Adore Beauty suppliers report delayed payments as store expansion continues
Adore Beauty is facing claims from suppliers over delayed payments as it continues expanding its physical stores. One unnamed brand owner says the retailer owes $40,000 and has stopped responding to payment requests, while another says the company blamed delays on an invoice backlog during a switch to a new system. The report says there is no suggestion the company is deliberately avoiding payment.
The claims come as the ASX-listed retailer opens its 16th store and pursues a broader national retail presence. In a June announcement, Adore Beauty said it had increased its Commonwealth Bank facilities from $18.2 million to $25.2 million to support working capital and expansion. The company was valued at about $25 million, and has also had staff redundancies over the past two years.
In short
- Suppliers report delays in payment from Adore Beauty.
- One brand owner claims it is owed $40,000.
- The retailer has lifted available bank funding to $25.2 million.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Suppliers are entitled to timely payment, and a reported $40,000 debt alongside unanswered requests could create real strain for a smaller brand owner. The claims warrant scrutiny because Adore Beauty is continuing to invest in stores while relying on working-capital facilities, and clear communication would help preserve suppliers’ trust.
The case against
The reported delays may reflect an invoice backlog during a new-system transition rather than a decision to withhold payment; the report itself says there is no suggestion of deliberate avoidance. Expansion and increased credit facilities do not establish that suppliers are being deprioritised, and the available accounts do not show whether the disputed invoices have since been resolved.
Explained simply
Adore Beauty is an Australian beauty retailer that sells cosmetics and skincare online and through physical shops. It is listed on the Australian Securities Exchange, meaning its shares are traded publicly.
The company has been growing its store network and has increased its bank facilities, which provide access to funding for business needs such as day-to-day costs and expansion. Suppliers are the businesses that provide the products it sells, so payment delays can affect their own cash flow.
The reported claims concern money some suppliers say they are owed. The report does not suggest the company is deliberately withholding payment; it refers to delays linked by one supplier to an invoice backlog during a system change.
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Originally published by Daily Mail as “Adore Beauty insiders sound the alarm: Suppliers chase unpaid bills, one brand claims it’s owed $40K as the retailer pushes ahead with its aggressive expansion”.