NZ Herald
  • Home
  • Latest news
  • Herald NOW
  • Video
  • New Zealand
  • Sport
  • World
  • Business
  • Entertainment
  • Podcasts
  • Quizzes
  • Opinion
  • Lifestyle
  • Travel
  • Viva
  • Weather

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • New Zealand
    • All New Zealand
    • Crime
    • Politics
    • Education
    • Open Justice
    • Scam Update
  • Herald NOW
  • On The Up
  • World
    • All World
    • Australia
    • Asia
    • UK
    • United States
    • Middle East
    • Europe
    • Pacific
  • Business
    • All Business
    • MarketsSharesCurrencyCommoditiesStock TakesCrypto
    • Markets with Madison
    • Media Insider
    • Business analysis
    • Personal financeKiwiSaverInterest ratesTaxInvestment
    • EconomyInflationGDPOfficial cash rateEmployment
    • Small business
    • Business reportsMood of the BoardroomProject AucklandSustainable business and financeCapital markets reportAgribusiness reportInfrastructure reportDynamic business
    • Deloitte Top 200 Awards
    • CompaniesAged CareAgribusinessAirlinesBanking and financeConstructionEnergyFreight and logisticsHealthcareManufacturingMedia and MarketingRetailTelecommunicationsTourism
  • Opinion
    • All Opinion
    • Analysis
    • Editorials
    • Business analysis
    • Premium opinion
    • Letters to the editor
  • Politics
  • Sport
    • All Sport
    • OlympicsParalympics
    • RugbySuper RugbyNPCAll BlacksBlack FernsRugby sevensSchool rugby
    • CricketBlack CapsWhite Ferns
    • Racing
    • NetballSilver Ferns
    • LeagueWarriorsNRL
    • FootballWellington PhoenixAuckland FCAll WhitesFootball FernsEnglish Premier League
    • GolfNZ Open
    • MotorsportFormula 1
    • Boxing
    • UFC
    • BasketballNBABreakersTall BlacksTall Ferns
    • Tennis
    • Cycling
    • Athletics
    • SailingAmerica's CupSailGP
    • Rowing
  • Lifestyle
    • All Lifestyle
    • Viva - Food, fashion & beauty
    • Society Insider
    • Royals
    • Sex & relationships
    • Food & drinkRecipesRecipe collectionsRestaurant reviewsRestaurant bookings
    • Health & wellbeing
    • Fashion & beauty
    • Pets & animals
    • The Selection - Shop the trendsShop fashionShop beautyShop entertainmentShop giftsShop home & living
    • Milford's Investing Place
  • Entertainment
    • All Entertainment
    • TV
    • MoviesMovie reviews
    • MusicMusic reviews
    • BooksBook reviews
    • Culture
    • ReviewsBook reviewsMovie reviewsMusic reviewsRestaurant reviews
  • Travel
    • All Travel
    • News
    • New ZealandNorthlandAucklandWellingtonCanterburyOtago / QueenstownNelson-TasmanBest NZ beaches
    • International travelAustraliaPacific IslandsEuropeUKUSAAfricaAsia
    • Rail holidays
    • Cruise holidays
    • Ski holidays
    • Luxury travel
    • Adventure travel
  • Kāhu Māori news
  • Environment
    • All Environment
    • Our Green Future
  • Talanoa Pacific news
  • Property
    • All Property
    • Property Insider
    • Interest rates tracker
    • Residential property listings
    • Commercial property listings
  • Health
  • Technology
    • All Technology
    • AI
    • Social media
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology
    • Opinion
    • Audio & podcasts
  • Weather forecasts
    • All Weather forecasts
    • Kaitaia
    • Whangārei
    • Dargaville
    • Auckland
    • Thames
    • Tauranga
    • Hamilton
    • Whakatāne
    • Rotorua
    • Tokoroa
    • Te Kuiti
    • Taumaranui
    • Taupō
    • Gisborne
    • New Plymouth
    • Napier
    • Hastings
    • Dannevirke
    • Whanganui
    • Palmerston North
    • Levin
    • Paraparaumu
    • Masterton
    • Wellington
    • Motueka
    • Nelson
    • Blenheim
    • Westport
    • Reefton
    • Kaikōura
    • Greymouth
    • Hokitika
    • Christchurch
    • Ashburton
    • Timaru
    • Wānaka
    • Oamaru
    • Queenstown
    • Dunedin
    • Gore
    • Invercargill
  • Meet the journalists
  • Promotions & competitions
  • OneRoof property listings
  • Driven car news

Puzzles & Quizzes

  • Puzzles
    • All Puzzles
    • Sudoku
    • Code Cracker
    • Crosswords
    • Cryptic crossword
    • Wordsearch
  • Quizzes
    • All Quizzes
    • Morning quiz
    • Afternoon quiz
    • Sports quiz

Regions

  • Northland
    • All Northland
    • Far North
    • Kaitaia
    • Kerikeri
    • Kaikohe
    • Bay of Islands
    • Whangarei
    • Dargaville
    • Kaipara
    • Mangawhai
  • Auckland
  • Waikato
    • All Waikato
    • Hamilton
    • Coromandel & Hauraki
    • Matamata & Piako
    • Cambridge
    • Te Awamutu
    • Tokoroa & South Waikato
    • Taupō & Tūrangi
  • Bay of Plenty
    • All Bay of Plenty
    • Katikati
    • Tauranga
    • Mount Maunganui
    • Pāpāmoa
    • Te Puke
    • Whakatāne
  • Rotorua
  • Hawke's Bay
    • All Hawke's Bay
    • Napier
    • Hastings
    • Havelock North
    • Central Hawke's Bay
    • Wairoa
  • Taranaki
    • All Taranaki
    • Stratford
    • New Plymouth
    • Hāwera
  • Manawatū - Whanganui
    • All Manawatū - Whanganui
    • Whanganui
    • Palmerston North
    • Manawatū
    • Tararua
    • Horowhenua
  • Wellington
    • All Wellington
    • Kapiti
    • Wairarapa
    • Upper Hutt
    • Lower Hutt
  • Nelson & Tasman
    • All Nelson & Tasman
    • Motueka
    • Nelson
    • Tasman
  • Marlborough
  • West Coast
  • Canterbury
    • All Canterbury
    • Kaikōura
    • Christchurch
    • Ashburton
    • Timaru
  • Otago
    • All Otago
    • Oamaru
    • Dunedin
    • Balclutha
    • Alexandra
    • Queenstown
    • Wanaka
  • Southland
    • All Southland
    • Invercargill
    • Gore
    • Stewart Island
  • Gisborne

Media

  • Video
    • All Video
    • NZ news video
    • Herald NOW
    • Business news video
    • Politics news video
    • Sport video
    • World news video
    • Lifestyle video
    • Entertainment video
    • Travel video
    • Markets with Madison
    • Kea Kids news
  • Podcasts
    • All Podcasts
    • The Front Page
    • On the Tiles
    • Ask me Anything
    • The Little Things
  • Cartoons
  • Photo galleries
  • Today's Paper - E-editions
  • Photo sales
  • Classifieds

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / Business

Why running a brothel is similar to running any business

By Winnie Salamon
news.com.au·
28 Oct, 2017 03:36 AM5 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

The Boardroom is limited to six rooms, but Milan says he operates the business like any other. Photo / News Corp Australia

The Boardroom is limited to six rooms, but Milan says he operates the business like any other. Photo / News Corp Australia

It's likely your main drag has one - a drop-in massage parlour that looks a little, well, uninviting. Maybe it's the blocked out windows, the strange opening hours or the fact that it's difficult to tell what kind of massage is actually on offer.

Chances are that the massage parlour with a weird vibe is actually an illegal brothel in disguise, said news.com.au.

There are an estimated 500 illegal brothels in Victoria alone. When you consider there are only 91 legitimate establishments, that's quite a discrepancy. And it's a fact that drives Milan Stamenkovic crazy.

Victoria was the first state to legalise brothels under the 1994 Sex Work Act and for Mr Stamenkovic, a savvy businessman in corporate security, this spelled opportunity.
"My main goal was to apply good sound business practices to a brothel, just as I would in any other industry. I wanted to create one of the best known operations Australia has ever seen," he said."

So in 1997, a week after Crown Casino reopened on the banks of the Yarra River, The Boardroom welcomed its first customers.

Advertisement
Advertise with NZME.
Advertisement
Advertise with NZME.
Milan Stamenkovic also opened a branch of The Boardroom brothel in Artarmon, Sydney. Photo / News Corp Australia
Milan Stamenkovic also opened a branch of The Boardroom brothel in Artarmon, Sydney. Photo / News Corp Australia

There's no doubt about it, getting into the brothel business isn't all hot girls and easy money.

For starters, Mr Stamenkovic lost a major client when he disclosed his decision to move into the sex industry.

"Of course, some people will judge me. Everyone has a right to their opinion." he said. "But I've always been very open about what I do. I've never worried about being called a pimp. I see The Boardroom as short stay hotel with a good reputation."

Advertisement
Advertise with NZME.

Then there are the rules.

Brothel work is still considered illegal in some parts of Australia and laws vary from state to state. In NSW, for example, brothels are permitted to serve alcohol. In Victoria, it's a dry bar only. No more than six rooms are permitted in a Victorian brothel and owners are not able to expand by opening a separate premises.

"For the past 15 years I've been fantasising about adding two extra floors, another car park, more facilities," Mr Stamenkovic said. "But you've got to curb your enthusiasm. If I were to open up any other business, why would I be limited? Why can't I increase business, create employment? I would sum up Victorian laws as Draconian."

Frustrated as he may be, The Boardroom's success is a clear source of pride for Mr Stamenkovic.

Discover more

New Zealand

Korean murder suspect flees to NZ

26 Oct 11:03 PM
New Zealand|crime

Chasing Ghosts Episode Two: Not in That Lake

26 Oct 11:12 PM
New Zealand|crime

Chasing Ghosts: A mother's descent into darkness

26 Oct 11:41 PM
World

Wildest JFK Files: Strippers and surveillance

27 Oct 09:07 PM

The business has a strong reputation among sex workers. A former The Boardroom service provider, Kate, described it as "a wonderful, adventurous and caring place to work".

Even its professionally decorated interior shows Mr Stamenkovic is not one to cut corners.
Each of The Boardroom's six rooms offers unique features like a giant spa bath, a round bed or a shower large enough for multiple users. There are mammoth bowls of mints everywhere and the thick carpet is so plush you could sleep on it.

"We remodel every three or four years. All the beds are purpose built with advice from osteopaths and chiropractors," Mr Stamenkovic said. "In a commercial sense, a bed is a tool of trade. You have to protect against back, hip and leg injuries. The frame must be solid, the foam mattress supportive. We have an on site laundry. Even our water pipes need to be larger because of all the water usage."

Each room is individually decorated, with a bowl of mints on hand. Photo / News Corp Australia
Each room is individually decorated, with a bowl of mints on hand. Photo / News Corp Australia

He said the biggest challenge the industry faced was competition from the ubiquitous illegal sex industry.

The Daily Planet, Melbourne's most established and well-known brothel, was put up for sale by administrators in 2016 and this does not come as a surprise to Mr Stamenkovic.

"I'm all for competition, but the illegals are encroaching. They'll open up anywhere, near schools for instance and that's wrong," he said. "They don't necessarily follow safe sex practices; the conditions for workers can be poor. I think clients go there because it's cheaper.

Advertisement
Advertise with NZME.

"I also wonder if some people feel that it's not cheating. You know, they'll just say they're going out for a massage and then get a happy ending.

"But am I proud of my business? Yes I am. Whatever your judgment call is on the industry, it's a necessary industry, it's run with a lot of dedication from the staff."

And Mr Stamenkovic has no plans to leave the adult industry any time soon. In fact, he's started a new online business, Private Escort Finder, with The Boardroom's manager and his close friend, Nick Costello, and former service provider Kate.

'We didn't know that the internet would bring about the changes it has," Mr Stamenkovic said. "Ten years ago, it would have been hard to find escorts willing to advertise themselves openly online. Now we have women who have turned themselves into a mini-empire. Private Escort Finder gives them a place to advertise their services. It will never replace brothels, but it's another option."

Save

    Share this article

Latest from Business

Premium
Airlines

Pilot group to honour Erebus legacy with safety award

17 Jun 07:00 AM
Premium
Business

The NZ boardrooms where women buck gender pay gap trend

17 Jun 06:00 AM
Premium
Shares

Market close: NZX 50 down 0.4% as Israel-Iran conflict intensifies

17 Jun 05:48 AM

Audi offers a sporty spin on city driving with the A3 Sportback and S3 Sportback

sponsored
Advertisement
Advertise with NZME.

Latest from Business

Premium
Pilot group to honour Erebus legacy with safety award

Pilot group to honour Erebus legacy with safety award

17 Jun 07:00 AM

The industry faces challenges but hopes to bring newcomers and veterans together.

Premium
The NZ boardrooms where women buck gender pay gap trend

The NZ boardrooms where women buck gender pay gap trend

17 Jun 06:00 AM
Premium
Market close: NZX 50 down 0.4% as Israel-Iran conflict intensifies

Market close: NZX 50 down 0.4% as Israel-Iran conflict intensifies

17 Jun 05:48 AM
Median house prices down again, sales taking longer: monthly report

Median house prices down again, sales taking longer: monthly report

17 Jun 05:32 AM
Gold demand soars amid global turmoil
sponsored

Gold demand soars amid global turmoil

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP