MANCHESTER UNITED legend Ryan Giggs has personally lost £100,000 after a trendy restaurant he backed went bust.
The former wing wizard, 51, invested in swanky George’s Dining Room and Bar, which opened in 2014, before it went bust with debts of £563,600.
GettyRyan Giggs has personally lost £100,000 after a trendy restaurant he backed went bust[/caption]
Jim Clarke – The SunGeorge’s Dining Room and Bar was shut down with debts of £563,600[/caption]
SplashGiggs opened the Manchester venue with old school pals Kelvin Gregory and Bernie Taylor in 2014[/caption]
Fresh paperwork shows the business owed £99,925 to Giggs, £28,302 to employees, £8,114 to Boulinot Wines, £755 to a local tea shop and £318 to Grandads Sausages.
We told last week how the business owed £75,616 in taxes and £44,095 in bank loans and overdrafts.
Giggs, 51, opened George’s in Worsley, Greater Manchester, with old school pals Kelvin Gregory and Bernie Taylor in 2014.
Last month, the restaurant served its last punter, blaming “unforeseen circumstances”.
Signs on the door on January 31 said it was closed for the weekend “due to unforeseen circumstances”.
On March 7, the RKB Ventures Ltd company set up by Giggs and his mates to run the business was officially liquidated.
When George’s shut, staff were sent text messages telling them bosses “regret to announce that with a heavy heart we have no alternative but to close George’s effective immediately”.
The message added: “This is due to the obvious reduction in trade and business against the huge increases in costs of operating the business and the ongoing cost of living crisis.”
Staff are said to have also been told they will be paid any outstanding wages in “due course”, as well as notice payment, as well as redundancy pay for “those to whom it applies”.
A staff member said then: “It came totally out of the blue.
“We were all supposed to be working today and then we got the text messages through, we are all stunned.”
Meanwhile, customers made a string of complaints in online comments asking what would happen with their gift vouchers purchased.
A spokesperson for the restaurant told the Manchester Evening News: “We are currently in the process of refunding all vouchers purchased which haven’t been redeemed.
“The majority of these have been refunded and we will be in touch within the coming days with those outstanding.
“If you don’t hear from us please get in touch with the restaurant directly.” The contact for the restaurant is being given as the email address [email protected].”
Former Man Utd stars Bryan Robson, Nicky Butt and Gary Neville were all at the opening of George’s.
At the time Giggs, director of football at Salford City, said of his fellow owners: “We’ve known each other for 30 years and we always said it would be great to do something like this together.
“We’re all local lads and have lived in this area all our lives so we wanted to do something in Worsley and we think we’ve got a really different offering for the area.”
Giggs is involved in property development, hospitality and fashion.
He had a baby daughter with partner Zara Charles last year.
Elsewhere, Giggs has helped to transform Salford City FC after returning to the dugout for the League Two outfit almost three years after stepping down as Wales head coach.
He has taken a more hands-on role with the first team in recent months and has been spotted in the dugout alongside manager Karl Robinson during games.
The Wales and Manchester United legend is a co-owner of the Ammies alongside his former Red Devils teammates Gary Neville, Phil Neville, Paul Scholes, Nicky Butt and investor David Beckham.
Giggs also began working as the club’s director of football last year.
However, the former Welsh national team manager now seems to be lending his experience of coaching to the staff at Moor Lane too as he takes up a match day role on the touchline.
The star became manager of his country in 2018, before being arrested on assault charges two years later.
Giggs, who has always denied any wrongdoing, stepped down from the role in June 2022 ahead of his trial, where a jury failed to reach a verdict.
Why celeb restaurants go bust
By Paul Lochhead – managing director of Drinkstuff
THE recent wave of celebrity chef restaurant closures can indeed be attributed to several factors, with the pandemic being a significant one.
The hospitality industry, particularly high-end restaurants, faced unprecedented challenges during the pandemic. Restrictions on dining, a shift to takeaways, and the need for social distancing significantly reduced footfall and revenue for these establishments.
However, the impact goes beyond the pandemic. High-end restaurants operate on a model that requires substantial overheads—premium locations, top-quality ingredients, and skilled staff.
With the economic uncertainty and a change in consumer behaviour post-pandemic, there’s been a shift in dining preferences. Many diners are now seeking more casual, value-driven experiences, which puts pressure on the viability of luxury dining.
Moreover, for celebrity chefs, these ventures are often passion projects rather than primary revenue sources.
If a restaurant isn’t performing well, it may not be worth the continued investment, especially when compared to the other income streams they have, such as media appearances, books, and endorsements.
MEN MediaThe business owed £75,616 in taxes and £44,095 in bank loans and overdrafts[/caption]
PAGiggs is involved in property development, hospitality and fashion[/caption]
MEN MediaA notice announcing the closure was posted on the doors in January[/caption] Creator – [#item_custom_dc:creator]
