United Auctions looks for expansion in hotels
THE Perth-based auctioneers group, United Auctions, plans to expand out of agriculture and into the hotels sector.
David Danson, chief executive, said the diversification was driven by his lack of faith in the future of auctioneering.
Mr Danson said: “Any business that depends on the fortunes of the beef and sheep sector for its major source of income at the moment will be having trouble and we are no exception.”
Mr Danson said he remained committed to auctions but his aim was to develop businesses which were more profitable.
Approaches have already been received from developers interested in building a hotel. There are also plans for a 45-bedroom facility at the companys Perth mart.
Plans to open garden centres at Perth and Stirling are also under review.
Mr Danson said he was keen to explore the possibility of becoming involved in the links between producers and processors, who are increasingly keen to bypass the livestock auctions.
The company must become involved in procuring animals to meet the specifications of processors, he said.