TORONTO — Tasteaway.com landed on the Toronto restaurant scene in 2012, offering delivery services to local restaurants. But after the company folded on Monday, CBC reports that several restaurants claim they are owed thousands of dollars.
The company was responsible for taking discounted food orders through its website and handling delivery and payments. But, some operators told the CBC they stopped receiving payments from the company. “The first time we realized there were missing amounts at the bank, we called them and they said they’d had some glitch in their computer system,” Tony Sabherwal, owner of Magic Oven told the news outlet. “The second time… they said they had changed their bank account.”
In total, CBC reports a collective $100,000 owed to nearly 20 restaurateurs across the city.
Tasteaway’s corporate director Omar Sahyoun told the CBC that intense competition and trouble securing capital led to the closure. This spells bad news for operators working with the company. “All merchants conducting business with TasteAway are unsecured vendors and thus suffer in a case where the company runs out of cash or goes insolvent,” he wrote. “There is a major difference between harmful intent and failure to succeed.” [cbc.ca]
