continue to operate,” explained a spokesperson for the designer.

“The closure of OTIF is unavoidably in the current economic climate.

“Over recent years Deborah Veale has expanded her product portfolio from the original fashion clothing collection to include ranges of corporate wear and accessories including footwear and handbags.

“This expansion has resulted in the restructuring of the business to ensure competitiveness in the market and more focused partnerships with her suppliers,” she added.

Over the past decade Deborah Veale has become one of the leading fashion designers in Ireland, being nominated for a Late Late Show designer award and her clothes line has appeared on catwalks across the country.

Last month she was among the top designers at the Irish Examiner Irish Design Fashion Weekend in Kinsale, alongside stalwarts like Richard Lewis, Lainey Keogh, Helen McAlinden and Louise Kennedy.