Nike Franchisee Shuts Down Seven Sydney Stores
Seven Nike stores across Sydney have abruptly closed after franchisee AF-1 fell into liquidation, leaving more than 100 staff without jobs.
The franchisee, AF-1, has operated Nike stores in Sydney since 2006 and also ran a retail consultancy offering training and business advice. According to its website, the company employed 115 staff members across seven Sydney locations, including:
Pitt Street (CBD)
Bondi
Neutral Bay
Burwood
Chatswood
Warringah
Castle Hill
Sudden Closure and Liquidation
On Friday, AF-1 lodged a notice with the Australian Securities and Investments Commission (ASIC) that it was being wound up, with BCR Advisory’s John Morgan appointed as liquidator.
The liquidation means all stores ceased trading immediately, and staff roles were terminated on the same day.
Customers will also no longer be able to use existing gift certificates or store credits, as these are considered unsecured claims against the franchisee.
What Happens to Employees?
In a statement to the Australian Business Network, BCR Advisory confirmed that eligible employee entitlements—including unpaid annual leave, wages, and redundancy—will be paid under the Fair Entitlements Guarantee (FEG) scheme, a Commonwealth government program that supports workers affected by company insolvencies.
Employees have been provided with information on how to apply for FEG compensation to cover lost entitlements.
A Blow to Sydney Retail
The closure of seven Nike stores highlights the challenges still facing the retail industry despite a rebound in consumer spending. Rising operational costs, rental pressures, and changing shopping habits continue to place strain on franchise operators.
For Sydney shoppers, the closures reduce physical Nike store options in key suburbs, although products remain widely available through Nike’s official online store and major sporting retailers like Rebel Sport
