THE FRAGILITY of the post-Covid hospitality industry was laid bare this week as it was announced that the company behind one of the area’s most prestigious venues has entered administration.
Owners had attempted to sell Inveraray’s George Hotel last August, but failed to find a buyer.
The hotel, trading as Inveraray Inn Ltd, employs some 60 people and has been recognised within the Scottish Hospitality trade for decades, achieving many accolades including SLTN Whisky Bar of the Year 2021, Inn of the Year at the 2020 Scottish Hotel Awards, Sunday Mail Pub of the Year, Outdoor Bar of the Year 2021 and 2024, and runner-up Scottish Hotel of the Year at the Scottish Hotel awards 2024.
Most recently, The George was awarded an AA Rosette in July 2024.
The recently added Garden Bar has been home to a number of summer festivals in recent years, and the George is an established venue on Scotland’s live music circuit.
However, historic debts forced directors to call in the administrators.
Proprietor Kris Clark has spoken to this newspaper many times about the difficulties in running a hospitality business as costs rise and staff become more difficult to find.
Kenneth Craig and Kevin Mapstone of Begbies Traynor were appointed as joint administrators of Inveraray Inn Ltd trading as the George Hotel on March 28.
Both the administrators and Thomas McKay, a partner at Begbies Traynor, will now supervise business operations as the hotel business continues to trade, providing accommodation, food and public house services, while efforts are made to find a buyer on the open market for the 160-year- old boutique hotel and inn.
“The directors have taken the difficult decision to place the George Hotel into administration as a result of historic debts which were crippling the cash flow of the business,” said Thomas McKay, who is overseeing the trade and sale process with the administrators and their staff.
“The business has been in the Clark family for seven generations and their priority was to safeguard the jobs and future of the 60 full and part- time employees. The hotel has a fantastic history and beautiful location, offering excellent accommodation and food. The staff have also been fantastic in their hard work and everyone is determined to find the best possible outcome for the benefit of all stakeholders.”
He added: “We ask the local community and customers further afield who wish to use the hotel, as well as the subscribers to the hotel – over 25,000 of them – to continue to support and visit the venue as usual as we seek to find a buyer for the business as a going concern.
“The George offers fantastic services which are critical to the community of Inveraray and nearby local towns.” Mr McKay added: “We are now entering the spring period with summer trade to follow, so it is business as usual and we are fully open for trade as a hotel, which we believe will be attractive to many interested parties.
“For the time being we will start to market the business and the management will focus on trading the venue profitably with the support
of the hotel’s loyal customers and staff.”
The 24-bedroom boutique hotel is located on the western shore of Loch Fyne and has won many awards for its accommodation, bar and food.
Administrators say the hotel will continue to honour bookings and they hope that the support of the local community, and continued trade from tourists and visitors, will ensure the business will attract a new owner and safeguard the jobs that might otherwise be lost.
“The business has a great reputation both as a restaurant and bar, and as one of Scotland’s most historic hotels, and we’re confident that a suitably qualified buyer will want to take over the reins of the George,” said joint administrator Kenneth Craig of Begbies Traynor
“We will operate marketing events in the normal way as we continue to service bookings through trading”.
Potential buyers and interested parties can find out more about the George Hotel and make enquiries directly with Begbies Traynor through its Glasgow office.
The company in administration is not connected in any way with the Inveraray Inn, a hotel by the same name in Inveraray.
One Inveraray local told this newspaper: “This is incredibly sad. “In many ways the George is the heart of the community here. We’ve all been to family celebrations and special days and nights in the George.
“I hope Kris and Donald Clark – and the loyal staff – areOK.”
