Are you ready for a reboot?
Have you had enough and want to hand in the towel, or are you determined to carry on in the hospitality industry? Either way, do you need a financial reboot!
Since the start of July, Bars and Restaurants have at long last been given the green light to open in England & Wales. For many businesses, the new Covid-19 social distancing measures have created havoc with customers and employees, all of whom are afraid of what is right and wrong.
Over the last month, we have been supporting bars and restaurants nationwide.
In short, everyone has been busy, but many businesses haven’t been able to take enough money to pay their looming bills.
Talking to owners of smaller restaurants that would historically have done up to 80 covers on a busy night, there is a common problem of not turning tables. But then having to remove some tables for social distancing, plus making the time to sanitise tables between customers, restaurants/bars end up with 40 – 50 covers.
The problem with this is that restaurants/bars need the same staff to service 50 people to service 80 people. This is leading to a 40/50% loss in income. The only cost of saving is slightly less stock, but all their other expenses are the same.
With the loss in business coming in the door due to having a reduced capacity, to the increase overheads for the Perspex shields, face wear and sanitising costs, to the lack of support from landlords, is the hospitality industry as dying bread?
As a small owner, you might have had enough and want out. However, it might not be that simple. You might have loans, overdrafts, and debts to the HMRC that need paying off, never to mention staff and suppliers who are owed money. Company Money Worries doesn’t lend money or sell you loans; we are here to help by offering free advice on how you may be able to reduce your debts to a manageable level to move on and reboot you and your family’s life.
On the other hand, you might be having financial restraints, but you are passionate about staying in business. Read on, as Company Money Worries might help, guide, and support with a free financial health check.
Large corporate chained restaurants are struggling more than you. The difference is, the pressure of failure is in a boardroom somewhere and not on the shop floor.
For years many chained restaurants have offered essentially fast food in a restaurant environment.
Often you will hear the term ‘Fast Dining Experience.’ Pizza Express is an example of this. On the 4th of August 2020, they announced they would be closing 75 of their restaurants. Most of these outlets are of the right size. However, they are not massive. For the Pizza Express model to work, they need a high customer turnover at their busy times.
More and more corporate restaurants are either completely throwing in the towel or closing what they consider underperforming restaurants.
Many of these restaurants will become vacant in the months coming, with landlords losing on rent, and the big guys are looking to reduce rather than grow. This could be your time to get your finances in order and move into a larger, better location. Speak to Company Money Worries for free financial advice.
Maybe with less big fish in the water, it’s time for you to Reboot your business and grow.
So, whether you want to get out of your business entirely or reboot your business in a new location with less financial constraints, we offer free, unbiased advice to put you back in control of your destiny!
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