JJB Sports: why you should spend your vouchers now



Customers holding JJB (LSE: JJB.L - news) sports vouchers and gift cards, or who have unwanted goods that they wish to return, are being urged to do so as soon as possible after the chain said it was in the process of appointing administrators.

All of the stores, which sell sports clothing and equipment, are currently open and continuing to take gift cards and vouchers as per usual, a spokesman said. However, owing to the business's financial difficulties, no more gift cards will be issued, and it is expected that the stores will stop accepting the cards when the company is officially in administration.

According to the Office of Fair Trading, the administrator can choose whether or not to continue to accept the vouchers. However, many companies that have recently gone into administration, including Peacocks and Game, have stopped accepting the cards.

It is expected that JJB's stores and other assets will be sold to a third party in what is called a "pre-pack" administration. This means that, although the assets, brand and trade of the business are sold on, the business itself goes into administration. The new owner does not have to accept gift cards or vouchers or process refunds and exchanges.

Sources close to the company said the appointment of administrators was expected to take place toward the end of this week. With this in mind, customers should spend gift cards now, one source said.

If you want to buy products at JJB, you should also be clear that once the sports business goes into administration it is not clear what will happen to online orders. JJB says that any orders made before an administrator is appointed will be processed.