In an email sent to staff and seen by the BBC, The Coconut Tree said it had ‘exhausted all UK borrowing options’ and that wages for the staff affected would be paid by 12 June.
A Coconut Tree spokesman said: “We apologise to staff affected by delays.
“These were caused by unforeseen costs to the business and the wages for the staff affected will be paid by 12 June.”
It is not known how many of The Coconut Tree’s c.200 staff have been affected by the delay, or what the ‘unforeseen costs’ relate to.
In the email to staff, the company said it had been ‘accruing losses’ and is working on new funding options.
“Our final battle with the bank to increase the overdraft ended in vain,” staff were told.
The Coconut Tree was founded in 2016 and currently operates a total of nine restaurants in locations including Bath, Cheltenham, Bristol, Bournemouth, Reading, Birmingham, Cardiff and Reading.