S'pore couple $1.25m in debt after moving to Australia

[RonRon]

S'pore couple $1.25m in debt after moving to Australia 10 years ago and is offering house in lucky draw.

Paradise? It's a nightmare

By Hedy Khoo
January 31, 2010

A Singaporean couple is more than A$1 million ($1.25m) in debt after moving to Australia and setting up a business there, prompting them to offer their own home in a lucky draw in a bid to raise money to return to Singapore.

This is because Mr Lemo Eer's mother, whom he hasn't seen since 2000, has cancer and wants to see him before her time runs out.

The couple ran a building and construction business in Singapore before moving to New South Wales 10 years ago, where they set up a wholesale clothing business.

They then sold the house and sunk about A$2m into building a guesthouse, which includes a restaurant, a gift shop, and a man-made lake for their trout-fishing business.

However, they could not find enough staff to work at their restaurant because the area was rural, and had to do everything themselves.

The couple struggled to make ends meet, with the monthly mortgage payment set at about A$6,000, and decided to come up with the lucky draw idea last year, hoping to sell 48,000 tickets at A$220 each.

Their 9.3 hectare property, which includes a three-room cottage, as well as a $100,000 cash prize, would go to the lucky draw winner if at least 40,000 tickets are sold.

 

[VIBGYOR]

At least 100K singaporeans already in debt even before moving to OZ Land...

If 80% of Sporns own HDB flats, they are basically in debt in some way..

 

[makapaaa]

Why 154th's silence on Sporns' success stories in Oz and elsewhere?

 

[VIBGYOR]

Why 154th's silence on Sporns' success stories in Oz and elsewhere?

150K Sporns must be beri humble....

 

[Lestat]

No sympathy for the 2 retards. Buying over their means and ending in this current state.

 

[UltimaOnline]

No sympathy for the 2 retards. Buying over their means and ending in this current state.

Have to agree.

Australia is such a laid-back relak-relak country. What were they thinking investing all their money into such a risky and low-returns business? Did they expect to have a blockbuster product in a sleepy country where nothing is ever blockbuster?

 

[Rogue Trader]

The couple ran a building and construction business in Singapore before moving to New South Wales 10 years ago, where they set up a wholesale clothing business.

They then sold the house and sunk about A$2m into building a guesthouse, which includes a restaurant, a gift shop, and a man-made lake for their trout-fishing business.

bad decision. should have kept part of their capital in singapore for growth. don't run a business in australia unless it is a internet-based business.

 

[commoner]

poor business sense go anywhere also die la,,,

stay in singapore maybe die faster only,,,

 

[annexa]

Are they gahmen scholars? or retired gahmen scholars?

 

[Rogue Trader]

poor business sense go anywhere also die la,,,

stay in singapore maybe die faster only,,,

maybe the couple did well in singapore and tried to repeat the winning formula in sydney. but they donch know that in australia the labour cost and tax is very high. somemore in Nsw the property can be quite worthless in some rural areas.dumping all their capital there is really not wise.
Want to do business in australia, should just sets up a porn site like samleong.

 

[scroobal]

http://www.themercury.com.au/article/2010/01/07/120061_tasmania-news.html

This is a wacky couple who have no concept about critical mass. The place is in Port Arthur, not even Hobart. They have to sell $9m worth of goods to deliver those prizes. The fact that they are struggling with low business volume is a tell tale sign. Which supplier/s going to provide them with $9 million dollar worth of goods. This guy is going to be insolvent soon and the authorities will have to act.

 

[kingrant]

It's like a raffle. If they sell 40,000 tickets at $220, they would reap in $8.8 million. They only have to give away the house and $100,000 of prize money. So the balance can be used for offsetting debts.

Why do you need to come up with $9 million worth of goods?

http://www.themercury.com.au/article/2010/01/07/120061_tasmania-news.html

This is a wacky couple who have no concept about critical mass. The place is in Port Arthur, not even Hobart. They have to sell $9m worth of goods to deliver those prizes. The fact that they are struggling with low business volume is a tell tale sign. Which supplier/s going to provide them with $9 million dollar worth of goods. This guy is going to be insolvent soon and the authorities will have to act.

 

[Highfalutin]

It's like a raffle. If they sell 40,000 tickets at $220, they would reap in $8.8 million. They only have to give away the house and $100,000 of prize money. So the balance can be used for offsetting debts.

Why do you need to come up with $9 million worth of goods?

She said Tasmanian laws prevented the couple from simply selling tickets for $200 each.

"The only way we could do it was to do a trade promotion, to have customers buy our products and get free tickets," Mrs Eer said.

http://www.themercury.com.au/article...ania-news.html

You were assuming they have $9 million dollars worth of priced goods.

 

[scroobal]

Only non profit body or a licensed authority such Lottery agency can conduct a raffle. This couple is doing a sales promotion and you are only eligible for the draw if you buy goods from their business for $220.

Typical brothel journalism. The idea is to paint a bad story about those who leave Singapore. Whether the story makes sense is immaterial.

It's like a raffle. If they sell 40,000 tickets at $220, they would reap in $8.8 million. They only have to give away the house and $100,000 of prize money. So the balance can be used for offsetting debts.

Why do you need to come up with $9 million worth of goods?

 

[kingrant]

Both of you are right, bros. I didnt read the link but relied on yr posts.

Too bad then, Tasmanian law. They didnt look after their cash flow. Most impt thing in business. Also, why they didnt do a marketing plan. They would have discovered the lack of crit mass.

There was a story sometime ago during the financial crisis, a couple in the U.S. organised a raffle to prevent foreclosure. But they didnt have to sell goods only tickets. I didnt read abt it again afterwards whether they succeeded.

Only non profit body or a licensed authority such Lottery agency can conduct a raffle. This couple is doing a sales promotion and you are only eligible for the draw if you buy goods from their business for $220.

Typical brothel journalism. The idea is to paint a bad story about those who leave Singapore. Whether the story makes sense is immaterial.

You were assuming they have $9 million dollars worth of priced goods.

 

[streetsmart73]

Have to agree.

Australia is such a laid-back relak-relak country. What were they thinking investing all their money into such a risky and low-returns business? Did they expect to have a blockbuster product in a sleepy country where nothing is ever blockbuster?

hi there

1. fully agreed.
2. some man-made lake for trout fishing where down under, aussies can fish anywhere and everywhere.
3. in a rural area, this couple did not do their homework or what.
4. in many major townships, thirteen thousand is considered a big population there.
5. wholesale clothing biz - is another wrong move man! little demand there.
6. in tassie, the biz climate is the extreme.