Vancouver-based apparel brand Oak + Fort recently gained creditor protection. Now, especially with the pressure of continued U.S. tariffs and persistent inflation on costs, they’re hurting more than ever. The Canadian luxury label started as an online-only boutique in 2010. Since then, the concept has grown tremendously and currently has 42 locations throughout Canada and the United States.
Oak + Fort specializes in womenswear, menswear, accessories, jewelry, and home goods. Its growth strategy included the opening of 26 new stores in the last four years, which, while expanding its physical presence, has reportedly led to a diminished investment in its e-commerce platforms. This transition has been difficult as the retail environment becomes more skewed towards e-commerce.
The latter is important for context, as the company has pointed to the imposition of U.S. tariffs as a key driver of its current financial distress. These tariffs have increased costs on finalized imported goods. Therefore, Oak + Fort needs to ensure its pricing strategy is consistent across its wide array of products. This has left the brand with increased competition and pressure to ensure profitability.
As a result of these challenges, Oak + Fort has acted decisively and proactively by applying for creditor protection. This legal status provides the company time and protection to restructure its debts and operations, all while continuing to operate every one of its stores. The aim is to stabilize the business and refocus on its core offerings, including its well-received apparel and home goods.
Despite these hurdles, Oak + Fort remains committed to its expansion goals and aims to revitalize its e-commerce platform, recognizing its importance in today’s retail environment. The company’s leadership has emphasized a strategic approach to navigate these turbulent times, ensuring that it can continue serving its customer base effectively.
