New to AS Business ( BUSS1/BUSS2) | Step Up to A2 Business (BUSS3 / BUSS4)
Cash flow problems put Pontins into administration
Pontins is the latest household name to fall victim to recession and the credit crunch. They have been put into administration, meaning that the future of the company is uncertain, for both staff and customers. The problem is that the banks are no longer willing to give them credit – so although they have customers willing to buy, they face the possibility of business failure due to a lack of cash flow.
They have 3,000 bookings just for this weekend – which sounds pretty good for seaside holidays in the middle of November, although I have no idea what their capacity is. Last year they invested in a £50m plan to redevelop the centres and create 2,000 jobs, hoping to take advantage of recession and the weak pound would lead families to switch away from foreign holidays towards what became known as “staycations” (this may sound strangely familiar to those who attended the tutor2u revision workshops last year!). But the marketplace has been exceptionally competitive – the Independent quotes an expert at TravelSupermarket.com who says that holidays and breaks out of peak season “have often been sold at rock bottom rates, leaving companies with little room for healthy margins..” and apparently Butlins and Havens have been more successful at minimising their costs. This cannot have been helped by a change in consumer habits, reported earlier this year, to late bookings for customers waiting to see if they can get a lower price.
So far there are no plans for redundancies, and the holiday parks will stay open as normal – they have set up a helpline for customers who have made bookings and will wonder what happens next, which incurs an extra cost that can be ill-afforded at present, but must be necessary if they have any hope of retaining sales, while they hope to find a buyer.
The importance of ICT and electronic banking services [7 Mar 2013]
Sony sells iconic office block as part of turnaround strategy [5 Mar 2013]
Cash flow management - make sure you employ good people! [9 Feb 2013]
BUSS3 A* Evaluation - Do You Really Have to Pay That Dividend? [11 Jan 2013]
Jessops goes into Administration Is the Niche Market a Tomb? [9 Jan 2013]
Bungle on Business: Cash Flow Forecasting [14 Aug 2012]
Revision Presentation - Improving Cash Flow [17 May 2012]
Revision Quiz - Cash Flow Forecasting for a Startup [12 May 2012]
The Business of Football - Everton explain where the money goes [16 Jan 2012]
Profits dive and put pressure on liquidity - the Distress Monitor [29 Sep 2011]
Cash flow crisis at Saab: what went wrong? [23 Jun 2011]
Business investment: the UK corporate cash pile [15 Jun 2011]
Waterstones to be sold as HMV struggles with cash shortfall [20 May 2011]
Lesson Worksheet - Cash Flow Management Basics [5 May 2011]
Toffees in a Sticky Situation [17 Feb 2011]
The end of the line for JJB? [13 Feb 2011]
Cash flow and trade credit - putting the squeeze on suppliers [3 Feb 2011]
Q&A - How is the current ratio calculated and interpreted? [8 Jan 2011]
Q&A - What is the “creditor days” ratio? [8 Jan 2011]
Q&A - How can the debtor days ratio be calculated and interpreted? [8 Jan 2011]
Q&A - How is stock turnover calculated and interpreted? [8 Jan 2011]
Q&A - What factors determine the amount of working capital in a business? [7 Jan 2011]
Q&A - What is “working capital”? [7 Jan 2011]
Cash flow problems at Borders [4 Jan 2011]
Cash flow Clue-doh! The Mystery is Revealed… [2 Nov 2010]
Cash flow continues to trouble small businesses [25 Aug 2010]
Cashflow-Cluedoh! [10 Aug 2010]
BUSS4 data - what happened to business investment in the UK recession? [14 Jun 2010]
25 Ways to Get The Startup Right [22 Apr 2010]
Cash flow problems persist after the recession [15 Apr 2010]
Recession Survival Strategies Cost UK SMEs £16bn [31 Mar 2010]
Global technology giants are hoarding their cash [26 Mar 2010]
Starter Activity - Cash Flow Forecasting for Celebs [25 Mar 2010]
Strategy in a recession - Don’t Panic Mr Mainwaring! [25 Feb 2010]
Cash management becomes a strategic priority during the recent recession [22 Feb 2010]
UK companies conserve cash in the recession - bad news for shareholders? [8 Feb 2010]
Revision Presentation - Profit and Cash [30 Jan 2010]
Source of finance - SMEs turn to the private alternatives to banks [27 Jan 2010]
Excel AS Teaching Resource: Cash Flow Forecast [16 Jan 2010]
Q&A - Is there an optimal level of gearing? [5 Jan 2010]
Cash flow problems and the business of dying [3 Dec 2009]
Managing Cash Flow - Beware the Economic Recovery [26 Oct 2009]
A Day in the Life - Cash Flow Forecasting [9 Sep 2009]
Workforce planning - getting ready for swine flu [16 Jul 2009]
Small businesses waiting for the upturn [30 Jun 2009]
How not to run a business - the Gordon Ramsay way [31 May 2009]
Q&A - Why are start-ups vulnerable to cash flow problems? [26 May 2009]
Why businesses fail - an interview with Pepita Diamand [24 May 2009]
Q&A - Why is leasing and hire purchase a source of finance? [1 May 2009]
Q&A - Why are trade creditors a source of finance? [1 May 2009]
Cash flow management - chasing the late payers [22 Apr 2009]
Small businesses in the middle of the crunch - insights for students [22 Apr 2009]
Football finances under the spotlight [5 Apr 2009]
Q&A - What are the main types of cash flow? [1 Apr 2009]
Q&A - What is cash flow? [1 Apr 2009]
Credit Insurance and Retailer Cash Flow [6 Mar 2009]
Cash flow management - dividends in the spotlight [6 Mar 2009]
Update on how 10 small businesses are weathering recession [20 Feb 2009]
More flak for the banks from business customers - what have they done with bail-out cash? [18 Feb 2009]
Businesses counting the cost of the snow [3 Feb 2009]
In a recession - cash is King! [30 Dec 2008]
Small businesses call for cap on credit card costs to ease finance squeeze [30 Dec 2008]
Teaching cash flow management with Cash Flow Clue-Doh! [19 Dec 2008]
Revision Quiz - Improving Cash Flow [26 Oct 2008]
Proposals to help firms with cash flow [19 Oct 2008]
Butlins benefits from the domestic holiday boom [1 Aug 2008]
Cash is king for small businesses in the downturn [1 Aug 2008]
SMEs should stand up to the large business bullies [26 Jul 2008]
Cash flow problems could mean its a wrap… [26 Jul 2008]
Pontins gains from the credit crunch as tourists stay home [21 Jul 2008]
Credit crunch gets personal for small business owners [2 Apr 2008]
Woolies slashes dividend to conserve cash [2 Apr 2008]
New owners for Pontins try to defy the product life cycle [27 Mar 2008]
Late payment is strangling the cash flow of small businesses [3 Mar 2008]
blog comments powered by Disqus
Business Studies Revision / Exam Coaching Workshops Coming Up:
GCSE Business (AQA Unit 2 & Edexcel Unit 3)
Thursday 24 April 2014 - Birmingham
Friday 25 April 2014 - London (Stratford City)
AQA AS & A2 Business (BUSS1 & BUSS3)
Monday 20 January 2014 - London (Stratford City)
Tuesday 21 January 2014 - London (Fulham Broadway)
Wednesday 22 January 2014 - Bristol (Cribbs Causeway)
Thursday 23 January 2014 - Birmingham (Star City)
Friday 24 January 2014 - Manchester (Salford Quays)
AQA AS & A2 Business (BUSS2 & BUSS4)
Tuesday 25 March 2014 - London (Stratford City)
Wednesday 26 March 2014 - London (Fulham Broadway)
Thursday 27 March 2014 - Bristol (Cribbs Causeway)
Friday 28 March 2014 - Birmingham (Star City)
Tuesday 1 April 2014 - Newcastle (Metro Centre)
Wednesday 2 April 2014 - Leeds (The Light)
Thursday 3 April 2014 - Manchester (Salford Quays)
Post-Easter (BUSS1/BUSS2 Combined & BUSS4)
Monday 28 April 2014 - London (Stratford City)
Tuesday 29 April 2014 - London (Fulham Broadway)
Wednesday 30 April 2014 - Bristol (Cribbs Causeway)
Thursday 1 May 2014 - Birmingham (Star City)
Friday 2 May 2014 - Manchester (Salford Quays)
Try some of these superb starter activities for Business Studies:
- Anagram Countdown
- Beat the Teacher
- Bellwork
- Budget Basket
- Memory Challenge
- Loop Cards
- I'm the Question
- Catchphrase - Say What You See!
- Consider All Possibilities (C.A.P)
- i-Teach
- Teacher Talkabout
- Perfect Recall
- Pass the Buck
- What would you have invented?
- These are a few of my favourite things
- Set Your Students the 15 Word Challenge
- Topic Tennis
- What Why Depends - Developing Thinking Skills
Join our Business Teacher Email Newsletter
Join our community of over 15,000 Business Teachers & Lecturers who receive our Business Teaching Resource Newsletter
| Business Studies Blog | Economics Blog |
| Geography Blog | Politics Blog |
| Give It A Go! Blog | Sociology Blog |
