It has all ended badly for 600 staff as Australian Music Group announce they will shutdown Allans Billy Hyde stores nationally except the franchised stores.
According to receiver's Ferrier Hodgson the collapse is in part due to the high Australia dollar which has made online purchases an attractive alternative ot going into a retail store. Receiver Brendan Richards told Deal Journal Australia " It has become easier and cheaper to buy specialist music equipment and replacement parts and consumables – like drums skins and guitar strings, etc. – over the internet. It is very hard to compete."
Richards also stated that the Ferrier and Hodsgon will work with the Administrator to enable all employees to make claims for their entitlements through the Government Entitlements and Redundancy Scheme (GEERS) as quickly as possible.
Australian Music Group failed to find a knight in white satin to purchase the business and all stores will close in November. Those in shopfront retail beware, if it can happen to a business that was started in 1850 and survived depressions, recessions and GFC's, it can happen to anyone.
