Hewitt suffers internet loss with eSwap

TENNIS star Lleyton Hewitt's internet business eSwap has run up losses of more than $440,000, company accounts show.
The business, which runs the auction website eSwap.com.au, had income of just $2037.89 and spent almost $211,000 on advertising and promotion in 2008, the accounts show.
"You will notice that since officially launching in December 2007 there has been limited income to eSwap Limited," the company says in the report.
"This is because the website has been offering free basic listings and free store listings to entice regular users to the site.
"We envisage this practice to continue through 2008 until we have sufficient user base to encourage a basic fee structure."
The website was still offering free listings yesterday.
Depending on price and type of goods, its competitor eBay, which dominates the online auction market, charges between 30c and $49.95 to list an item for sale.
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"The biggest challenge in the future is the continuance of building eSwap.com.au as a viable brand name," the company says in the report.
Lleyton and Bec Hewitt will "where possible act as ambassadors to assist in encouraging Australian and international celebrities to provide items for donation to be auctioned on eSwap", the directors' report says.
Hewitt's manager, David Drysdale, said the accounts showed the company's set-up costs.
"The eSwap site will be relaunched early this year," he said.
The company's report covers the 12 months to June 2008 but was filed in August last year.
It is unsigned, but company records show eSwap's directors are Hewitt's father Glynn Hewitt, Denis Ryan and Samuel Ryan.
Wages for Samuel Ryan, the company's customer services manager, and technical and software designer Michael Benkovich totalled about $116,000.
Computer software and web-hosting services cost more than $50,000 and rent ate up an additional $23,000.
Hewitt, who is competing in the Hopman Cup in Perth, is fighting an unrelated court battle against his former sports and financial agency, US-based Octagon.
Financial advice from Octagon cost him $500,000 in lost income, the Supreme Court has been told.
Hewitt, seeking $1.35 million in damages, has also alleged Octagon wrongly deducted more than $350,000 in fees from Nike and for his appearances at tournaments around the world.