Baby nursery product exporter Cariboo has been placed in voluntary liquidation with debts of about $1.5 million.
The award-winning Rangiora company supplied iconic British luxury store Harrods and US film stars including Jennifer Garner and Ben Affleck, Halle Berry and Jessica Alba.
The Christchurch Press reported that 120 creditors owed just over $1 million were unlikely to receive any dividend based on the information liquidator Murray Allott had at the time of writing the report.
The report, dated November 23, estimated the company had assets of $151,287 which included stock worth just over $71,000.
Cariboo's estimated shortfall was $1.53 million. It had debts to secured creditors of $389,752, to unsecured creditors of just over $1 million, to employees of just over $17,000 and to Inland Revenue of $232,562.
A slump in trade in 2008 left the company struggling to service its bank debt by August this year. Cariboo stopped trading at the end of October so that it could be sold. Since then business had been funded and traded by the proposed buyer.
In 2008, it won the Champion Canterbury supreme award for a small business but like many new businesses Cariboo was frequently strapped for cash.
Its stylish nursery products, Scandinavian-styled cots, bassinets and change tables in radiata pine and nursery accessories, were exported to Australia, the United States, Britain, Norway and Denmark.
Founder Carol McGeady, a former insurance broker who turned her hobby into a business, said yesterday the company had recently been bought by new owners.
McGeady is working for them and said they would have positive news in a month or so.
Idealog has been covering the most interesting people, businesses and issues from the fields of innovation, design, technology and urban development for over 12 years. And we're asking for your support so we can keep telling those stories, inspire more entrepreneurs to start their own businesses and keep pushing New Zealand forward. Give over $5 a month and you will not only be supporting New Zealand innovation, but you’ll also receive a print subscription, an Idealog t-shirt and a copy of the new book by David Downs and Dr. Michelle Dickinson, No. 8 Recharged (while stocks last).