The next quarterly rent day is rapidly approaching (Monday, 25 March) and businesses in retail and commercial properties will be digging deep to find the rent for the next three months.
Since the recession hit, most quarterly rent days have brought with them a flurry of retail administrations as the pressure for a lump sum of money proves too much for many. With the hangover of low Christmas sales still felt by many, is this April going to see a flurry of administrations?
The association of business recovery professionals, R3, reckons yes. Research from the organisation shows that one in ten retailers are struggling to pay their debts on time. Many are only just managing to meet interest payments and aren't making any dent in their actual debts.
Lee Manning, president of the organisation, commented: “Christmas sales were lower than expected for many retailers, including the anchor stores that usually do well whatever the conditions.
“Marks & Spencer like-for-like UK sales in the 13 weeks to 29 December fell 1.8 per cent on the same period a year earlier. Combining poor Christmas sales with the extended period of severe weather, which has hit post-Christmas retail sales, this rental quarter day could not come at a worse time for many retailers.”
This year has already seen a number of well-known high street retailers enter administration. Blockbuster, HMV, Jessops and others have all reached the end of their tethers this year. Mr Manning surmised that the surge in retail administrations is coming from two sides. Firstly, the development of technology and the internet is creating a very real competition in the form on online sellers. Secondly, the “significant expansion” of out-of-town shopping centres has meant that businesses on traditional high streets are being further challenged by a lower footfall.
The changes clearly don't mean the end for the retail industry, but they do mean that businesses need to change, and fast. Companies that manage to streamline their supply chains and cut costs, or offer a unique service should be able to maintain their place but those that fail to evolve look set to become prey for buyers who are capable of implementing a stronger business plan suited to modern customers. 
Bring to the market this leasehold specialist car sales and servicing facility located in Horncastle, Lincolnshire. The trade was established as a limited company in 2005.
LEASEHOLD
The company is an online vehicle purchasing platform, providing a fast, hassle-free car-selling service for the end user. A competitor to the likes of webuyanycar.com and Motorway, the company is a well-established online vehicle purchasing platform...
Bringing to the market this denim and casual wear retailer, boating a user friendly comprehensive online presence.
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