Victoria Beckham's fashion label sees losses DOUBLE to £8.4million - while husband David's company made £2million A MONTH last year
- Victoria Beckham Limited operated at a loss of £8.5million last year
- Turnover at the £100million clothing brand remained the same as in 2015
- DB Ventures reported a profit of £24.9million after tax in 2016, documents show
- The company handles David Beckham's product endorsement and image rights
Victoria Beckham's fashion label continues to be beset by financial troubles, new figures reveal.
Accounts filed for the luxury label, which sells high-end dresses and acccessories, saw losses almost double to £8.5 million last year - up from £4.3million in 2015.
Meanwhile husband David's company DB Ventures, which handles the former footballer's endorsement deals, reported a profit of £24.9million after tax in 2016. This is the equivalent to roughly £2million a month.
Power couple: David Beckham and Victoria Beckham. Victoria's fashion line saw its losses double to £8.5million last year - while David's company earned £2million a month
High-end: Victoria Beckham's eponymous label is known for its expensive clothes and accessories. Pictured, models on the catwalk at New York Fashion Week in September
Sales at VBL remained stable over the year however losses grew on the back of increased investment in the fashion brand's design, marketing and sales.
Earlier this year the former pop star's fashion business was valued at £100million following a major cash injection from former Goldman Sachs banker David Belhassen, the man behind French-inspired bakery chain Paul.
Mr Belhassen runs Neo Investment Partners which has bought a minority stake in the firm for £30million.
News of her financial woes comes 12 months after it was revealed the star had been formally warned the business – which employs 180 staff - could be closed down after failing to file its accounts on time.
Struggling: Sales at Victoria Beckham remained stable over the year however losses grew on the back of increased investment in the fashion brand's design, marketing and sales
Robert Dodds, a director at Victoria Beckham Limited, identified the company's partnership with Target and its Estee Lauder collaboration as two areas likely to bring the company more growth in 2017.
Writing in the financial statement, he wrote: 'The further announcement of a global license agreement with Reebok will further enhance the future profitability of the business.'
However it was a very different story for DB Ventures. Sales rose from £10.2million in 2015 to £11.2million last year due to income from partnerships with drinks company Diageo, which makes Haig Club whisky, and insurance group AIA Vitality, among others. He also has endorsement deals with Kent and Curwen menswear and Adidas.
Moneymaker: David continues to earn millions through lucrative endorsement deals
David also boasts over 40 million followers on Instagram – more than double that of the mother of his four children – from which he can gain considerable revenue as a social media 'influencer'.
Fortunately for Victoria, she is not dependent on her fashion business to maintain her lifestyle.
She controls a large stake in the main holding company for her and David's business ventures, Beckham Brand Holdings (BBH).
Ownership of the firm is split equally between Victoria, David and Fuller's company XIX Management. BBH contains Victoria's fashion business along with another branch of the couple's complex financial empire, DB Ventures Ltd.
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