The Gaucho chain has fallen into administration.
The Gaucho group consists of 2 distinct brands, Gaucho and Cau. Gaucho has 16 branches all facing closure if a suitable buyer cannot be found.
Unfortunately, the Cau brand which has 22 restaurants and offers a more casual dining experience, has already closed with the loss of 540 jobs.
As quoted in this article :-
Matt Smith, joint administrator, commented: ‘Unfortunately the Cau brand has struggled in the oversupplied casual dining sector with rapid over-expansion, poor site selection, onerous lease arrangements and a fundamentally poor guest proposition all being factors in its underperformance.’
Facing £50 Million in debts it looks like Gaucho is the latest restaurant chain to hit hard times.
I’m focusing on Matt’s comment above, pointing to the oversupplied casual dining experience. If you’re in the restaurant business it’s time to go premium…