Australians are spending less,and the government has ruled out cash injections in Tuesday’s federal budget. Small business is caught in the middle.
Spiralling costs,high interest rates and lower spending are driving more businesses into insolvency.
Lawyers told the Federal Court that Bonza’s aircraft leases had been terminated last week,while emails confirm its backers knew in March of a plot to shut it down.
Bonza administrator Hall Chadwick says early discussions with the owners of the airline’s grounded fleet will continue into next week,with all flights cancelled before then.
Administrators Hall Chadwick confirmed late on Wednesday that the airline was not currently positioned to issue refunds after it entered administration on Tuesday.
Bonza airlines was tipped into voluntary administration. But its problems are just part of wider questions being asked about the financial health of its backer,US investment firm 777 Partners.
The airline’s boss Tim Jordan confirmed all Bonza flights have been grounded ahead of the company’s voluntary administration filing.
Grounded planes,stranded passengers:Bonza looks like the latest casualty to join the Australian aviation graveyard.
Large corporations,including supermarkets,have become more resilient,but smaller retailers are facing greater risk of failure as the consumer spending crunch drags on.
The architects behind some of Melbourne’s most prominent buildings,including the curvaceous Beyonce-inspired Premier Tower,say the Lacrosse tower fire in Docklands sent them broke.
Australia’s 2.5 million small businesses are collapsing at a rapid rate – and there are many who say the government is adding to red tape rather than reducing it.