Orizen Tyres Liquidations: Creditors Owed $260K & Future Uncertain

The business associated with former All Blacks star Frank Bunce has entered liquidation, adding to a string of financial difficulties for tyre retail ventures in Recent Zealand. Orizen Tyres Pukekohe, owned by Roy and Elizabeth Rhodin, was recently wrapped up in liquidation on February 24, leaving creditors with losses totaling $139,819.70. This follows the liquidation of the company owning the Orizen Tyres store in Pukekohe, and raises questions about the wider Orizen Tyre network.

Financial Snapshot: Creditors and Claims

Currently, the primary creditor in the liquidation of Bunce’s business is the Inland Revenue Department (IRD), owed a total of $78,276. This figure comprises $64,319 for GST, PAYE, and associated penalties and interest, alongside a further $13,957 under an unsecured claim. Suppliers, including Tyremax and Tyres Direct, are collectively owed $43,500, bringing the total outstanding debt to creditors to $121,776. Tyremax holds a secured claim, giving them priority over other creditors regarding the company’s assets. Liquidators have indicated that it’s currently uncertain whether any dividends will be paid to creditors, or how long the liquidation process will take.

The Thames Store and Bunce’s Current Role

Interestingly, the Orizen Tyres store in Thames was sold to a new owner approximately one month prior to the appointment of liquidators. Bunce himself is reportedly now working at the Pukekohe location, according to both the new owner of the Thames store and an employee at Pukekohe. However, the company that previously operated the Pukekohe store – Orizen Tyres Pukekohe – is the one that recently completed its liquidation process.

Orizen Tyres: A Licensee Model

The Orizen Tyres brand operates under a licensee model, with nine stores located throughout New Zealand. This structure means each store is independently operated, potentially limiting the financial impact of one store’s liquidation on the broader network. However, the repeated instances of liquidation within the Orizen network raise concerns about the overall health of the business model. 70000, all, been, blacks, bunce, bunces, Business, department, frank, great, inland, into, legend, liquidation, more, owing, owned, placed, put, revenue, than, tyre