Barbara Bui files for protection with the Commercial Court to ensure its continuity

At a time when the company is growing, Barbara Bui has chosen to place itself under the protection of the Paris Commercial Court. The aim is “to obtain the time and resources needed to restructure its debt and continue its business,” it explains in a press release. Founded in 1987 by the eponymous designer and her CEO William Halimi, the French women’s ready-to-wear brand, known for its leather clothing and rock-style denim, is facing cash-flow problems like other labels. Listed on the stock exchange since 1998, the Paris-based company has been looking for financial partners for several months.

 
“Following the company’s request, the Paris Commercial Court decided, by judgment dated July 4 2024, to open receivership proceedings in favour of Barbara Bui SA. The aim of these proceedings is to evaluate all possible solutions to ensure the continuity of the business and maintain jobs, as part of a recovery plan,” explains the company, which has maintained its independence from the outset. It is 65% owned by Barbara Bui, William Halimi and the family business, with the remaining 35% made up of floating capital.
 
By 2023, the label’s sales have risen to €12 million, up 10% on 2022. In the first six months of the year, sales in Barbara Bui’s own shops rose by 13%, while online sales were up by between 8% and 10%.
 
“We didn’t take this decision because of a drop in sales or because there were too many boutiques. But, paradoxically, because we are growing,” says CEO William Halimi. “Growth has to be financed. Buying raw materials, paying suppliers and production all require cash flow, especially without a banking partner. It’s complicated,” he explained, pointing out that “the company is not overdrawn and has been operating for three years without bank assistance.”
 
The court granted Barbara Bui a six-month observation period, until 4 January 2025. “This will allow us to work on a continuation plan, with or without a partner. Our aim is to emerge from these proceedings as quickly as possible. Over the past 40 years, we’ve come up against a lot of difficult times. We’ve been through every crisis, from subprime to Covid. But today’s crisis is not a crisis,” stresses the CEO.

Barbara Bui employs 58 people 

 
“Since the pandemic, we’ve recovered. We haven’t yet reached break-even point, but we’re getting there. We’ve already produced the order books for Summer 2025, which will be delivered between July and September. We will be presenting a ceremonial capsule in September and Barbara is already working on the autumn-winter 2025/26 collection. We’re making progress and we’re continuing. We are confident,” he concludes.

The press release states that “partners and suppliers who continue to do business with the company during the receivership period will be paid immediately for future services and deliveries. The company undertakes to present a plan as favourable as possible to its creditors within the shortest possible timeframe provided for by law.”
 
Barbara Bui can count on its three Paris boutiques, on avenue Montaigne, rue de Grenelle and rue des Saints-Pères, where sales are steadily increasing. It is also distributed through some 140 multi-brand retailers around the world. After France, its main market, it is sold mainly in Europe and the United States. In addition to its history and expertise, the company is also, and above all, driven by the commitment of a loyal customer base and a close-knit team of 58 people.