Published: 02/03/2010 16:00 - Updated: 03/03/2010 10:00

Staff made redundant as Chicago Rock Cafe closes in Stortford

THIRTEEN staff have been made redundant following the closure of the Chicago Rock Café in Bishop’s Stortford.
 
The Chicago Rock Cafe in Bishop's Stortford
The Chicago Rock Cafe in Bishop's Stortford
The doors of the nightspot in Anchor Street have shut after its operator, the 3D Entertainment Group, went into administration.
 
A spokesman was unable to say  whether the Stortford premises would stay closed or if it was on the list to be sold. "At this point in time we’re not able to disclose which venues are still subject to negotiations," he said.
 
Joint administrators Simon Appell, Stuart Mackellar and Scott Gaillie, of restructuring experts Zolfo Cooper, were appointed on Friday.
 
A statement issued that day by Zolfo Cooper read: "Following a period of sustained losses, the group has experienced severe cash flow difficulties, resulting in the group’s directors filing an application to appoint joint administrators."   
 
The group was one of the UK’s leading late night bar operators with a total of 50 sites across the country.
 
Thirty-one of the group’s sites, along with its head office, have been sold to Atmosphere Bars and Clubs Ltd, but no buyers have so far been found for the remaining 18 sites, even though most were still open and trading.
 
While all of theses site have now been closed, a small number are still the subject of ongoing negotiations and, the joint administrators "remain hopeful" of securing a buyer for these.
 
Mr Appell, a partner at Zolfo Cooper, said: "Despite a lengthy sales and marketing effort, it has not been possible to secure a buyer for all of the group’s sites and regrettably this has resulted in a number of venues closing.
 
"The lack of sufficient funding for these businesses, as well as the ongoing group losses, meant it was not possible for these venues to continue trading.
 
"We understand this is a disappointing outcome for everyone concerned at these sites. As of now our focus is on continuing discussions for several of these venues and we remain hopeful of securing a sale in the coming days."
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