It was noted by stakeholders that phoenix activity has evolved significantly over the past decade. First, the ATO noted that they are seeing significantly less 'asset stripping' of companies then they previously did. It is now more common for the liquidated company to have no assets. This is usually because the entity is one company within a group of companies that form the business and the entity that is liquidated is the 'labour provider' and therefore, has few or no assets.

Multiple stakeholders emphasised that phoenix activity is not confined to the building and construction industry or the lower end of the Small and Medium Enterprise (SME) sector. Multiple stakeholders noted the rise of phoenix activity in the cleaning and private security industries, with one stakeholder describing phoenixing in the private security industry as being at endemic proportions. It was also noted that phoenix activity has spread from small, undercapitalised businesses to those with higher turnovers which are at the upper-end of the SME sector. Phoenix activity is also now widespread within the micro market ie. < $2m turnover per annum.