Flash Coffee has shuttered all its outlets in Singapore as of 13 Oct 2023. With at least 250 outlets across Asia at one point and a S$50m round of funding procured in May of this year, you would be excused for thinking this rapidly growing start-up coffee chain was infallible.
A TikTok video was posted on 12 Oct when a netizen noticed that the Flash Coffee outlet at Jurong Point was closed with a sign indicating employees were on strike,allegedly over late salary payouts.
According to Vulcanpost, Flash Coffee has clarified that the baristas were instead told that they “simply do not have to report to work” as a result of its Singapore exit. This was reportedly done so Flash Coffee can focus on more profitable regions.
The first cracks began to show when Flash Coffee joined a list of major companies in mass employee lay-offs during the economic slowdown in Nov 2022.
CEO and founder David Brunier and director Sebastian Hannecker filed for a voluntary winding-up of the company on October 11 due to its liabilities, reported The Business Times.
Employees at the Singaporean head office are currently being offered positions in other markets or regions, while baristas are receiving help to procure positions at other coffee chains.
The company was founded in Jan 2020 as a grab-and-go coffee concept originating from Jakarta and later moved its base of operations to Singapore. It reported a 23-fold increase in year-on-year revenue in 2021, subsequently topping that with a four-fold rise in 2022.
Speaking with Vulcanpost back in May, CEO David Brunier mentioned that they were confident that the chain would become profitable on a group level in 2024.
Looks like Singaporeans itching for their morning coffee fix will have to look elsewhere.
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