Sweet Life Chocolates Pty Ltd operates its business from a factory rented in the Macquarie

Park Industrial Complex. Its landlord is IP Pty Ltd. Its directors include Sam, who is also the

Head of Marketing and Tessa, who is also the Master Chocolatier. Lately, Sweet Life

Chocolates Pty Ltd has been experiencing financial difficulties due to an aggressive

campaign for healthy eating in schools and workplaces by a lobby group, Healthy Advocates

Australia (which has seen a decline in sales), and its financial records are a mess. It has been

late paying monies owed to its suppliers and employees. With Christmas approaching, the

directors are uncertain whether the company would be able to pay its employees their

holiday pay entitlements.

The companys main creditors are:

• NBA Bank Ltd is owed $500,000. This loan is secured over all of Sweet Life Chocolates Pty Ltds equipment;
• Sweet Life Chocolates Pty Ltd employees, including Sam and Tessa, who are owed $200,000 in wages; and
• Fast Cash Ltd is owed $50,000. This loan was unsecured but was guaranteed by the directors of Sweet Life Chocolates Pty Ltd.

Advise each of the following parties with reasons, and with reference to the relevant sections of the Corporations Act 2001 (Cth), as to which form of external administration would best suit their needs. What assumptions of fact do you need to make in your answers? (i.e. what further information do you need) (a) NBA Bank Ltd (b) Sweet Life Chocolates Pty Ltd employees; and (c) Fast Cash Ltd.