Stax collapse: Embattled activewear brand owed $6.7 million to staff, ATO and suppliers before collapse
Australian activewear brand Stax has entered receivership, revealing $6.7 million in outstanding debts to staff, the Australian Taxation Office, and various suppliers. The company has ceased operations and closed its physical retail locations.
Why it matters
The collapse highlights the financial instability of retail brands and the significant impact on employees and creditors when businesses fail.
shares Share article Collapsed Australian activewear brand Stax owed a total of $6.7 million in unpaid debts to staff, the tax office and suppliers before it was placed into receivership.
The brand’s dire financial health has been laid bare in documents filed to the Australian Securities and Investments Commission (ASIC ), which revealed the company’s list of secured and unsecured creditors.
Don Robertson holds up one of the early versions of his STAX. products in 2015. Instagram
According to ASIC, Stax owes more than $453,000 to staff before its collapse, including $63,556 in superannuation, $89,209 in annual leave and $128,683 in redundancy payments.
Stax also owes other creditors another $6.2 million.
This includes $123,858 to the Australian Tax Office (ATO) in Business Activity Statement (BAS) payments, $500,000 to Google, $328,845 to Meta, and $1.9 million in unpaid fees to Ningbo Mingna Garments.
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