- Reef replaced President Michael Beachham, who led the pendant business such as Wendy.
- “Ref decides to suspend my work before I can complete the mission,” Beach said.
- The departure comes after the ghost kitchen startup slowed its growth and laid off 750 people.
Reef Technology, a ghost kitchen startup backed by SoftBank, has replaced a key director who has led key licensing partnerships with top restaurant chains such as Wendy’s and TGI Fridays, Insider has learned.
Veteran of the catering industry, Michael Beach, who recently held the title of president of kitchens in the company Reef, said in an exclusive statement for Insider that “Reef decides to stop my work”.
“I have spent the last 18 months working day and night and traveling the world, trying to build a top food and beverage team. “I used my thirty years of personal and professional relationships in the industry to bring the most recognized brands to the REEF ecosystem,” Bicham told Insider. “It is unfortunate that REEF decides to terminate my work before I have managed to fully complete the mission I came here to accomplish. There is even more in this story and what happened to me, which will come out at the right time. “
His last day is June 12.
Beacham, who regularly represented Reef at industry conferences, has been quietly replaced by Kenneth Rourke, who is now president of kitchens and retail at Reef. Rourke’s previous title was executive vice president and head of corporate brands. Before joining Reef, he was the president of the experienced restaurant group Barton G.
Reef refused to release the record of his departure, only confirming that Beacham was leaving and being replaced by Rourke. The news comes a month after the witty kitchen company cut 5% of its workforce in early May.
The current operations manager said Reef was looking for a guy to drop because of his operational problems and Whip took the blow. “Although he was not a great leader, Michael did not make every bad decision for the company himself,” said the manager. “There are more management roles than actual work roles in the company, so until Reef starts cleaning the house at the management level, we will continue to face the same problems. It is a pity that Michael accepts an independent reaction when so many people in the leadership are directly responsible. “
The manager asked to remain anonymous because they are not authorized to talk to journalists, but the Insider knows their identity.
Beacham had decades of experience in the restaurant industry, and previously held executive positions at parent companies Olive Garden, Chuck E Cheese and Hard Rock Cafe (where he and Rourke were associates). He started working at Reef in October 2020, a month before the Miami-based startup received $ 700 million in financing run by SoftBank.
In February 2021, Bicham replaced Bruce Schroeder as President Reef. During his tenure, he oversaw the tremendous growth of Reef, which operates mobile trailers that sell food for delivery through apps like DoorDash and Uber Eats.
Whip was responsible for striking partnerships with prominent restaurant chains such as Burger King, Popeye and Subway, as well as delivery-only brands that support celebrities such as MrBeast Burger and Flavortown Kitchen by Guy Fieri.
Reef’s mobile kitchen utensils are usually placed in parking lots managed by Reef, formerly known as ParkJockei. Reef has grown from 100 kitchen utensils at the end of 2020 to 320 kitchen utensils operating in the United States and around the world at the end of 2021.
In January, Reef temporarily closed about a third of its food trailers due to poor performance. At about the same time, the company began to strengthen its partnerships with large companies such as Wendy’s, which made more money compared to virtual brands.
But the rapid growth of startups was haunted by operational chaos and wrong steps, as Insider documented. The company was caught operating trailers without permits in several U.S. cities, was cited for violating food safety protocols, and was accused of obstructing suppliers.
Insider recently reported that real estate company JLL sued Reef, alleging non-payment of invoices totaling about $ 3.5 million. This week, Reef filed a motion to dismiss JLL’s lawsuit, saying the complaint contained “numerous fatal flaws.”
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