Citing pressure from the technology sector's downturn and increased competition from global firms, the independent experienced losses of A$240,000 (US$173,000) last year. It had also struggled with a major debt owed to the Australian Tax Office, prompting it to go into voluntary administration. Staff levels went from 60 to 20.
At the time, reports emerged that it was being bought out by UK-headquartered Lewis Communications Australia. Instead, said Tony Blackie, CEO of the Blackie McDonald Communications Group, the company decided to trade its way out of debt in Australia, with Lewis Communications now planning to buy shares in the company's Singapore office. Over the past four months the restructured consultancy has won significant new business estimated to be worth about A$300,000 (US$216,000) a year in extra revenue.
"While it's still very early days, I believe there has been a definite upswing in the market," said Blackie.