Tue, 17 Oct 2023 | BUSINESS SALE
Dark kitchen firm KBox Global has fallen into administration as a result of ongoing trading difficulties. With no solvent solution available to the business, administrators from Interpath Advisory will now seek to sell its brands and platforms.
KBox Global worked with restaurants, hotels and kitchens, using spare kitchen capacity to operate “dark kitchens” and licensing a suite of delivery-only brands. The firm, which also devised its own brands and provided training and performance management to operate them, experienced strong growth during the pandemic, amid rapid expansion in the delivery market.
As food delivery grew in popularity during COVID-19, KBox secured £5 million in seed funding from Hoxton Ventures, before raising a further £12 million in a funding round led by Balderton Capital. The firm built a network of kitchens across London, Glasgow, Liverpool, Manchester, Edinburgh and Brighton and was planning international expansion in countries including India and Australia through franchise agreements.
However, the firm began to experience increasing difficulties over recent years, with founder Salima Vellani leaving the business last year. Like many other food sector businesses, the company was also impacted by rising cost inflation.
Interpath Advisory’s Nick Holloway and Will Wright were appointed as joint administrators on October 11. All 18 of the company’s employees were made redundant, with the joint administrators saying it was apparent that "a solvent solution was not available".
Joint administrator and Interpath Managing Director Nick Holloway commented: "This is a challenging time for many dark kitchen operators, as cost inflation continues to impact margins. We will now be exploring the rapid sale of both the brands and platform and would ask that any interested parties make contact with us at the earliest opportunity."
In the company’s most recent accounts, for the period December 28 2020 to December 26 2021, its turnover was slightly over £5 million, but it incurred a £10.1 million pre-tax loss. At the time, its net current assets amounted to £5.9 million and it had net liabilities of £17.4 million.
Read more about the issues impacting businesses in the UK's food industry
Prime location business located in historic harbour area in Devon. Jaw dropping premises with immense charm and personality.
FREEHOLD
An extremely rare opportunity to acquire a waterside freehouse pub in one of the most sought after coastal village locations in the region. This historic and characterful Grade II Listed property is understood to have originally been constructed arou...
Located in a delightful semi-rural country setting in the very heart of this traditional Devon village of Hemerdon, lying on the southern boundaries of Dartmoor National Park and on the outskirts of the major South Devon city of Plymouth. From its sl...
FREEHOLD
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.