Riding the roller-coaster

The story of the Novar Arms is one that many readers of Caterer can relate to. It's a small 17-bedroom hotel run by two hoteliers who make up in dynamism and good ideas what they lack in funding. But in the year they've been at the Novar Arms, proprietors Robin Murray and Stan Egan have not had an easy ride.

"It's been a roller-coaster of a year," confessed Murray at a recent open day, attended by readers of Caterer and sponsored by American Express. For example, it was only after months of protracted negotiations that the Novar Arms fell to Egan and Murray. The first few months saw some lucky breaks, extended corporate business tiding the pair through the handover period.

And then autumn arrived. "It was as if someone had closed a gate to Scotland," recalled Murray. With limited capital and cash-flow already on a tight leash, Egan and Murray had to decide how to plan for the future.

Should they go for the local market and build a function room? Or should they build more rooms, potentially wooing the coach market? Eventually, they decided in favour of the former, a £42,000 investment, but one which has already staged conferences and other events during lean months. It was in this room that the open day took place.