Deal to help pub firm survive the lockdown
THE company behind some of Cardiff’s most popular bars has secured a financial lifeline.
With the Covid-19 pandemic closing non-essential businesses Croeso Pubs, which owns the Philharmonic, the Brewhouse and Retro Lounge, has received a £450,000 loan from Barclays.
The funding will provide muchneeded capital aimed at taking the business through the current crisis and being ready to trade when restrictions are lifted. It will also help project 120 jobs.
The funding from Barclays is from the UK Government backed Coronavirus Business Interruption Loan Scheme (CBILS.)
CBILS which is administered by the British Business Bank, and lent though more than 40 accredited lenders, including high street banks, has so far provided £1.1bn in loans, with interest and capital waived for the first year, to SMEs across the UK.
Craig Davies, director of Croeso Pubs, said: “Coronavirus struck just as were moving into the busy spring season and suddenly all our income disappeared overnight.
“The bank loan has helped us ensure supplier relationships are maintained as well as helping us pay our staff and creditors.
“I think it’s important during this difficult time to make sure our whole supply chain stay on their feet.
“As well as honouring our payment terms, it means we will all be better placed for when the time comes to reboot our business after the crisis.
“Our relationship director at Barclays, Jason Llewellyn, really buys into what we are trying to achieve across the group.
“The CBILS was all agreed and drawn down very quickly and with no interest or capital repayments for over 12 months gives us confidence in coming out the other side.
“The loan is critical in getting us through this period which like most businesses, put enormous strain on our cashflow.
“Not a single person on our team has been made redundant. The impact of this pandemic will be felt for years to come by our business because the debt has to be repaid, but hopefully, when this is over, people will go out and support British business as a whole, to help get everybody back on their feet.”
Jason Llewellyn, Barclays relationship director, said: “The owners have worked hard to develop a strong business and motivated management team.
“Their growing success is reflected by their popularity and positive reviews.
“Myself and the team have spent time getting to know the business, and when the group was impacted, our understanding of the business and our relationship with its owners made a huge difference.
“The new facility will secure over 120 jobs within the local community and provide vital liquidity to the business.”