Evans cycles

[stuarttunstall]

Nothing I wrote should be interpreted as a suggestion that I like Ashley. The fact remains though, Evans Cycles was in administration. What do you think would have happened to it if Ashley had not bought the business?

I have said this in the past, regardless if people like him or not he has took businesses out of administration and more important saved a few jobs...

 

[Bonefish Blues]

I have said this in the past, regardless if people like him or not he has took businesses out of administration and more important saved a few jobs...

If business fails, employees have no choice. They lose their jobs.

If business saved, employees have choice. They can stay or go, as they choose, on their terms.

 

[SkipdiverJohn]

Nothing I wrote should be interpreted as a suggestion that I like Ashley. The fact remains though, Evans Cycles was in administration. What do you think would have happened to it if Ashley had not bought the business?

We both know the answer to that - it would have been liquidated, and it's assets all dispersed if no-one stepped in beforehand. I don't like to see avoidable business destruction and the fallout in terms of job losses, but if an operation can't at least break even and cover it's costs then it really isn't sustainable. Business failures of the truly untenable operations are the forest fires of economics - they clear out the dead wood and make room for new growth to take place.
Many businesses ultimately fail because their management are not as clever as they thought they were. In good times, even the incompetent and inefficient can make good money, and they pay little attention to the basics like the running cost of their real estate, and their long term lease commitments.. When hard times strike they get found out, because they never had their finger on the pulse. Their revenue falls away but their costs don't, because they are legally on the hook for a load of contracts they signed in good times when their outgoings could be serviced.