Business rates drive retailer out of Brighton city centre (From The Argus)

Sorry to hear this - BUT for once the council isn't to blame - business rates, corporation tax, VAT rates are all determined by central government - who then leave local authorities to collect it and face the flack. On the whole businesses are doing better here than in most places in the country - relatively few empty shops and offices compared to other places even the South, let alone the North.

Retailers have to make a huge chunk of their annual income in the Christmas period. However, national figures showed very poor trading in December.
This quarter, up to Easter is the toughest trading period for retailers and the time when they rely on special deals, meal deals and other ways to generate interest, but they will find it hard to attract people with the parking charges so high.
Sadly, we will be reading of a number of shops and businesses hitting the wall in the newxt few weeks.

I fail to see how business rates of £900 have contibuted a significant proportion of the £80000 loss.

Whether it was the case for this shop or whether it was a victim of the downturn in spending, business plans, if they have one, have been way too optimistic for many shops in the Lanes. There is a constant turnover with someone's crushed dreams quickly replaced by others only for theirs to be dashed. The key fees, rents and building liabilities are sky high and a few landlords are the beneficiaries.

HJarrs wrote:
I fail to see how business rates of £900 have contibuted a significant proportion of the £80000 loss.

Whether it was the case for this shop or whether it was a victim of the downturn in spending, business plans, if they have one, have been way too optimistic for many shops in the Lanes. There is a constant turnover with someone's crushed dreams quickly replaced by others only for theirs to be dashed. The key fees, rents and building liabilities are sky high and a few landlords are the beneficiaries.

stupid person

imnotpc wrote:

HJarrs wrote:
I fail to see how business rates of £900 have contibuted a significant proportion of the £80000 loss.

Whether it was the case for this shop or whether it was a victim of the downturn in spending, business plans, if they have one, have been way too optimistic for many shops in the Lanes. There is a constant turnover with someone's crushed dreams quickly replaced by others only for theirs to be dashed. The key fees, rents and building liabilities are sky high and a few landlords are the beneficiaries.

stupid person

As i am so stupid perhaps you had better explain then.

imnotpc wrote:

HJarrs wrote:
I fail to see how business rates of £900 have contibuted a significant proportion of the £80000 loss.

Whether it was the case for this shop or whether it was a victim of the downturn in spending, business plans, if they have one, have been way too optimistic for many shops in the Lanes. There is a constant turnover with someone's crushed dreams quickly replaced by others only for theirs to be dashed. The key fees, rents and building liabilities are sky high and a few landlords are the beneficiaries.

stupid person

why do people have to be so rude on this site?

HJarrs wrote:

imnotpc wrote:

HJarrs wrote:
I fail to see how business rates of £900 have contibuted a significant proportion of the £80000 loss.

Whether it was the case for this shop or whether it was a victim of the downturn in spending, business plans, if they have one, have been way too optimistic for many shops in the Lanes. There is a constant turnover with someone's crushed dreams quickly replaced by others only for theirs to be dashed. The key fees, rents and building liabilities are sky high and a few landlords are the beneficiaries.

stupid person

As i am so stupid perhaps you had better explain then.

The green party's very own village idiot strikes again.

To help your thought process, an example:-

The business trades for 2 years with monthly rent and rates of £2900, which annually is £34,800, or over 2 years is £69,600.

No wonder the green party are destroying the city.

I've just googled the shop and to me it's the type of shop you buy for your partner for a hobbie, never had a chance. An American trying to sell British gifts to tourist

Unfortunately, the retail trade in general is facing a tough time and empty premises are now a fact of life... look at the boarded up retail in Churchill Sq...but then again, who can really justify the close to Three quarters of a million per annum in rent and rates for one of the larger empty stores or £200,000 plus for one of the eateries that are now closed! and I won't mention London road!

There has to be a combined answer between the Institutions / Landlords and the Government / Councils about making these and the smaller retail workable or basically, whole towns as retail centres will be a thing of the past and we'll do all our shopping on-line, which is currently the growing trend anyway.

The trouble is that it appears that Landlords, Governments and Councils really care little about these things but have great focus just about achieving personal goals and a healthy pension.

Somethingsarejustwro
ng wrote:

HJarrs wrote:

imnotpc wrote:

HJarrs wrote:
I fail to see how business rates of £900 have contibuted a significant proportion of the £80000 loss.

Whether it was the case for this shop or whether it was a victim of the downturn in spending, business plans, if they have one, have been way too optimistic for many shops in the Lanes. There is a constant turnover with someone's crushed dreams quickly replaced by others only for theirs to be dashed. The key fees, rents and building liabilities are sky high and a few landlords are the beneficiaries.

stupid person

As i am so stupid perhaps you had better explain then.

The green party's very own village idiot strikes again.

To help your thought process, an example:-

The business trades for 2 years with monthly rent and rates of £2900, which annually is £34,800, or over 2 years is £69,600.

No wonder the green party are destroying the city.

The business formed in 2010 according to a web biography. I don't recall the shop being there that long, say 2 years, but £21600 in business rates (a known cost) is not the main reason for failure. What about the other £58000? Ok, so rent was £48000. So even after free rent and zero business rates the company would have lost money. The business was not viable. If the headline had been "shrinking market, high business rates and rent drives retailer out" then that might make a fairer headline.

The Greens are pro small business but big govt decides that it wants to extracts business rates at almost 50% of the rental value.

Landlords are therefore responsible for the situation, driving up rents year on year, irrespective of viability.

Business rates could be replaced by a sales tax to allow for ups and downs.

Shops are a community asset are often owned by large organisations, many abroad, who suck money out of the local economy, and some goes abroad. Very often, little or no taxes are paid on rents received.

It'd be better for a community trust or the local council to own the shops. Businesses need affordable overheads to be able to compete against massive organisations.

It's time greedy landlords were shown the exit!

“Council rates are disgusting on businesses. My rent is £2,000 and council tax is almost half of that, £900.

Argus is this figure weekly,monthly or yearly.

Basic...............

I know how the poor man feels,losing all his money.I run DALEYS NEW AND USED STORE in Eastbourne and business as been touth.Last year was dredfull all it did was rain and I usually rely on car boot sales to make a lot of money but I could not even do one what with the rain.I almost threw in the towel but then I found a new way of making money by selling on EBAY! So I have saved my shop from becoming another victim of the high street.Here in Eastbourne we have been lucky for the past two years as we have had not had to pay business rates and I have been told that the sheme is going to be extended for another year!.So to all the businesses out there which are struggling give EBAY a go and watch the money poor in.This is the worst time of year for businesses so Ebay is the way forward.I had items in my shop window for weeks but as soon as I advertised thoses items on EBAY, not only did they sell but I ended up getting more money for them than I was asking for in the shop.Example,I had two pro dj decks for which I was asking £150 and they sat in the window for about 5 weeks.So I gave Ebay a go and they sold for £642! I hope this will be an incentive to struggling businesses and it brings hope.Good luck!

Somethingsarejustwro
ng wrote:

HJarrs wrote:

imnotpc wrote:

HJarrs wrote:
I fail to see how business rates of £900 have contibuted a significant proportion of the £80000 loss.

Whether it was the case for this shop or whether it was a victim of the downturn in spending, business plans, if they have one, have been way too optimistic for many shops in the Lanes. There is a constant turnover with someone's crushed dreams quickly replaced by others only for theirs to be dashed. The key fees, rents and building liabilities are sky high and a few landlords are the beneficiaries.

stupid person

As i am so stupid perhaps you had better explain then.

The green party's very own village idiot strikes again.

To help your thought process, an example:-

The business trades for 2 years with monthly rent and rates of £2900, which annually is £34,800, or over 2 years is £69,600.

No wonder the green party are destroying the city.

So, are you that big of a troll or do you honestly don't understand the Greens don't have anything to do with business rates and the rent this guy pays?

Just to provide some better detail to this article. What the reporter failed to do was get my name correct! What was omitted was that we were the fifth business in Brighton Square to close our doors in five months. She also failed to mention the proposal for major renovation to the square that will turn it into a building site for months

This was not supposed to be a sob sob piece, just a response to a reporter asking why we were closing.

What I wanted people to know is how high business rates and rents are in Brighton and how difficult it is to survive.

As for the £80K, well that is also a misquote, however having spent over £25K on the refit,and rent and rates at £33K a year it really does add up.

We sold items on ebay and through our webb site with success at lower margins to survive .

In order to attract investment , a return on capital needs to be possible ., and after 28 months that was not on the cards.

living in Brighton has been a very positive experience, the people are wonderful , our timing was just off ! People always moan about how the Lanes are full of jewelers , well now we all know why!!

worthingite wrote:
“Council rates are disgusting on businesses. My rent is £2,000 and council tax is almost half of that, £900. Argus is this figure weekly,monthly or yearly. Basic...............

Monthly

It's all part of the plan to populate our towns with £ shops, charity shops and betting shops. Those who would postulate otherwise are probably not old enough to remember when Brighton was a thriving centre with a multitude of different businesses, some small others much larger. Use to be a really fascinating place to go shopping in but no more. Greed both Council and private (landlords) have suffocated the town and very few new businesses survive the onslaught.

peterobrien63 wrote:
Just to provide some better detail to this article. What the reporter failed to do was get my name correct! What was omitted was that we were the fifth business in Brighton Square to close our doors in five months. She also failed to mention the proposal for major renovation to the square that will turn it into a building site for months

This was not supposed to be a sob sob piece, just a response to a reporter asking why we were closing.

What I wanted people to know is how high business rates and rents are in Brighton and how difficult it is to survive.

As for the £80K, well that is also a misquote, however having spent over £25K on the refit,and rent and rates at £33K a year it really does add up.

We sold items on ebay and through our webb site with success at lower margins to survive .

In order to attract investment , a return on capital needs to be possible ., and after 28 months that was not on the cards.

living in Brighton has been a very positive experience, the people are wonderful , our timing was just off ! People always moan about how the Lanes are full of jewelers , well now we all know why!!

Sorry to be the one to tell you this,but you invested all your savings into a load of crap.And to top it all you invested further capital into renting a shop in an area where you would be ripped off regarding rent and business rates! What were you thinking? The only way you can make any descent money in this day and age is to delve into the second hand market,buy and sell used goods.I do well by renting a cheap property which costs me £60 per week and I set up a nice office in one of the back rooms and I buy and sell via EBAY and other online sites.This is the way forward.I am sorry to hear that you are returning to the US a broken man etc.but do what you did before and return back to a paid job and then in a few years when you have ample savings move to NEW YORK AND OPEN UP A NICE SECOND HAND SHOP.Now that is something that I plan to do in the near future.Having a shop there would be a dream come true.So fellow business man,all the best for the future and I wish you all the best.A.DALEY.

peterobrien63 wrote:
Just to provide some better detail to this article. What the reporter failed to do was get my name correct! What was omitted was that we were the fifth business in Brighton Square to close our doors in five months. She also failed to mention the proposal for major renovation to the square that will turn it into a building site for months

This was not supposed to be a sob sob piece, just a response to a reporter asking why we were closing.

What I wanted people to know is how high business rates and rents are in Brighton and how difficult it is to survive.

As for the £80K, well that is also a misquote, however having spent over £25K on the refit,and rent and rates at £33K a year it really does add up.

We sold items on ebay and through our webb site with success at lower margins to survive .

In order to attract investment , a return on capital needs to be possible ., and after 28 months that was not on the cards.

living in Brighton has been a very positive experience, the people are wonderful , our timing was just off ! People always moan about how the Lanes are full of jewelers , well now we all know why!!

Unlike the other less thoughful poster I'd like to thank you for embelishing the story a little.

Good luck in your future endeavours!

Naff name, naff business, naff off.