Conor McGregor’s Black Forge Inn pub and restaurant in Crumlin in Dublin 12 last year recorded losses of €1.136m.
New accounts filed by McGregor’s Jemi Ventures Ltd show that the losses last year of €1.136m followed losses of €441,649 in 2020.
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The business at the end of last December had accumulated losses of €1.578m.
The financial performance of the pub was badly hit by the Covid-19 pandemic last year.
A spokesman for the Black Forge Inn said on Wednesday after only being open for a few months of 2021 “The Black Forge Inn, like countless others, was impacted by the pandemic shut down and reduced hours”.
He added: “We knew we would be operating at a loss but we continued to serve the community and immediately ramped up once we were allowed to open.”
He said: “With our notoriously generous owner, Conor McGregor, sparing no cost in bringing all the excellence Ireland has to offer to our amazing pub.
“Now we’re starting to grow and the entire team takes pride in showcasing the best hospitality of Ireland, both for our country and our international guests to enjoy.
He added: “We are thrilled by how we’ve been embraced by the community and honoured at the recent Bar of the Year awards recognition.
He said: “The future is bright for the Black Forge Inn and the plans for the future are to expand our brand to be the most well known iconic Irish pub in the world. An example of this was seen by our mega successful Black Forge Inn pop up in Abu Dhabi for the Formula One Grand Prix last weekend.”
A note attached to the accounts states that the premises only opened to the public on July 26th 2021 “when Covid rules allowed indoor dining but at a reduced capacity”.
The note states that “the company did not receive any State assistance through grants or aid throughout the financial period”.
The losses last year would arise from investment costs and the expansion of the business where staff numbers increased from three at the start of last year to 46 last December as staff costs increased sharply.
The investment in the pub included €272,275 put on the value of newly purchased motor vehicles for the company last year.
The MMA fighter acquired the Crumlin pub in 2020 and Jemi Ventures Ltd last November secured planning permission from Dublin City Council for a large extension.
‘KEEN TO KEEP PEOPLE ENTERTAINED’
The spend on the pub venture has been financed by a loan of €5.33m and the net amount borrowed by the firm last year increased by €1.38m – up from €3.95m at the end of 2020.
The Black Forge website declares that the Black Forge will lead the way in entertainment in Dublin Twelve including concerts, sporting events and exclusive experiences stating “our owner is keen to keep his people entertained, and that is our commitment”.
The accounts filed by Jemi Ventures Ltd put a book value of €4.32m on the pub building and tangible assets at the end of last year.
The loss for last year includes a hefty €471,545 non-cash depreciation charge.
Buildings owned by the company had a book value of €2m while fixtures and fittings were valued at €2m.
CASH FUNDS PLUMMET
The company continued to plough fresh funds into the business last year with a total of €1.15m spent on the venture that along with the spend of €272,275 on motor vehicles, a further €759,745 was spent on fixture and fittings and €121,495 on buildings.
The company’s cash funds last year plummeted from €665,108 to €28,987.
On the business’s ‘going concern’ status, a note attached to the accounts states that the directors have considered the company’s business prospects and all relevant aspects of the company’s financial position, including its ability to generate positive cash flow and/or obtaining additional funding that may be required.
The grant of permission at the end of last November comprises a part-one part-two storey extension to the back of the pub.
The spend forms just part of McGregor’s outlay on property in the Dublin area in recent times.
MEGA SITE PLANS
Last year, McGregor confirmed plans to build “multiple amenities” on a “mega site” along Dublin’s Grand canal.
McGregor confirmed that the new public space will include housing, a supermarket and will be a “stones throw” from the National Children’s Hospital in Crumlin.
This followed a report that the Crumlin native has paid up to €19m in nearly completing the assembly of the site on the Davitt Rd near the Grand Canal.
Mr McGregor has deep pockets to fund such a venture.
According to the latest figures from Forbes, McGregor is ranked 35th in its 2022 top highest earning athlete rankings earning $43m over a 12 month period.
The planning documentation lodged with the Council stated that the Black Forge Inn on Drimnagh Rd in Crumlin has been used as a pub for around 20 years “and with recent renovations, it continues to be a successful business”.
The documents state that the expanded pub will generate jobs and attract visitors to Crumlin.
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Source: The Sun
