01 Dec Liquidation of retail and hospitality groups
Capability: Insolvency
Industry: Retail and hospitality
Appointment: Liquidation
Overview
Greengate Advisory has acted as liquidator on numerous retail and hospitality engagements, including SES Fashion, Ahinah Homeware and a number of restaurant groups.
Why these businesses fail
Retail and hospitality carry a particular mix of pressures: leases signed in better trading conditions, stock that ties up cash, wages and superannuation that fall due every cycle, and margins thin enough that a quiet quarter shows up immediately. Tax debt often builds quietly alongside them.
What we do as liquidator
- Investigate the company, its affairs, assets and liabilities.
- Assess all possible claims, including voidable transactions and any personal exposure of the directors.
- Deal with stock, plant and fit-out, and with landlords over the leased premises.
- Handle employee entitlements, including claims through the Fair Entitlements Guarantee where it applies.
- Report to creditors, and to ASIC, on what we find.
- Give you and your clients timely advice on how the liquidation is likely to proceed.
Before it gets to liquidation
Liquidation is not always the only option. Where a business is still viable, small business restructuring or voluntary administration may allow it to keep trading and put a proposal to creditors instead. Directors who have received a director penalty notice or an ATO demand should get advice before the deadline passes, because the options narrow quickly.
Talk to us
Our registered liquidators advise directors and their accountants on retail and hospitality insolvencies in Sydney and Brisbane. The first consultation is free and confidential, and we can explain the options in English, Mandarin, Cantonese or Korean. See our creditors’ voluntary liquidation guide for what the process involves.
Outcomes depend on the circumstances of each business.
