How marginal gains could save your F+B business.

We talked to F+B Business consultant, Chris Barber, about surviving in a hostile trading environment. At a time when businesses are fighting for survival, the ‘Blame Game’ serves no purpose;  instead, look for solutions in the marginal gains….

There is no doubt in my mind that hospitality is blameless for the current pandemic, and is actively doing the best it can to work safely and diligently. Nevertheless, the return to dining and drinking will be slow and there will be many, many casualties along the way, especially as the furlough scheme is wound down.

This may sound harsh, but to get through this we must focus on solutions and actions to save our businesses, looking back and apportioning blame for the crisis isn’t going to help. Insurers and landlords have taken a great deal of flak, and being involved with both of these sectors in my business allows me to see the situation from their point of view.

Talk to your landlord – they may surprise you!

I am working with two property companies who with my help, even pre covid had totally changed ways of working; making capital contributions to the tenant fit out, giving generous rent free periods and then turnover based rents. These deals are not yet commonplace, but they are out there and now is the time to renegotiate terms. Always keep dialogue friendly and professional, but never be afraid of asking for better terms. The worst outcome would be a refusal. Bear in mind that though turnover rents will benefit you in the short term whilst confidence is not yet restored, when business booms again, you may end up paying more. Hence it worth having in place what is referred to as a ‘collar and cap’ (min and max rents).

Is your current insurance the best policy for your business?

As for insurance, now is the time to get savvy and shop around. Also (though this laborious) read the detail of your policy, understand what you are covered for, and what is excluded. Take a very good look at the excess. This is the amount you have to pay if you make a claim, and it can vary massively between insurers. You would not be alone if you had never actually read your insurance documents, but now is the time to do this – no excuses.

Marginal gains for maximum impact

As hospitality re-emerges, you have to do a health check/audit on every aspect of the business. Rarely will you find one big issue that prevents profit and success, it is the cumulative effect of a number of minor failings. Making small per cent improvements, savings, efficiencies on each and every level can make the difference. Lets say you consolidate or marginally increase sales and  trim staff costs, cost of sales and expenses by around 4%. This would bring a 5% uplift to the bottom line by chipping away at all of these areas. If the average F&B business turns over net £1m, you would have converted £50k to the bottom line. This can be the difference between success and failure, and all of sudden these ‘marginal gains’ are not so marginal.

You have to be tough and honest with yourselves, and don’t be afraid of asking for help, this is a sign of strength, not weakness.

Also just remember, it is better to cut a couple of shifts or hours for staff, than having to lay the whole team off.

Most importantly, don’t waste your precious time blaming others, be wise and look for positive solutions which improve your business.


Known as the ‘dream killer’ – Chris Barber doesn’t take it personally! He works with brands such as IHGPizza ExpressByron, the Royal Albert Hall to turn concepts into resilient businesses. Starting as a chef, he achieved a Michelin star and was a personal chef to Prince Charles, before setting up his consultancy. www.cbfoodsolutions.com/

You can listen to our PREPPED Podcast with Chris here.


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