Due to a “triple whammy” of difficulties, the organisation behind the annual Manchester Food And Drink Festival has filed for liquidation.
Gordon Ramsay, Jamie Oliver, Tom Kerridge, and Michel Roux were among the chefs who attended the event, which has been hosted in the city for the past 25 years.
Phil Jones and Christopher Tomlinson founded Manchester Food and Drink Festival Limited (MFDF) in 1998. Last week, Paul Stanley and Jason Greenhalgh of Begbies Traynor were chosen to serve as joint liquidators.
The impact of the pandemic, sponsors pulling out, and cash flow problems combined to force the directors to liquidate the business, according to Mr. Stanley.
For everyone working in the food, beverage, and hospitality industries in our region, these are difficult times. Business owners in the industry are having serious problems as a result of the rising cost of raw materials since they are becoming less willing to keep supporting projects that aren’t making enough money to survive.
Triple whammy’ of issues force company behind Manchester Food and Drink Festival into liquidation
The festival would typically take place at Cathedral Gardens during the week, with satellite events happening all over the city as well as pubs, food sellers, and entertainment.
A triple whammy of the pandemic’s effects, sponsors’ withdrawals, and cash flow problems left the directors with little choice except to liquidate the business, according to Paul Stanley of Begbies Traynor. Anyone working in our region’s food, beverage, or hospitality industries right now faces difficult circumstances. His advice to festival business owners is seek advice early if you are worried about your position.
“Business owners in the sector are facing significant challenges due to the inflation in the cost of raw ingredients and are growing increasingly hesitant to continue funding ventures that aren’t producing enough revenue to survive.”
We will take a break in 2023 after 25 years of hosting the Manchester Food and Drink Festival.
As a tiny crew, we decided to take a break and refocus before bringing the event back in 2024 because creating it is a labour of love.
The liquidation of the Manchester Food and Drink Festival Limited is a significant loss for the city and the food, beverage, and hospitality industries. The festival, which had been a beloved tradition for 25 years, attracted renowned chefs and offered a vibrant celebration of culinary delights. However, the triple whammy of the pandemic’s effects, sponsors’ withdrawals, and cash flow problems proved insurmountable for the festival’s organisers.
The challenges faced by business owners in the industry, such as rising costs of raw ingredients and reduced financial support, further exacerbated the situation. While the festival will be missed in 2023, the decision to take a break and refocus before returning in 2024 demonstrates a determination to overcome the difficulties and revive the labor of love that is the Manchester Food and Drink Festival. With hope and perseverance, the festival has the potential to rise again, bringing joy and culinary excellence back to the city in the future.
Worried about your Manchester businesses performance, make contact with our local Manchester insolvency specialists today.
With over three decades of experience in the business and turnaround sector, Steve Jones is one of the founders of Business Insolvency Helpline. With specialist knowledge of Insolvency, Liquidations, Administration, Pre-packs, CVA, MVL, Restructuring Advice and Company investment.