Barburrito growth can spice up sales to £50m

Fast food chain Barburrito has set an ambitious five-year target as it plans to roll out seven new sites by end of 2014 and take turnover to £50m

The founders of fast-food firm Barburrito are targeting sales of up to £50m within five years after wrapping-up a bumper year of trading.

The Manchester business saw its sales in the year to March 31 rise from £4.4m in 2012 to £5m this year.

It now has nine outlets across the UK, with two more in London set to launch by the end of October. And the Mexican food chain hopes to open another shop by the end of this calendar year and a further six in 2014.

Barburrito co-founder Paul Kilpatrick said the financial contribution made by the firm’s stores – a typical measure of profits of the food and drink sector – was just under £900,000.That was up from just less than £600,000 in 2012.

The chain was boosted by a £3.25m investment from the bank-backed Business Growth Fund in April 2012, which has helped with its roll-out programme.

It had just six outlets at the time, two of which were in Manchester city centre, two in the Trafford Centre, and others in Leeds and Liverpool. Since then, a second shop has been launched in Leeds and another in Nottingham, followed by one in Paddington Station, London.

On a like-for-like basis, sales were up 17 per cent on 2012, while customer numbers have increased 10 per cent.

Mr Kilpatrick, who set up the business with Morgan Davies in 2005 by opening a single shop in Piccadilly Gardens, said more expansion is on the cards.

He said: “The great thing for us is that the so-called ‘Mexican revolution’ in the food sector started in Piccadilly Gardens, Manchester. There are lots of people doing it in London these days but it all started with us and that is something we are very proud of, and we hope the city can be proud of.”

Mr Kilpatrick added: “There is no reason why in four to five years we can’t take ourselves to 40 or 50 units and I would be amazed if we don’t have 18 by this time next year.

“There is also no reason why we shouldn’t be trading at sales of £40m-50m within five years, though there are obviously a lot of things that can happen in five years.”

Mr Kilpatrick said he and Mr Davies wanted to continue to target new parts of the UK but added: “We do want to increase out geographical spread but, of course, finding a great unit in Manchester, it would be easier to service than one in London, so there are still a lot of opportunities here and Manchester will always be where my roots lie.”

Mr Kilpatrick said Barburrito would consider opening shops within some of the region’s flagship office developments, including One St Peter’s Square and First Street.

He added: “It’s all about getting the right quality of property and the right quality of people.”