A major Brisbane renovation company has gone bust, leaving 35 projects unfinished and owing millions to creditors across the country.
Paul James Galvin, owner of Brisbane-based AQWA Constructions, filed for bankruptcy on April 25, owing $2.8 million to more than 100 creditors across Australia.
The company was founded in 2002 with the promise of becoming a ‘one-stop-shop’ for Brisbane homeowners looking to improve their homes.
Bill Cotter of Robson Cotter Insolvency, appointed administrator for the estate, concluded that the companies had failed due to excessive borrowing and legal proceedings.
“It is clear that the construction businesses operated by the bankrupt grew very rapidly over several years during and after the Covid-19 period. A combination of undercapitalisation, poor accounting practices, rising labour and material costs and lack of management oversight and control likely contributed to the ultimate failure of the business,” Mr Cotter said in the report.
‘In any case, it is difficult to determine the exact dates of the bankruptcy. We are still investigating this.’
The construction company had a QBCC building permit from 2015 to June 2024, which was withdrawn.
Mr Cotter added that the withdrawal of the permit means AQWA Constructions will not be able to complete the 35 unfinished projects.
Paul James Galvin, owner of Brisbane-based AQWA Constructions, filed for bankruptcy on April 25, owing $2.8 million to more than 100 creditors across Australia.
“All affected homeowners are advised to contact QBCC to determine where they can make a claim under their home warranty insurance,” he said.
The AQWA Construction website remains active despite the bankruptcy.
The website claims that the company has employees who “pride themselves on being a highly experienced renovation company specializing in high-quality and affordable home renovation services.”
‘We take the hassle out of complete home renovations: everything is planned under one roof.
‘AQWA Constructions is a one-stop home renovation company offering all types of construction and landscaping services.’
The demise of AQWA Construction is the latest news from the Queensland construction industry.
Research by News Corp shows that the number of bankruptcies in the construction sector has increased by a whopping 194 percent over the past two years.
The struggling construction industry is having a devastating impact on thousands of homeowners, subcontractors and suppliers across the state.
A News Corp study has found that the number of construction company bankruptcies has increased by a whopping 194 percent over the past two years