Tight margins and reliance on busy times
The hospitality sector has been one of the UK’s largest victims of COVID-19 and now with a 2nd lockdown in place it’s one of the most difficult years the sector has ever faced.
Prior to COVID-19 the industry had already been facing increased pressure to deliver innovation, quality and value, whilst battling increasing rents, business rates, staff wages and competition on home food delivery.
Our leisure and hospitality specialists have proven expertise, amassed from years of working alongside pubs and bars, restaurants and hotels. We understand adversity is not uncommon in the hospitality sector but also understand very few establishments would have had a backup plan for the year we are currently facing.
We have significant expertise in advising the hospitality sector, whether it be raising additional finance, rethinking and improving business practices, or financial and operational restructuring. If the business is suffering longer term distress, we can look at formal insolvency procedures such as CVA or Administration as a positive step to safeguard the business. Alternatively it may be necessary to ‘call time’ and we can assist with closure and winding up.
Over the last few months alone we have:
- Raised £3m finance for a premium coffee retailer and wholesaler
- Undertaken a liquidity and cash flow review for an alcoholic drinks supplier
- Carried out the administration of Grade II Listed 63 bedroom hotel with rooftop terrace bar and restaurant
- Advised on a turnaround strategy for a London Michelin Star Restaurant, including financial remodelling
- Carried out the administration of a London restaurant chain with 5 restaurants.
Click below to read our Retail and Hospitality offering