Sunday, 1 July 2007

Bad business

A subject of discussion recently with an old friend who has been in the hospitality supply business in Hobart for about 20 years was the incidence of serial abusers of suppliers.

These are people who go into business after business; rack up huge debt and eventually have to close down the business after approximately 10 months owing big bucks to many smaller suppliers and producers who in turn have risked their own livelihoods to bankroll these unscrupulous "business" people.

I'm talking here specifically about hospitality businesses. Three such people that I know instantly spring to mind. There are many others.

I get furious when I hear that these people have started out in yet another business. The laws of libel are quite rightly meant to cover everyone, so sometimes I wish the city was smaller, and we could bring back some of that olden days rough justice in Hobart, where we have people who have quite patently done the wrong thing and ripped off many, getting rotten tomatoes and eggs pelted at them by the general populace while they're in the stocks in lower Murray Street, then their name published in The Merc so EVERYONE knows not to trust them or deal with them again!

These are bad, bad people with no moral scruples. I'd love to think everyone in my city was a fine upstanding and honest person, who could shake my hand and look me in the eye. Unfortunately they're not, and it behoves us all to be on the lookout for these dishonest users.
Posted on by Rita
5 comments

5 comments:

Anonymous said...

'Catch' MUST be one of 'em Rita,
Can anyone give us a hint whom the others might be?

Rita said...

Jeez anon - you're on the ball here tonight! I just pressed 'Publish' and there was a comment on my post!

I dare not put in the public domain a single hint about these people to whom I refer, sadly. Much as I'd love to.

I'm 100% against this shitty way of treating fellow busines people.

Anonymous said...

I once worked for a supplier (and not so long ago) Rita who owned a myriad of businesses and who turned out to be a real shark, not only to other small suppliers but to me as well. I was a hard worker for him for about three years but was suddenly made redundant for no apparent reason, not performance, nor conduct, just a bloody Dear John letter on a Friday afternoon, left on my desk. He did me a favor really as I have had a total change of career and I'm really enjoying what I do now :) The food industry is a ruthless game.

Anonymous said...

Dodgy suppliers, unscrupulous restaurant operators, the world is full of them. Personally I am of the old school. My word is my bond. On occasion I have found myself heading towards the stormy waters of cashflow hell. I have rang my suppliers and advised them that due to various reasons I am going to inevitably fall behind. When we recently expanded for instance a few of our more trusted suppliers needed no more than an assurance, a shake of the hand and a good on ya mate. They knew that payment would be forthcoming. An excellent example "Hotel and club supplies" Liverpool street. Conversation in brief was.. "We need, can you supply, and can we defer payment because frankly we are broke (kitchen & builders cost way more than expected plus delays). There reply.. "We know you, we love you, we understand, and know you would sell kidney before you stiffed us."

They are paid in full within two months of opening.

Others such as some of the larger food suppliers who get over 200k a year in orders, they would not even part with a sample cheese. A Jihad on their miserable arses.

In business, especially hospitality reputation is everything and this extends beyond the kitchen and the counter.
For some it is merely about the dollars and they do not care how that is achieved.

Anyhow, the point of this; my good suppliers have my absolute loyalty often regardless of others claiming to be better cheaper etc, the bad ones, I have a long memory and a big mouth.
For those who stiff the suppliers, this is a small town.

Rita said...

cb - you're safer now in your current career than you were in your previous one. You're right - the food industry can be a ruthless one, but I loved it.

Anon - I'm hearing you loud and clear, and so glad you got that wholesome, decent treatment from Hotel & Club.

I too have a long memory and some would say I have a big mouth! I feel I'm relatively restrained to what I'd LIKE to be here in this blog! Only because I just can't afford to be sued for defamation!

I agree wholeheartedly about those uncharitable suppliers who won't even give you a sample of something. But thank god that stuff works in reverse as well, and the people who do the right thing by you are always there for you - like Hotel & Club.

I trust your newly expanded business is going well now, and repaying your investment.