BBQ Factory in receivership
The BBQ Factory has been put into voluntary receivership today after a mild winter caused sales to drop.
Receiver Shaun Adams of KPMG said the business was unlikely to trade its way out of trouble or be viable for a trade sale given the current retail market.
The chain, owned by Mark Royston Flaherty and Timothy Joseph Wilson, has eight stores from Auckland to Nelson.
Adams said the stores were closed for a stocktake today.
Two Auckland stores would open tomorrow, but he was not certain whether the Auckland outlet store or the Hamilton, Tauranga, Palmerston North, Wellington and Nelson stores would reopen.
Between 30 to 40 staff would be affected by the receivership.
''It's down to working capital at the end of the day,'' Adams said.
''Together with the fact that they had a pretty abysmal winter period where normally they get significant sales of heaters and woodburners and the like, but because of the mild winter we've had the sales have not been good.''
He said it was likely the remaining stock would be liquidated to pay any bills owing, and that the BBQ Factory brand was well known and also might fetch a price.
- © Fairfax NZ News