Geelong building solutions owes hundreds of thousands to creditors, liquidator appointed

A construction company that has built more than 150 homes in the Geelong region has entered liquidation.

Aaron Anstis, the director of Geelong Building Solutions. Picture: Supplied

A construction company in Ocean Grove focused on building new residential homes has entered liquidation owing nearly $900,000 to creditors.

Geelong Building Solutions appointed liquidator Scott Andersen from Worrells on August 21, 2024.

According to the Australian Securities and Investments Commission (ASIC) the list of known creditors is valued at $881,518.

The majority of the finances are owed to Shift Financial ($300,000), National Australia Bank Limited ($250,000) and Prospa Advance Pty Limited ($143,000).

Aaron Anstis, the director of Geelong Building Solutions, said the business had experienced financial difficulties over the past few years.

According to ASIC documents, the company was first registered in May 2015 and Mr Anstis estimated the company built around 150 to 200 homes.

“Around the end of 2020 and into 2021 with Covid and the fixed price contracts and costs skyrocketing, we got into some financial difficulty and then borrowed money to try and get us through that period of time,” Mr Anstis said.

“It just got to the point where with the economic downturn and not as much construction happening, we just didn’t have the new builds to continue with cash flow and an income to repay the debts for the banks.

“We got to a point where we managed to get the last of my clients’ homes completed and that was pretty much where we had no new builds for our income to cover our loan repayments.”

Mr Anstis said the company never really got to a point where it was trading insolvent because he was borrowing money and putting his own assets up for collateral to be able to fund paying trades and suppliers.

“There was a very minimal amount that was outstanding to suppliers and no money outstanding to trades at the end.

“It was really only in the last four to six weeks, that’s when I had to look at liquidation or administration.

“I do take some pride in the fact that I was able to get all of my clients into their homes even though that’s been a detriment to my own personal wealth.”

Originally published as Geelong building solutions owes hundreds of thousands to creditors, liquidator appointed