Tuesday, 19 March 2013

Receivership - coming to a company near you

Recent reports of failed businesses include high-tech Adelaide engineering company Priority ServicesPotato company Mondello Farms and Victorian manufacturer the Starmaid Group.

....Priority Engineering Services had been operating in Elizabeth South since 1984 but a downturn in contracts has led to receivers moving in and staff yesterday being made redundant....Receiver Ferrier Hodgson was already talking to parties interested in leasing or buying the company's 10,000sqm site.
What links all of these together apart from general slowdown and industry specific factors?
...It is no secret that ...manufacturers are facing extremely challenging times...Companies are struggling under a high cost, high wage, high currency environment."
If you are confused about how the high currency and other policies could be causing damage to the economy while being proclaimed as good by the Reserve Bank of Australia, then you are not alone - so are we!  In fact we think the RBA is suffering from short sightedness or only looking through one eye

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