NDIS Criterion
MEDIA, JOBS & RESOURCES FOR THE COMMON GOOD
NEWS  |  Finance

Charity Loses $200,000 in Dick Smith Collapse


Thursday, 7th January 2016 at 5:29 pm
Xavier Smerdon, Journalist
Australia’s oldest and largest service provider in the field of epilepsy has been left with a funding gap of $200,000 following the voluntary administration and receivership of Dick Smith Holdings Limited.

Thursday, 7th January 2016
at 5:29 pm
Xavier Smerdon, Journalist


0 Comments


FREE SOCIAL
SECTOR NEWS

 Print
Charity Loses $200,000 in Dick Smith Collapse
Thursday, 7th January 2016 at 5:29 pm

Australia’s oldest and largest service provider in the field of epilepsy has been left with a funding gap of $200,000 following the voluntary administration and receivership of Dick Smith Holdings Limited.

Epilepsy Action Australia has said it had an agreement to partner with the electronics giant to support it major fundraising activity, Purple Day, which is held on 26 March.

CEO of Epilepsy Action Australia, Carol Ireland, said the funds raised from Purple Day activities from January to April were vital to providing ongoing services, education and support for people living with epilepsy in Australia.

She said Dick Smith was “pivotal” to distributing merchandise for the organisation nationally and their sponsorship would have covered upfront costs, some of which have already been spent.

“In itself, the potential demise of Dick Smith stores is a national tragedy. A sad side effect is that this demise of the Dick Smith Holdings Limited may severely affect the lives of thousands of men, women and children who have epilepsy,” Ireland said.

Ireland said the charity now had no distribution outlets and broken commitments that would have a direct cost of more than $100,000. The organisation is now pleading for public assistance to enable their activities to continue.

“This is a plea for help. Ideally, what we are looking for is a national retailer with a heart of gold that can hopefully step in to save the day,” she said.

“But we would be grateful for any donation, big or small, to lessen the blow – it all makes a difference.

“On behalf of the 800,000 Australians that will experience the unpredictable and often debilitating effect of epilepsy at some point in their lives, we would be eternally grateful to anyone that can assist us in this unfortunate situation.”

Ferrier Hodgson partners James Stewart, Jim Sarantinos and Ryan Eagle were yesterday appointed Receivers and Managers over Dick Smith Holdings and a number of its associated entities.  

The appointment was made by a syndicate of lenders which hold security over the group.

Stewart said it was too early to clearly identify the primary causes of the company’s current financial position and the reasons for its decline other than saying the business had become cash constrained in recent times.

“Dick Smith is one of the best known brands associated with consumer electronics in Australia and New Zealand,” Stewart said.

“We are immediately calling for expressions of interest for a sale of the business as a going concern.”

Dick Smith Holdings operates 393 stores across Australia and New Zealand under four brands, Dick Smith, Electronics powered by Dick Smith, Move and Move by Dick Smith. It has 3,300 employees and annual sales of approximately $1.3 billion.


Xavier Smerdon  |  Journalist |  @XavierSmerdon

Xavier Smerdon is a journalist specialising in the Not for Profit sector. He writes breaking and investigative news articles.

FEATURED SUPPLIERS


HLB Mann Judd is a specialist Accounting and Advisory firm t...

HLB Mann Judd

NGO Recruitment is Australia’s not-for-profit sector recru...

NGO Recruitment

Brennan IT helps not-for-profit (NFP) organisations drive gr...

Brennan IT

...


More Suppliers

Get more stories like this

FREE SOCIAL
SECTOR NEWS

YOU MAY ALSO LIKE

Company Comes to Charity’s Rescue

Xavier Smerdon

Monday, 18th January 2016 at 8:35 am

Dick Smith Grant Winners To Be Revealed

Lina Caneva

Thursday, 12th February 2015 at 9:16 am

Dick Smith distributes part of $1M to charity

Lina Caneva

Tuesday, 19th August 2014 at 9:36 am

Philanthropist Makes Most-Admired List

Staff Reporter

Wednesday, 28th May 2014 at 3:40 pm

POPULAR

Disability Advocacy Group Fights to Restore State Funding

Luke Michael

Thursday, 9th November 2017 at 8:37 am

Red Cross Moves to Wage-Based Fundraising Model

Lina Caneva

Thursday, 16th November 2017 at 8:30 am

New Same-Sex Marriage Bill Looks to Protect Faith-Based Charities

Luke Michael

Monday, 13th November 2017 at 5:25 pm

Donors Looking for a Personalised Experience to Give More – Study

Lina Caneva

Wednesday, 8th November 2017 at 1:43 pm

Write a Reply or Comment

Your email address will not be published. Required fields are marked *


NDIS Criterion
pba inverse logo
Subscribe Twitter Facebook

Get the social sector's most essential news coverage. Delivered free to your inbox every Tuesday and Thursday morning.

You have Successfully Subscribed!