Debt collector collapses owing $1.2m

You know that irony is alive and well when debt collectors go to the wall.

Brisbane-based Nexxa Portfolio Management collapsed this month owing about $1.2m.

Sole director and owner Dan O'Farrell has tapped administrator David Stimpson to clean up the mess.

David Stimpson from SV Partners.
David Stimpson from SV Partners.

Creditors are set to meet for the first time this week and Stimpson told City Beat that he's hopeful the firm, which is part of a larger group, can be resuscitated through a "deed of company arrangement''.

"The underlying business is good. The administration is about tidying up the balance sheet and protecting the business so they can trade on,'' he said.

O'Farrell did not return calls seeking comment on Monday.

Launched in 2012, Nexxa and related entity Credit Four manage more than $620m of delinquent debts. In addition to Brisbane, they have outposts in Sydney, Melbourne and Adelaide too.