The rise in the National Minimum Wage (NMW) and National Living Wage (NLW) will have an impact on the viability of many Equestrian Businesses.
We look at how one employer is planning ahead whilst ensuring good employment remains.
The Equestrian Employers Association (EEA) understands the huge impact the continued rise in the NMW and NLW will have on equestrian businesses and the need to ensure good employment practices exist.
Fiona recognises that all her employees work hard, and so she places great importance on supporting their career progression and right to good employment practices. Fiona uses the EEA Contract Creator to ensure all her employees have a contract of employment, which is a legal requirement, and ensures her business is protected.
Any contractors have a contract of services issued to them.
“I think it is important to offer flexibility, for example, some of my team just work within school hours which allows them to work but still support their family. I always encourage additional learning opportunities within the team to support career progression and the development of new skills.”
With an increased annual wage bill of over £10,000, Fiona has had to think outside of the box and put solutions in place to ensure her business is sustainable. “I am setting up my own Community Interest Company (CIC) that can be home to all the fantastic outreach and educational work the centre does, as well as somewhere that can further support riders with a disability. This will hopefully result in being able to apply for funding for the work in these areas.”
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It is due to this wonderful work, that at this time, Fiona has decided not to look to reduce the services that the centre offers, as she sees how what they do has a hugely positive impact on the mental health and wellbeing of the local community – the centre is their safe place.
It is unfortunate that Fiona, as is the case for many, has found herself having to raise prices to clients. "Unfortunately, I have found myself in a position where I have had to increase the prices to clients, which is always a gamble and can be especially difficult when you understand the financial pressures that parents already face for lessons. To help combat this we now offer a discount to those who buy in bulk.”
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Lessons aside, from a practical point of view, the cost increases have been applied to the “added extra” services that are not core to the business. Therefore, if the uptake is lower than usual, it won’t affect the financial wellbeing of the centre.
We talk through starting the conversation with clients about price increases in our blog: Need to raise client charges.
Working as a team
Fiona is really bringing her team along for the ride! To ensure they understand the financial impact of everything they do and how they fit into delivering quality services and care, Fiona is going to be running a training evening for them specifically on this.
"We will work through several scenarios and talk about who this will affect – in terms of clients, staff, the public, and the horses. The main aim is for my team to see the value of what they contribute and how not to waste money. I believe that everyone has their part to play in the sustainability of Kingsmead Equestrian Centre.”
In summary, Fiona is committed to ensuring that good employment practices, education, and great communication are at the heart of her business so that it remains a sustainable one.
Whilst recognising that the financial impact of the rise is concerning, Fiona is proactive in her approach and is making changes now, in order to future-proof her business.
The EEA is here for you and your business. If you need support, you can get in touch with us at any time here. If you’re not a member yet have a look at how we can help you.