Betterware

Background

In August 2023, we were retained to market the intellectual property assets of Stanley House Distribution Limited (In Liquidation) (the “Company”), namely a portfolio of UK-registered trade marks covering the “Betterware” brand name, on behalf of the Joint Liquidators of the Company, Arvindar Jit Singh and Paul Atkinson of FRP Advisory LLP.

Founded in the 1920s, Betterware has been a prominent name in the home products and direct sales industry for over a century, specialising in distributing innovative household cleaning, organising, and personal care items. Betterware started as a door-to-door retailer of brushes and homeware products in the UK. The brand evolved over the decades, adapting to technological advancements and expanding its product range to include various household and wellness products. By the late 20th century, Betterware became synonymous with direct-to-consumer sales, leveraging a vast network of distributors to reach customers directly in their homes.

Upon the Joint Liquidators’ appointment, they learned that the Company held three trade marks relating to the Betterware brand name. In line with their duties to seek recovery from a sale of the assets for the benefit of the Company’s creditors, the Joint Liquidators retained Hilco to market the trade marks.

Our Role

Initially, Hilco prepared a valuation of the Betterware trade marks to facilitate the Joint Liquidators’ decision-making regarding the Company’s Liquidation. However, testing the market is one of the best ways to value these unique assets. As such, we recommended a comprehensive disposal strategy for the trade marks in order to maximise the realisable value of the assets for the Joint Liquidators.

The Assets

The Company’s intellectual property portfolio comprised three UK-registered trade marks protecting the Betterware brand name.

Process & Outcome

Our process consisted of mass-market deployment to a bespoke and sizeable database of potential acquirers, conducting targeted market research and leveraging our vast international database of potential purchasers, ensuring maximum visibility for the assets in the relevant market. We also broadcast the opportunity to a mass audience using our popular opportunities websites and social media channels.

To complement our in-house efforts, we also highlighted the opportunity through various media outlets, shining a light on the opportunity beyond our direct reach.

Our comprehensive disposal strategy for the Betterware trade marks attracted the interest of a significant number of potential suitors for the assets, including big-name retailers and small-to-midsize outlets seeking to bolster their market recognition with a strategic acquisition.

Following a competitive bidding process, during which several viable offers were received, we were pleased to facilitate a six-figure sale of the assets, resulting in a strong return for the Company’s creditors.

Observations and Take-Aways

The successful sale of the Betterware trade marks showcases Hilco’s expertise in unlocking and enhancing the value of assets that are often overlooked.

We understand the complexities of selling trade marks as isolated assets and leverage this knowledge to extract significant value from their sale.

Trade marks represent not just a name or logo but also encapsulate customer loyalty and brand recognition built over decades. The sale of the Betterware trade marks highlights our ability to recognise the inherent value of such assets and to meticulously promote and market them to maximise their attractiveness to potential buyers.

Valuing trade marks requires specific market knowledge to evaluate their worth accurately. Our approach to marketing these unique assets combines deep industry insight with a global outreach strategy, enabling us to connect with the right buyers, regardless of location. Our global reach and strategic marketing techniques ensure that every asset we handle is presented in the best possible light, making them highly desirable to potential purchasers.

Our success with the sale of the Betterware trade marks is a testament to Hilco’s broad expertise in handling big-name brands, extracting substantial value from intellectual property, navigating the complexities of intellectual property transactions, and delivering outstanding results. In addition to finding potential buyers, we know how best to engage with them, ensuring that every sale realises its full potential value and demonstrating why Hilco is a leader in asset disposition and value recovery.

“Thanks to the hard work of Hilco Streambank, the Joint Liquidators were able to secure great value from a brand associated with the, somewhat diminishing, cataloguing industry. It speaks to their large market reach and network of potential purchasers, which ultimately saw the revival of the well-known household product supplier. We were delighted to see the drive from Hilco to achieve the best value from the brand, taking full control of the marketing and the negotiation of the asset.” – Akshay Sharma, for and on behalf of Arvindar Jit Singh, Joint Liquidator of the Company