Apple reseller shuts doors as capital falls short

A Wellington Apple reseller has closed after just four months, failing to raise the funds required to stay in business.

The Bay store was an Apple premium reseller, the highest of the vendor’s partner certification levels, and was part of the upmarket Lambton Quay retail strip. It opened last November.

The business has attracted 80 percent of required capital, but needs an additional $100,000, says director Grant Bremner. He has closed the shop but hopes to re-open in the same location as soon as sufficient investment is found.

“You could read into this that sales volumes are down as a result of the financial crisis but it’s more the access to capital. The tough business is obtaining capital in this climate where credit markets are squeezed and people are holding onto their cash.”

Bremner says The Bay raised Apple’s profile while it was trading in the capital, and it wants to continue to grow the market for Apple products by reopening. He says there is enough demand for two or more Apple resellers in Wellington.

“There’s no competition with [other Apple retailer] Magnum Mac or any other store. The business case made sense and still does make sense.”

Bremner wants to retain his staff, of which there are fewer than 10. “The staff are one of the greatest assets of the company,” he says, but adds that doubts about the business’ future has led to staff caution: “some are very keen to proceed but some are uncertain.”

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