Surry Hills sushi-pizza restaurant Sash has been placed into liquidation with debts of $436,000, three months after opening, with the founders blaming high wages, high rents, a slowdown in consumer spending, and UberEats.

Co-owner and company director Kyle Stagoll said he and his friend and business partner Dave Nelson had "lost everything", he expected a recession, and would not do anything in the Australian hospitality industry until after the economy recovered.

SASH co-owners Dave Nelson and Kyle Stagoll at the Sydney restaurant launch. Credit:Luke Latty

"Most of our competitors who have been successful over the past few years have been paying staff under the award rate, it seems the only way venues can stay ahead. Does that mean hospo workers are drastically over paid for the value they produce for a business? Probably," Mr Stagoll said. He confirmed the restaurant paid staff award wages and above-award wages for senior staff.

“We always paid the award and above to all staff. You simply cannot otherwise the fines are massive. If we weren't paying the award we'd probably still be open,” he said.