Day: November 19, 2020

The creditors’ dilemma  

Debtors

The role lenders play in enabling SMEs to achieve their potential cannot be overstated. Without their timely and strategic injections of capital, companies would neither be able to get off the ground nor have the necessary funding to grow, expand and invest.

Moreover, with KYC requirements and covenants, lenders play an invaluable role in keeping SMEs on track and focussed on their primary business objectives.

Simon Fry, Partner at ReSolve, the business advisory and restructuring house, said: When a lender is satisfied with its due diligence and signs a loan facility, it is in good faith that the SME it has invested in will achieve what it has set out to do. However, there are extenuating circumstances that can interrupt a business’s trajectory – and COVID-19 is an obvious culprit. The pandemic and ensuing economic uncertainty have rocked many SMEs, leaving them in an unexpectedly difficult position with a weak … Read More

Royal Mail parcels overtake letters for first time

Royal Mail has said revenue from parcel deliveries has surpassed letters for the first time, fuelled by a surge in online shopping during the pandemic.

The postal group said turnover from parcels now makes up 60% of its total revenue, which rose by nearly 10% in the first half of its financial year.

But it was not enough to stop a sharp drop in profits, due to a number of costs including extra staff to sort the increased parcel volume by hand.

Pre-tax profit fell 90.2% to £17m.

During the six months to 27 September, Royal Mail’s increased costs included £85m related to Covid-19 as well as £147m on voluntary redundancies due to a continuing restructuring of the business.

While revenue from letters dropped by 20.5%, parcel rose by 33.2%.

Royal Mail said that on its busiest day it processed 2.5 million tracked parcels while its international parcels business, GLS,

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Bloomberg Businessweek reporter Gruley to retire

Bryan Gruley

Bryan Gruley, a reporter at large for Bloomberg News and Bloomberg Businessweek, is retiring.

He has been with the news organization since September 2011, writing big features about everything from oil to hockey, from John Deere to Kim Dotcom, from yogurt to marijuana.

Gruley was previously the Chicago bureau chief of The Wall Street Journal, where he worked for 25 years. He shared the Journal’s Pulitzer Price for coverage of the Sept. 11 terrorist attacks.

Gruley is also a book author. His latest book is “Purgatory Bay,” which came out earlier this year. He also wrote the Starvation Lake trilogy — “Starvation Lake,” “The Hanging Tree” and “The Skeleton Box.” The debut book, “Starvation Lake,” was an Edgar finalist and won Anthony, Barry and Strand awards.”

 

 

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