Jim Flynn, the co-founder of niche publishing house Derwent Howard, says the business is in no danger of closing, despite receiving a winding-up order yesterday from a creditor.
Flynn claims the order is the result of an “administrative error” and the company was “taking appropriate steps” to resolve the issue.
“It’s something we’ve just got to work through,” he told SmartCompany this morning.
Flynn says he will move as quickly as possible to reassure staff and clients that the company is in no danger of closing its doors.
The lodging of the winding-up order is the latest incident in a difficult 18 months for the company, which publishes titles including Australia 360, Web Designer, Creative Photoshop, Creative Knitting and Creative Cardmaking.
In recent months, Flynn has been rocked by the decision of his co-founder, Jim Berkley, to suddenly quit the company. Berkley and his family went to Spain in March and have not returned.
Last month, the company’s managing director, Nick Cutler, resigned after more than five years with the company.
In March 2008 the company was rocked by the loss of several key titles it was publishing under license from British company Future Publishing.
Flynn says the departure of Berkley has forced him to restructure the company. According to a report in The Australian, Flynn has moved ownership of four of the company’s key titles, Australian Official PlayStation Magazine, Ultimate Nintendo, Australian 360 and the Ultimate Guides series of magazines, to a vehicle called Media Factory Pty Ltd, of which he is the sole director.
Flynn and Berkley were valued at $21 million on last year’s BRW Young Rich list.
James was the editor and publisher of SmartCompany and LeadingCompany for five years. He is now the Australian Financial Review‘s companies & markets editor, and a former BRW editor.
