Aussie Disposals, a company that provides camping supplies in Australia, has reportedly collapsed into administration as it suffered losses owing to two calamities in the summer, with the bushfires and coronavirus. The firm is going to be closing about 12 out of the 36 stores that are mainly located in Victoria, NSW and South Australia. The staff had been given the notification regarding the administration recently.
Aussie Disposals have all kinds of products ranging from tents to military fatigues and gold prospecting equipment. It has a total of 36 stores out of which 23 are owned by the company and the other 13 stores are mainly operated by the franchisees. The company also offered products to the scouting groups’ school-aged cadets and even Australian Army Reserves.
The group has been the most lasting retail brand in Australia that was founded in the year 1962 by Jack Purvis. Mark Purvis, son of the founder had bought the business from his father in 1992 along with three of his business partners.
Mark Purvis stated that after the group’s restructuring only about 11 corporate stores will be operating. The company aims to trade throughout this and lower the number of stores which can help it emerge as a smaller group and have a better position as compared to what the group is in now. As an Australian-born business, the company is hoping to continue as a core Australian retailer.
The company essentially runs both the franchisee stores as well as the corporate stores. Sources familiar with the matter informed that the corporate stores will be closing. The franchisee stores had been expected to remain unaffected amid the insolvency on account of the company’s structure.
It employs nearly 120 people, excluding the staff who work at the stores owned by the franchisee. There has been no disclosure about the number of staff that will be losing their jobs due to the corporate store closures.
Source Credit- https://www.smh.com.au/business/companies/aussie-disposals-collapses-under-coronavirus-bushfires-pressure-20200415-p54jyu.htm