An owner of a South Shields takeaway is claiming that “Just Eat is killing small businesses.”
Syed Alom, 33, owner of Arman Spice on South Eldon Street, has seen his profits disappear over the last few years, which he attributes to Just Eat charging over 20% in commission and VAT on each meal bought through the service.
Having joined Just Eat in 2009, he was one of the first takeaways in the area on the service. When he joined the service charged just 9 per cent in commission plus VAT, however he has seen that figure rise to 13 per cent in commission plus VAT.
It is these rising costs which Mr Alom has attributed to the financial situation that his business is now in, and he now fears that the business his recently deceased father opened in 2005 is close to closing down. He said “Just Eat is killing the business… There’s no such thing as profit anymore. I’m not in profit, I’m in the red.”