Wrapit have gone bust – Have they or haven’t they ?

Rumours are rife today on the trading position of popular online wedding gift supplier Wrapit.  Most of the popular wedding forums are posting reports from anxious brides who have heard rumours from staff members within Wrapit.

You and Your Wedding Forum – Wrapit have gone bust – Official
Wedding Path Forum – Wrapit have gone Bust
Moneysaving Expert – ‘Wrapit going into adminstration’

A news announcement on the Wrapit website published this afternoon tries to quell the rumours.  It reads as follows :

You may have heard that Wrapit is in Administration. This is not the case. We have encountered some financial difficulties and are working with our advisers and several interested parties to find a solution quickly.

Wrapit apologises to all couples and guests affected, we are doing our best to resolve the situation as soon as possible and believe that there is a realistic chance that we will be able to complete our wedding list orders. However, we won’t know the outcome until the end of next week. In the meantime, our showrooms will be open by appointment only, but we will keep customers updated with regular postings on our website.

For all press enquiries please email

For enquiries please email

 I have to say I would be a little worried myself right now if I had my wedding list with Wrapit as it would appear in the light of the credit crunch they have been having funding issues since the beginning of the year.  If you were considering having your wedding list with Wrapit I would certainly wait until further announcements are made.  I am sure these will be coming thick and fast over the next few days because all the major news channels are latching on to this story this afternoon.  If you already have your wedding list with Wrapit then you may wish to consider contacting guests to withold purchasing any items for the time being.

Have you got a Wedding List registered with Wrapit ?


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  1. Wrapit customers should remember that so long as items between £100 and £30,000 were purchased with a credit card, they should be entitled to a full refund from their credit card company. For the couples with the wedding list, this means that the money will be refunded to their guests – so they will need to find an alternative wedding list service and ask their guests to shop again.

    Fairgift, the fair trade wedding list service, will help any couple move their wedding list at the last minute, plus will send a free mini wedding journal to any existing Wrapit customer who makes the switch. Simply email and set up a new list at www.fairtradegiftlsit.co.uk

    Moreover, Fairgift is a social enterprise that partners with artists & craftspeople across the world to create a wide range of beautiful, original & ethically sourced homeware.

    Fairgift partners with 45 expert & creative fair trade producer groups in Africa, Asia & Latin America – and does this without the heavy overheads of a retail network: just one showroom near Henley-on-Thames and a warehouse in Cornwall.

  2. Matthew says:

    Just a quick note to let everyone know that we have established a website to help WrapIt customers affected by the recent financial trouble at WrapIt.

    Our website is at http://www.wrapitcustomers.com/

  3. jennie procter says:

    Hi, My daughter rebecca had her wedding list with wrap it and, as I write, is in the Maldives on her honeymoon. I am trying not to inform her of the disaster which may be about to happen and just wonder how the company managed to take £90 from my son on his debit card just 3 days before her wedding on 19th July; surely they must have known the situation and its total robbery.

  4. Matt says:

    Wrapit posted a further update on the latest news section of their website last night http://www.wrapit.co.uk/Wrapit.asp remaining a optimistic about a positive resolution to their financial crisis. After the huge press coverage of this calamity surely it is impossible to salvage a viable business after all this.

  5. Dan says:

    From a friend of mine who received this today, went to all wrapit customers with outstanding items.

    This is the email that I hoped I would never have to write – to tell you that we have today asked HSBC (as 1st charge holders) to call in Administrators to Wrapit plc.

    Since HSBC’s decision in May to retain our credit and Visa debit card income, we have fought hard to keep Wrapit in business and find a white knight to provide the necessary funds to enable the company to continue trading and implement its growth strategy. There have been several contenders but each one has fallen away in the face of the failure of HSBC to cooperate financially, or even provide an ongoing credit card processing facility. The last one fell away on Friday and therefore, with heavy hearts, but mindful of our responsibilities with regard to wrongful trading, the Board of Wrapit plc set the insolvency wheels in motion.

    There are two questions that are probably in your mind and which I would like to answer. The first is ‘How did Wrapit get into this situation which has put us through all this worry and potential loss?’ and ‘What happens now?’.

    The short answer to the first question is that when big banks change policies, little companies sometimes get squashed. That is not the intention, it’s just an unfortunate result. The complete answer is, of course, more complicated than that and, for those who are interested, I have added more about this in a postscript below.

    Unfortunately, the answer to the question ‘What happens now?’ is not simple either. HSBC have accepted that they will be responsible for ensuring that all those people who bought gifts through Wrapit using either a credit card or a Visa debit card get a full refund, if they request one. So the only people who will lose out will be those who bought using a Switch/Maestro card or a cheque. These amount to about 20% of purchases. (American Express users will get a refund through AmEx.).

    However, we have been working with our insolvency advisers, KPMG (who will also be the Administrators) and have established that the total cost to HSBC of funding these refunds will be £3.5m, plus a further £0.5 of administrative costs to deal with more than 60,000 refunds and the complications which arise when couples have ordered different gifts to those bought by their guests. A total, therefore, of at least £4.0m. However, to fund Wrapit to deliver every single gift bought to the couple for whom is was intended will only cost HSBC £3.0m.(Including the cost of processing the products and delivering them to you.)

    The Wrapit staff and suppliers are ready to do this. The whole exercise would be mostly complete in three months and it would mean that you would get all of your gifts and your guests would not be put to any inconvenience. As it will also cost HSBC £1.0m less than the refund option, you would think that this would be the obvious way forward. I’m afraid to tell you that HSBC, true to form, don’t agree. (It’s not ‘banking practice’.)

    So, having precipitated the fall of Wrapit, HSBC now have it within their power to minimise the pain caused to 2,000 couples (and, probably, 100,000 of their guests) and ensure that no Wrapit customer loses any money – and, as things stand, they will not take it. The only thing that will get them to change their minds is public pressure. Pepita Diamand and I will try and get the media to put pressure on them and, if you agree that sending the gifts to the the couples for whom they were intended is the only sensible solution, then you might like to do what you can to let HSBC know.

    You can write to Rob Clift at HSBC 165 Fleet St. or email him at . You could copy any email to and but the key to getting them to make the right decision will be getting this ludicrous situation to the attention of someone sufficiently senior at HSBC to be able to say ‘Whatever the banker’s handbook may say, in this situation we need to make the sensible decision.’ The people identified above, who have been involved in the decisions taken to date are clearly more concerned with doing things correctly than with doing the right thing.

    The Administrators will arrive later this morning and, from then on, it is unlikely that I will be able to write to you from a Wrapit email address. If you have any suggestions as to how we can achieve a satisfactory resolution to this very unsatisfactory situation, then you can contact me at .

    I am so sorry for the distress that all this has caused, none of which is any fault of yours. Neither is it the fault of the Wrapit employees, franchises and consultants, who have been dealing with a nightmare situation for many weeks and who have been working with little prospect of pay for the last month. They have been fantastic. Please don’t take it out on them.

    If we can get HSBC to help them get your gifts to you, then we will, at least have made the best of a bad job. We look forward to your help.

    Yours
    Peter Gelardi | Managing Director | E:
    Wrapit plc | Delta Park, Smugglers Way, London, SW18 1EG | www.wrapit.co.uk
    Winner of the Management Today Award for Service Excellence

  6. Trudy Hart says:

    Reading news reports this morning, it seems that the blame for Wrapit’s financial situation is being swiftly shifted to HSBC.

    However, reading back through the numbers, the £1m that HSBC has held of Wrapit’s funds is only a fraction of the money apparently owed to wrapit’s creditors and customers.

    News reports are detailing that Wrapit owes suppliers hundreds of thousands, HSBC £3.5m and taking into consideration that the average gift list is about £2,500 – with 3000 couples p/a that’s another £7,500,000 it might potentially owe to couples.

    Calling for HSBC to release a meagre £1m when there might be upwards of £11m owing isn’t the issue. Wrapit, plain and simple has mis-managed the money intended for newly wed’s gifts. Given that they (allegedly) mark up gift items up to 100%, I believe that blame can’t be put on HSBC and a credit crunch. Someone there needs to take responsibility (hint hint – Peter Geraldi!!!) for what they’ve managed to do to us, our friends and our families.

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