In a worrying trend for the Australian business landscape, thousands of companies have vanished over the past year, and experts warn that the situation is poised to deteriorate even further.
Among the casualties is E-Mersion Media, a melbourne-based tech start-up that recently went into liquidation with debts exceeding $12 million. The liquidator’s report reveals that the company has been operating at a loss since its launch.
E-Mersion Media aimed to revolutionize the industry by digitizing traditional print magazines but managed only to secure four sales during its four years of operation, totaling a mere $84,274 in revenue. The business did receive a $200,000 JobKeeper grant to support its staff during the COVID-19 pandemic, but that was the extent of its income from its inception until liquidation in April.
Since 2020, the company accrued losses amounting to $12.6 million, according to the statutory report filed with the Australian Securities and Investments Commission (ASIC). The sole director, John Iliopoulos, was at the helm while the company attracted approximately $12 million in investments from around 50 investors, predominantly everyday Australians—funds they are unlikely to see again.
Mathew…
