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Halliwells to tough it out in Sheffield after exits

Steve Austin had a problem in space at it cost $6 Million to sort it out and rebuild him. Halliwells Chief Executive Ian Austin also has a problem in terms of space. He has too much of it in Manchester, London and Sheffield. Discreet subletting at a loss solves little. Space will not pay the rent, space created by people departing will not pay the bills and space will not pay down the £20 Million of debt. When the departing partners have served their notice periods and marched out of the door with the best assistants and clients, the true impact of all of that space will be there for all to see. The next 12 months is bound to deliver less fee income because empty space delivers nothing but anxiety. If vanity dictates a desire to keep the space then it seems that the management team have plenty of empty space between their ears, although we suspected as much following the reverse premium debacle. Yet more empty space as others "wise up" seems the most likely outcome in the short term.

8-Mar-2010

6:20 pm