IW Capital CEO: Now is the time to invest in hospitality and foodservice
Low valuations, innovations, and a return to normalcy for hospitality and foodservice post-lockdown spark interest in private equity growth
Prime Minister Boris Johnson has confirmed that from 4 July, pubs and restaurants in England will be able to reopen alongside a review of the 2-metre social distancing rule that many owners have said would not be feasible.
The move is set to be welcomed by the hospitality industry as pubs and restaurants look to return to normality after over three months of closure.
Private equity investment has been one of the only areas able or willing to provide growth finance to businesses in this arena looking to grow during Covid-19 lockdown.
It is also a sector that has provided vital survival finance to firms unable to access any government support as many pubs were.
IW Capital has funded over 40 growing small businesses since 2011, including Brewhouse and Kitchen and Borrow My Doggy. In the past few months, the company has supported several businesses looking to grow in this period.
Today marks an end to the immense uncertainty over the last few months. Innovation will be needed to make new restrictions work for businesses and customers, but this is something that UK SMEs have in spades.
Now a fantastic opportunity raises to support businesses in this sector at a time when they need support most and with the biggest opportunity for growth.
When lockdown and social distancing restrictions are eventually fully lifted, this period could lead to a new age of innovation and an improved customer experience in hospitality, making it an exciting sector to be a part of.