An innovative company that struck a deal with hardware giant Bunnings to stock its products has collapsed following the death of a worker at work last year.
Bardee was ordered into liquidation in May after a Melbourne warehousing company and the Victorian State Revenue Office took the company to court over unpaid debts.
The company launched just five years ago with an eco-friendly plan to use billions of black soldier flies to turn food waste into new products like fertilizer and pet food.
Bardee received $8 million in funding from several high-profile investors, including Who Gives A Crap co-founder Simon Griffiths, Culture Amp co-founder Didier Elzinga and his wife, Greta Bradman.
Despite being awarded a contract with Bunnings a year ago, liquidator Anthony Lane of Beacon Advisory said Bardee owed $500,000 to 24 creditors.
Bardee launched five years ago and received $8 million in funding from several high-profile investors (co-founder Phoebe Gardner pictured)
Bardee, the maker of Superfly (pictured), an eco-friendly fertilizer, went into liquidation in May.
Lane said he believes Bardee’s problems began after an employee was crushed to death by a garbage truck.
The 26-year-old man had gotten out of the truck, but it rolled forward, pinning him against a pole and a wall of the building.
WorkSafe Victoria is still investigating that incident, News.com.au reports.
“I think it appears as if the unfortunate workplace accident they suffered last year damaged their business in a number of ways, and only based on my very preliminary understanding of the company’s history can I say that,” Mr. Lane said.
“It’s probably too early to say definitively what the cause was, it’s rarely isolated; many times, in companies like this, it’s a combination of factors.”
Bardee, which was registered under the company name Beyond AG, laid off 30 full-time employees last year in an attempt to stay afloat.
The lost positions included scientists, biologists, geneticists, operations specialists and circular economy specialists.
It is understood Bardee did not have any outstanding employment rights at the time of his liquidation, but will still be subject to an investigation by the Fair Work Ombudsman.
Bardee’s flagship Superfly was stocked at Bunnings a year ago and Ms Gardner claimed she had “quadrupled” her Superfly stock order “after a week”.
Lane described the collapse of the business as “a sad story all around.”
“At least at first glance, it looks like we have young entrepreneurs trying to make a difference in the world and it hasn’t worked for a variety of reasons,” he said.
‘Unfortunately, the way insolvency works in this country is that people are often ridiculed rather than praised and respected for the work they have done. We don’t have a society that is particularly tolerant of failure, it’s sad for everyone.’
The landlord and the Victorian State Revenue Office are owed the most money, and suppliers and trade creditors are also owed significant amounts.
It is understood Bunnings is owed $700.
Lane is also investigating Beyond AG’s sale of the Bardee brand and its recycling technology to a manufacturer in 2023.
Bardee co-founder Phoebe Gardner told the Australian Financial Review the company had secured funding to pay employee entitlements.
‘Subsequently, delays in third-party insect processing services led to unsustainable operating costs. “We are now working closely with the appointed liquidator to ensure the most favorable outcomes for the remaining creditors,” he stated.
Liquidator Anthony Lane of Beacon Advisory found Bardee owed $500,000 to 24 creditors (pictured: Bardee chief executive Phoebe Gardner and chief technology officer Alex Arnold).
The collapse contrasts grimly with Ms Gardner’s announcement just a year ago in which she claimed Bunnings had “quadrupled” its order for Superfly shares “after one week”.
“Never before has the circular economy of food waste been so available and visible to everyone in Australia,” he wrote on LinkedIn.
‘Food waste dumped at the Bardee facilities is transformed into fertilizer and protein products in seven days, instead of going to landfills. Now you can grow your garden and indoor plants with Superfly sustainable fertilizer from your local Bunnings store.’