It's no secret that running a hospitality business in the UK can be challenging...

In Ramsgate, this is no different. As they do up and down the country, local businesses strive to succeed amongst a range of economic challenges.

One café and bar is facing an uphill battle due to what its co-owner claims is an administrative error.

Stuart Langley, who runs Seabird alongside his business partner Damian Williams, finds himself caught up in a dispute with Thanet Council over an unpaid business rates bill.

The council's action to send in Enforcement Agents has escalated costs and, according to Langley, harmed the establishment's reputation and trade.

Seabird is entitled to 100% small business rate relief (SBRR).

However, the council issued a bill for the period from June 12th 2023, to June 30th 2023, claiming that proof of occupancy had not been provided.

This initial charge of £239.64 has risen to £550 due to liability order costs and additional Enforcement Agent fees.

Stuart acknowledges that there was a mistake in filling out the forms and that's where the lesson lies. There may be mitigating circumstances, but the council are responding to the details they received in the form.

This shouldn't mean they can't change their minds though, if you ask Stuart.

The café was occupied once the lease was signed on June 12th. The frustrated owner says that rent was being paid, and work was being carried out daily to decorate and refurbish the site for its upcoming opening.

Stuart claims he was provided crucial documentation including a copy of the lease, rent invoices and receipts for the work completed during that time. He also provided advertisements posted for staff.

Despite his efforts, Thanet Council has requested additional items such as dated photographs of Stuart and Damian in the property, dated social media posts ad proof of stock deliveries.

Stuart wasn't best pleased with this request, saying:

"I'm not sure who Thanet Council thinks we are, but we are a small independent business making good things happen in Ramsgate within a difficult economic environment. This means we don't have photographic evidence of everything we do, and it also means that, on occasions when we are rushing to dour our work, we complete forms incorrectly. We don't have the money to pay bills we are exempt from paying."

He adds that during this busy period, they were not trading, hence the lack of receipts for stock deliveries.

"We made a very simple admin error on a form. Thanet Council has seemed open to resolving it but is asking for very specific things that are not realistic."

A spokesperson for the council stated:

"We were advised that the current tenants took over the lease in Addington Street, Ramsgate from June 12th 2023, with an occupation date of July 1st, 2023. While we cannot provide in-depth comments on individual cases, we can only apply Small Business Rates relief at the point at which a property is occupied. We have a robust reminder process in place for business rates and are satisfied that we did everything possible to avoid enforcement action, which is always our last resort."

The ongoing struggle between Seabird and Thanet Council highlights a critical lesson for all business owners - the importance of thorough checks and accurate information.

This situation could have been mitigated through careful attention to detail at the outset.

A comprehensive understanding of requirements can prevent administrative errors that lead to significant consequences.

When managing essential paperwork, it's imperative to double-check all submissions and ensure that all necessary documentation is readily available.

Regular audits of business records can also help ensure compliance and identify potential issues before they escalate into larger problems with local authorities.

This case serves as a reminder that diligence in administrative processes is crucial for maintaining business viability.

Could the council have been more understanding?

Probably.

Are they doing anything wrong?

Technically, no, and neither are the Enforcement Agents who are simply acting on instructions.

We don't know how the situation in Seabird was handled when the Enforcement Agents attended, but Stuart's experience underscores the importance of proactive management and the need to track progress.

Keeping a record of occupancy and all activities related to the business could have provided the evidence needed to settle this dispute long before it reached this stage.

Ultimately, for small businesses navigating the complexities of regulations and tax exemptions, the lesson is crystal clear.

Meticulous attention to detail and systematic checking can save time, money, and most importantly, the peace of mind needed to keep primary operations running smoothly.