The business community is always shocked when a major local business is forced into voluntary liquidation or receivership.
But companies and partnerships are very much like marriages insofar as rarely anyone knows exactly what goes on within the business and, to stretch the analogy, they are a lot easier to start than end.
The concept of Voluntary Liquidation is a good one in theory however I cannot readily recall any ‘patient’ surviving the ‘surgery’ in recent times.
I certainly would like to hear from anyone who disagrees with my views on this subject but, after too many years of attending creditors’ meetings and filling out endless forms substantiating invoices and claims, I am totally disillusioned with this ritual.
What’s more, I have often wondered if there are in fact any statistics to justify the whole process. One thing I am sure of is that the administrators involved always get paid and the fees they extract from the hapless carcass are often ruinous and as far as I can ascertain are never subject to audit or review externally.
Furthermore I suspect that a mechanism which automatically disbursed money to creditors at the outset should be implemented unless the administrators underwrote or guaranteed the entity would survive and pay out more than immediate dissolution.
Is there a lesson here?
Yes, and some may call it harsh … I would prefer the term pragmatic.
But if the people who start and manage a business for decades cannot keep it afloat themselves history unfortunately shows the likelihood of an employee of an accountancy or insolvency practice doing so is remote!
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And now there are three!
YourOnlineCommunity goes live in the Sutherland Shire today and this publication is the first new weekly e-magazine SutherlandShireOnline.
Ian Ryan has been appointed Franchisee for the territory and Dean Longville will look after the journalist’s duties. Both are locals through and through and expect the suite of YOC online products, including the SmartPages Business Directory and the SportsLive website, will be enthusiastically adopted as they have been in both Wollongong and Parramatta.
Red Dwyer joins the team
Well known journalist and business commentator Red Dwyer took over responsibility for ParramattaOnline editorial this week.
A 20-year veteran of Parramatta based publishing, Red brings his distinctive voice and inquisitive mind to bear on issues that confront local business and the wider community.
Red kicked off this week with a profile of yours truly and a new look YOUR COMMUNITY column. | 
