Zone RV's administrators have revealed what will happen next with the flailing company, the latest in a string of caravan company collapses.
Another Australian caravan company has collapsed into administration - the latest in a string of failures which had already seen five manufacturers fail owing more than $27m to hundreds of devastated customers.
Customer deposits and 250 staff are in limbo after two companies behind a luxury caravan manufacturer went into administration.
Zone Manufacturing - which traded as Zone RV - and Zone RV Holdings went into administration on Monday morning.
A statement from administrators Rahul Goyal, Catherine Margaret Conneely and Stephen Earel of Cor Cordis said the Coolum-based business would continue to trade "in a substantially reduced capacity".
"The appointment was initiated by the director of Zone RV," the statement said.
"The administrators are conducting an urgent review of Zone RV's financial and operational position.
"Their primary objective is to preserve value for all stakeholders, including approximately 250 employees, customers, and suppliers, and to determine the strategic options available for the business moving forward."
Mr Goyal said the company had built a strong reputation.
“Our immediate priority is to assess all viable options that maximise outcomes for all stakeholders while exploring avenues for a sustainable future for the brand," he said.
"Administrators will work closely with the company’s management team, employees, and key stakeholders to stabilise operations and explore restructuring opportunities."
The company has been contacted for comment.
The business’s website and Instagram were still live on Monday afternoon, however its Facebook page had been taken down.
Zone specialised in Australian-made, luxury off-road caravans “incorporating technology from the aeronautical and marine industries to ensure they can navigate even the toughest terrains”.
The business has four main models in its range - some priced upwards of $250,000 - and some online discussion groups said it had a 12-month waiting list for orders.
The company is directed by David Biggar, and has been making luxury caravans since 2015. Mr Biggar's Linkedin page has been taken offline.
As recently as 2022 the business invested $7.5m in a new facility in the Coolum Eco Industrial Park.
Customers and others seeking further information can email zone@corcordis.com.au.
Australia's caravan industry has been rocked by multiple company collapses in the past 18 months, with another five major manufacturers owing more than $27m to hundreds of devastated customers.
It’s not all clear skies and empty highways for Australia’s caravan sector, with many breaking down by the roadside in recent years.
While some brands have been saved by new owners and continued on as normal, millions of dollars has been lost to creditors, with company collapses destroying the dreams of hundreds of customers.
TANGO CARAVANS
Director Sarah Horter was made bankrupt in May this year, after her company Tango Caravans collapsed into liquidation owing more than $3.4m last August.
The dealership and manufacturer left more than 60 customers out of pocket, and without their vans.
Tango was headquartered in Somerton, in Melbourne’s northern suburbs, and produced its own range of vans built by third-party manufacturers.
Its liquidators reported the company had no money to repay its hefty debts to customers, suppliers, and the tax office.
Their report, lodged with corporate regulator ASIC, said despite receiving deposits from 60 customers totalling more than $2m, Tango had not paid manufacturers to start construction.
The company is also under investigation by Consumer Affairs Victoria.
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HIGHLINE CARAVANS
Highline Caravans, which designed and made custom caravans in Campbellfield, went into liquidation in May last year, owing $1.2m to 64 unsecured creditors.
Appointed liquidator Altan Djenab raised concern over what he described as hundreds of thousands of dollars in loans and wages given to its director and his brother Vladimir Vitanov before its collapse.
Customers were still out of pocket more than a year later, with the company still owing $1.24m as of May this year, according to Mr Djenab’s latest report.
INFINITY CAMPERS
Infinity Motorhomes, which also traded as Gold Coast RV Repairs and B & P Compass Campers, went into liquidation in 2023, following a Supreme Court wind-up.
Liquidator Andre Lakomy of Cor Cordis said director Bradley Boakes had not co-operated with his investigations, failed to provide a complete directors report on company affairs (ROCAP) and failed to provide complete company books and records.
Mr Lakomy’s report said Infinity had likely been insolvent since it began and remained that way until it went into liquidation.
The wind-up action was sparked by retiree Trevor Godfredson, who gave his custom built Motorhome to Infinity to sell in August 2020.
Court documents said Mr Godfredson, a widower, was owed more than $100,000.
Mr Boakes was declared bankrupt in March 2024.
BOSS ADVENTURE AND HITCH & GO
Companies Boss Adventure and Hitch & Go collapsed after a dramatic falling out between its founders lead to a court-ordered wind-up.
The company owed $1.5m to trade creditors, as well as $58,000 to staff.
Boss sold Chinese-made off-road caravans and pop-tops, priced from around $50,000 to over $80,000 each, from its head office at Molendinar on the Gold Coast and a showroom at Epping in Melbourne.
The Boss Adventure business was able to continue operating without pause after its assets were purchased fro the liquidator by JVA Corp, whose sole director is Gold Coast resident Vincenza Lee.
That company is jointly held by two other companies directed by Ms Lee, whose registered address is a $9m waterfront mansion shared with Matthew Lee.
PARADISE MOTORHOMES
The retirement dreams of previous Paradise Motorhomes customers were dashed in its devastating $20m collapse in October 2022.
Some were owed as much as $400,000 each for motorhomes they never received when three companies went into administration.
The report confirmed the worst for customers of the failed enterprise – there would be no money left over from the sale of the motorhome business for unsecured creditors.
A report from the liquidator said director Shannon Burford gave himself a massive payrise while the company was struggling financially.
“Based on the company’s management accounts, our calculations suggest the director received an additional $136,527 in remuneration for the 71-week period leading up to our appointment as administrators,” the report said.
Mr Burford’s explanation for the payrise was that it reflected “market rate”; had increased in line with “expansion of the role” and that it was agreed by shareholders.
The joint shareholders of Paradise’s parent company were Mr Burford, 47, and his wife Josephine.
The liquidator found the companies were likely insolvent from at least June 30, 2020, and remained that way until it went into administration.
Fortunately – for staff at least – the business was purchased for $2m by Victoria-based JB Caravans, which allowed it to continue operating.