Two construction companies are in bankruptcy, with $4.5 million in debt, and the list of creditors is likely to grow.
Gold Coast-based PPS Qld and PPS Commercial were ordered to close on Monday, leaving several projects still incomplete.
It is the latest in a string of construction companies being forced to close down in Australia.
PPS Qld is believed to owe creditors $1.8 million, while PPS Commercial is owed $2.7 million.
McLeods Accounting has been appointed as liquidator.
Liquidator Nick Keramos told the Gold Coast Bulletin the figures were likely to change as new creditors came on board.
“Most of the creditors we know about at the moment are suppliers, subcontractors and employees,” he said.
The main reason given by the directors of both companies was the unfavourable trading conditions in the construction industry.
He said PPS had stopped trading before the liquidation process but that there were still several projects that were not completed.
He said most creditors are suppliers, subcontractors and employees.
Construction businesses across the country have seen bankruptcies hit a record high over the past two years.
Rising costs, prices and interest rates are among the causes of such damage.
Thousands of construction projects and Australian dreams hit amid turmoil
ASIC data shows 2,832 insolvency appointments were made in the construction industry in the past 12 months.
