South Australian computer manufacturer and support outfit Impel Business Solutions has gone into Voluntary Administration.
A combination of tight margins and ongoing sales problems is believed to have brought about the collapse of the company.
Trading under Impel Computers, the company had operated since 1992, configuring PCs and providing systems support to Adelaide businesses, schools and Federal Government agencies.
It also supplied printers, notebooks, peripherals and network integration. The company was well known for its iCare range of support and hardware integration service.
Voluntary administrator Mark Hall, of Prentice Parbery Barilla, is in the process of conducting a full investigation into the financial affairs of the company. At this stage, creditors are believed to be owed up to $700,000.
"We are conducting a thorough investigation via the company's books and records and speaking to the directors at this stage," said Hall.
"Creditors won't get all their money back, but we certainly hope they will recover some of it. We are having the company's assets independently valued at the moment."
In its heyday, Impel Computers operated from four different SA locations. Its client base included Telstra, RAA Insurance and The Royal Society for the Blind. In 1996, the company expanded its premises to Allenby Gardens and operated an assembly and storage facility in Richmond.
Warning signs of the company's imminent collapse could be seen in July with the departure of much of Impel's sales force. Thirteen staff have been laid off as a result of the collapse.
Hall is expected to release an administrator's report to creditors in around three weeks.