Gemma Collins determined to continue with fashion label
Gemma Collins is determined to keep her clothing line in business despite mounting financial troubles.
Gemma Collins vows to continue with her clothing line despite spiralling debts.
The former 'The Only Way is Essex’ star founded Gemma Collins Clothing Limited in 2013 but the company's future is hanging by a thread due to financial problems.
According to a spokesperson, the 41-year-old star will continue to run her business as long as the company is solvent and it has always been a dream for Gemma to launch her own clothing line.
Publicly obtained records that highlight the reality star’s accounts for the year ending March 31, 2021, indicated the Essex fashion house was in financial difficulty.
They read: " The company had net liabilities of £42,100. Given the above, there is a material uncertainty which may cast significant doubt as to the company's ability to continue as a going concern and it may be unable to discharge its liabilities in the normal course of business.
"However, having regard to the current continued support of the creditors, they continue to adopt the going concern basis in preparing the accounts."
Gemma - who has a net worth of around £3.7 million, thanks to her TV stints on shows like ‘Dancing on Ice’, ‘TOWIE’ and ‘Celebrity Big Brother’, as well as her clothing collaborations with Simply Be and Evans – claimed £30,000 on furlough to pay staff.
The records showed that the company owes creditors £91,558, including £43,333 to businesses and £14,000 in tax to HMRC.
A representative for Gemma told MailOnline: "The business was put on hold after the pandemic to allow Gemma’s dad to recover from Covid. Gemma has more work personally than ever and didn’t have the capacity to run the business on her own, especially in a difficult climate."
"Her business is solvent and has just relaunched. It is a real passion of hers. She will keep it going in spite of having more work with her other projects than ever before."
