A popular Australian cafe has closed its doors after struggling with rising expenses amid the country’s devastating cost of living crisis.
Dan’s Coffee Haus Australia, in Blaxland, a town in the Blue Mountains of New South Wales, about 65 kilometers west of Sydney, went into liquidation on Monday.
In a video shared on the cafe’s Instagram account, owners and best friends Daniel and Gabby revealed that the cafe would be closing for good after 15 years.
Daniel explained that the couple didn’t imagine the cafe would “come to an end” when it first opened in 2009; However, it faced a perfect storm of challenges, including the cost of living crisis and cash-strapped customers.
“Basically, Gabs and I are at the stage where we’ve thought a lot about the future of this place and we’ve decided we’re going to close the doors,” Daniel said.
This is the most difficult season that hospitality has faced in the last two decades that I can remember.
‘With the current situation, with the cost of living crisis and people not having disposable income to spend on luxury things like hotel services, life has become more difficult and stressful than pleasurable.
“We’ve always enjoyed what we do, we love what we do, but we also said we would walk away if it ever became more stressful than enjoyable.”
Dan’s Coffee Haus, in Blaxland, a town in the Blue Mountains of New South Wales, has been plunged into liquidation after struggling with the cost of living crisis.
Daniel added that they “held on as long as they could” but due to the current climate it was causing “more damage” the longer they continued to trade.
He said customers should not feel “sad” for them as they remain positive about the decision to close.
“We’re excited for our new chapters, whatever it is… we’re so grateful for this whole journey,” Daniel said.
“The greatest privilege and honor was serving the lower mountain community for so long.”
The couple ended their video by encouraging their customers to support other local coffee shops, bakeries, coffee shops and businesses.
“All these guys are trying to support their families and their workers, just like we have done for years,” Daniel said.
‘These guys need your help and support and we wish them all the success in the world. They deserve it, they are in the heart of the matter.
Business partners Gabby (left) and Daniel (right) explained that the cafe faced the most difficult season in hospitality in the last two decades.
The couple, who opened the cafe in 2009, encouraged customers not to feel “sad” for them and to support local businesses.
It comes as hotel companies across the country succumb to an industry-wide cost crisis.
Financial services and software company CreditorWatch predicted in a report released May 21 that one in 13 hotel businesses would fail in the next 12 months.
The report claimed that businesses were left at the discretion of their spending customers, a demographic that had “depleted as cost-of-living pressures increased”.
He described that the food and beverage industry ranked first in debts to external administrations and tax offices of more than $100,000, and also ranked third in invoice payments more than 60 days late.
