Allan's/Billy Hyde bankrupt

[Manning]

Just heard on ABC radio - the AMG group (owners of the Allan's/Billy Hyde group) has gone into receivership.

http://www.abc.net.au/news/2012-08-23/a ... ip/4217864

As usual there is the standard "looking at ways to restructure the group" guff from the receivers.

However they are not refunding deposits on placed orders, which is a *bad* sign. I hope no TRockers have lost their money.

[The Tasmanian]

I feel for the Billy Hydes guys - the many great drummers that were staff over the years / the institution /etc
The old Surry Hills crew
Allan's was just another supermarket.
Long live the little smart retailers!!!!!!

[Milo]

Too bad some of the 'little smart retailers' went down with 'em - such as that great Melbourne store Fine Print Music, which was gobbled up and disintegrated by the Monster some years back

Milo

[jkhuri44]

whoa...man, bad. music industry is hurting....

[ChrisW]

Not many little traders left.
In Sydney where else can you find a big selection of drums and drum consumables?
I know there is a decent drum dept at Musos Corner in Newcastle.

Very sad about this bankruptcy. I've had decent service from Hyde's. Is it due to grey imports or the shrinking of the professional industry?

[jkhuri44]

i think the biggest problem is...the concept of shops is seriously being hurt by the online market place....these days, its pretty easy going online, listening to a youtube vid of someone playing something, and just buying it...

yes, i hear you say stores offer service, this this and the other....

[Sammas]

They aren't bankrupt... They are in voluntary administration, which from my understanding of it is much different to being declared bankrupt. It potentially means Gary Hyde can repurchase billy hydes sans debit at the end of the administration process...

There are a number of 'iconic' sydney music businesses that have gone through similar processes yet still are in business today - I know one that their own customers probably didn't even know about.

But yep... It looks bad! Hopefully it continues on in a smaller family business capacity at the end of all this. I don't think Internet trade has anything to do with it. They tried to expand too rapidly. Why the heck does Sydney need 4 billy hydes/Allan's stores in 3km squared in Sydney cbd?!!?

[jkhuri44]

^ thats a good point actually...the parramatta one is huge too...

[The Tasmanian]

Well I hope Billy Hyde's can go back to being a drum shop after all this upheaval

[Drumstruck]

..... Why the heck does Sydney need 4 billy hydes/Allan's stores in 3km squared in Sydney cbd?!!?

To cash in on the lunchtime spending of all those junior executives ;-)

[philly]

"Like"

[Manning]

And it's all over.

http://www.smh.com.au/business/hundreds ... 25sgd.html

I suppose there might possibly be some bargains to be had, but that is the only light in an otherwise grim situation.

[The Tasmanian]

That's terrible news for all the staff. Especially the long term employees (some great staff in Billy Hydes)
Why do these companies try to pretend they are Woolworths or Coles?
It was very obvious to me when they opened these stupid MASSIVE stores that it was a idiot business move.
Anyone who has understanding of this industry could see this was a dumb move. (Venue music??)
Some greedy fools at the top have been driving this business to borrow unrealistically - and they obviously did not understand the music retail market - and the previous failures of others.
All of us have to live within our means.
Sad day for 610 hard working muso's.

In light of this bad news - may all the little retailers prosper well into the future.

[ChrisW]

I couldn't agree with you more Chris.
I dropped by Hyde's in Surry Hills every now and then. A bunch of young, enthusiastic and friendly staff members.
Hopefully they can find fulfilling future employment.

[Chris H]

Someone or a few different operators will fill the void pretty quickly. My bet is Cranbourne Music is one more likely to do so in Melbourne as they have had a very successful business model for a few decades.

[The Tasmanian]

The sadest thing for me is Billy Hydes employed SO many young drummers over the years, let them go off and tour - and supported and encouraged them to be professional musicians, and gave them work whenever they were off tour and needing to work.
This allowed some guys to even get mortgages and have families they could feed and STILL be professional drummers.
Not many employers would be anywhere near as flexible and understanding of their workforce.
This is very sad indeed.
I'm not going to be a vulture when the sale(s) happen

[Sammas]

I thought I'd post a message...

Billy Hydes Stage Systems (backline hire) is still business as usual! I spoke with their Sydney Office today.
They are unaffected by the receivership business as Stage Systems aren't part of the Australian Music Group (owners of Billy Hydes retail).

They did mention being strangely quiet... probably a result of the retail side going down the tube and scaring people away.

[Manning]

I'm not going to be a vulture when the sale(s) happen

Actually, anything you buy will probably benefit the employees the most. They have a 13 mill liability for employee benefits - by far their largest liability (and the one that will get paid first under Aust law).

[rob]

and, there goes your warranties on anything bought in the last 12 months

[NYMo]

Thankfully the warranty is taken care of by the wholesaler.

[Chris H]

Latest news is Allans/Billy Hyde assets etc have been purchased by Con Callin who started Gallin's Guitars a while back and now owns Australian Music Imports. Apparently Allens/ Billy Hyde's major retail outlets will all remain open with previous staff employed etc.

http://www.insideretailing.com.au/IR/IR ... -6841.aspx

[Manning]

Given all that has transpired previously, that is a great bit of news.

[Alistair]

The bullshit going down at Jacksons Rare Guitars is making the Allans closure seem pretty well managed. Scary what some people can get away with.

[jkhuri44]

what BS?

[Sammas]

If you had a guitar on consignment at Jacksons you have to attend the creditors meeting like any other person that is owed money. All stock is being sold to pay off debts... Consignment or otherwise.

Say goodbye to Granddaddy's '62 Strat.

[Wiz]

I read yesterday, that Deloittes (the administrator) had confirmed all consignment stock would be returned to the owners. But, those that had guitars which had been on consignment, and had sold, but the money had not yet reached the seller, would be out of luck.

Its a horrible, horrible story. I spent an hour or so yesterday, reading horror story after horror story on the net, about people dealing with Jacksons over the last couple of years... even if only 1% of those stories were true, it was a poor way for a shop dealing, with that kind of stock and clientele to act.


Why, oh why wouldnt you call the owners and tell them to come and pick up their guitars.

one hopes karma isn't just a nice idea.

[Sammas]

I read yesterday, that Deloittes (the administrator) had confirmed all consignment stock would be returned to the owners. But, those that had guitars which had been on consignment, and had sold, but the money had not yet reached the seller, would be out of luck.

Its a horrible, horrible story. I spent an hour or so yesterday, reading horror story after horror story on the net, about people dealing with Jacksons over the last couple of years... even if only 1% of those stories were true, it was a poor way for a shop dealing, with that kind of stock and clientele to act.


Why, oh why wouldnt you call the owners and tell them to come and pick up their guitars.

one hopes karma isn't just a nice idea.

That is better than I imagined it! Still pretty damn messed up though!

[Alistair]

Having never dealt with Jacksons myself (I play guitar for a living, I sure as shit don't have $20k to spend on a guitar!), I'm not saying this is true, but there are rumours that a lot of guitars were sold, and then the owners were never informed of this. That means no guitar + Jacksons owes you money= join the list of people Jacksons owes to money too. This may have been happening for years. Figures of 5c on the dollar payouts are being thrown around.

There are other rumours going around that I'm not going to reproduce, but suffice to say there's a shitload more to this story to still come out.

[jkhuri44]

LOL @ 20K guitars....

[Chinagraf]

I wish it was a lol, but I know a youngish mid twenties I.T. guy who recently plonked down $15K on a vintage tele, and he's not that good a player..
The clunks and squawks when he plays do sound very vintage though..