Staff, clients in limbo as caravan manufacturer Zone RV collapses into voluntary administration
A luxury caravan business has collapsed into voluntary administration, putting at risk the money and dreams of hundreds of customers and staff just weeks before Christmas.
Zone Manufacturing Pty, trading as Zone RV in Coolum Beach on the Sunshine Coast, is one of Queensland’s largest RV manufacturers.
WATCH THE VIDEO ABOVE: Luxury caravan business goes into voluntary administration.
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By continuing you agree to our Terms and Privacy Policy.Rahul Goyal, Catherine Margaret Conneely and Stephen Earel of Cor Cordis have been appointed administrators, according to a notice published by ASIC.
A first meeting of creditors will be held on December 10.
“(The administrators’) primary objective is to preserve value for all stakeholders, including about 250 employees, customers, and suppliers, and to determine the strategic options available for the business moving forward,” a Cor Cordis spokeswoman said, reported the Courier Mail.
“Zone RV will continue to trade in a substantially reduced capacity.”
Zone’s 250 staff were told the unsettling news on Monday, just weeks before Christmas.
One customer said he had paid the owed balance on his $194,000 caravan just hours before the gates were locked.
“Well it’s a life savings. I’m 75, I can’t get that money back. I can’t go out and earn it,” Ray Barbison told 7NEWS.
“(I) was going to tour around Australia in it and that sort of thing.”
Robert Cooper, a supplier, said he recently spent $500,000 on equipment specifically for his contract with them.
“It’s a massive downfall for my business,” Cooper said.
Others shared their story on social media.
“I almost paid a deposit... really sad for people,” one comment said.
Another claimed: “the writing has been on the wall for months.”
Today’s shutdown comes amid a series of struggles for others in the industry, including Infinity Motorhomes in Coomera on the Gold Coast, Tango Caravans in Victoria and Boss Adventure in Molendinar, Gold Coast.
7NEWS has sought comment from Zone RV, with no response.
Originally published on 7NEWS
