What has happened so far
Tagara Builders Pty Ltd was up until late June this year a large construction company based in Glynde, South Australia employing nearly 50 people and $70 million of projects under construction. But the company has now fallen into liquidation and early reports have started to indicate the scale of damage which has resulted from this event.
Here are some of key points from these early reports
- There are more than 700 businesses listed as creditors.
- Early creditor reactions seem to suggest that they’ll be lucky to even get 10 cents on the dollar.
- Some of largest creditors are owed money to the tune of $875,000.00, $727,348.44 and $644,973.74.
- Considering the the fact that the company chose to go into liquidation rather than administration, the likeliness of creditors receiving any money at all is very remote.
- The company directors are deeply saddened by this event and will try and get the most they can for their creditors.
The bigger they are, the harder they fall
And while you’re reading this article it’s important to remember that even though these are just numbers, real people and their families are affected. And as the saying goes, “The bigger they are, the harder they fall”. And in this case, the fall will be hard. Hard working and honest men and women along with their families for no fault of their own will be made to bear the brunt of this collapse. All we can hope for now is that the liquidation in some miraculous way, turns in their favour.
Hard working and honest men and women along with their families for no fault of their own will be made to bear the brunt of this collapse.
But then there are ways this can be avoided. Luck can never be guaranteed to always be on your side. What’s needed is a way to make your own luck. A guaranteed way to ensure that if a business engages in work with another business, the funds owed are secured so that once work is finished, they are released and paid immediately. This is exactly what we at CheckVault have developed. We want to avoid future Tagara incidents which put businesses and their families in tough financial situations. Our aim is to make the industry safer when it comes to payments.
Our product is currently being used by over 400 businesses mostly in New South Wales, and not just in the construction industry but across other professional services like accounting. Their stories are available on our website.
But coming back to what’s happening in South Australia with Tagara Builders, we sincerely hope that the liquidation comes through with good results for the businesses affected.