Originally founded in 2002 as a homewares designer and importer, Rhubarb Enterprises began selling children’s clothing and products in 2008 from its first retail store in Doncaster in Melbourne’s eastern suburbs. Within 4 years there were six Rhubarb stores operating across Melbourne, Sydney and Brisbane.
However,after facing a rough financial battle for the last 12 months the company, as well as related companies Rhubarb Investments and Rhubarb Retail, entered into voluntary administration in March 2015.
Voluntary administration is an appropriate option for a business that is insolvent (or is likely to become insolvent) and would like to attempt to restructure or settle its debts whilst continuing to trade. Many successful company restructures have been achieved through a voluntary administration however, like Rhubarb Enterprises, many may make the decision to close up shop after entering into voluntary administration.
Rhubarb Enterprises has been suffering from uncontrollable levels of accumulated debt owing to a number of creditors, including the National Australia Bank,as well as landlords of the retail outlets, employee entitlements and other utilities associated with operating the business. The business is said to be trying to raise funds to repay some of the money owed to creditors by holding a clearance sale of Rhubarb products, with all items on the Rhubarb website currently listed as on sale for $15 or below.
If your business’ finances have seen better days, seek professional financial assistance before it is too late. Give Insolvency Services Australia a call today on 1800 003 883. We operate a toll-free 24/7 hotline and are available to provide you with impartial advice at any time that suits you.