Retail Food Project
In May 2009 Overcorp owner Rick Overton launched into a new project in the retail food industry with the lease and investment in a former butcher shop in his local area of Ferny Hills. The premises had been taken on for a twelve month feasibility study in retail fresh foods, with the primary product range being premium quality meats and later expanded into fruit and vegetables and a range of gourmet foods.
The business was closed down for eight months despite being established in 1978 and with no-one to take on the shop Overcorp determined that the opportunity could complement it’s desire to re-launch it’s home delivery services division that was being developed as part of it’s Ausco Foods project.
Consequently the lease had been signed as a joint tenancy between Ausco Foods and the new business Ferny Way Meats ‘N’ More. The initial lease was for twelve months with a three by three year option. It was intended to build up the business with the view to supporting the logistics for the home delivery business in addition to the potential of developing a new hybrid style of butcherless retail meat outlet with old fashioned, localised service and quality.
The business was wound up after the initial twelve month trial as the financials were not reflective of initial expectations and with the turn of the economy and global trends it was determined to exit in order to consolidate the cash flows of other Overcorp projects. Some valuable lessons were learnt as a consequence of the experience and new knowledge and insights were gained, particularly with regards to small business in the ever challangeing world of local business anchored in aging and less relevant strip shops trying to compete with the majopr supermarkets and shopping centres.
Overcorp has since developed a new and profitable relationship with a valued client in the pet food industry with ongoing sales as a result of this venture and looks forward to re-couping some of our initial investment with future returns.