Tommi's Burger Joint Ltd. (08113833): administration
- Status
- Administration ended
- Administration began
- 2024-07-29
- Administrators
- Julie Anne Palmer, Andrew Hook
- Administrators' firm
- Begbies Traynor
- Incorporated
- 2012-06-21
- Location
- Salisbury
- Industry
- 82990 Other business support service activities n.e.c.
Why it went into administration
- COVID-19
- Funding withdrawn / unable to refinance
From the administrators' statement
The Company was incorporated on 21 June 2012 and traded as a fast-food burger restaurant. The concept was developed in Iceland. The Company’s website indicated that there were other restaurants trading under the franchise of “Tommi’s Burger Joint” in Iceland, Germany and Denmark, although these were not owned by the Company itself.
Funds were loaned to the Company by the Icelandic franchisor, TBJ HF, to fund the Company’s working capital. However, the Company's business was negatively impacted by the Coronavirus-19 pandemic and performance took longer to improve that the Company’s directors expected. The franchise was terminated due to a failure to pay franchise fees but, prior to this termination, the Company obtained a high interest loan of £800,000 from a third party.
The Company remained in financial difficulty from 2021 onwards. We understand that the directors sought to agree payment plans with HM Revenue & Customs from 2021 but were unable to raise the funds in 2022 and 2023 to ensure that the Company could meet its obligations to creditors. The directors were exploring options to place the Company into an insolvency process in April 2024 and matters came to a head in May 2024 when HM Revenue & Customs attended with a Taking Control of Goods Notice, although this was never implemented by HM Revenue & Customs.
Administrators' statement of proposals (2024-09-10) · Companies House register