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The Ripple Effects of Business Closure

There will be ripple effects from the Jamie Oliver restaurant closures as well as repercussions for smaller suppliers.

Cato Syversen, the CEO of Creditsafe, the global business intelligence firm that holds data on more than 320 million businesses worldwide, said “In the past few years we have seen many big name brands suffer on the high street and take financial blows and the industries we are seeing hit the hardest are retail, food and construction.

 

Jamie Oliver

This year could also be a tough year for restaurant chains on the high street with more and more people choosing to shop and eat local and support smaller independent businesses. There are high costs around running chain restaurants, particularly looking at the speed with which Jamie Oliver grew his restaurant empire. This in turn will have an inevitable knock on effect for those who own commercial retail property where the restaurants are based. Higher rent, rising food prices, uncertainty over Brexit will all no doubt have contributed to this.

Customers are much more aware of what they are spending and where. Creditsafe issued a warning to our customers calling the chain 'very high risk' in February 2018.

During times of economic uncertainty on the high-street we often see a peak in our sales at Creditsafe and people accessing business reports and that’s because many of our products and tools allow our customers to look at businesses of any size across the World and use our business intelligence data to decide what level of trade, they are going to do with them.”