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Business loan for dealing with World Cup lull
Reported on Wed, 14 Jun 2006
Any World Cup success for England over the coming weeks will not necessarily bring good news for all high street companies, warns a consumer finance analyst, but taking out a business loan could enable firms to see out a quieter period without struggling.
Richard Perks, director of retail research for market research firm Mintel argued that although some companies may have been boosted by pre-World Cup spending, a lengthy and successful tournament for England will ultimately keep shoppers off the high street.
With two-thirds of consumers saying they intend to stay in to watch all of the England games, he predicts a potential slump in profit for retail firms unprepared for the month.
"Anything that keeps people at home watching television and away from the shops has to be bad news for retailers," Mr Perks claimed.
He also commented that "the idea that women take advantage of football matches to go out shopping is largely mythical, indeed our research shows that only three per cent plan to do so".
Taking out a business loan could enable companies to ensure that their operations don't suffer during a temporary lapse in sales.
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