The administrators of women-only rideshare business Shebah say the startup has been saved from collapse.
The Melbourne startup Shebah was placed in voluntary administration last October, a victim of ongoing lockdowns during the Covid pandemic.
Shebah founder Georgina McEncroe tried to find new investors to ride out the pandemic, especially after revenues plummeted 70% due during 2021’s Covid lockdowns in NSW and Victoria, but failed, placing the business in the hands of administrators Sam Kaso and Rachel Burdett.
They kept the business operating and today Kaso said creditors had accepted a plan to keep the company’s drivers on the road under new ownership. No buyer was identified by the administrators.
The business will be restructured under a Deed of Company Arrangement, which Kaso said will facilitate the injection of substantial new capital with an immediate focus on the recruitment of more drivers.
“This is great news for the business and the community,” he said, adding that the timing of the transfer of ownership could not be better as it coincided with the return of schools