HSBC merchant services doesn’t have much luck when it comes to merchants. With the possible exception of consumer favorite Best Buy Stores Inc., HSBC merchants come and go. For a while it got so bad that if a merchant signed a contract with HSBC Merchant Services many wondered about their financial future.
There are choices, and better choices than a former predatory lender.
This time the bankrupt merchant is Gottschalks. The case is In re: Gottschalks Inc, U.S. Bankruptcy Court, District of Delaware, No. 09-10157.
Fresno, California-based Gottschalks, a regional department store chain, filed for bankruptcy protection in January 2009 after a failed deal with Everbright Development Overseas Ltd to invest up to $30 million in exchange for a stake in the company.
Gottschalks renewed their merchant agreement with HSBC in 2007.
Company officials have been holding after-hours conference calls on March 27, 2009 with the Shandong Commercial Group General Corp. in an effort to save the retailer. Shandong is a Chinese government-controlled conglomerate.
Interesting as a side note, is that HSBC is the Hong Kong Shanghai Bank Corp., now based in London.
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