HomeBusinessThe Fall of My Tiny Home Kit: A Cautionary Tale of Insolvency

The Fall of My Tiny Home Kit: A Cautionary Tale of Insolvency

The Rise and Fall of a Dream

My Tiny Home Kit, a Melbourne-based business founded in 2022, aimed to provide affordable tiny homes as a solution to the housing crisis.

However, the company is now under liquidation, with the liquidator, Michael Caspaney of Menzies Advisory, suggesting it may have been trading insolvent for almost a year.

According to Caspaney’s report, the company owes more than $3.4 million to over 130 customers, though further investigations are ongoing.

Unfulfilled Promises and Financial Woes

The report reveals that the company never recorded a profit and generated virtually no revenue. The director, Mr. Porter, declared bankruptcy in June, further complicating the situation for creditors.

empty construction site with abandoned building materials

Many customers, who invested their life savings into purchasing tiny homes, were left devastated as their homes never materialized.

Despite claims from Porter that the business was not intentionally fraudulent, the report indicates that the company’s business model was flawed from the start.

Attempts to manufacture locally after the onset of COVID-19 proved unsustainable, and despite this, the company continued to accept deposits for homes they had little to no prospect of delivering.

Source abc.net

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