0800 644 6080
Call FREE from Landline and Mobile
Est. 1989

Handmade Burger Co Heads into Administration

Written by: Keith Tully

Published: 23rd January 2020

Handmade Burger CoHandmade Burger Co has fallen into administration after failing to find a sustainable financial footing in recent months.

Each of the Handmade Burger Co’s 18 outlets are set to close as a result of the company’s situation, with close to 300 jobs expected to be lost.

The company previously entered administration in 2017 but was rescued by new owners, with the associated acquisition deal resulting in the closure of nine restaurants.

However, having entered administration again, no buyers have been found this time for the Handmade Burger Co’s business.

The chain’s collapse represents the latest in a growing list of casual dining sector casualties, with several well-known high street operations closing entirely in recent years while others have survived only by entering Company Voluntary Arrangements (CVAs) as a form of insolvency.

David Griffiths, a joint administrator appointed to Handmade Burger Co, said in a statement: “The casual dining market in the UK has experienced significant challenges over the last four years, largely as a result of overcapacity in the sector, which has resulted in a significant number of insolvencies.

“Sales at Handmade Burger Co restaurants have almost halved during this period, which has proved to be unsustainable,” he said.

“It is disappointing that circumstances have meant that a sale of the business has no been possible in this case, but our focus now should be on those employees affected by this difficult news.”

Among the most high profile of casual dining sector collapses in recent years was that of Jamie’s Italian, which saw the TV chef Jamie Oliver’s restaurant chain fold in May 2019 with the result being the closure of 25 outlets and the loss of over 1,000 jobs.

Experts have suggested that restraints on consumer spending and the growth of services such as Uber Eats and Just Eat have helped make life more difficult for casual dining sector businesses in recent years.

In September, the accountancy firm UHY Hacker Young reported that more than 1,400 restaurants across the UK closed under financial pressures in the year to the end of June 2019, which represented a 25 per cent increase on the figure for the previous 12 months.

Keith Tully

Author
Keith Tully
Partner

Join Keith Tully on Linked In Follow Keith Tully on Twitter

Keith has been involved in Business Rescue since 1992, during which time he’s worked for both independent and national firms. His specialties include company restructuring matters and negotiating with HMRC on his clients behalf.

Meet our Team of Experts
Director Support - Business suffering from Cash-Flow Problems?
If your company is financially distressed, we also offer the below services:
Business debt recovery

  • Recover Unpaid Invoices of £5k+
  • Expert Credit Control Services
  • Stop Late Payers & Bad Debts
Visit Site
Time to pay experts

  • Get Breathing Space with HMRC
  • Support with Business Tax Arrears
  • 35 Years HMRC Negotiation
Visit Site
UK Business Finance

  • Rejected for a CBILS Loan?
  • Get Emergency Business Funding
  • Supporting 1000+ UK Companies
Visit Site
Who we help
  • Company Directors
  • Finance Directors
  • Sole Traders
  • Accountants
  • Small Businesses
  • Large Businesses
  • Partnerships
Contact our team
Jonathan Munnery
Gillian Sayburn
Julie Palmer
Processing...
or Find your Nearest Office

Here at Real Business Rescue we take your privacy seriously and will only use your personal information to contact you with regards to your enquiry. We will not use your information for marketing purposes. See PRIVACY POLICY

Business Rescue Advice for Directors
Free Guide for Limited Company Directors
Business Rescue Advice for Directors
  • How to manage company cash flow problems
  • Advice on dealing with HMRC
  • Understanding rescue and closure options
  • And much more...
Free Guide Download
Desling with your Insolvent Clients
Business Rescue Guide for Accountants
Dealing with your Insolvent Clients
  • Helping you advise insolvent clients
  • Spotting signs of client distress
  • Exploring business rescue options
  • And much more...
Free Guide Download
Our numbers speak for themselves
77
Number of UK Offices
30000
Directors Helped
70+
Licensed Insolvency Practitioners