Adelaide-based distributor BMS Technology has entered into voluntary administration after more than three decades in business.
BMS, whose portfolio includes Canon, Intel, Microsoft and Toshiba, sought the services of Adelaide-based Macks Advisory, with Peter Macks and Ian Burford named as the administrators.
The company is headquartered in Adelaide with offices in Melbourne and Perth.
Peter Macks blamed the insolvency on the effects of competition in the local market. “They’re definitely feeling the effects of the current economic climate in South Australia.”
Macks Advisory was appointed on 9 October and has ceased taking orders. Emails and phone calls to BMS get an automated response with the following message:
It is with regret, after 30 years the directors of BMS Technology have made the decision to close the business. The company is now in the hands of the administrator and we can no longer fulfil orders.
Most of the company’s employees have been let go, with a few retained to assist with asset realisation and managing the remaining stocks and active orders, Macks said.
He said there remained a lot of unsold stock in the company's warehouses.
“There has been initial interest from potential buyers for BMS,” Peter Macks told CRN. “We will continue our discussions with them moving forward.”
The company was headed by husband and wife team John and Beverley Reid, who served as managing director and company secretary, respectively.
The leadership team also includes general manager Anthony Szabo, account manager Matthew McCallum and service manager Simon Glassenbury, all long-time employees of BMS.
BMS started expanding in 2012 when it opened an office and warehouse in Perth, and later expanded to Melbourne in 2016.
The Adelaide channel has felt the force of industry consolidation.
In 2016, another Adelaide-based distributor, PCRange, also fell into voluntary liquidation after 16 years in business.
That same year, Adelaide-based Leader Computers bought the assets of failed distributor Altech Computers.
Leader chairman Paul Kristoris told CRN his company was looking into hiring some of BMS' former staff.