One business that has suffered from competition over the last few years is floristry. It seems that one can buy flowers in all sorts of places such as supermarkets and petrol stations.
These shops cater for the impulse purchase which used to be serviced by traditional florist shops. We saw a woman who worked in floristry for 15 years. She had decided to buy an existing florist business based on a main road of a small town. Trading was fine, if not spectacular, for the first two years. However, sales began to decline for a variety of reasons. There was competition from other shops and the recession meant that the public did not spend as much. It was also true to say that the failure of other bigger businesses meant that not as many potential customers passed by.Many factors can contribute to a business struggling and getting into debt.
Debt piled up…
She struggled on for 18 months until she could no longer carry on and she closed the shop. By this time she had accumulated £40,000 of debt. She had no assets and it was decided that she should make herself bankrupt. Whilst it is difficult to be overly critical of her it is true to say that she had carried on trading too long and had left it too late to seek advice about how to deal with her problems.
It would be wrong to say that every business is capable of being saved, but it is certainly true to say that the earlier businesses in trouble seek advice then the more likely it is that they can be saved. Don’t leave it too late it is better to seek help early and prevent bankruptcy if possible and the earlier you speak to someone and figure out your options the more likely your business can be saved. Lines Henry offer business advice to prevent bankruptcy and liquidation of companies, so if you are worried about how your business is performing and worry that it may stop being profitable then please call Lines Henry for no obligation chat.
If you require advice, Call Lines Henry on 0800 012 6649.