Souvlaki Hut latest: At least 5 franchised stores on the closure hit list
EXCLUSIVE: White Knight investor Daryl McCormack meeting with franchisees as money losing stores to be shut down by Christmas.
It was not the Christmas present embattled Souvlakihut franchisees wanted to get stuffed in their stocking, but some of the money losing stores may not be reopened after the new year. Many franchisees on this hit list feel let down, bitter, and lost as they head into this Christmas season facing an uncertain future. To make matters worse, many may lose a lot of money and there is talk of legal action against the former ownership structure. But that doesn't help these encircled franchisees who have real bills to pay right now and no way of paying them.
QSR Media understands from industry sources that McCormack is meeting with franchisees in a bid to salvage what is working for the embattled fast food chain, but that at least five franchised stores are slated for being shut down as they are money losing. As the saga plays out, some franchisees are looking at their legal options but with the company in administration it does not look good for many of the stores who have been told that their stores are unprofitable and will not be open for business next year.
QSR Media knows of at least 5 stores who have been told the bad news. By all accounts the new investors, headed by Daryl McCormak are a "good bunch of people", according to franchisees who have met with him. QSR Media has been told McCormack obviously "wants to make the business work and has been flat out meeting with all the franchisees this week" in an effort to rescue and rebuild the chain.
Still, for some of the franchisees facing the chop, the stories are heartbreaking. Some of these franchisees who, through no fault of their own, have had to close their doors and many of them will have to sell their family homes to cover losses. These franchisees are after guidance and a plan about the best way forward, and QSR Media calls on anyone in the industry who may be able to help these franchisees, who have locations and experience, to help them if they can. You can contact us in confidence and we can put you in touch with these franchisees.
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