Galaxy Models, in administration

I was just going to look at Galaxy models mustang kit when I read this:

Galaxy Models and Hobbies Limited – in Administration

Mark Upton of Ensors Chartered Accountants was appointed as Administrator of the company on 26 June 2012

Please note that any credit card transactions during the Administration period will appear on your statement as ‘Ensors’

In connection with the Administration, we are now seeking offers for the business and assets. If you are interested in purchasing all or any of the stock, fixed assets, intellectual property and/or goodwill, please contact a member of the Ensors Business Recovery Team on 01473 220022.

Sad news, they made some great builders kits at very good prices

That is a shame.

What a shame, looks like there going to be a fire sale.

Andy

Sad to hear. I have purchased a lot from them over the years.

Just goes to show, although UK model prices seem to be high, compared to retail Chinese prices, the margins must be minimal for the retailers in the UK.

I had thought that they had a very strong Internet/postal business and that would be the way of the future. So what hope is there for most LMS?

A great pity.

Yes and they gave good service too - gave me great advice when I sought it about my 2nd hand Scorpion Twin. (Currently undergoing maintenance )

Mark ups in the UK are never much more than 30%. Out of this you've got to pay staff, taxes, rent etc. Worth bearing in mind next time folks think about moaning about prices in the LMS!

It looks as though they are still taking orders then. If next years build was to be fun-fighters I was going for one of their Typhoons.

edit - they are still taking orders either over the phone or on their web site.

Edited By Bob Cotsford on 28/06/2012 16:02:00

That's very sad news - let's hope the administrator finds a buyer for the business.

My local model shop...

I really hope someone decent buys the business, I do not want them to die. I went recently, we were looking for my second plane, they were brilliant and offered me the Domino, which I bought.

Who votes for a Galaxy models kits mass build to help them out?!

CS

Simon

Perhaps we should moan at government and the Local authority though, creating a high tax and overhead trading environment.

Depends if you think wages are too high. That's a large percentage of overheads and I bet most shops pay their staff little over minimum wage.  The only area of taxation I ever have a massive problem with is business rates and it's less to do with the tax and more to do with the application.  The 'rateable value' has little measure other than what some town official thinks.  At least most taxes are based on a percentage that's based in reality!

Edited By Simon B on 28/06/2012 17:22:27

Sad news. I've ordered a fair amount in the past and always found their service excellent.

The minimum wage will not have you living in the lap of luxury.

The LMS, to me closed some years back. The owner sited quite a high rent, this was compounded by very high business rates, additional waste charges for business, water rates for a tap, plus all the standards that you expect such as electricity. Of course then there was NI contributions as a sole trader. The overheads were very impressive. I could not see how any MS could sell enough to even break even.

I had thought that Internet/distance trading could generate the volumes necessary to make a go of it. Seems not.

As other contributors I have used Galaxy and have been satisfied by their service and price.

Agreed on the minimum wage. I work in our local LMS part time and I get this rate. I'd struggle if it was my full time wage, that's for sure.

Galaxy is a corking shop, I just hope we don't lose any of our other great stores in the East.

That's a shame. Galaxy are also one of the last UK Kit manufacturers, of which recently ordered a Magician kit to build later on. The web site is still up and running, but that could change in the new month...

Could Ali buy it out, or at least keep something going?

Its a shame when any company goes out of business more so when it is one with Galaxy Models reputation. I hope it works out for them

Is the actual store still open? They were on Monday, I phoned them up about something.

CS

I was in there a week ago, never knew anything about it. I use them a lot, a quick phone call and the goods are here next day or the day after.