Barbeques Galore to shut, hundreds of workers facing redundancy

Barbeques Galore to close more than 60 stores, with hundreds of workers facing redundancy Tue 9 Jun 2026 at 4:25pm In short: Barbeques Galore will shut down in coming weeks after failing to successfully negotiate a rescue deal. The Australian retail chain began in the 1970s, and now has 89 stores and about 500 employees. What's next? The future of 27 franchise stores and employees remains uncertain, while 62 company-owned stores will wind up, with staff facing redundancy. Barbeques Galore will wind up in the coming weeks, with hundreds of workers facing redundancy. The retail chain entered into voluntary administration in February, and today announced it was unable to find a buyer or complete a recapitalisation. It will shut its 62 company-owned stores in the coming weeks and work through "transitional arrangements" with 27 stores owned by franchises. The receivers said staff will continue to be employed "during the receivership process" or made redundant as the winding up occurs. Barbeques Galore had about 500 staff as of its collapse in February. "All employees will be paid their full accrued redundancies and termination payments in the ordinary course of separation," the receivers said in a statement. Gift cards to be honoured until June 30, with conditions Customers who have a Barbeques Galore gift card will be able to use it during the wind-up process, through to June 30. However, there are strings attached. For every $1 redeemed on a gift card, the shopper must spend $2, arrangements first announced in February. For example, to use a $50 gift card, a customer must make a total purchase of at least $150, with $100 paid on top of the gift card. "Unredeemed gift cards will be treated as unsecured creditors after the 30 June deadline, so customers are encouraged to use their gift cards while they can do so," the statement read. Weeks of negotiations with landlords, suppliers failed The administrators and receivers had attempted a rescue recapitalisation deal with major creditor Gordon Brothers to try and keep the chain from having to wind up. It was announced in mid-May and was conditional on the outcome of negotiations with parties including landlords and suppliers. However, today they said in recent weeks, negotiations were not able to reach a position where the deal could be implemented. Barbeques Galore has been in operation since the 1970s after being founded by Max Mason. Analysts say the Australian economic climate would have made it tough going for receivers to find a buyer. "This is a tragic final chapter for an iconic Australian retail brand," The Montgomery Fund's Roger Montgomery said. "If you can't sell barbecues to Aussies, who can you sell them to?" Mr Montgomery said the sole objective of receivers since February would have been selling the company to a prospective buyer. But he added that any bidder would be looking for "a stable runway", a positive economic climate for consumers and businesses. Receivers, who had tried to sell the company-owned and franchise stores together as a national network, said that "by late May 2026 it had become clear that there were no offers to acquire or recapitalise the [Barbeques Galore] group capable of acceptance or implementation". That left the since-failed Gordon Brothers proposal as the only option to avoid winding up or liquidation. "With post-budget retail spending collapsing at the same time that overseas suppliers are unable to ship stock … a wind-up or liquidation is the only option and the worst case for staff and perhaps franchisees too," Mr Montgomery said. Wilson Asset Management's Geoff Wilson agreed the business climate was challenging for many retailers. "It’s always disappointing to see an iconic Australian business fail," Mr Wilson said. "It's a tough reminder of the challenges facing many retailers and the importance of maintaining a strong and resilient business sector that supports jobs, families and local communities." Receivers will remain in control of the group through the wind-up period and "explore sale transactions for remaining stores and assets", including liquidating stock. The amount of money creditors will receive at the end of the process will depend on the outcome of asset sales.