One of the UK's longest-standing distributors, Geller Business Machines, has closed its doors following a restructure at parent Consolis Group, ChannelWeb has learnt.
Middlesex-based Geller has been supplying cash registers and electronic point-of-sale (Epos) equipment to the retail and hospitality sectors since 1957 but put up the shutters on 3 July, resulting in the loss of 26 jobs. It worked with about 140 dealers in the UK and Ireland.
The company will undergo a creditors' voluntary liquidation (CVL) on 1 August.
Chief executive Peter Moore said Geller's performance had failed to improve since his firm bought it two years ago, despite substantial investment from Consolis.
"We felt enough was enough," he told ChannelWeb. "The market is very challenging at the moment and we have to focus on the businesses in the group that are doing well. We did not feel the market was going to improve and Geller was not generating enough cash to cover its costs."
In a letter to its dealers, Moore stressed that other companies in the group – including CES Software and Consolis Payments – will continue to trade normally.
However, the fate of Uniwell Systems, whose assets Consolis bought last year, remains unclear. Uniwell specialised in the distribution of the Epos hardware and peripherals of its Japanese parent, with which Moore said Consolis is currently negotiating. The situation is expected to be finalised this week, he said.
According to the letter, Consolis intends to continue with some form of distribution business and also ensure that support and spares will be available for products sold by Geller.
Moore told ChannelWeb: "It is very important that we put together a structure that supports not only the warranty products we have put into the market, but also the historical products that require spare parts. We are working with the manufacturers in Japan and China to facilitate that."
A representative of the liquidators, Elwell Watchorn & Saxton of Nottingham, said the insolvency practitioner is in the process of understanding Geller's finances and that a full report will be delivered to creditors on 1 August.
Mike Pullon, managing director of Epos distributor Varlink, said: "We are, naturally, sad to see such a long-standing and well-respected name disappear. We would welcome the opportunity to work with Consolis in meeting the hardware needs of the resellers that have been buying from Geller."
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