UMS Consultancy

Did you know that in 1999, the UK had approximately 3,000 nightclubs, but by November 2024, this number had shrunk to to around 835? the question is why? Well there's a number of reasons, but here's just a few: Economic Challenges: Rising operational costs, including increased rent, energy, and labour expenses, have made it difficult for nightclubs to remain profitable Changing Consumer Preferences: There has been a shift towards alternative nightlife options, such as bars and live music venues, leading to decreased demand for traditional nightclubs Impact of the COVID-19 Pandemic: The pandemic resulted in prolonged closures and reduced consumer confidence, causing a substantial number of nightclubs to shut down permanently Regulatory and Tax Pressures: Increased taxes and stringent licensing regulations have added financial burdens on nightclub operators, leading some to cease operations And things are only getting tougher - this is where we can help! If you're feeling the pinch at the moment but aren't sure what to do, give us a call - what do you have to lose?

As I mentioned in my video the other day, if you were a student or a resident in Manchester in the 90's, what was your favourite nightclub (my apologies for any that I have missed)?

Manchester's nightlife in the 1990s was legendary, with venues like Discotheque Royale, Piccadilly 21's, Saturdays, and The Ha?ienda defining an era. Unfortunately, many of these iconic clubs have since closed their doors due to challenges: ? Rising Operational Costs ? Regulatory Pressures ? Changing Consumer Habits ? Economic Factors At UMS Consultancy, we understand the complexities of operating within the hospitality industry. Our services are designed to help businesses navigate these challenges. If your venue is facing similar challenges, don't hesitate to reach out. Together, we can develop tailored solutions to help your business thrive in today's dynamic environment. How to contact us: Website:?umsconsultancy.co.uk Email: [email protected] #businessconsultancy?#consultant?#startup?#businessowner

The UK economy has recently shown modest growth, with a 0.1% increase in the final quarter of 2024, avoiding a recession. However, the outlook for 2025 remains sluggish, with concerns about high inflation and its impact on businesses. High inflation continues to exert pressure on businesses, leading to increased operational costs, particularly in energy and raw materials. This environment necessitates strategic planning and adaptability within the hospitality industry. Our Consultancy Sales Manager, Sade, emphasises the importance of proactive financial management and exploring innovative solutions to maintain profitability during these times. What do you think about this? #hospitality #hotel #restaurant #tourism #hospitalityindustry #business #hospitalitymanagement #service

The UK hospitality industry has been hit with several major cost increases in recent years, making it challenging for businesses to stay profitable. Key cost pressures include: ?? Energy Costs Skyrocketing gas and electricity prices have significantly impacted hospitality businesses, especially those with high energy usage like bars, restaurants, and hotels. Although wholesale prices have fallen slightly, many businesses are still locked into expensive contracts from peak periods. ?? Staffing & Wages The National Minimum Wage/National Living Wage is increasing in April 2024, pushing up payroll costs. Staff shortages mean businesses must offer higher wages to attract and retain employees. Increased pension contributions and employer National Insurance costs also add to the burden. ??? Food & Drink Prices Inflation has driven up ingredient and wholesale food prices. Supply chain disruptions, Brexit-related import costs, and extreme weather affecting crop yields have all contributed. Alcohol duty reforms in 2023 increased costs for certain drinks. ??? Business Rates & Rent Many venues face higher business rates after the 2023 revaluation. Commercial rents have risen due to inflation and high demand for prime locations. Landlords are passing on increased mortgage costs to tenants. ?? Financing & Card Processing Fees Rising interest rates have made business loans and overdrafts more expensive. Card transaction fees from providers like Visa and Mastercard have increased, cutting into profit margins. ?? Marketing & Compliance Increased costs for digital advertising (Google, Meta, etc.). New compliance requirements, such as allergen labeling and sustainability regulations, require investment in training and systems.

The UK hospitality industry has been hit with several major cost increases in recent years, making it challenging for businesses to stay profitable. Key cost pressures include: ?? Energy Costs Skyrocketing gas and electricity prices have significantly impacted hospitality businesses, especially those with high energy usage like bars, restaurants, and hotels. Although wholesale prices have fallen slightly, many businesses are still locked into expensive contracts from peak periods. ?? Staffing & Wages The National Minimum Wage/National Living Wage is increasing in April 2024, pushing up payroll costs. Staff shortages mean businesses must offer higher wages to attract and retain employees. Increased pension contributions and employer National Insurance costs also add to the burden. ??? Food & Drink Prices Inflation has driven up ingredient and wholesale food prices. Supply chain disruptions, Brexit-related import costs, and extreme weather affecting crop yields have all contributed. Alcohol duty reforms in 2023 increased costs for certain drinks. ??? Business Rates & Rent Many venues face higher business rates after the 2023 revaluation. Commercial rents have risen due to inflation and high demand for prime locations. Landlords are passing on increased mortgage costs to tenants. ?? Financing & Card Processing Fees Rising interest rates have made business loans and overdrafts more expensive. Card transaction fees from providers like Visa and Mastercard have increased, cutting into profit margins. ?? Marketing & Compliance Increased costs for digital advertising (Google, Meta, etc.). New compliance requirements, such as allergen labeling and sustainability regulations, require investment in training and systems.

Cash Flow is King, Funding is Critical! Struggling to keep your business financially strong? Securing the right funding can be the game-changer you need. ? Want insider tips on unlocking funding opportunities? ? Looking for ways to improve cash flow without the hassle? Follow us—we’ll share the secrets that top hospitality businesses use to stay ahead. Stay tuned! How to contact us: Website: umsconsultancy.co.uk Email: [email protected] #FundingSecrets #CashFlow #HospitalitySuccess

Rising Merchant Banking Fees Are Hitting UK Businesses Hard—Are You Paying Too Much? Over the past year, businesses across the UK have faced soaring merchant service costs, with: ?? Card processing fees increasing by over 30% in real terms over the past five years ?? UK businesses paying ￡250M more annually due to Mastercard & Visa fee hikes ?? Regulators stepping in to address concerns over unfair cross-border fees With merchant fees climbing and competition limited, businesses are left footing the bill. But there are smarter ways to manage your payment processing costs. At UMS Consultancy, we help businesses access better rates, reduce transaction fees, and streamline their payment solutions—keeping more of your hard-earned revenue where it belongs. ?? Want to review your current merchant banking costs? Let’s chat. #MerchantBanking #CostManagement #BusinessSavings #UMSConsultancy #PaymentSolutions #HospitalityIndustry

The Cost of Doing Business in Hospitality Is Rising—Are You Prepared? Over the past 12 months, UK hospitality businesses have faced relentless cost increases: ?? 98% have seen food and drink prices rise ? 85% are struggling with soaring energy costs ?? Wage expenses are up for 96% of venues Alcohol duty hikes have made drinks even pricier—wine up by 54p per bottle, spirits by 32p. Supply chain challenges are also hitting hard, with some pubs receiving just a fraction of their usual stock. For many, the pressure is unsustainable, with nearly a quarter of hospitality leaders changing drink suppliers to manage costs. At UMS Consultancy, we help bars, restaurants, and nightclubs navigate these challenges with strategic supplier partnerships, competitive pricing, and tailored business solutions. If you’re looking for ways to cut costs without compromising quality, let’s talk. #HospitalityIndustry #CostManagement #DrinksConsultancy #UMSConsultancy #BusinessSupport