Phoenix companies may also take innocent forms, as a high percentage of failed companies or bankruptcies are in the building and construction industry. New companies may be formed after the collapse of a business with the genuine desire to resume trading legally, not as a deliberate business strategy to avoid paying entitlements.
Business owners need to be aware of the financial management and legal requirements of running a business. For advice on starting a business and manage finances visit the Business.gov.au website or contact your relevant Industry Association.