Splat, the staff do suffer through loss of income and the major upheaval of relocating etc. Then there are the small unsecured creditors who get taken down as well. The senior managers have usually skimmed enough off in prior inflated earnings not to suffer at all.
Amazingly, despite the history of failed start-ups, there is always someone willing to pour millions into aviation ventures. Somehow these guys got rich, but you have to wonder whether too much money gives them a sudden urge to blow it all. Are they satisfying some childhood fantasy? Beats me why they hand over such huge amounts of loot.
Watch this space. Some of the SAW senior management will reinvent themselves, dream up a new way to turn millions into red ink and pop up elsewhere. It's a pity that libel laws don't allow us to publish a 'name and shame' list to warn other would-be investors off.