Sixes, the cricket-themed bar chain backed by England cricket captain Ben Stokes, has entered administration after facing a “challenging trading period.” Despite the financial turmoil, all 15 UK-based venues remain operational, except for one branch in Southampton which has closed, resulting in the loss of three jobs.
The announcement comes as administrators from FRP Advisory engage in discussions with several interested parties regarding the potential sale of the business and its most successful sites. This suggests that additional closures may be on the horizon. Tony Wright, joint administrator, emphasized that the primary goal is to “secure the best outcome for the business” while ensuring customer bookings are honored “through the Christmas period and beyond.”
Background and Business Model
Launched in 2020, Sixes combines hospitality with cricket, offering a unique social entertainment experience where patrons can face bowling machines and attempt to score runs. This innovative concept is part of a growing trend in the hospitality industry, akin to offerings from competitors such as Flight Club and Boom Battle Bar.
The chain is partially backed by 4Cast, an investment group founded by Stokes, along with current and former England players Jofra Archer, Stuart Broad, and former player turned agent Mike Turns. Despite the backing, Sixes entered administration last week, coinciding with England’s loss in the Ashes series against Australia.
Financial Struggles and Market Conditions
FRP Advisory noted that while Sixes boasts a “core of strongly performing sites,” other locations have struggled amidst “fierce competition for experiential venues and reduced consumer spending due to economic uncertainty.” The closure of the Southampton branch is a testament to these challenges, although the remaining venues and franchises will continue to operate, honoring all bookings through the festive season.
In the broader context, the hospitality industry has expressed concerns over rising operational costs, including business rates and minimum wages, which could potentially lead to job losses and business closures. This financial strain is a significant factor in Sixes’ current predicament.
Administration and Future Prospects
Administration is a process aimed at rescuing a financially troubled company. When a business cannot meet its financial obligations, administrators may step in to manage the company and attempt to turn its fortunes around. If a turnaround is not feasible, the company’s assets may be liquidated to repay creditors.
“While some locations have struggled in an increasingly competitive market, the business has significant potential, and we’re encouraged by the early interest we’ve received from parties interested in acquiring the brand and its strongest-performing sites,” said Tony Wright.
Wright remains optimistic about Sixes’ future, noting that with the right investment and strategic focus, the brand can leverage its strengths and continue to thrive in the social entertainment space.
Implications and Industry Impact
The situation with Sixes highlights the broader challenges facing the hospitality sector, where innovative concepts must continuously adapt to economic pressures and shifting consumer preferences. The outcome of the administration process will not only affect the employees and patrons of Sixes but also serve as a bellwether for similar businesses navigating the current economic landscape.
As discussions with potential buyers progress, the fate of Sixes will be closely watched by industry observers and stakeholders. The hope is that a successful sale or restructuring will preserve the brand’s unique offerings and secure its place in the competitive market.
