Companies behind popular Gold Coast restaurants Commune and Etsu Izakaya, run by Nerissa and Mitch McCluskey, in liquidation

The companies behind two bustling restaurants have been wound up with debts to the tax office and others — however both venues opened to customers as usual today. Here’s how.

Bustling Commune at Burleigh Heads. Photo: David Clark

TWO companies behind two bustling restaurants have been wound up with debts to the tax office and others — however both venues opened to customers as usual today.

The companies behind the popular Commune Cafe at Burleigh and Etsu Izakaya, run by respected restaurateurs Mitch and Nerissa McCluskey, were placed into liquidation on Monday afternoon with yet-to-be-quantified debts, mostly to the Australian Taxation Office.

However, both opened without skipping a beat as the businesses were sold to new companies, also owned and operated by the McCluskeys, before the old companies collapsed.

The company behind the couple’s third eatery, Iku Yakitori Bar, has not been placed into liquidation.

Mitchell and Nerissa McCluskey at Etsu restaurant in Mermaid Beach. Pic Tim Marsden

The coupled declined to answer the Bulletin’s questions about the sale of the businesses, or the debts owed by their companies, and described the liquidations as a “restructure”.

“We made some changes a few months back in regard to our company structures as we appointed a new accountant who gave us some solid advice as our business grows larger,” Mr McCluskey said via text.

“I believe the accountant has actioned the wind-up of the old legal entities.

“Etsu and Commune are pumping at the moment.”

Liquidator Matthew Bookless of SV Partners said the directors had told him the companies, both of which are jointly owned by the couple, had experienced cash flow problems and “pressure from the tax office”.

He was yet to find out how much was owed, but said there were unlikely to be a large number of trade or other creditors aside from the tax office.

Commune at North Burleigh.

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“It would appear that the businesses that the companies were operating have been sold prior to the liquidation and appear to have been sold to related entities,” Mr Bookless said.

“I’m yet to see details of the transactions at this stage, but that will form part of my review.

“Whenever there’s a sale of a business prior to a liquidation, it’s certainly going to be a priority transaction that is investigated as early in the piece as possible.”

Company records show two new companies owned by the pair were registered with ASIC in November last year.

Popular Etsu Izakaya, at Mermaid Beach. Picture: Nigel Hallett

Mr Bookless said his investigations would examine the transactions, including whether the new companies paid a fair price to take over the businesses from the liquidated entities.

“Ultimately this is to make sure creditors aren’t in a worse position because of the sale of the business to a related entity,” he said.

The liquidations follow the failures of two Italian restaurants in two days earlier this month, with the unrelated companies behind That Italian Place at Chevron Island and Cicchetti at Isle of Capri both in liquidation.

Both Commune (pictured) and Etsu, receive rave reviews from customers. Picture: Luke Marsden.

Mr Bookless said he’d noticed an increase in pre-insolvency inquiries from hospitality businesses who were struggling.

“It’s been fast food and restaurants that aren't doing well,” he said.

“Rent seems to be a common theme as to why they are not going well.

“Rent isn’t usually the cause of these liquidations, but it is a large expense for businesses so it’s often criticised.”