Struggling Spring Gully trebles sales orders

Struggling food firm Spring Gully has had a meeting with South Australian Government officials as it tries to find a way forward.

The SA company is in voluntary administration with debts of more than $3 million.

Company officials also have met potential investors.

The fourth-generation family business said its weekly orders had trebled since it announced its debt woes last week.

Purchasing director Ross Webb said employees of the jam and pickles maker were working extra shifts to help meet demand.

He said his family had been overwhelmed by the support received from retailers and the general public.

"It gives you great hope, so we have to do our best as a business and to all our creditors to do the right thing and get this thing up and running and shipshape again, which we feel confident we can do with the right support," he said.

Small Business Minister Tom Kenyon said representatives from his Department had met the Spring Gully owners for talks but there would not be any bailout funding from the government.

"We'd prefer not to provide cash just for cash flow. If we can do something else and make it a sustainable business that's what we would prefer to do, so in this case it may be that we would assist them with new equipment or something like that," he said.

Source: ABC News, 18 April 2013