Company behind Sydney grocer Doorstep Organics collapses owing nearly $1m
The company behind a popular Sydney organic grocer has gone into liquidation owing nearly $1m, as angry customers report missing deliveries while new owners promise an imminent return.
The company behind popular Sydney organic grocer Doorstep Organics has collapsed into liquidation owing creditors nearly $1m.
It comes as a flurry of customers have taken to social media claiming that their orders were never delivered or refunded, while the business has since announced it is under new ownership and plans to restart “very soon”.
The Marrickville-based online company is known for delivering a wide range of organic groceries, offering same-day delivery in Sydney, Canberra, Blue Mountains, Newcastle and Wollongong.
The business recently announced on social media that it was under new ownership.
“Your favourite Doorstep Organic is now under new ownership, and we’re thrilled to announce that we’ll be back live very soon,” they said.
“Get ready to enjoy the freshest organic fruits and vegetables, delivered straight to your door – just the way you love it. Stay tuned for our launch – we can’t wait to serve you again!”
The collapsed company, which had liquidator Jamieson Louttit of JLA Insolvency & Advisory appointed on July 25, owes a total of $979,104 to creditors.
This includes partly secured creditors owed $64,909 and 45 unsecured creditors owed $744,720.
Just under $170,000 is owed to over 30 employees, including $31,222 in wages, $38,694 in annual leave and $52,096 in redundancy.
It is not yet known whether creditors will see money back but Mr Louttit said it was “unlikely”.
The liquidator said the directors of the company, Carolyn Savage and Peter Richardson, attributed the failure to poor cash flow from declining sales post-Covid.
He said under capitalisation, poor management of accounts receivable and strategic management of business, and outstanding tax bills, were also to blame for the collapse.
Customers have lashed out online, claiming they have missing deliveries and unanswered refund requests.
“Delivery was supposed to have been yesterday. Money taken, no delivery, no return correspondence from my email enquiry, website down today and phone line constantly busy?” one user wrote.
“Going under for the old owners must have been heartbreaking so I can understand the poor communication – but have a $170 order never fulfilled and never refunded,” another said.
“Would’ve been nice to know what was happening, you guys literally disappeared with no explanation as to what was happening,” wrote another.
The company’s website remains down, and is listed as being owned by Paresh Davaria under the organisation SK & KK.
The business in liquidation, DoorStep Com Au, was registered in 2009 and held the business names Doorstep Organics, Organic Delivery Sydney and Doorstep Digital.
News Corp has attempted to contact Doorstep Organics for comment.
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Originally published as Company behind Sydney grocer Doorstep Organics collapses owing nearly $1m
