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Morning Briefing for pub, restaurant and food wervice operators

Thu 8th Aug 2019 - Deliveroo launches rescue team to keep struggling restaurants trading
Deliveroo launches rescue team to keep struggling restaurants trading: Deliveroo has set up a new team that will focus on identifying restaurants in need of support – offering them a place in a local Editions delivery-only kitchen in order to keep them trading. The “restaurant rescue team” will look for restaurants that are at risk of closing, or have closed, which would be able to continue trading with support from a Deliveroo Editions kitchen. For a limited period, the restaurants entering Editions through the rescue team will also receive support that is not available to other restaurants on the platform. The selected restaurants will enjoy preferential commission rates, and Deliveroo will cover the costs of rent, equipment, maintenance, utilities, food safety setup and audit costs. Deliveroo will focus its efforts initially in London and then expand to other areas of the UK. The company said it was committed to supporting the industry at a time when the economic challenges of recent years have put a strain on restaurant finances, from rising business rates to increased food and labour costs. Deliveroo said its Edition sites have already helped a number of restaurants survive. After moving to the UK from Lebanon and working in the restaurant sector, Fadi Chafe founded Waleema – a modern Lebanese restaurant. However, the costs of running a bricks and mortar restaurant meant it had to close. Waleema subsequently moved to Deliveroo Editions and has since expanded to multiple locations – including Deliveroo’s Whitechapel and Battersea Editions sites. Meanwhile, Chinese restaurant The Good Earth had to close its West Hampstead site of more than 20 years despite strong sales due to the ongoing challenges hitting the industry. It was the brand's first outlet to shut in its 40-year history. However, The Good Earth has maintained its presence in the area by switching to the Editions site in nearby Swiss Cottage, allowing some jobs to be saved.

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