Business set up by Dragon’s Den star enters liquidation as dozens of jobs lost

The company's brand name will remain as the trading arm enters liquidation

It was announced at the end of last week that the company Sara Davies set up while she was at University, Crafter's Companion, was entering liquidation, as reported by Chronicle Live.

The move affects the trading arm of the company, with the brand name and website not part of the liquidation, as per Business Matters.

Sara Davies. Image: Getty.

This follows news from last week that the business would be merging with Gemporia, the company's biggest customer.

This rescue package has led to the liquidation of the company's trading arm, since the brand name is owned separately.

This will see the loss of 16 jobs at Crafter's Companion's single store as well as 42 jobs at its office in Newton Aycliffe.

Davies said in a statement: “The agreement with Gemporia means that Crafter’s Companion will continue to operate and our loyal customers can continue to be part of our community.

"It’s no secret that I have a strong emotional attachment to the brand which I founded when I was still a student and I am pleased that it will still exist and that I will still be involved in the brand’s future after a couple of turbulent years.”

She added: “Losing staff who have worked so hard for the business is a terrible thing on a personal level, but we really had no choice.

"I met the staff individually to explain that this was the only realistic way to rescue the business.

"Once the merger with Gemporia is completed, our hope is to establish an office in the North East and that the business will continue to be closely associated with the region that I call home.”

Davies stepped away from Dragon's Den last year after six years on the show to focus on her business Crafter's Companion.