SMC forced into Upgrade
Aldershot-based reseller Upgrade Options has bought some of the assets of defunct mail-order dealer SMC Computers.
Aldershot-based reseller Upgrade Options has bought some of the assets of defunct mail-order dealer SMC Computers.
The dealer bought SMC's computer system, intellectual property, trademarks, customer database and the right to use the reseller's website for £20,000. The sale was agreed on Friday.
SMC fell into administrative receivership last month after its factoring company, Eurosales Finance, lost patience with the Slough-based reseller. Poor market conditions, a lack of direction and a failure to downsize, were blamed for the reseller's demise. SMC, valued at £17m with 75 employees, is believed to have left debts of £1.5m.
A representative for Horwath Clark Whitehill & Co, which was appointed receiver by Eurosales Finance, said Senditnow, a company connected to Upgrade Options, had bought the assets.
The representative indicated that more money could be forthcoming from the sale of stock still on the premises, but acknowledged that several retention-of-title claims had been received from distributors who were owed money. Ingram Micro, Datrontech, Ideal Hardware and Northamber are among the suppliers believed to be owed up to £100,000 each.
The representative said SMC's building was not expected to fetch any money because it was a leasehold property. He also confirmed the reseller has ceased trading and its employees have all been laid off.
Upgrade Options said while it would not deal with outstanding credit issues, it will help customers that have outstanding warranty issues and those that wish to continue their accounts.
Glenn Morrison, general manager of Upgrade Options, said: "Parts of the SMC business were market leaders in their field. We see the acquisition of certain elements of this as an outstanding opportunity to enhance our core business model."
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