By Peter Windatt
BRI Business Recovery
THE closure of 1,400 UK restaurants in the 12 months to June last year was widely reported. BRI were not alone in producing articles and contributing to discussions on the topic 'Death of the High Street'. The new year started with reports of 2019 having been the 'worst year for retail in 25 years'.
Veganuary and an employment law case determining that ethical veganism is akin to a religion, together helped us focus attention on our eating habits and the environmental impact they have on the world. Those signing up to Veganuary this year almost doubled those of 2019.
The growth of food delivery businesses is evident from the vans, scooters and bikes seen about town. The click-and-collect sector is gaining ground with off-the-shelf apps being available to help businesses, large and small, enter the fray with a much reduced loss of margin and improved footfall.
What does any of this have to do with an insolvency practitioner? Everything.
We talk to businesses of all shapes and sizes. What was flavour of the month may quickly fall out of favour; a great novelty can quickly lose its shine. Customer-facing businesses have to run fast in order to stand still and the routes to market are increasingly many and various. A nice sign outside your premises is no longer enough. Social media, blogs, trip advisor, just eat, etc. etc. all have their part to play. The essence of good business remains - sell at a gross margin, keep overheads down with, as much as possible, costs being variable. Not easy for High Street-based businesses.
Lifestyles and habits may change but, in business, the numbers have to work. When they start to go wrong, or better still, before then, a critical friend who has been there, seen that and got the T-shirt may be just what you need to make sure you can, preferably, turn the corner but, at least, avoid hitting the wall.
If you or a client, contact or friend has any business finance concerns the BRI management team would love to talk with you - call 01604 754352 to arrange a free, confidential chat with no obligation.