Voly: $13 Million and Counting – The Inside Story of a Collapsed Grocery Delivery Company

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Voly, once a promising grocery delivery company that had raised $13 million in funding, has now collapsed due to numerous missteps.

Instant grocery delivery service Voly loses $13 million in just one year

An infamous Australian instant grocery delivery service, which abruptly shut down after just one year of operations, had wasted a staggering $13 million and may have been conducting business even while insolvent, as the company’s administrators reported.

Unfortunately, Voly suddenly shut down in November of last year, leaving their customers disconnected and taken aback.

The firm’s unfortunate downfall led to the dismissal of 112 workers after it had created a grocery delivery service that provided 15-minute deliveries for approximately 80,000 customers in Sydney.

John Vouris, an administrator of Hall Chadwick, declared that their business was “devastated” by Covid and needed additional funds for development but could not acquire them.

“The company’s downfall was caused by an insufficient cash flow, excessive use of funds, and lingering trading losses,” he added.

Milkrun CEO Dany Milham apologies to customers

Milkrun was the only grocery delivery app in Australia; however, it revealed that each order cost them approximately $10. Dany Milham—the company’s CEO and ‘Young Rich Lister‘—apologised to customers for dissatisfaction with their services via an email in June. Despite this setback, Milkrun continues to strive to provide exceptional customer service.

In December, the company abandoned its 10-minute delivery promise and added a next-day grocery service to its app as it strived to create new sources of income.

The start-up has been generously funded by the tech giant founders of Atlassian, Mike Cannon-Brookes and Scott Farquhar, billionaires. Milkrun raised a whopping $11 million alone before its launch in September 2021, followed by an impressive $75 million last year – affirming its success!

Mr Vouris foresaw that 2023 would remain a challenging period for businesses in Australia.
“As interest rates are on the rise and taxes becoming increasingly stringent for businesses, it is likely that this will lead to a period of economic hardship. The honeymoon stage has ended, and now we must brace ourselves for what may come,” he said.

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