Friday, February 29, 2008

Where was I?

Ah yes. Graham Allman and David Morgan.

Yes, my lease was marketed as becoming free of tie in 1998. Remember those days?

What happened to keep me tied is another long story I'll recount some day. Anyhow I've been around the houses with PubCos. I've met or spoken to a couple of ceo's about my business. They knew my business - out of the thousands they presided over. So I must of done something right. Their cards played close to chest.

As for the minions, I've been misled, misrepresented to, lied to, bullied, threatened, cajoled. blackmailed, humiliated, intimidated and down right annoyed by utter ignorance and stupidity in the time I've had a tied lease.

Nothing I recognise from my time in the real world. The world before the tie.

Ken Nason

Gross profit. You split hairs.

In an industry where THE benchmark gross profit to be achieved across all sales is minimum 65% achieving 60% is not so good. And the world of catering I came from had nothing to do with ties. I did my research before getting into this and on paper it worked. In practice being a straight up right down the line declare everything business with a tie just does not work.

When overheads exceed the returns a 60% gp produces there's little point being in business. In my case I need 65% to make my business stack up. This is in line with all my previous experience in business. I was undercapitalised when I set up which has been a perennial thorn in my side. Something common in the tied pub business, I'm sure. And no amount of general catering and business experience could prepare anyone for the reality of this feudal, archaic, land baron top down dominated mediaeval construct that is tied PubCo life. They have consistently made more out of me than I have and that is plain wrong.

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