Burger King job fears as cash crisis strikes
WORKERS at a Burger King are facing an uncertain future after its owner reportedly ran into financial trouble.
Administrators have been called in to examine five branches across Wales, including the one at Canolfan Menai Centre, near Bangor.
It is believed Millcliffe Ltd and CPL Foods Ltd, which run 36 Burger King franchises across the UK, ran into cash-flow difficulties because of delays in developing and opening new stores.
Business advisory firm AlixPartners were appointed joint administrators earlier this month, and at present all 36 branches are still trading while “all possible options for a sale of all or parts of the business” are examined.
They will also work closely with franchiser, Burger King Europe GmbH, in finding suitable interested parties.
Haydn Davies, chair of Bangor Business Forum, thinks it unlikely the outlet would be allowed to shut.
He said: “It’s in a prime location, right opposition the bus station and is incredibly popular with students and locals. I can’t imagine that it will close down.”
When the company announced it planned to open in Bangor in 2014 a supporting application described it as “positive news given the historic lack of occupier activity”.
It is estimated that around 1,000 workers could be affected across the UK, including at the company’s other Welsh branches in Carmarthen, Llanelli, Port Talbot, Caerphilly.
The administrators said: “Our priority now is to work closely with the business and determine the optimum route forward as we continue to serve our valued guests throughout the UK.
“We are confident that the companies are an attractive proposition for a range of potential buyers and, as such, we expect and welcome contact from interested third parties.”
Burger King, founded in the US in 1953, has 1,400 restaurants in the UK with more than 11,500 outlets in more than 72 countries across the globe.