Ruby Liu, a prominent entrepreneur, has submitted a comprehensive 55-page proposal to secure three retail leases previously held by The Bay. This joint submission includes this nine-page letter, detailing her ample leadership experience and long-term strategic plans. She’s champing at the bit to put these strategies into effect after she gets her hands on the leases for $6 million total. Though Liu’s vision for revitalizing these spaces has earned him acclaim as well as cringes from industry insiders.
Liu has put together a rich template for her anticipated investment plan. She intends to spend $96 million in the next eight months to increase stock and make the rented properties better. She has recruited Wayne Drummond, former president of The Bay. He’ll assist her in lining up suppliers and assessing the product mix. Liu hopes to bring on between 2,500 and 3,000 new hires. In addition, he commits to opening at least 20 stores within 180 days of lease signing.
Comprehensive Business Proposal
Liu’s proposal is testament to her financial wherewithal. It provides a narrative of her incredible transition from high school student in Harbin, China to successful businesswoman who has opened and operated six restaurants in Shenzhen. We appreciate that her letter provides a clear plan for staffing and operational management. Within 30 days of acquiring the leases, she hopes to have key executives and managers in place.
The release of the entirety of the package, including a detailed spreadsheet projecting balance sheets and earnings forecasts, shows that Liu is expecting some serious growth. She expects revenues to reach $31 million by 2026. In 2027, she forecasts earnings growing to $35.5 million, on the way to total sales of nearly $867 million over three years.
Liu has to his credit gotten out ahead of this, taking extraordinary steps by visiting with more than 50 past The Bay suppliers. These suppliers want to sell or consign products to her. She is dedicated to fostering deep supplier partnerships. These relationships are key to the success of her 8 retail locations.
Industry Reactions and Challenges
Liu’s plans have received an enthusiastic welcome, at least initially. From people in the industry, professionals appear less inspired. Some express optimism about her potential to revitalize the retail spaces, while others voice concerns regarding the feasibility of her timeline and execution strategy.
Sal Iacono, a key figure in the retail sector, noted that during their initial meeting, Liu seemed unprepared to discuss her plans in detail. “Remember, we only had a short meeting. She was not prepared to talk about her vision or present me with a business plan.” This sentiment was echoed by Elisha Ballantyne, who expressed support for Liu but pointed out critical concerns: “I really want her to succeed, but I just have too many questions.”
Iacono recommended a more robust alternative. Perhaps most importantly, he recommended going after partnerships with the big box retailers with years of success to their names, not just chasing the nascent startups. He talked about how this model can lead to real retail careers. Specifically, it provides Secure Jobs with the kind of stable employment, consistent training, benefits and career advancement path in a professional retail environment.
Commitment to Lease Terms
To counter rising concerns, Liu’s legal team pledged to keep a positive message at the forefront. She is not currently asking for any rental relief and intends to honor all leases in full. This commitment will go a long way toward assuaging some fears about her proposal’s intentions.
Linda Qin, a spokesperson for Liu’s team, would only say that they were confident in their capacity to deliver on the vision they’ve laid out. “Since April, we have been actively advancing operational work at the store level and have made meaningful progress,” she said. Qin mentioned that based on their continuing conversations with suppliers, they expect no problems with availability of products.
