OWNERS of a popular coffee shop in Bradford have been left devastated as the rising cost of living forced them to close their doors last week.
Tiny’s Coffee shop, which has been in Queensbury for three years, put out a Facebook post last week to explain that they would be ‘closing with immediate effect’ last Thursday (18 August) as the rising cost of energy, and increase in prices from suppliers meant their business was no longer sustainable.
Owner, Karl Barraclough and his wife have said it was a “heartbreaking” decision but they couldn’t continue paying up to £1,000 a week out of their own pockets to keep the business going.
"It was always a bit of a dream to open a business in Queensbury where I grew up.
“But since Covid, we never really recovered and it comes to a point where you have to think 'is it really worth carrying on?'
“We use a lot of good local products which are more expensive, and it's just not viable anymore and we can’t continue to work for nothing. We’re paying to work.”
Karl explained that the rising energy costs are one issue, but suppliers have started to reflect the rising costs in their prices, which has meant that some even charge a surcharge for petrol when delivering their produce.
“We’re £1,000 a week down on some weeks. We have to find the money to put back into the business ourselves. We are fortunate because through Covid we had jobs, and that helped us with our business but we shouldn’t have to go out to work to run the business,” he said.
Karl added: “When I go out, I watch how people shop and everyone uses small trolleys now, you see people umming and arring whether to get the pot of Lurpak because it's £5 or £6 so people are very money-conscious.”
An annual study called The Simply Business SME Insights Report published by a small business insurance provider, Simply business, found that seven out of 10 small businesses in Yorkshire & the Humber could be at risk of collapse due to the rising energy costs.
It also found that over two-thirds (67%) of SME (Small and medium-sized enterprises) owners in Yorkshire & the Humberside say rising fuel and energy costs are one of their greatest threats to survival.
And 87 per cent of small business owners lost an average of £20,981 each over the last two years, with many still suffering financially.
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