Teo Heng KTV To Close 7 Outlets But Founder Plans To Raise $1M

Karaoke bars and other entertainment venues in Singapore have been forced to close since the end of March following the government’s COVID-19 advisory.

This has undoubtedly been a difficult time for these companies, as the shutdown meant no income while having to bear overhead costs.

The most difficult obstacle is uncertainty – they have no idea how long they will be able to float when there is no guarantee when they will be able to reopen.

So it’s no surprise that Teo Heng KTV Studio decides to close half of its 14 outlets here to ease the burden.

The first two outlets to close will be Katong Mall and Sembawang Mall, as their leases will expire soon in August.

Its Katong outlet has already been released, and the Sembawang outlet will be next.

“Very bad” company

In an interview with the Shin Min Daily News, founder Jackson Teo has repeatedly said that the current business situation is “very bad”.

Jackson previously said his business would experience a loss of $ 500,000 for a one-month shutdown.

Since Teo Heng KTV was effectively closed for about four months, these losses have amounted to S $ 2 million.

Despite such huge losses, Jackson made the management decision to continue paying the salaries of all of its employees to help them through this difficult time. His company currently employs more than 100 people.

Founded in 1989, Teo Heng has been around for over 30 years and has since established itself as an affordable family karaoke studio in Singapore.

Jackson began by selling audiovisual equipment at the Katong Mall and discovered that young people loved to sing.

This inspired the idea of ​​starting his own karaoke studio. He then rented another unit at the mall on the first floor and opened Teo Heng KTV.

As they say, the rest is history. At its peak, Teo Heng KTV had 30 outlets in Singapore.

Describing the situation as a “natural disaster,” Jackson said he was unwilling to let his blood and sweat for the past 30 years simply drain away.

He plans to raise S $ 1 million and have one last fight to overcome this crisis. With the other points of sale, he hopes to recover the losses and reopen in six months.

“We are ready to consider closing half of the stores and keeping half of the hope. If the pandemic is over in six months, we can continue to operate and make a comeback without losing our money, ”he told the Shin Min Daily News.

“I am very afraid that I will not be able to open a business in six months, but I can only accept my fate.”

Featured Image Credit: Teo Heng KTV

Our sincere thanks to
Source link

Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *