This is my first post in this forum. My son showed me this forum in hopes of me getting some good advice.
I was desperate to start a business. I needed something for my daughter and myself.I didn't do enough homework though and jumped into it rather quickly. A costume jewellery shop was available and the lady said if I didn't make a decision within a day they would give it to their uncle. I bought the business for R250,000. That included the fittings,stock and goodwill with rent of R15,000pm. However, a month after I bought it the centre ran into problems.The escalators by my shop stopped working...for 18 months, shops around me closed down and the movie house and restaurant.I was left with a 2 year contract to fulfill. The investors decided to renovate and those started in Nov 2007. It is now September and I have battled to carry myself financially.
Things have picked up a bit...but not much.I have really tried to have good stock in the shop, renovated and have 820 on my data base.I send sms's every month and have offered free gifts when they come into my shop. I feel so desperate as Im just not getting the feet into the shop. Now my landlord has told me I need to sign another lease for 3 years.I have tried everything in my power to make this business succeed, but Im losing money every month. The contract states that should the landlord do renovations there is no action we can take against them.However, it is because of the renovations I'v almost lost my business. Should I let my lease run out, it is required of me to sell all my fittings, take up the floor and paint the shop.I will in essence lose everything? should I cut my losses?
Is there anybody who has had something like this happen to them who could give me some advice?