Its not unusual for channel companies to collapse, especially when that business finds itself unable to meet its obligations to creditors.
Its also not entirely unusual to see other businesses springing up to take their place.
Where things start to get odd however is when those new businesses are eerily similar to the ones they are replacing, using similar assets and often being run by the same directors. Almost identical businesses, but with one key difference the successor is unencumbered by the debt burden or other liabilities that sent its predecessor to the wall.
There is a special and appropriate name for a business that rises from the ashes of its predecessor a phoenix business. And it is a practi…
Read the full article at: https://www.crn.com.au/news/it-part-of-rife-illegal-phoenixing-in-australia-465590