Authentiki’s assets are just below $80,000 with $2.05 million in liabilities. Combined, Authentiki and MHHS have nearly $2.63 million in estimated assets and nearly $3.04 million in estimated liabilities.
“We had just opened a few months before the shutdown.”Īlthough Max’s started generating revenue again after reopening June 8 under 50 percent occupancy restrictions, it wasn’t enough to offset its debt. “It’s pretty obvious what’s going on with the restaurant world right now,” Sellers said. Small Business Administration, according to court filings. SW, closed in mid March because of the pandemic, which caused the restaurant operators to fall behind in payments to various creditors despite Authentiki receiving a $505,022 Paycheck Protection Program loan and a $149,900 Economic Disaster Injury Loan from the U.S. The bar and restaurant, located at 58 Ionia Ave. The filing notes “significant cost overruns in remodeling and preparing” Max’s South Seas Hideaway to open in October 2019. “This is a protective move to prevent any of our creditors from coming after us,” Sellers said in an interview. Experts predict more filings under the Small Business Reorganization Act as the pandemic unfolds, as MiBiz reported this week. Bankruptcy Code, which was passed by Congress last year to make it easier for small businesses to emerge from bankruptcy. The separate cases are filed under Subchapter V of the U.S. Bankruptcy Court in the Western District of Michigan. It’s the third set of bankruptcies associated with Sellers filed within the past five months as his current and former restaurants and bars accumulated debt following the pandemic-related shutdowns.Īuthentiki LLC and its wholly owned subsidiary MSSH LLC each filed for Chapter 11 bankruptcy protection on Oct.
GRAND RAPIDS - The operators of Max’s South Seas Hideaway - a downtown Grand Rapids tiki bar owned by former BarFly Ventures LLC President Mark Sellers III - have filed for Chapter 11 bankruptcy. The story has also been clarified to show assets and liabilities of both Authentiki LLC and MSSH LLC. Editor’s note: This story has been updated with comments from Max’s South Seas Hideaway owner Mark Sellers III.