# Has anyone here started a successful business in Spain?



## Sirtravelot (Jul 20, 2011)

I'm wondering about this. I've heard so many stories of failure, is there at least something positive?

The only time I heard a successful story was when I saw a documentary about a British guy who made a fortune importing and selling lots of British foods in Spain to the British.


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## jojo (Sep 20, 2007)

If you'd asked this question 10 years ago, you'd have had lots of replies. The recession and overkill has made things very difficult. The only people I know who have a successful business in Spain. actually work on line doing web design for mainly companies in the UK and could live anywhere in the world but chose Spain, But it would be nice to hear some positive replies to your question

Jo xxx


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## mrypg9 (Apr 26, 2008)

This of course begs the question : what constitutes 'success' ?
Many owners of recently-started small businesses here have closed, others are hanging by their fingertips. They are 99% Spanish-owned and run.

My OH, a successful UK businesswoman, often expressed the thought that a company director/self-employed person has to create a sufficiently large profit to make all the hassle of being self-employed worthwhile.

On that definition, I doubt many businesses here are truly 'successful' although of course the law of averages means a few must be.

I'd ask myself itf it was worth the hassle.


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## 90199 (Mar 21, 2010)

My friend runs a new and second hand car business, he employs a mechanic for repairs and servicing, he always seems to be busy.

His wife works for another of my friends, who took over a failed restaurant/bar, that was over a year ago. 

So I would say that both are a success, or they would have ceased trading.


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## tonyinspain (Jul 18, 2011)

A successful business here whats successful is it making loads of money NO
Is it weathering the storm YES
I would say most businesses here are struggling whether a bar , English shop , b&b unless you have a captive cliente then yes businesses are struggling even more so when like my village has lost 80 people unemployed 
I own a bar not on the coast 
inland and i just about make ends meet in fact my staff earn more than i do but whats the point of adding more people to the already high unemployment
So as long as its ticking over i feel im a success at least im working and in this climate i thank him above for that privilidge
All anyone that has a business here can do is keep hoping things will get better


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## Freshmanwills (Feb 3, 2013)

Totally agree success is dependant on your view. I had a small holiday let and it was very successful. I had to sell it on due to ill health, but the success wasn't loads of money, it was a good turnover and a lot of returning clients, which was very rewarding knowing I had gotten the market spot on. I could have expanded on it but, a life choice was made health or business, The thing you are looking for is a niche in a very flooded market which is very difficult at best


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## tonyinspain (Jul 18, 2011)

Freshmanwills said:


> Totally agree success is dependant on your view. I had a small holiday let and it was very successful. I had to sell it on due to ill health, but the success wasn't loads of money, it was a good turnover and a lot of returning clients, which was very rewarding knowing I had gotten the market spot on. I could have expanded on it but, a life choice was made health or business, The thing you are looking for is a niche in a very flooded market which is very difficult at best


Very true Freshman


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## mrypg9 (Apr 26, 2008)

Having a full order book or many customers/clients does not mean a business is 'successful'. The business may, as Tony rightly points out, be merely weathering the storm.
I don't know if the expression 'busy fools' is current here but I have heard it applied to businesses which have cut prices to the bone simply in order to keep their heads afloat while earning a profit less than what they would receive if they were a waged employee of their own business.
Many people have no choice other than to keep going but activity doesn't always denote success. 
Having seen at first hand just what is involved in running two businesses with a total payroll of twenty-five -scarcely IBM - success to me means a large profit. Otherwise it's hanging on. You need tangible reward over and above the norm for al that stress and effort.
The physical and mental stress of earning that profit caused OH to say one day that she'd had enough. Three months later we had left the UK for good. A year later and we had sold all properties we owned. We now live a most enjoyable quiet life.
I was a Director of OH's Companies but in name only. I was employed in the public sector, received a good salary and didn't need to worry about my taxes, insurance, had one hundred days sick leave per annum on full pay, long holidays....all arranged for me by my kind employer.....
The experience of having a foot in both camps as it were taught me a lot and opened my eyes to many things. It changed my political views for one thing.

I can honestly say that whilst being your own boss has a theoretical appeal and is very alluring to many, having the experiences I've had has convinced me that if I am reincarnated I shall never run my own business, whether large or small.
And certainly not in Spain!
I have the greatest respect for the energy and fortitude of those who do in these trying times.


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## Pesky Wesky (May 10, 2009)

Hepa said:


> My friend runs a new and second hand car business, he employs a mechanic for repairs and servicing, he always seems to be busy.
> 
> His wife works for another of my friends, who took over a failed restaurant/bar, that was over a year ago.
> 
> So I would say that both are a success, or they would have ceased trading.


I don't know, but I think sirtravelalot is talking about people from the UK. I thought you had said in other posts that there weren't any on the island.

As for successful businesses what about steve in spain and various legal firms like advoco. sat the satellite person too...


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## 90199 (Mar 21, 2010)

Pesky Wesky said:


> I don't know, but I think sirtravelalot is talking about people from the UK. I thought you had said in other posts that there weren't any on the island.
> 
> As for successful businesses what about steve in spain and various legal firms like advoco. sat the satellite person too...


Could well be, however with over 30% unemployment and a 20% decrease in the population, the two entrepreneurs are really bucking the trend.

We have also had a 20% decrease of Expats from England, it appears that one has left!!


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## Stravinsky (Aug 12, 2007)

Sirtravelot said:


> The only time I heard a successful story was when I saw a documentary about a British guy who made a fortune importing and selling lots of British foods in Spain to the British.


Like Iceland, you mean?


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## Sirtravelot (Jul 20, 2011)

Stravinsky said:


> Like Iceland, you mean?


Kind of, yes. But this was ages ago, he started it during the 80s as soon as Spain became a popular holiday destination. I can imagine some things would have been a lot easier then.


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## Stravinsky (Aug 12, 2007)

Sirtravelot said:


> Kind of, yes. But this was ages ago, he started it during the 80s as soon as Spain became a popular holiday destination. I can imagine some things would have been a lot easier then.



Yes for sure. In fact, I'd probably say right now in this economic climate such a business will struggle to make it.


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## expatspain (Feb 27, 2013)

I think overall it is very difficult to make a successful business in Spain due to the laws and regulations making it almost impossible.

A friend of mine has taken over a restaurant lease over a year ago and is still waiting to get the building liscence to do some minor reforms, in the meantime he could have been in business employing several staff, paying social security and taxes and taken these people of the dole queue, NOT in Spain, a year on still no liscence and he is starting to run out of money because he has to pay the rent for the premises, social security for himself and has to feed his family. By the time he gets the liscence he has probably gone bankrupt. Stupidity the Spanish way ! Makes you wander whay they are nearly bankrupt as a country...


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## tonyinspain (Jul 18, 2011)

expatspain said:


> I think overall it is very difficult to make a successful business in Spain due to the laws and regulations making it almost impossible.
> 
> A friend of mine has taken over a restaurant lease over a year ago and is still waiting to get the building liscence to do some minor reforms, in the meantime he could have been in business employing several staff, paying social security and taxes and taken these people of the dole queue, NOT in Spain, a year on still no liscence and he is starting to run out of money because he has to pay the rent for the premises, social security for himself and has to feed his family. By the time he gets the liscence he has probably gone bankrupt. Stupidity the Spanish way ! Makes you wander whay they are nearly bankrupt as a country...


Not to mention the competitions dirty tricks like sending the Sanitation round to my bar before a major festival to close me down it backfired as i passed with flying colors and he didnt anyone who says starting a business here is easy is deluded 
The red tape alone is formidable let alone trying to reform i really wish him well and hope its resolved quickly


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## lenox (May 26, 2009)

there's an English-language freebie that has done _remarkably_ well...


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## Overandout (Nov 10, 2012)

expatspain said:


> I think overall it is very difficult to make a successful business in Spain due to the laws and regulations making it almost impossible.
> 
> A friend of mine has taken over a restaurant lease over a year ago and is still waiting to get the building liscence to do some minor reforms, in the meantime he could have been in business employing several staff, paying social security and taxes and taken these people of the dole queue, NOT in Spain, a year on still no liscence and he is starting to run out of money because he has to pay the rent for the premises, social security for himself and has to feed his family. By the time he gets the liscence he has probably gone bankrupt. Stupidity the Spanish way ! Makes you wander whay they are nearly bankrupt as a country...


I will probably be flamed for this, because "we" are British and supposed to be upstanding and respecting of the laws and regulations regardless of how stupid they are...

But why has your friend not done what any self respecting local would have done and gone ahead with the works and opened regardless? What's the worst that could happen?

A freind of mine runs a restaurant in Madrid in an popular square, he has a license for something like 5 tables in the square, but all the neighbouring restaurants put out 20 - 30 tables, so he does too. Once or twice a year the town hall sends inspectors round. They confiscate the tables and chairs of all the infringing restaurants and slap on a few thousand €s of fines. But as my friend says, so what? They make much more by operating all summer than they pay in fines. The day after the inspections, they just go and buy new furniture and set up again.

Their application to increase the license to cover the real activity has been lodged by the way, but a few years ago and it's still in process.... meanwhile, its business as usual....

Sometimes we make things difficult for ourselves by tring to abide by every rule when those around us just get on with life.


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## Susanita001 (May 28, 2012)

Just thought I would post as my OH has set up a successful business rather against the odds. We have a small language school that we set up in 2007, not exactly the best time. The same year we had our second child and moved house to our rebuild. 
I say it was against the odds as the original plan was a hotel rural (very glad we didn't do that) then buying and doing up properties (really glad we didn't do that either!)
The last five years have been incredibly difficult financially. It is very difficult to know your expenses from one months to the next and even more difficult to be legit in everything - three gestores over this time and all three have tried to help us "cut corners" to our financial advantage but not really above board. 
We still have problems getting to the end of the month but with 200 students on our books and two teachers employed I feel we are incredibly fortunate and having weathered the storms of the past five years I feel that we are a success story.


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## señorgringo (Apr 5, 2012)

jojo said:


> If you'd asked this question 10 years ago, you'd have had lots of replies. The recession and overkill has made things very difficult. The only people I know who have a successful business in Spain. actually work on line doing web design for mainly companies in the UK and could live anywhere in the world but chose Spain, But it would be nice to hear some positive replies to your question
> 
> Jo xxx


Yeah, you basically are describing me. Moved to Spain less than a year ago and am running a trading blog out of the U.S. No way would I start a business here right now but it may be a great time to buy up cash strapped Spanish companies for pennies on the Dollar. Think long term. But starting something from scratch here? Not sure what your scope is but there are easier fish to fry - places with less regulation and growing opportunities. Think Chile.


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## señorgringo (Apr 5, 2012)

Overandout said:


> I will probably be flamed for this, because "we" are British and supposed to be upstanding and respecting of the laws and regulations regardless of how stupid they are...
> 
> But why has your friend not done what any self respecting local would have done and gone ahead with the works and opened regardless? What's the worst that could happen?
> 
> ...


When moving to Spanish speaking countries watch the locals and learn which laws they abide to and which ones they blatantly ignore ;-)


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## Guest (Mar 9, 2013)

My wife and I had a successful business in the UK. The secret of having a successful business is to know your business, know your customers, sell or work with a product you know and understand, and if possible corner the market. Many people come to Spain over the years just to run a business with the hope of making a go in the sunshine. So many have gone home now. Having said that, I come from a family who have businesses in Spain. I also have friends who have their own business here. They all have one thing in common, they all have to put in long hours just to stay afloat, so to speak. Yes you can do it, but whether here or in UK, you have to be totally dedicated to your business. Life at the moment is difficult, so choose what you want to do very carefully, but more than anything, research thoroughly before making the ultimate decision. Good luck!


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## neilmac (Sep 10, 2008)

Yes we had a very successful business offering a different type of tourism- we stopped through choice about three or so years ago and we still get enquiries with no updating of our website which was the only marketing we did.

Don't forget there is a lot of wealth out there you just have to think of a way of harnessing it!


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## mrypg9 (Apr 26, 2008)

Tejeda said:


> My wife and I had a successful business in the UK. The secret of having a successful business is to know your business, know your customers, sell or work with a product you know and understand, and if possible corner the market. Many people come to Spain over the years just to run a business with the hope of making a go in the sunshine. So many have gone home now. Having said that, I come from a family who have businesses in Spain. I also have friends who have their own business here. They all have one thing in common, they all have to put in long hours just to stay afloat, so to speak. Yes you can do it, but whether here or in UK, you have to be totally dedicated to your business. Life at the moment is difficult, so choose what you want to do very carefully, but more than anything, research thoroughly before making the ultimate decision. Good luck!


I agree 100% with everything you say, my partner and I having owned UK businesses successful enough, combined with my income, to enable us to take early retirement and move out of the UK.

It seems that a lot of would-be immigrants to Spain lack any knowledge of Spanish or how Spain works and although they have had little if any experience of running a business in the UK they imagine that running a bar or hairdressing business here in Spain will enable them to 'live the dream'.

I will never forget the hapless English couple who bought a bar in Benidorm, featured on anITV programme a few years back. Neither had business experience - he drove a lorry, she stacked supermarket shelves in the UK. Neither wondered why the bar they bought had been on the market for several years before they came along....
They spoke no Spanish, didn't even know how to tap a beer keg, spent the day moping around their bar, he in singlet, track suit bottoms and tattoos...
Needless to say they were obliged to call it a day, losing their savings. They had remortgaged their former council-house to buy the wretched bar.

Tbh, I didn't feel sorry for them. Architects of their own misfortune, ignorance and lack of basic market research.


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## Sirtravelot (Jul 20, 2011)

mrypg9 said:


> I agree 100% with everything you say, my partner and I having owned UK businesses successful enough, combined with my income, to enable us to take early retirement and move out of the UK.
> 
> It seems that a lot of would-be immigrants to Spain lack any knowledge of Spanish or how Spain works and although they have had little if any experience of running a business in the UK they imagine that running a bar or hairdressing business here in Spain will enable them to 'live the dream'.
> 
> ...


I don't understand that. First of all how someone without any knowledge of Spanish or Spain can get the idea to do something like that. Second, why do these TV programs do this? Why can't they follow someone who actually knows what they are doing? To show the reality of it all.


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## webmarcos (Dec 25, 2012)

Interesting article from an expat mag covering the Costa Blanca - they list 10 expat businesses that are successful. Maybe something to learn from these examples - although we can't be sure that they are doing as well as stated...

http://www.allabroad.es/?p=2395



> I don´t know if you read one of the UK tabloids last month as you were cleaning out the budgie but…there seems to be a (desperate) search by the British media to highlight those expats who are struggling out here – but only those. When I’ve replied to their emails and tweets asking why they don´t feature those expats out here who have made a go of it, despite the economic climate the response is always the same – none…
> So, as a thanks (and a pat on the back) to those businesses that are doing well out here we´ve decided to take the bull by the horns and feature just a few of the many that have made a commercial success of their time here.


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## mrypg9 (Apr 26, 2008)

webmarcos said:


> Interesting article from an expat mag covering the Costa Blanca - they list 10 expat businesses that are successful. Maybe something to learn from these examples - although we can't be sure that they are doing as well as stated...
> 
> All Abroad » Blog Archive » Ten expat businesses that are GOING FOR IT in Spain!


Well, of course there are businesses which will do well - although the definition of 'doing well' is rather elastic in these times of crisis. As Tony pointed out, 'doing well' may mean bare survival.

I could compile a list of ten businesses in this area that have failed in the past six months.

The tv programme I referred to, I think it was called 'Spain, Paradise Lost', showed the hapless couple I described because these things make good tv and they were rather dense, tbh. But on this Forum we get posts from people with no real business experience aiming to start a bar, cafe, hairdresser etc. in Spain.

It's not helpful when immigrants already here post things like : 'There's a hairdresser in my village/itown doing really well'.
Well, yes, but start another business in that area? Or in any other area with thriving businesses of the kind you wish to start?
There's only so much of the cake to slice.

People tell you that with the right plan ad the 'right attitude' you will succeed. Anyone with real business experience will laugh at that. Of course those qualities are needed....But sheer bad luck, the loss through no fault of your own of a valued customer, the refusal of a bank to lend for investment in your business, illness of key employees..

If hardwork and optimism were all that were needed my OH and I would have a Maserati parked outside the door and the maid would be serving coffee. As it happens, we did alright....but in the face of many setbacks and events totally out of our control.

I'm not spreading doom and gloom...I'm being realistic.


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## webmarcos (Dec 25, 2012)

Oh yes, it's not just a case of working hard, otherwise everyone could make it - you have to work smarter and hope to get the breaks.
I know a bar in the Malasanya area of Madrid, the Triskel, that's been going for over 10 years. When the crisis started they found that takings were down in the week - weekends were fine as the regular expats used to congregate to watch football, rugby, US football etc. So they started organising events during the week like comedy nights, open-mic nights, dating events, business networking; plus the landlady (from Brum) put a lot of effort into social networking on the web, promotions etc. The result is that the pub is busier than ever. I'm still unsure as to whether this is a good outcome, but it inspired a regular called Bruno to open up his own bar (the Snooty Fox) in Madrid. So far as I know that place isn't doing too badly either, but I can't be 100% sure on that as I've only ever been there once.


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## Earnie (Nov 3, 2010)

*maybe*

too many people come to Spain and expect to live a certain laid back lifestyle whilst expecting to grow or have a successful career/business, it isnt going to happen! Like anywhere you need to work hard, no drifting off to the bar for long lunches or free time at the weekend.


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## Susanita001 (May 28, 2012)

Earnie said:


> too many people come to Spain and expect to live a certain laid back lifestyle whilst expecting to grow or have a successful career/business, it isnt going to happen! Like anywhere you need to work hard, no drifting off to the bar for long lunches or free time at the weekend.


 Sunshine and tv programmes have a lot to answer for... 
If they knew the truth they would mostly stay put. Most businesses take over your life. There is nolonger any such thing as disconnecting. The weight of responsibility is overwhelming and if, as in our case, you have a young family too you can kiss any "free" time goodbye for a couple of decades.
Hmmm can you tell I am not in a good place today?!


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## Stravinsky (Aug 12, 2007)

Susanita001 said:


> Sunshine and tv programmes have a lot to answer for...
> If they knew the truth they would mostly stay put. Most businesses take over your life. There is nolonger any such thing as disconnecting. The weight of responsibility is overwhelming and if, as in our case, you have a young family too you can kiss any "free" time goodbye for a couple of decades.
> Hmmm can you tell I am not in a good place today?!


You're not in a bad place, you're in a truthful place.

I'm an ex business owner, and I can truthfully say that throughout the 90's almost all I did was work. From early in the morning until at least 7 in the evening. Saturdays, sometimes Sundays and as I was the key holder for our warehouse I was often called out for alarms in the middle of the night. And this, when I had 25 people working for me.
You never get away from the responsibility of owning your own business. Even on my annual holiday, my phone was always on .... just in case. You live it. You sleep it, and so do your family.

Transfer that to Spain, where you don't know the system and you have to battle with such desperate competition, and that probably explains to you why I would never consider starting even a small business in Spain and am surprised why anyone would consider it in the present economic climate


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## xabiaxica (Jun 23, 2009)

Susanita001 said:


> Sunshine and tv programmes have a lot to answer for...
> If they knew the truth they would mostly stay put. Most businesses take over your life. There is nolonger any such thing as disconnecting. The weight of responsibility is overwhelming and if, as in our case, you have a young family too you can kiss any "free" time goodbye for a couple of decades.
> Hmmm can you tell I am not in a good place today?!


I could have written that myself!!


my business takes up part of every day, even when I don't have classes - I do now mute the phone at the weekend though, because some students simply couldn't wait til the next lesson to ask a question, or e-mail it so that I could answer at my leisure............. they insisted on phoning me at all sorts of inconsiderate times on a Sunday 

now, if it doesn't ring, I'm not tempted to answer it


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## Susanita001 (May 28, 2012)

Are we in the same business? Do you have a language school too?


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## xabiaxica (Jun 23, 2009)

Susanita001 said:


> Are we in the same business? Do you have a language school too?


I'm a one-woman-band  - although I do occasionally sub out translations 


I had planned to open a language school before 'la crisis' hit -got as far as looking at premises & talking to my gestor about licences, but decided that it wasn't the right time to spend money when I was doing fine without all that

hopefully I won't be too long in the tooth to do it when it's eventually over!


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## Susanita001 (May 28, 2012)

xabiachica said:


> I'm a one-woman-band  - although I do occasionally sub out translations
> 
> 
> I had planned to open a language school before 'la crisis' hit -got as far as looking at premises & talking to my gestor about licences, but decided that it wasn't the right time to spend money when I was doing fine without all that
> ...


Well good luck with it!
We have been in business since 2007 and business is still rising. My hubby runs it and now has a full time teacher and a part time teacher alongside him. I know what you mean about the phone. But probably the worst thing is the supermarket visits where he feels he has to keep his head down as all the mother recognise him and want to talk!
Let me know if you get it off the ground - and if you have any questions we can help with.


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## xabiaxica (Jun 23, 2009)

Susanita001 said:


> Well good luck with it!
> We have been in business since 2007 and business is still rising. My hubby runs it and now has a full time teacher and a part time teacher alongside him. I know what you mean about the phone. But probably the worst thing is the supermarket visits where he feels he has to keep his head down as all the mother recognise him and want to talk!
> Let me know if you get it off the ground - and if you have any questions we can help with.


I've been going since around then - & I have over 70 students who I manage on my own (mostly in groups) & another dozen or so due to start after Easter - but at the moment I'd rather not pay out for premises, especially when I have seen 3 of the 5 academies in the town close down, & the other 2 are struggling - one is even advertising a lower hourly rate than I charge!!


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## Susanita001 (May 28, 2012)

xabiachica said:


> I've been going since around then - & I have over 70 students who I manage on my own (mostly in groups) - but at the moment I'd rather not pay out for premises, especially when I have seen 3 of the 5 academies in the town close down, & the other 2 are struggling - one is even advertising a lower hourly rate than I charge!!




Probably best to stick with what you are doing then as you say. We are lucky because we are the only " native" academy in our town, but it was when we got the premises, first teacher etc that the expenses really kicked in!!!!


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## mrypg9 (Apr 26, 2008)

Susanita001 said:


> Sunshine and tv programmes have a lot to answer for...
> If they knew the truth they would mostly stay put. Most businesses take over your life. There is nolonger any such thing as disconnecting. The weight of responsibility is overwhelming and if, as in our case, you have a young family too you can kiss any "free" time goodbye for a couple of decades.
> Hmmm can you tell I am not in a good place today?!


You certainly know what you're talking about.  Running two businesses on sites a few km apart with twenty-five employees, all but one male, was a nightmare for my partner. Because of the scarcity of qualified and experienced staff in her line of business, she could be held to ransome by fractious employees.
Her working day consisted of twelve hours, her working week of seven days. On at least two occasions she had to miss holidays at our place in rural Canada.....I took her mother, thus qualifying for posthumous beatification.

It makes me smile when people say that all you need to succeed is a good plan and hard work. On two occasions we lost valued customers worth £six figures - not because of any misdeed on our part, but because the companies relocated up north. Not to mention problems with lines of credit at the bank, customers, usually 'big' ones, delaying payment of invoices for£000s..

One day my partner just said she's had enough and we should pack it all in and leave the UK for the sake of sanity. We handed over a going concern to our General Manager and left for a new life in Prague. After a year in which he managed to almost run the business into the ground we sold up.

We could have made more money....for elaborate funerals for a few more years of that stress and worry would have tipped anyone over the edge.

The one phrase that sticks in my mind from all this was an often-heard mantra: 'If the customer says 'Jump', the reply is 'OK. How high?' So much for being 'your own boss'. The truth is, your business owns you.

People who think they can come to Spain, open a business, work all hours God sends and that this will automatically bring success need to see a psychiatrist or smoke different stuff.....


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