Daily Newsletter

28 November 2023

Daily Newsletter

28 November 2023

Getta Burger shuts 14 stores in Queensland, AU, due to rising costs

The move comes after six companies operating under the Getta Burger franchise entered liquidation.

Satarupa Bhowmik November 27 2023

Getta Burger has closed 14 stores across Queensland, Australia, because of soaring cost pressures.

The move comes a day after six companies operating under the Getta Burger franchise entered liquidation, according to documents filed with the Australian Securities and Investments Commission.

The decision has impacted more than 100 workers.

Accountancy firm BRI Ferrier’s Ian Currie has been named as liquidator for the six companies.

The chain has closed 14 stores located in Ashgrove, Bridgeman Downs, Cannon Hill, Capalaba, Carina, Clayfield, Holmview, North Lakes, Springfield Lakes, Underwood, Victoria Point, West End, Yamanto and Yatala.

Getta Burger continues to operate its stores in Townsville, North Ward and Kirwan.

Getta Burger founder Brent Poulter stated: “During Covid, we chose not to take any assistance. We adjusted our business model to takeaway and delivery so we could keep our staff employed and serve our customers. Although the cost of delivery was (and is) 30%, we wore these costs to keep going.

“Now though, small businesses across the country are facing severe challenges of increased rents and outgoings, increased cost of goods and staffing challenges, but without any support".

The closed stores were no longer financially viable due to staffing issues and surging costs, Poulter went on. "And seemingly small items like potato chips saw a 300% price hike, along with increased costs for frying oil, packaging, utilities and shipping.”

Adoption of robotics in foodservice is at a nascent stage

The role of robotics is less sure-footed in the foodservice sector. Automating kitchens and meal service is less easily done with robots than automating warehouses and production lines, although this hasn’t deterred start-ups’ efforts to automate burger flipping and meal delivery with robots and drones. Robots improve profitability in the long term but have high up-front costs, so investing in robotics is not without risks.

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