The volatile New Zealand dollar is being blamed for adding to the stresses faced by businesses, after the clothing company Line 7 went into receivership on Monday.
Line 7 says it was blindsided by the dollar's fall over the past three months, and the fluctuating currency is also putting pressure on other companies.
Brian Gaynor of Milford Asset Management says the New Zealand currency is one of the most volatile in the world.
He says high rental prices charged by malls for retail outlets also contributed to Line 7's plight, along with a downturn in consumer spending.
Mr Gaynor says he would be surprised if there aren't more New Zealand companies facing similar problems.