Industry — Hospitality

Fondré

Food Retailer / Franchisee Industry

Please note, names have been changed to maintain client confidentiality

The challenge

Due to light rail construction works in the Sydney CBD around the retailer’s location, the business experienced a significant reduction in revenue, which resulted in large debts with the ATO and its franchisor.

The response 

We were appointed as Voluntary Administrator and progressed to a Deed of Company Arrangement (DOCA), which allowed the business to continue trading through the whole process.

The result

The company went through the DOCA process which resulted in control being returned to the director, who then sold the business without the large debts owing.