SV Partners
are a major liquidation firm, recently asked to look after the interests of
Australian luxury handbag chains Victoria Station and Kate Hill, have warned that
almost 1600 Australian retail businesses are at risk of imminent collapse,
including 21 major retailers with $50m+ turnovers and one with $1b turnover.
Challenges
for retailers include-
-
High
rents in capital cities.
-
Increased
competition from online.
-
High
labour costs.
-
Amazon’s
entry into the Australian market.
-
Weak
wages growth.
-
High
property prices.
-
Household
expenses including power.
SV Partners
draw their data from a variety of commercially sourced records which indicate
those businesses showing vulnerability to loan and debt repayments, cash flow
problems, and other adverse financial conditions.
See the full
article from Inside Retail here - https://www.insideretail.com.au/blog/2017/08/22/major-retailers-on-the-brink/