Failed advertising agency GrowthOps had just $318 in the bank and owed more than $48 million as it went into administration, according to an initial investigation.
Documents filed by the liquidators at McGrathNicol to corporate regulator ASIC shows GrowthOps with total assets of $668,240.36 (but a realisable value of just $7,207.20) and estimated liabilities of $48,613,643.28.
Unsecured creditors are claiming an estimated $37 million. Employees are owed about $2.4 million.
Among creditors is the Australian Tax Office at $1.4 million and First Floor Films $11.7 million.
GrowthOps Khemistry, which is in the process of being sold, is reported to be owed $3.6 million.
Andrew Welstead, founder of agency Flip and technology consultancy Antero, is purchasing the Khemistry name and other assets of GrowthOps Khemistry Pty Limited.
Key former staff have also been recruited by Welstead.
Commercial details of the deal with the liquidator are not yet known.
GrowthOps formed in late 2017 as part of an eight-way merger, acquiring AJF Partnerships, 3wks, Digital Moshi, Institute of Executive Coaching and Leadership, jtribe, KDIS, Khemistry and Voodoo Creative.
The company, in the latest fillings to ASIC, reported $72.6 million in revenue in the 12 months to June 2023, down 7.8% from the previous year. The company posted a statutory loss before income tax of $5.2 million.
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