BlackMilk Clothing, the cult Brisbane fashion brand that built an international following over 17 years, has entered voluntary administration. Founder Linda Lillis announced the move on Wednesday, saying administrators had been appointed to take control of the business and explore its options.
The company continues to trade, with its website open and orders being shipped. Lillis said the voluntary administration gave the business an opportunity to consider its next steps, but that the outcome was now in the hands of the administrators and did not necessarily mean the end of the brand.
Founded by Linda and James Lillis, BlackMilk became a social media phenomenon with pop culture-themed collections that frequently sold out within minutes at the height of its popularity. The brand counted celebrities including Miley Cyrus, Katy Perry and Whoopi Goldberg among its fans.
Lillis said a challenging consumer environment, rising costs and increasingly complex global trading conditions had continued to place pressure on the business. The brand moved the last of its manufacturing overseas this year, announcing the move in a blog post in July. The closure of the Brisbane factory affected 15 members of the production team, chief executive Jackie Kruger said in a blog post at the time.
Analysis
Why This Matters
- The administration of a prominent local manufacturer highlights the difficult trading conditions facing Australian fashion businesses in a challenging retail environment.
- The fate of BlackMilk will be closely watched by its large global fanbase and the broader e-commerce sector.
- The outcome will determine whether the brand and its popular licensed collections continue.
Background
BlackMilk Clothing was founded in Brisbane by Linda and James Lillis 17 years ago. The brand grew from a small operation into an international business known for its pop culture-inspired designs and was one of the few Australian fashion brands to maintain onshore manufacturing. It ended local production earlier this year.
What to Watch
- The administrator's assessment of whether the business can be restructured, sold, or must be wound up.
- The handling of existing orders and ongoing licensed partnerships, including the brand's Marvel collection.
Checked
12 claims in this story checked against 1 source: 12 supported.
Show each claim
- SupportedBlackMilk Clothing has entered voluntary administration.The Age - Latest News: “BlackMilk Clothing has gone into voluntary administration.”
- SupportedBlackMilk continues trading while administrators assess its future.The Age - Latest News: “The company is still trading, with its website open and orders continuing to be shipped. “Voluntary administration gives the business an opportunity to explore what comes next,” Lillis said.”
- SupportedBlackMilk was created in Brisbane 17 years ago and enjoyed global success.The Age - Latest News: “BlackMilk Clothing, a cult favourite fashion brand created 17 years ago in Brisbane that enjoyed global success, has fallen into administration, the company revealed.”
- SupportedLinda Lillis announced the administration move on Wednesday.The Age - Latest News: ““This is not an announcement I ever imagined having to make, and I wanted you to hear it directly from me,” Linda Lillis said in a Facebook post on Wednesday.”
- SupportedAdministrators were appointed to take control of the business and assess options for its future.The Age - Latest News: ““Administrators have been appointed to take control of the business and assess the options for [BlackMilk’s] future.””
- SupportedThe company’s website is open and orders continue to be shipped.The Age - Latest News: “The company is still trading, with its website open and orders continuing to be shipped.”
- SupportedLillis said voluntary administration gives the business an opportunity to explore what comes next, the outcome is in administrators’ hands, and it does not necessarily mean the brand will end.The Age - Latest News: ““Voluntary administration gives the business an opportunity to explore what comes next,” Lillis said. “We don’t yet know what the outcome of that process will be, and I don’t want to make promises about something that is now in the hands of the administrators.””
- SupportedBlackMilk was established by Linda and James Lillis.The Age - Latest News: “The brand was established by Linda and James Lillis who built the company into a social media phenomenon boasting celebrity fans such as Miley Cyrus, Katy Perry and Whoopi Goldberg.”
- SupportedAt the height of its popularity, BlackMilk’s pop-culture-themed collections sold out within minutes.The Age - Latest News: “At the height of its popularity, the brand’s pop culture themed collections would sell out within minutes.”
- SupportedLillis said a challenging consumer environment, rising costs and increasingly complex global trading conditions continued to pressure the business.The Age - Latest News: ““The combination of a challenging consumer environment, rising costs and increasingly complex global trading conditions has continued to place pressure on the business,” she said.”
- SupportedBlackMilk moved its last manufacturing overseas this year and announced the move in a July blog post.The Age - Latest News: “BlackMilk moved the last of its manufacturing overseas this year, announcing the move in a blog post in July.”
- SupportedThe Brisbane factory closure affected 15 production-team members, according to chief executive Jackie Kruger’s blog post at the time.The Age - Latest News: “The closure of the Brisbane factory affected 15 members of the production team, chief executive Jackie Kruger said in a blog post at the time.”