Cafe in the Crem

[steveL]

Another thing that we learnt on Thursday was that, as everyone expected, the Café in the Crem has yet to make a profit after its first two and half years. No details of course, but that won't surprise anyone after HBC refused a Freedom of Information Request on the subject on the grounds that it would 'reveal the Cafe's pricing policy to 'competitors'. We also had a promise from CAB back in March that the accounts would be published in July but it didn't happen.

Asked by a councillor if a set of accounts would now be made available, CAB told the chamber that the Finance and Policy Committee has already asked for this with Gill Alexander stating that these should be available 'early in the New Year. Don't get over-excited though because the accounts are likely to be pink papered.

The humour came on listening to Cranney the Incompetent giving us the benefit of his business expertise when he told us that 'most' business don't show a profit for the first 5 years. While I'm absolutely certain this is true in the case of Cranney's own 25 companies; it certainly isn't true of 'most' companies, especially small companies who generally don't have the reserves to wait 5 years before turning a profit.

If HBC had a credible business plan for the Café together with a forecast cash flow then it would be able to tell us how it was doing compared to the initial plans but, despite insisting that such plans are produced before offering a paltry £250 grant to start-up businesses, it failed to produce its own plans for the £400,000 café. Holding a finger to the wind seems to have been the limit of its own business planning as it was with The Wingfield Castle, Jacksons Landing and several other ventures.

[fred c]

On a positive note......... Inspirations Garden Centre sold a bunch of flowers 

[testing times]

Isn't 'not made a profit' the same as 'made a loss?'. I would say so. In which case, after being told that the council would have to find another £400,000 if it didn't increase council tax by 1.9% then the amount of money the café is losing becomes rather important, I would have said. As does the money from the Domes that HBC never received and the £132,000 ward budgets that some councillors believe to be 'a good way to buy votes.'

[testing times]

On a positive note......... Inspirations Garden Centre sold a bunch of flowers 

There's a serious point here. A Garden Centre which is effectively being subsidised by the council amounts to unfair competition for other Garden Centre businesses in the town.

[Hartlepudlion]

As is the cafe TT.

What make it a bit surprising is why did they open the cafe in the first place?
They'd already closed HBC cafes down in the Library, Church Sq Art Gallery and, I think, Wingfield Castle, so why? Personal interest?

Aren't they talking of shutting the privately run cafe in Rozzie Park and replacing it with a Council run one?

Curious!

[fred c]

On a positive note......... Inspirations Garden Centre sold a bunch of flowers 

There's a serious point here. A Garden Centre which is effectively being subsidised by the council amounts to unfair competition for other Garden Centre businesses in the town.

Your spot on tt... it is a serious point, but occasionally a little levity makes a point.

[Alnwickist]

Strange how the two private run cafe's in Ward Jackson and Rossmere Park make a profit and trade well, but the Hole in the Crem can't.