The economic challenges of the pandemic are clear and many sectors have been hard-hit. But it would be wrong to conclude that the current business climate does not have its green shoots.
As a business, we support those entrepreneurs willing to take a risk and invest, grow their businesses or move on. This has continued and we have completed a number of deals in various sectors.
In addition, we have supported a number of new start-ups, one of which is Legacy Brands, a business focused on providing premium beers, wines and spirits for the retail, travel and hospitality industry, a sector which has adapted well to the changing behaviours of consumers. It has utilised the current economic climate to build a solid business portfolio of world-class brands to cater for the future of hospitality and retail on- and off-line.
The new business, led by former management team members from Neptune Rum and Bacardi, and backed by experienced angel investors Ed Davies and Tim Hyman, will source and distribute premium innovative drink brands from around the world. Based in Cheltenham, it has already been appointed as UK agent for the world famous Bottega brand and will initially employ about 10 people.
Ed Davies said: “While the hospitality sector is still reeling from the effects of the pandemic worldwide, in-home consumption of more premium drinks categories has grown significantly. We have a great combination of an experienced team and an innovative approach, and I’m looking forward to having this stake in such a forward-thinking business.”
Whilst it may be surprising, research has shown that there is no reduction in the number of new start-ups in a time of turmoil.
It would be very wrong to take the view that growth opportunities are closed for the right business; private equity has plenty of money to invest, funds are awash with cash. Investors who have money are attracted to the tax reliefs and other investment incentives. The government is determined to keep the economy functioning and for people to invest and grow.
We can all see those sectors which will thrive and develop and those which are endangered, not only by the restrictions we are living under, but the fact that a number of trends have been accelerated. If you are within those areas, there is money available to grow and develop. The environment we are living in triggers change and change leads to opportunities.