Generation Next Shuffles Management, Slashes Staff To Cut Costs

Posted On: 8/13/2019

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SAN DIEGO -- Generation Next Franchise Brands announced several moves to increase cashflow, raise capital and increase its Reis & Irvy's soft-serve frozen yogurt and ice cream vending machine production.

They include expanding its board of directors through a search for two additional independent members and effective Sept. 1, appointing current chief financial officer Ryan Polk as interim-chief executive and founder and chief executive Nick Yates assuming the position of vice-president of sales and marketing.

The company said it will also reduce compensation for executive management, eliminate 40% of current payroll expense by eliminating positions, streamline marketing, research and development budgets, and forming a new partnership with global investor relations firm First Apex International.

Officials said Yates will focus entirely on developing new unattended retail platforms and leading sales and marketing of the existing Reis & Irvy's and Print Mates photo-printing kiosk brands. Polk will retain his CFO responsibilities. The expanded board will be responsible for naming a permanent CEO.

Generation Next said the expense reductions are estimated to decrease selling, generaland administrative expenses by $3 to $4 million annually and that employees have been notified about eliminated positions.