The Handmade Burger Co which has restaurants around the UK has entered administration, amongst fears that hundreds of jobs will be lost.
According to administrators from Leonard Curtis Recovery, nine of the chain’s 29 restaurants have closed with immediate effect. However, the company will continue to trade at the remaining 20 branches pending “a solution which will enable as many jobs as possible to be preserved.”
The administrators are looking for approval from creditors to find a company voluntary arrangement. It was decided this would be “the best outcome for all creditors.” Though, if this is deemed impossible, it will seek a buyer.
The Handmade Burger Co is one of several upmarket burger businesses to enter the market over recent years, in direct competition with Byron and Gourmet Burger Kitchen. However, it had looked to set itself apart by offering more vegan options than their rivals.
In November, former managing director of Frankie & Benny’s was appointed as chairman.
The restaurant chain which has almost 900 staff is based in Birmingham. Despite increasing rents, rates and staff costs hitting the sector hard, the Handmade Burger Co had claimed it would be opening new restaurants soon.
A statement on the website said: “Regrettably, nine of the 29 restaurants were closed on appointment. The remaining restaurants continue to trade as normal under the Joint Administrators’ control and they hope to find a solution which will enable as many jobs as possible to be preserved.”