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Adelaide’s Mr Potato stores enter liquidation, ‘temporarily close’ as franchisor to face court over unpaid ATO debts

It was started in Adelaide by a glamorous couple – now the national fast food chain’s SA stores have been closed as the ATO pursues the franchisor over debts.

A note in the window at Mr Potato Glenelg on Friday. Picture: Ben Clark
A note in the window at Mr Potato Glenelg on Friday. Picture: Ben Clark

Adelaide’s two Mr Potato stores have “temporarily closed” as companies behind the franchises entered liquidation on Thursday, soon after the ATO launched an action against the national fast food chain over unpaid debts.

Liquidators on Thursday were appointed to companies linked to Mr Potato Glenelg and Mr Potato Parafield, both owned by Oliver Pfiel, while Google listings for the stores said they were temporarily closed.

Notices in the window of the Glenelg store on Friday, posted by landlord Taplin Real Estate, declared the tenant owed $4769 of rent and goods had been seized – alongside a “closed” note posted by the store. Similar notes were posted at the Parafield store.

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Mr Potato Glenelg was closed on Friday. Picture: Ben Clark
Mr Potato Glenelg was closed on Friday. Picture: Ben Clark
A notice on Friday at Mr Potato Parafield. Picture: Brett Hartwig
A notice on Friday at Mr Potato Parafield. Picture: Brett Hartwig
Mr Potato Parafield on Friday. Picture: Brett Hartwig
Mr Potato Parafield on Friday. Picture: Brett Hartwig

It comes after the Deputy Commissioner of Taxation in May launched a Federal Court action to wind up Mr Potato Management, a key company behind the chain, over a $151,128 debt.

The chain was started in Adelaide seven years ago by model Jess Davis – the sole director of Mr Potato Management – and husband Tyson Hoffman-Finau, who played for the Adelaide 36ers NBL team.

Mr Finau said the Glenelg and Parafield stores would be “back and trading soon”.

He said Mr Potato had a bright future and would soon have news about further expansion.

“The ATO and Mr Potato had a disagreement of the tax treatment,” Mr Finau said. “We have negotiated with the ATO and are, to date, satisfied with negotiations.”

Taplin managing director Andrew Taplin said his company was told by franchisee Mr Pfiel that the Glenelg shop was “not subjected to anything that’s happening with the franchisor, and that the business is sound and good”.

“But we were then surprised to see that the shop was closed,” he said.

Notices in the window at Mr Potato Glenelg on Friday. Picture: Ben Clark
Notices in the window at Mr Potato Glenelg on Friday. Picture: Ben Clark

“He’s not returned calls or responded to correspondence. He’s telling us that everything’s good, but there’s no money coming through.

“We’d like to see it continue, because it seemed to be providing a service to the people at Glenelg and it always seemed to be very busy.”

The store, opened in 2018, was the chain’s first in Australia.

Companies owned by Mr Pfiel began operating the Glenelg and Parafield franchises in March and April 2024. Mr Pfiel was contacted for comment.

The ATO’s action against Mr Potato Management will go before the Federal Court on July 4.

The chain has lost more than half its network in the past two years, with its last two Queensland stores closing in February.

Ms Davis and Mr Finau – who lived in Adelaide before moving to Sydney – are presently touring the country in the Mr Potato food truck.

Former franchisees have said they were set up to fail, but the founders previously said they “go above and beyond to assist when needed”.

Originally published as Adelaide’s Mr Potato stores enter liquidation, ‘temporarily close’ as franchisor to face court over unpaid ATO debts

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Original URL: https://www.couriermail.com.au/news/south-australia/adelaides-mr-potato-stores-enter-liquidation-temporarily-close-as-franchisor-to-face-court-over-unpaid-ato-debts/news-story/d427e717b8e3f94e57c3f45f1c7c6497