Fairlie clothing retailer in liquidation

Friday, 5 June 2026

A Fairlie-based clothing retailer had been struggling to fund day-to-day operations and pay debts for some time before deciding to voluntarily liquidate the business last week.

Mint Boutique Limited was placed into liquidation on Friday owing an estimated $295,000.

The reasons given for the company failure included a steady decline in sales and the business falling behind in payment terms with a number of trade creditors.

Brenton Hunt, of Christchurch-based Insolvency Matters, was appointed liquidator on Friday and released his first report on Wednesday.

“The company had been struggling with working capital for some time, sales had been steadily declining with the state of the economy,” Hunt’s report says.

“Payment terms had fallen behind with a number of trade creditors.”

As well as the financial pressures faced by the company, the report also says sole director and shareholder Rebecca Kerr made the decision to liquidate the company following the end of a lease and the resignation of the only full time staff member.

The company, which was incorporated in December 2020, ceased trading on Friday and was insolvent.

Mint Boutique Ltd traded from Bobby Square on Fairlie’s Main St, in the same area occupied by the popular Fairlie Bakehouse, and had an online store.

The first liquidator’s report puts the estimated amount owed by the company at $295,000. Of that, $150,000 is owed to a secured creditor, $140,000 to unsecured creditors and staff are owed an estimated $5000 in wages and holiday pay.

Inland Revenue is also listed as a preferential creditor, but the amount owed for GST was still being estimated.

The known unsecured creditors include a list of wholesalers, service providers and customers with deposits.

Also on that list is Fairlie-based retailer Blank Space which is owned by Kerr’s son Benjamin Dobbs.

At the date of liquidation, there were three security interests registered against the company. They were lodged by ANZ Bank and clothing wholesalers Augustine Clothing and Liquid Brands Limited.

The company had shop fittings and inventory with a book value of $5524 and $115,000, respectively. The liquidator put the estimated value to be realised for those assets at $5000 and $60,000, respectively.

The company bank account was in overdraft at the time of liquidation.

He said initial investigations did not indicate an overdrawn shareholder current account.

Secured creditors have 20 working days to notify the liquidator of which power they wish to exercise in relation to any debt. Unsecured creditors have until July 7 to make a claim.

Hunt could not yet give an estimated completion date for the liquidation but said it would most probably be done within 12 months.

“Is is also not possible to provide a definitive statement as to whether sufficient assets will be realised for the purposes of making payment to any class of creditor at this stage but it is looking unlikely.”

The latest data from credit reporting bureau Centrix shows company liquidations remain elevated with a 17% increase year-on-year and closures were up 14%.

The May credit indicator report shows the hospitality industry had the highest increase with 414 liquidations recorded, a 49% increase year-on-year. That was followed by the retail sector with 219 liquidations, which was a year-on-year increase of 37%.