After 40 years of publication, Australia’s news journal for LGBTI communities, the Star Observer, has entered voluntary administration, with the appointed administrator currently exploring options to save the business.
The publication’s board of directors has appointed Trent McMillen from MaC Insolvency as administrator.
According to Sebastian Rice, Chairman of the Star Observer, “Cash flow is the lifeblood of any small organisation. The Star Observer is an LGBTI community-owned not-for-profit that has always relied on advertising revenue to raise money. We do not receive any government funding.
“The board saw an unexpected slowdown in our advertising clients paying their bills, which caused us to run low on cash in the bank. We needed to enter voluntary administration to protect our creditors and staff, and provide a chance for the Star Observer to survive,” he said.
“I want to thank our very dedicated staff and volunteers, who have put in a huge effort over the last few years.”
Options to save the business include a sale of the business as a going concern and/or proposing a Deed of Company Arrangement to avoid liquidation, and to allow the business to continue to trade and meet its obligations.
Any deed would be formulated and presented to creditors by 10 June 2019. The Administrator is keen to hear from any party or organisation interested in the business and/or preserving the Star Observer as an ongoing news journal.
For further information contact MaC Insolvency at email@example.com