Industry contraction continues – 20 per cent fewer printers in 12 months

Offset Images at Hornsby is the latest print company to close its doors as the economic crunch hits harder.

A leading industry analyst is predicting that over 20 per cent of print businesses will close in the year ahead as the economy tightens. Printers are struggling under the credit crunch and an increase in the number of bad debts.

Best industry estimates have around 3,500 printing companies still operating in Australia with another 700 in New Zealand.  While the industry contraction was well under way with mergers and acquisitions before the economic crunch, the rate of closure is accelerating.

At the same time printers continue to keep their doors open because they have little alternative. Business brokers report other printers are withdrawing their businesses from sale after failing to attract anywhere near the price they expected.

According to Bob Sim, owner of Offset Images the company closed its doors on 6 March and is currently in the process of selling its machines and equipment. He said that the closure was due to a “bad debt which dragged us down.”

The Hornsby-based business employed a team of 14 staff.