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Business Liquidation Services in Australia - Market Research Report (2014-2029)

Danny Martin Danny Martin Melbourne, Australia Last Updated: January 2024 ANZSIC OD5202

Revenue

$348.6m

2024-25

$350.0m

Past 5-Year Growth

Profit

$XX.Xm

Employees

2,701

Businesses

199

Wages

$XXX.Xm

Business Liquidation Services in Australia industry analysis

Business liquidators have had to wait out business support initiatives to return to pre-pandemic activity partially. In recent years, operating conditions have been challenging because of government relief initiatives to combat the COVID-19 pandemic's effects on the economy, supporting businesses across all sectors. The pandemic posed considerable challenges for all industries, with the construction, retail and hospitality sectors particularly suffering under lockdowns and international movement restrictions. Industry revenue is expected to weaken at an annualised rate of 9.6% over the past five years, to total $348.6 million in 2023-24.

Trends and Insights

  • Business liquidators have struggled in recent years as the government fixated on ensuring businesses survived lockdowns. The abundance of resources and leeway given to businesses doing it tough plunged the need for liquidation services.
  • Uncertainty in global and domestic economic conditions and rising input costs have rejuvenated demand for liquidation services. Supply chain disruptions and ongoing inflationary pressured have accelerated business stress.
  • The spread of industry locations is mainly concentrated in major cities like Sydney and Melbourne, aligned with the population distribution. This is because these cities provide access to larger markets, which is beneficial for liquidators.
  • Liquidation firms compete based on reputation, price and their capacity to recoup the highest value from asset liquidation. This competition becomes fierce when dealing with large corporations that have become insolvent.

Access hundreds of analysis and data

  • Market estimates from 2014-2029
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has declined at a CAGR of 9.6 % over the past five years, to reach an estimated $348.6m in 2024.

Trends and Insights

Pandemic relief measures cut industry activity, threatening short-term viability

  • The Federal Government introduced an economic relief package to combat the pandemic's effects on the economy. This changed the debt recovery and bankruptcy system, offering a safety net for individuals and businesses.
  • Additional trends and insights available with purchase
Business Liquidation Services in Australia
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Multiple sectors of the economy, including construction, will face a reckoning

  • Businesses, especially those in sectors like tourism, education and exports, are set to face challenging operating conditions leading to more bankruptcies.

Biggest companies in the Business Liquidation Services in Australia

Company
Market Share (%)
2024
Revenue ($m)
2024
Cor Cordis
14.2
Deloitte Touche Tohmatsu
10.5
KPMG
7.0

To view the market share and analysis for all 8 top companies in this industry, view purchase options.

Products & Services Segmentation

Business Liquidation Services in Australia
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Auctions, Business restructuring and turnaround services and Forensic and litigation support. Auctions is the largest segment of the Business Liquidation Services in Australia.

Trends and Insights

Economic volatility has contributed to demand for liquidation services

  • Liquidation services come in three forms: court-ordered liquidation, creditors' voluntary liquidation (CVL), and members' voluntary liquidation (MVL).
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Industry firms offer liquidation services to businesses. Operators generate revenue as a commission or fixed fee for the services they provide.

What's included in this industry?

AuctionsBusiness restructuring and turnaround servicesForensic and litigation supportDebt advisory servicesLiquidation servicesAdministration services

Companies

Cor CordisDeloitte Touche TohmatsuKPMG

Purchase this report to view all 8 major companies in this industry.

Related Terms

LIQUIDATIONINSOLVENCYADMINISTRATION

Industry Code

ANZSIC 2006

ANZSIC 6932 - Business Liquidation Services in Australia

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Business liquidators have struggled in recent years as the government fixated on ensuring businesses survived lockdowns. The abundance of resources and leeway given to busine...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Uncertainty in global and domestic economic conditions and rising input costs have rejuvenated demand for liquidation services. Supply chain disruptions and ongoing inflation...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The spread of industry locations is mainly concentrated in major cities like Sydney and Melbourne, aligned with the population distribution. This is because these cities prov...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Liquidation firms compete based on reputation, price and their capacity to recoup the highest value from asset liquidation. This competition becomes fierce when dealing with ...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

The industry is highly fragmented. Most liquidators in the industry are small firms or sole proprietors. These firms usually specialise in liquidating particular sectors.

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of Cor Cordis's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Deloitte Touche Tohmatsu's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of KPMG's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 5 additional companies

Detailed analysis

  • Description and key data for Cor Cordis, and factors influencing its performance in the industry
  • Description and key data for Deloitte Touche Tohmatsu, and factors influencing its performance in the industry
  • Description and key data for KPMG, and factors influencing its performance in the industry
  • Description, key data and performance trends for 5 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

ASIC oversees registration for liquidators in Australia under the Corporations Act 2001. Apart from providing proof of relevant education and insolvency experience, these ind...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

A rise in business insolvencies, particularly in the Construction division, has expanded business liquidators’ profitability. This trend can be attributed to input costs risi...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Business Liquidation Services industry in Australia in 2024?

The market size of the Business Liquidation Services industry in Australia is $348.6m in 2024.

How many businesses are there in the Business Liquidation Services in Australia industry in 2024?

There are 199 businesses in the Business Liquidation Services industry in Australia, which has declined at a CAGR of 0.0 % between 2019 and 2024.

Has the Business Liquidation Services industry in Australia grown or declined over the past 5 years?

The market size of the Business Liquidation Services industry in Australia has been declining at a CAGR of 9.6 % between 2019 and 2024.

What is the forecast growth of the Business Liquidation Services industry in Australia over the next 5 years?

Over the next five years, the Business Liquidation Services industry in Australia is expected to grow.

What are the biggest companies in the Business Liquidation Services market in Australia?

The biggest companies operating in the Business Liquidation Services market in Australia are Cor Cordis, Deloitte Touche Tohmatsu and KPMG

What does the Business Liquidation Services in Australia include?

Auctions and Business restructuring and turnaround services are part of the Business Liquidation Services industry.

Which companies have the highest market share in the Business Liquidation Services in Australia?

The company holding the most market share in Australia is Cor Cordis.

How competitive is the Business Liquidation Services industry in Australia?

The level of competition is high and increasing in the Business Liquidation Services industry in Australia.

Related Industries

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Competitors

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View all industries in Australia

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Australia include:

  • Australian Bureau of Statistics
  • Australian Taxation Office
  • Australian Securities & Investments Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.