Does anyone understand your industry?

You have a business, a restaurant, a guest house, a catering firm, a chauffeur company, and you reach a point when you need outsiders to support your business and your growth:

  • Business services: IT, accountants, telecoms, legal services, HR, recruitment
  • Investment: crowd funding, independent investors, organisations, banks

What if these people don’t know your industry that well? How does that impact the end result? Will you be confident in their service or expectations?

People do not need to know your industry to take on your work or look to invest. But should they?

Let’s start with investors…

Investors are looking at a model where they can see an enticing return on their investment. Some are prepared to take greater risks. Some buy into the long-term, others want a short term option. But the majority will not know or understand your industry!

This means it is up to you to educate them, and in a way they will relate to (and without the industry lingo), so ‘yes’, ultimately they do need to know your industry.

Now what about service providers?

You could look at it in the same light as investors – with you educating them on the industry. You then get to paint the picture in order for them to tailor their service. And tailor their service they must!

What this means is that no service offering fits all, each business and organisation is different in what it does, how it’s made up, they way it’s run and the issues it faces, so a service provider absolutely needs to adapt their service offering. But so many do not.

And what if the picture you paint of your industry is not accurate? We are all guilty of bias, our own take on why things are the way they are and what may lie ahead. Now, if the service provider had first hand experience of the industry through either their customer base or actual work experience, then wouldn’t they have a more informed view of the industry, the challenges and the changes? Service provider with no hands on experience or a service provider who knows the industry well… who would you choose?

Author: Written by ShelleyHolmes Accountancy

Find out more about our dedicated services for the hospitality industry >

 

Tech or not?

So many ways to look at technology within the hospitality sector, from systems to social marketing, rankings to finances, and everything else too! So why is it still not embraced fully to increase efficiency and exposure?

Costs? Technology investments are significant lines on the P&L, but without investment your may be holding back your business. Technology costs ultimately reduce costs, through increased efficiencies and enhancing the customer experience.

Remember, technology is not just there to help you… it helps your customers. Think contactless payment, online bookings, etc. Customers’ time is precious, so helping them save time will ultimately help you.

And don’t forget all that wonderful information about buying and booking habits you can capture through technology, to enhance your marketing strategies.

Hostech 2018 stated that “The hospitality sector remains behind the majority of UK consumer-facing industries when it comes to embracing and harnessing technology. It must catch up quick, especially if it wants to secure a new generation of consumers, take advantage of the huge opportunities to improve efficiency at a time of cost pressures and stay on top of security issues posed by cyber hacking and GDPR.” (source: https://www.hostech.co.uk/)

Technology for technology sake is not the answer, but technology for the sake of your business development and customer draw is an answer. Innovation, staying ahead of the competition, embracing what your customers’ want… technology has an answer.

Author: Written by ShelleyHolmes Accountancy

Find out more about our dedicated services for the hospitality industry >

 

Crowd funding?

Have you considered Crowd Funding for developing your services, growing your business or starting up a new venture?

Glen Rothay Hotel’s doing it >

Silo Brighton did it >

 

Crowdfunding offers the opportunity to finance ventures, at a time when there’s not as many alternative sources for raising capital. So is it for you?

As a great way to raise your profile and gain PR, Crowdfunding exposes you to other businesses, influencers and communities and at the same time provides invaluable market info and insights from investors. However, there is no support program built into the investment – no business coach or support program that is traditionally offered through business banking etc. You need to deliver.

Crowdfunding may not be for everyone (there is a definate stance towards charitable and ethical organisations… people love a good backstory), but it is a real source of finance if you are able to engage the investors.

Author: Written by ShelleyHolmes Accountancy

Find out more about our dedicated services for the hospitality industry >

 

Merger of the UK’s two major hospitality trade associations

The merger of the UK’s two major hospitality trade associations – the BHA and the ALMR – will create a new body, UKHospitality, which will actively speak out for the UK’s third largest private sector employer, which combined directly generates £130bn of revenue each year.

Key headlines from this transformational collaboration include:

  • The new body will bring together businesses from all aspects of hospitality – pubs, restaurants, nightclubs, hotels, leisure parks, contract caterers, entertainment and visitor attractions
  • UKHospitality will actively speak for these combined industries on the big strategic, structural and regulatory issues and deliver policies to support its strong growth trajectory
  • Hospitality represents 10% of UK employment, 6% of businesses and 5% of GDP
  • Hospitality is the 3rd largest private sector employer in the UK – double the size of financial services and bigger than automotive, pharmaceuticals and aerospace combined
  • The sector is calling for a dedicated Minister to champion the industry at home and abroad and a sector deal, brokered with government, to support skills and productivity

Read more >

Source: http://www.bha.org.uk

Author: Written by ShelleyHolmes Accountancy

Find out more about our dedicated services for the hospitality industry >