Juan Fifty Pty Ltd’s tax office debt revealed

Liquidators have revealed the six-figure debt owed by the founding company of a popular Mexican restaurant on the Sunshine Coast following its recent liquidation.

The founding company of Juan Fifty Kitchen and Bar at Alexandra Parade has gone into liquidation. Pic Mark Cranitch.

The amount of money owed by the founding company of Sunshine Coast restaurant Juan Fifty has been revealed following its recent liquidation.

Liquidators were appointed to Juan Fifty Pty Ltd on October 9, with the Australian Security and Investment Commission notice stating the company was to be wound up.

According to liquidator Jason Cronan Juan Fifty Pty Ltd owes $439,000 in unpaid tax and superannuation to the Australian Taxation Office.

Juan Fifty Kitchen and Bar at Alexandra Headland will be sold and continue to operate under a new company.

The company’s accountant, who did not wish to be named, previously told the Daily it faced “insurmountable challenges” following the Covid-19 pandemic and wider economic pressures.

“Despite their best efforts to adapt, including cost-cutting measures and exploring alternative revenue streams, the reduced consumer spending proved difficult to overcome,” they said.

“The combined effects of the economic build-up, inflation, and interest rate hikes presented insurmountable challenges for the business.”

Mexican restaurant, Juan Fifty at Alexandra Headland.

The accountant had said the restaurant was sold due to lenders’ “unwillingness to provide funding to the hospitality industry”, adding the company had previously run a profitable business.

“Prior to the COVID-19 pandemic, Juan Fifty Pty Ltd was a profitable and successful business,” they said.

“The owners and directors have a track record of running profitable businesses and are experienced operators who understand their numbers.”

Liquidator Jason Cronan previously told the Daily it was not uncommon on the Sunshine Coast for hospitality businesses to be struggling financially.

“We are seeing that generally across businesses and that is what we have been told by the owners,” Mr Cronan said.

Mr Cronan also said the tax office had begun to increase the pressure on businesses as they emerged from the Covid-19 pandemic.

“The tax office is starting to put more pressure on businesses coming out of Covid,” he said.

Originally published as Juan Fifty Pty Ltd’s tax office debt revealed