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Minicom 0800 404 6161. Calls may be recorded. turner Your choicechoice boyes regular features News 4 Opinion – put spending cuts in historical context 4 The spending review: impact on Thames Valley 6 Companies now planning for sales growth 7 New artwork installed at Oxford Science Park 8 Shareleague 8 Costly gossip 9 Region’s top tourism businesses win gold 10 Entrepreneurship celebrated 11 Law firms face tough competition 12 Business Magazine awards finalists announced 13 Revolutionary beverage measurement on tap Law 17 Is your brand safe in cyberspace? 18 Blandy & Blandy advises on share sale deal Finance 23 New office takes off 24 Changes in pension contributions broadly welcome Deals Update p 7 24 Good call for Zeus 25 Latest deals data from across the region Property 37 Home secretary celebrates Millgate Homes’ success 37 Hidden dangers of improvements and alterations 38 Asbestos is still with us special features International Trade 39 Negotiating the procedures maze Focus on Reading 39 Selling Britain by the pound 14 Thirty years on: still the place to be Employment 15 Supporting entrepreneurs 40 Enhanced family friendly rights are coming 16 The power to help you succeed People Property Roundtable 40 Movers and risers 19 Mortgage log-jam could stifle the market Diary Outsourcing 42 Dates for your diary 26 Outsourcing companies will flourish 27 Increase efficiency and cut costs, not quality Taxation 27 The future of R&D tax relief 28 RSM Tenon flags up the iXBRL issue 29 Is there honesty in tax? 30 Structuring for the future 30 Buying a business: avoid the tax traps 31 The importance of making a Will Entrepreneurs 33 What is entrepreneurial spirit? 35 How to reduce your tax burden 36 A business lesson for us all

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THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 4 news opinion The spending review:

We should put the impact on Thames Valley coalition government’s spending cuts in an The Thames Valley is University Hospital’s St Helier are delivered. Strong financial historical context – likely to emerge from site. The redevelopment is a management will be critical to key part of a reconfiguration to delivering this. It will require and not get ourselves last month’s spending modernise local health services transparency, objectivity and too worked up review relatively in the area; clear accountability, especially where fiscal responsibility is unscathed • £69m to support phase 3 of the This column was written devolved, for example, to local Diamond Synchrotron project in before the spending review, authorities.” The strength of the private Oxfordshire to support ground but, anticipating what the With regard to the 15% cuts chancellor might say, it’s worth sector in the region, and the fact breaking research into life, physical and environmental announced to HMRC’s budget, stressing these points: the area is less reliant on the Webster said: “HMRC has public sector than the north, has science; and • the cuts will be introduced already had to make significant over a four-year period led local businesses to treat the • £37m upgrade of Pirbright efficiency savings in recent chancellor’s spending cuts with Laboratory, Guildford which years. At a time of fiscal • many reductions will go a shrug of the shoulders. leads research into diseases austerity, the Government completely unnoticed by the public • some budget cuts announced by George Osborne will never actually happen. Vested interests will shout and scream about how the fabric of society has been ripped apart by these savings in public expenditure. This will be mostly hot air, and misguided. Oxford University’s Centre for Business Taxation has argued persuasively that we are not talking about significant spending cuts at all, more spending reallocation. For instance, total public spending will fall by only 3.6% in real terms between now and 2014-5. By the time we get to 2015 we will be spending 40.9% of GDP – exactly the same as in 2007-8. This represents an increase in spending in real terms of over £13 billion, compared with Indeed, the reaction from such as foot and mouth and should not compromise its 2008-9. some quarters was that the bluetongue viruses, helping ability to collect revenue. I It is true that some people in spending review might offer to safeguard UK livestock would not want further cuts to the public sector will lose their new opportunities for private industries, worth £8 billion per its budget to undermine this.” jobs. It is true that some areas businesses to provide an year. will see cost cutting. alternative to public services. There was a warning that the The fact that the review has But, viewed soberly, this spending review would only In the December issue of also supported investment in spending review will be far be worthwhile if the cuts were The Business Magazine less damaging to public sector infrastructure that underpins carried through. services than the media and economic growth has also been • Corporate Finance the unions will make out. welcomed. Fay Webster, south east regional • Environmental Focus director of accountancy body For the south east, the following • Thames Valley Business What do you think? ICAEW, said: “There is now a plan Magazine Awards capital programmes will be Email [email protected] to reduce public spending - the supported: For more details challenge is not only to see this David Murray call: 0118-9745308 Publisher • A £248 million refurbishment plan through but to ensure the or email: [email protected] of Epsom and St Helier fiscal goals announced today

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 news 5

In response to the chancellor’s heart of this community and will welcome the decision to confirmation that the Crossrail THE TM project will go ahead, property ringfence this budget.” agents Jones Lang LaSalle gave Business However, question marks still the following comment. MAGAZINE:DIGITAL hang over the funding of new Charles Pinchbeck, director in buildings, equipment and Read these stories in full in this month’s issue of Central London Development, involvement in international The Business Magazine:Digital said: “The news that Crossrail programmes, which were not at www.businessmag.co.uk will be funded and go ahead covered by the spending review. confirms industry expectations. Staunton added: “There will be Get SET for finance opportunities Removing the final element of concern that cuts to this ‘capital uncertainty should allow related Innovative technology companies can get funding from “incubators” budget’ will follow at a later date real estate projects to proceed, such as SETsquared... and that this will hit the science which is great news for the and technology sector hard.” Trading safely: Minimise your exposure to distressed customers property industry.” David Bowen, director of public As we approach the busiest trading period of the year for many Guy Parkes, head of the Western sector at KPMG, said: “The businesses... Corridor office, said: “Crossrail chancellor’s statement signals is possibly going to be the How your business can take off with TVIN the starting gun in a shift from most important contribution public sector to private sector One route for funding for businesses in the region is the Thames to the Western Corridor region investment in public services. Valley Investment Network... since the M25 was constructed. Connectivity has been the “Public sector cutbacks are New office for Barclays Corporate foundation of growth for likely to provide opportunities This month sees the opening of a smart new headquarters for the the region revolving around for business service providers. Heathrow and Slough Team at Barclays Corporate... Heathrow Airport as a spring The chancellor announced that board to mainland Europe and about 490,000 public sector Connecting investors and businesses complemented by excellent jobs are likely to be lost in the A new online service has launched that connects investors with road infrastructure - M4, M25, coming years, with services businesses looking for funding... M3 and M40 - and also fast integrated, and assets sold. This Supporting entrepreneurs trains to London and now across will create opportunities within London to the financial centre in the business services sector, With many businesses now seeking reliable and flexible forms of the City and Canary Wharf.” but not necessarily for the funding, Leumi ABL is taking a consistent approach to... He continued: “These improved traditional players. transport links will mean that “We anticipate a new wave of access to finance, customers and investment in service provision, talent - all key fundamentals and some new entrants such for occupiers locating in the as PE houses. The reason for south east - will be improved. this is that government wants Decentralisation will now to see greater enterprise They know my become a realistic ambition for and innovation, and upfront many businesses considering acceptance of risk through team, my passion relocation out of central London contribution of equity. As for R&B and in order to achieve cost savings.” government begins to divest, Meanwhile, the scientific and they are expecting increased my need for technology communities in the support for the ‘Big Society’, market trend Thames Valley will have heaved an emphasis on moving public a sigh of relief, said accountants services from the centre to analysis. and business advisers James localities. Cowper, when George Osborne “Whilst there will be further If they know me, announced in his spending traditional outsourcing they know review that the science budget opportunities for back-office my business. would be frozen at £4.6 billion and middle-office support, a year. the chancellor has outlined a R&D in the medical, information, climate which favours the brave, computing and green those who are able to support technology and academic ventures which involve the third sectors plays a huge part in the sector, charities and voluntary local economy and any cuts organisations. would have had a significant Call Neil McCluskey, Managing Partner “The chancellor’s mantra that knock-on effect. on 07969 531 491. ‘we are all in this together’ is Sue Staunton, a partner and creating an exciting and more Always thinking beyond banking. head of James Cowper’s inclusive delivery space which www.cbonline.co.uk | www.ybonline.co.uk technology team, said: “The we think will re-shape the Government recognises that provision of business services. future growth to the UK The key question is whether this economy will come from the re-shaping of the market will science and technology sector. support the transition of public The Thames Valley is at the sector staff to the private sector.”

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk

%XV0DJ7KDPHV9DOOH\5 %[LQGG  6 news Companies now planning for SOLICITORS IN READING AND sales growth WOKINGHAM Thames Valley businesses are preparing for growth over the next two years, as the fragile recovery starts to take hold For expert legal advice in all areas The Enterprise Survey 2010 of a number of international of company and commercial law accountants in business, now activities than other regions. in its 14th year, suggests that They are more likely than the proportion of businesses other businesses to say in the region planning any they currently sell to other • mergers and acquisitions turnover growth has increased countries, have operations or • sale and purchase of businesses significantly since 2009. It is activities abroad, adapt their now at a similar level to that products and services to other • private equity and finance shown in 2008. markets and have a share of • corporate structure and In line with the proportion their business functions that partnerships planning growth in the UK take place outside the UK. overall, 79% of businesses in • shareholder agreements In line with globalisation, the south east plan turnover the survey shows that • commercial contracts growth over the next two businesses in the south east • corporate recovery and insolvency years. In addition, increasing have strategies in place for • sports law profitability is the key business objective for over half of developing their international • employment businesses in the south east. competitiveness. Companies • intellectual property and IT in the region are more likely The survey is carried out by • tax (55%) than businesses in the ICAEW, the accountancy body UK overall (43%) to say they • commercial property with 775,000 members. Fay plan to expand into or increase • commercial litigation Webster, ICAEW’s south east market shares in countries regional director, said: “This outside the UK in the next two survey demonstrates that, as to three years. Furthermore, the economy begins to recover, they are more likely to be growth expectations in the planning to increase the extent south east have recovered to which they adapt products significantly. Despite a or services to other markets challenging 12 months, the (44% compared with 35% for resilience of the south east shows through with the the UK overall). majority planning growth and In addition, around half of setting various objectives.” businesses in the south east A total of 73% of south east feel that the UK regulatory and businesses cite improvement taxation regime is business of IT systems as an objective friendly. They are less likely compared with 65% for the (54%) than businesses in UK overall and 52% increasing the UK overall (61%) to cite management rewards employment tax as a hindrance compared with 44% for the UK to their operation and overall. development. The survey also shows that The annual survey of chartered businesses in the south east accountants in business have been less affected by provides a unique picture changes in access to finance of the opportunities and with just 23% saying they have threats facing UK businesses: been adversely affected by economic issues, growth, changes over the past year, globalisation and regulation. contact the business law experts compared with 31% for the UK 0118 978 0099 overall. To access the full survey report see below. www.cliftoningram.co.uk In terms of global engagement, businesses in the region are Details: more likely to be involved in www.icaew.com/enterprise

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 news 7

Unit New artwork installation in harmony at Oxford Science Park A major new sculpture has been installed in the Sadler Building at Oxford Science Park. FRACTION (9:8) is a permanent, site-specific work conceived by Conrad Shawcross (right) for the Sadler Building. Suspended from the ceiling and over 14m in length, FRACTION (9:8) continues the artist’s investigation into the mathematics of music and harmony. Taking the chord of The Second, which has a 9:8 ratio, the artist has created a huge three-dimensional representation of this chord as it falls towards silence. In 2008 the developers of Oxford Science Park, advised by Modus Operandi Art Consultants, launched a competition for artists to create an artwork to be installed in the Sadler Building. Conrad Shawcross won the competition and was Go get funds, go get Digital commissioned by Oxford Science Park The Digital Edition, which is achieving tens of thousands of page views, joint venture partners, Prudential and focuses this month on Funding your Business Magdalen College, Oxford. The edition includes a number of useful www.businessmag.co.uk and click on the Charles Young of Magdalen College articles for companies looking for image on the home page. commented: “The standard of entries innovative ways to finance their growth. for the competition was very high and Alternatively, you can register for an we felt that the proposal submitted by We take a look at the Thames Valley e-newsletter which will link you to the Conrad Shawcross was clearly the most Investment Network which funds magazine each month. Nearly 2,000 impressive. He responded creatively both companies in the technology, media and readers have registered so far. to the space within the Sadler Building green-tech sectors. and to the wider environment of the We highlight the SETsquared “incubator” THE Science Park. TM that supports early-stage companies and Business “For many years developers have been is backed by four universities, including MAGAZINE:DIGITAL encouraged to enrich commercial Southampton and Surrey. property developments with public And we see how the South East works of art. We are delighted to be able Innovation & Growth Team is helping to continue this practice and bring a entrepreneurs to access growth funds. spectacular new work of art to a unique site in Oxford.” In other articles, we look at how the recession has seen a rise in the number Since winning the commission, of apprentices over 50, and we hear Shawcross has also been appointed the how outsourcing could benefit from the artist in residence at the Science Museum recently announced public sector cuts. in London. He is represented by Victoria Miro Gallery, London. The Digital Edition is an all-digital publication with exclusive content, The Sadler building contains Oxford including regular Viewpoint articles The publisher Elcot Publications is now Science Park brasserie bar and restaurant where local business people can raise developing an App so that the magazine and visitors are welcome to view the issues of concern to them. sculpture on weekdays between 8.30am can be downloaded from the App Store and 3.00pm. To view the Digital Edition, simply go to and read on iPad devices.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 8 news

Peoplei in focus

EMPLOYMENT LAW UPDATES FROM BOYES TURNER

Spectris, the Egham-based group “Businesses today - particularly that designs, develops and in this economic climate - are Costly gossip markets productivity-enhancing constantly looking for ways to instrumentation and controls, was simplify their IT infrastructure, to Cissie Braithwaite and Ada Shufflebotham (Les one success story in an outstanding lower costs, and to do so without Dawson and Roy Barraclough) are probably month for Thames Valley companies sacrificing the ability to deliver when it came to share price gains. innovative new products and Britain’s best known gossips In September, Spectris chairman services to their customers,” said To be fair we probably all like manner it had dealt with John Hughes said the gradual CTO Stuart McGill. “Time and again a good gossip, generally at the grievance, particularly recovery seen towards the end of we’re seeing companies turn to someone else’s expense. The when forcing her to work in last year continued into 2010, with mainframe migration projects to dangers of office gossip and not direct contact with a person demand improving across more achieve these goals.” dealing with it appropriately against whom she had raised regions and end markets. The were highlighted in a recent a grievance. It also upheld the The group also appointed a new interim report saw sales up 9% to Employment Appeal Tribunal discrimination claims finding chief financial officer in Mike Phillips, £405 million and operating profits (EAT) case – Nixon v Ross Coates. that the spreading of gossip who was CEO at Morse plc until its up 150% to almost £50m, helping on account of her pregnancy July sale to 2e2. It revolved around the events the share price rise 22%. constituted pregnancy-related following the office Christmas The star performer again came from discrimination. Micro Focus, the Newbury-based party. Ms Nixon was in a provider of enterprise application the sub-£50m turnover groups, relationship with Mr Coates. The and management solutions, was however, with the share price of firm had booked rooms for those Practice points for one of the high fliers among Oxfordshire-based Environmental staying over and an after party employers Recycling Technologies soaring medium-sized companies. Its share soiree was held in Mr Coates’ The points that an employer 81%. The AIM-listed company is price rose 27% after the group room. Sadly he missed most of should draw from this case are: announced the release of the a leading developer of innovative it as he was asleep on the bed. newest versions of two mainframe technologies specifically focusing If he had been awake he would 1. Grievances should be dealt migration tools. on plastic waste recycling. have seen Ms Nixon leaving with promptly. with the IT manager who then 2. Whilst they are being dealt Large (over £1 billion) booked a room for them both. with it might be appropriate Closing price Closing price Change in The tragedy was that she was 31/8/10 30/9/10 share price to institute alternate working WOLSELEY 1259 1599 27% already in the very early stages arrangements if these are SPECTRIS 878.5 1073 22% of pregnancy by Mr Coates. ICTL.HTLS.GP. 982 1136 16% requested and available. HALMA 274.3 316.5 15% BRITISH AIRWAYS 211 242.8 15% Ms Nixon was due to return to 3. Allowing employees to SEGRO 270.4 273 1% work after Christmas but as a CABLE & WIRELESS COMMS. 56.4 56.75 1% spread gossip about others can VODAFONE GROUP 157.15 157.1 -0% result of a pregnancy related BRITISH SKY BCAST.GROUP 707.5 705.5 -0% become acts of discrimination. CENTRICA 325.3 323.5 -1% illness she returned at the end of January. She then told Mr 4. In the light of the recent Medium (£250 million to £1 billion) Coates she was pregnant and Equality Act employers Closing price Closing price Change in 31/8/10 30/9/10 share price within an hour the HR manager should ensure that they have ASHTEAD GROUP 76.95 109.9 43% knew and had commented updated their policies and MCBRIDE 139.5 185 33% MICRO FOCUS INTL. 301.4 381.5 27% publically on the parentage of consider ongoing training on SHANKS GROUP 98.25 112.7 15% equality issues to help avoid MORGAN CRUCIBLE 194.4 218.5 12% the child. Ms Nixon found this SDL 570.5 597.5 5% intolerable and spoke to a senior what might become a costly INTERSERVE 194.25 201.25 4% YELL GROUP 14.46 14.77 2% partner about working from experience. DAIRY CREST 367.8 370.8 1% another site, making it clear that DE LA RUE 700 660.5 -6% After all, careless gossip costs she was not prepared to work Small (£50 million to £250 million) money! in the same office as the HR Closing price Closing price Change in 31/8/10 30/9/10 share price manager. The senior partner OXFORD INSTRUMENTS 360 502.5 40% made it clear that she must BIOCOMPATIBLES 267.5 363.5 36% Details: Michael Farrier MICROGEN 85 106.5 25% return to her role. She refused INTEC TELECOM SYS. 63.5 75.75 19% 0118-9527288 ALBEMARLE & BOND HDG. 242.5 287 18% and was not paid. OXFORD BIOMEDICA 9.55 9.4 -2% [email protected] COSTAIN GROUP 222 210 -5% Matters descended from there ACAL 204 192.5 -6% and eventually Ms Nixon HMV GROUP 59.5 48 -19% To request weekly employment TISSUE REGENIX GROUP 16 12.25 -23% resigned alleging that she had law updates email : Sub £50 million been constructively dismissed [email protected] Closing price Closing price Change in and subjected to sex/pregnancy 31/8/10 30/9/10 share price ENV.RCYC.TECHNOLOGIES 1.6 2.9 81% related discrimination. Follow us on: Twitter: http:// BEZANT RESOURCES 17.5 27.5 57% twitter.com/btemplaw STARVEST 5 7.75 55% The EAT concluded that Ms CORAC GROUP 22 29.25 33% NORTHAMBER 39.5 52.5 33% Nixon had been constructively Access our employment law ANGLE 20.75 19.25 -7% AEA TECHNOLOGY 18.5 17 -8% dismissed and that the employer podcasts: www.boyesturner. UNIQ 10 9.13 -9% had broken the implied term com/services-employment. MICHELMERSH BRICK HDG. 34 30 -12% TRIAD GROUP 22.5 19 -16% of trust and confidence in the html?pgid=349

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 news 9

Region’s top tourism businesses win gold Berkshire, Buckinghamshire and the prestigious awards led to an Oxfordshire’s top tourism businesses impressive shortlist with winners have been awarded the region’s announced by guest host Nicholas highest accolade at the Beautiful Owen and Tourism South East South’s Awards for Excellence held chairman John Williams. Finalists Nicholas Owen presents award to Karen Smith, PR manager, Ascot Racecourse last month at Mercedes-Benz World. from across the region were guests and Vicky Glenister, marketing manager, Ascot Racecourse Golden winners included Royal at the celebratory evening that also Ascot (Tourist Event of the Year) and saw The Chestnuts in Shilton carry possible customer service and to customer satisfaction,” added The Bay Tree in Burford (Small Hotel/ off the Sustainable Tourism Award exceeding customer expectations Bedingfield. is outstanding.” Townhouse of the Year). and Hope House Bed & Breakfast Innovative new award categories take Bed & Breakfast/Guest The annual awards, organised “The current economic climate this year were Destination Accommodation of the Year. by Tourism South East, are now continues to present many Marketing (VisitBrighton), Digital in their 20th year and recognise “We offer our congratulations to challenges for the tourism Marketing (Howletts & Port Lympne exceptional levels of customer all tonight’s winners,” said Mike industry, however, the standards Wild Animal Park & The Aspinall service and dedication to raising Bedingfield, chief executive of achieved by our award winners Foundation) and Outstanding standards in the tourism industry. Tourism South East. “Our industry’s this year show their determination Contribution to Tourism (Lord A record number of entries to commitment to providing the best to deliver the highest level of Montagu of Beaulieu). Oxfordshire accountancy practices merge

Whitley Stimpson LLP of will also benefit from the greater Banbury and Hale Partnership breadth of experience of the of High Wycombe have merged combined firms.” their accountancy practices with Jonathan Walton, director of effect from last month. Hale Partnership, was also The newly merged firm delighted by the merger. ‘’For will operate under the some time, we have been banner of Whitley Stimpson looking for an opportunity LLP. The merger will offer to expand our platform of clients a greater depth of excellence for our clients and service in Oxfordshire and staff and we are delighted Buckinghamshire allowing each to join a firm that shares our of the merged practices to grow values. their area of expertise in new “The feedback we receive from geographical areas. clients is that a personal service Malcolm Higgs of Whitley is very important to them Stimpson commented: “We and that was key to us going are extremely pleased to be forward. We can become part merging with Hale Partnership of a bigger organisation with a as they are a firm which has strong tradition and reputation, a similarly successful and while continuing to look after experienced background. It is a our portfolio from our existing really positive move for Whitley office in High Wycombe. This is Stimpson. good news for all our clients and staff and will no doubt lead to “There is a good fit between further growth.” the two firms and it allows us to strengthen and broaden our Details: range of services. Our clients www.whitleystimpson.co.uk.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 10 news

Entrepreneurship celebrated

An array of inspiring, free the knowledge they impart in their own careers enterprise opportunities will and businesses.” be on offer at Bucks New University during this year’s Here are some of the highlights to Enterprise Festival, due to take watch out for: place from November 8-19. Special guest Yasmina Siadatan, winner of the With presentations from leading BBC’s blockbuster show The Apprentice 2009, business professionals, practical Once again Bucks New University students workshops and enterprise competitions, will visit Bucks on November 16 to treat the will rise to The Apprentice Challenge, the Enterprise Festival aims to educate audience to tales of boardroom battles and the and inform would-be entrepreneurs experience of working with Lord Alan Sugar. undertaking a series of team challenges testing their business planning, marketing, and business people working within On November 9, Paul Lindley, who founded organisations from across the region. time management, pitching, negotiation Ella’s Kitchen with the belief that healthy food and selling skills. The aim is to make Taking place over two weeks and coinciding can be fun, tasty and cool, will speak about the biggest profit over three business with Global Entrepreneurship Week 2010 the company’s journey to getting its goodies challenges. (November 15-21), the events and activities stocked by major retail brands against stiff at Bucks are all free to attend and will competition in the healthy-eating sector. Tickets for the Enterprise Festival events are provide a range of commercial opportunities FREE and should be booked online (see below) and networking forums. Ben Beattie, the “head of boys’ toys”for the where the full programme is also available. Disney Store, will give an inspiring talk on Enterprise Festival organiser Jane Adams November 10 about his experiences in creating Details: says: “We are pleased that this year’s best-selling products for global retail. Bookings: www.bucks.ac.uk/enterprise programme once again introduces Email: [email protected] inspirational speakers who have either There will be other sessions on subjects such established their own business or hold high- as: business in the new economic climate; profile positions within large organisations. PR, marketing and media in the digital age; All the events are free, and we hope that as protecting Intellectual Property (IP); running many people as possible will benefit from a sport business; and the annual women in our speakers’ experiences and be able to use business event. Slough Trading Estate waltzes to 90 year anniversary

Slough Trading Estate, the largest business a place for forward-thinking and serves as estate of its kind in Europe, has celebrated a microcosm of industry in the UK and how its 90th birthday. Strictly star and political business trends have developed. correspondent John Sergeant joined “We’re dedicated to working with our partners businesses from the Estate in commemorating to ensure the Estate continues to evolve to its success. meet the needs of business in the future and The Estate began life in 1920 when a look forward to celebrating our centenary in consortium of businessmen, led by Sir Percival 2020.” Perry and Noel Mobbs negotiated a sale price Over its 90 years the Slough Trading Estate has of £7 million for the land and stock (made enjoyed various claims to fame - did you know up of lorries, cars and motorcycles in various that: stages of disrepair) and The Slough Trading John Sargeant joins the celebrations Company latterly Slough Trading Estate was • Gerry Anderson developed and filmed his born. for leading companies such as O2, Research in world-famous Thunderbird TV series in a Motion, UCB, Ipsen and LG among others. studio on the Estate’s Ipswich Road. A range of businesses quickly began to fill the work space at the Estate, with companies Speaking about the celebrations, Ian Sutcliffe, • The Ford GT40 was developed at the Trading including Mars, Black & Decker and Ragus UK managing director, SEGRO, commented: Estate. The high-performance sports car still operating from the Trading Estate today. “We’re delighted to be celebrating 90 years went on to win the 24 hours Le Mans four Mars made their first Mars bar at the Estate in of the Slough Trading Estate. The Estate has times in a row, from 1966 to 1969. 1932 and continues to produce three million continued to grow from strength to strength • During World War Two, the Estate was chocolate bars a day. catering for the needs of a wide range involved in manufacturing engines and parts of businesses. The fact that a number of Today, the Estate is equivalent in size to almost for the Spitfire, Lancaster and Halifax aircraft. companies who joined the Estate in the early 326 football pitches and is home to over 400 days are still here with us is a real testament • Aspro, an early day aspirin, was produced in businesses employing over 14,500 staff with to our commitment to work proactively with Buckingham Avenue. a combined GVA output of around £860m. our customers and deliver innovative business A wide variety of businesses are located at • Alloys manufactured on Yeovil Road were solutions. the Estate, ranging from innovative SMEs used in the yacht mast that helped Robin operating out of the specifically designed “As well as being an economic engine for the Knox Johnston and Peter Blake to smash the Enterprise Quarter, to headquarter operations Thames Valley, the Estate has always been round-the-world record in 1994.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 news 11 Law firms face tough competition More than half of all law firms have either lost business to a non-lawyer competitor or expect to in the future, a new survey from Basingstoke accountants Baker Tilly has revealed

The survey, entitled the Legal Services put a new structure in place to allow Act Index, which was conducted as part non-lawyer ownership, a trend more of a major new report, Climate Change, marked among larger firms. on the impact of the Act and alternative At the same time, 45% of firms have Our family business structures (ABSs), found that changed their business plan or strategy 29% of firms with 25 partners or fewer due to the Legal Services Act, while a had already lost business to a non- further 25% expect to do so. Almost is growing: lawyer competitor, compared to 12% of half (49%) of respondents said the larger practices. Act will have a positive effect on their However, firms are generally business, while 18% said it will not. responding cautiously to the threats Gary Heynes, south east professional of new competition. Only 9% of practices partner at Baker Tilly, said that respondents said they would definitely with the coalition government recently consider having an outside investor – confirming its intention to push ahead although 51% were open to the idea. with ABSs on October 6, 2011, no legal Some 7% of firms were planning to practice in the land could now afford to incorporate so that they will have a ignore the potential impact. ‘currency’ (ie shares), while a further “The time has come for lawyers to 26% are considering it. face up to the future. The forces of competition are on the doorstep – and to some extent are already here – and law firms and barristers’ chambers need to take strategic decisions on how they are going to respond,” he said. He continued: “Our report highlights the key issues facing the legal profession and some of the potential solutions. The one thing lawyers cannot afford to do is nothing.” Climate Change canvasses views from experts in the legal market and looks at the impact of the Legal Services Act on law firms of all sizes and barristers’ chambers. It also investigates the growth of legal process outsourcing, the nexus with third-party litigation funding, the international reaction to ABSs, and the lessons that can be learned from Australia, where law firms have listed on the stock exchange. Our business The Legal Services Act Index will be is your updated regularly to track shifting attitudes towards the reforms. More recruitment. than 100 solicitors and barristers Lawyers at larger firms were much responded to the first survey which more confident that they have a good was carried out in May to June 2010. understanding of the requirements Call us on of external investors - 56% against 25% of those at firms of 25 partners or 0118 956 3900 The Legal Services Act (2007) is an Act of fewer. Parliament that seeks to liberalise and or visit the website Just 13% of respondents said they regulate the market for legal services in www.gcsltd.com were actively pursuing the option England and Wales, to encourage more of providing non-legal services via competition, produce more consumer an appropriate non-lawyer partner, focused legal firms and to provide a new although 42% either have or plan to route for consumer complaints.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 12 news THAMES VALLEY BUSINESS MAGAZINE Finalists announced AWARDS 2010 The finalists for the Thames Valley Business Magazine Awards www.businessawards.co.uk were announced by judges as we closed for press. In alphabetical order, they are

The Thames Valley Business of the Year SME of the Year Sponsored by Sponsored by Dynamic Business Award Sponsored by

• GCS Recruitment Specialists • The Chemistry Group • CH&Co • Kyocera Mita UK • Cotswold Fayre • Ella’s Kitchen • Leasedrive Velo Group • Mediplus • Furniture Village • Nominet • PharmaIntel • Millgate Homes • RM plc • Well Pregnancy Products • Prodrive • Teneo • Wilson Partners • Summerleaze

• Talaris Management • Westcoast Team of the Year Best Company to Sponsored by Work For The Thames Valley Sponsored by Export Award Sponsored by • CH&Co

• Leasedrive Velo Group • CH&Co • Hansford Sensors • RM plc • Chiltern Woodland Burial Park • Innoval Technology • SDL plc • Cove Industrial Enterprises • Mediplus • Sophos plc • GCS Recruitment Specialists • Onelan • Westbury Street Holdings • Integralis • Signet International • Stoke Park • Spice Application Systems

The awards gala night takes place on November 18 and will be reported in full in the next issue of The Business Magazine

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 news 13

ANGUS THOMAS photogr aphy

for lit corporate and environmental portraits www.angusthomas.com Oxfordshire exporter’s revolutionary beverage measurement on tap

Smart monitoring technology from an as the brand owners expect. Our system helps also monitors cellar temperature and cooler Oxfordshire company is winning export orders safeguard quality, increase sales and reduce efficiency performance – critical to optimising from customers wanting the perfect drink in wasted beer – potentially saving a significant product quality and ensuring the lowest possible pubs and bars every time. amount at every bar, while optimising the energy consumption. chance of that all-important repeat sale. Measuring beverage temperature, quality and Smartcellar web portals provide information in a flow, and automatically logging the data to “Our intelligent flow sensor, the smartbuoy, clear, graphical way. Owners and operators can the web for access by pub, bar and restaurant also indicates the level of biofilm growth in a go online and review equipment performance in owners and managers, Smartcellar products are beverage line. This is somewhat of a ‘holy grail’ real time. They can also monitor when and how already in demand in the UK. for the drinks dispensing industry, as knowing much their pubs are selling, offering a safeguard the level of bug growth gives an excellent against the buying in of cheaper beer from Now, the company, based near Abingdon, indication of product quality. Currently, in the unauthorised wholesalers and not the legally has secured major deals in Dubai and Ireland, absence of actually knowing what’s going on contracted brewer. This practice is estimated thanks to help from UK Trade & Investment in each dispense line, the industry is forced to to cost the UK pub industry £1.2 billion in lost (UKTI) South East – and one of the world’s clean lines frequently – but this is expensive, leading soft drinks brands, Pepsi, is currently revenue each year. time consuming, and often unnecessary. trialling the technology in Paris. Smartcellar joined UKTI’s Passport to We might just have found a way of allowing Export (P2E) scheme of tailored support for The Dubai deal is with Sirocco – a joint venture dispense lines to be cleaned at the optimum between the Emirates Group and Heineken frequency, to the benefit of both consumer and inexperienced exporters in 2005, securing International – which manages the sales retailer. funding and advice that enabled them to attend and marketing of a range of premium global appropriate events and meet relevant industry “By cross-checking what’s been dispensed with beverages in the Middle East. With a market contacts overseas. what’s been rung into the till, we can also stop share of 60% in Dubai, Sirocco is the leading till-related fraud. In a couple of trials we’ve The company has now graduated to Gateway operator in the UAE, as well as in Oman, Bahrain to Global Growth, UKTI’s programme for more and Qatar. lifted monthly till take by £500 with this feature of the system alone.” experienced exporters, continuing to work with After a successful trial of smartbuoy – international trade adviser Peter Warren. He Smartcellar’s intelligent flow meter – in two said: “Smartcellar products are transforming large Dubai bars, the product is expected to be the way the on-trade operates. By bringing rolled out in hundreds more. The second new monitoring and efficiency practices employed in deal is for a trial by Heineken in bars in Cork, other areas of retail to the on-trade, significant one of the most popular city-break destinations bottom-line improvements are realised. Since in Ireland. Smartcellar successfully completed P2E, it has used its skills and confidence to compete very Smartcellar founders Mike Lawton, who successfully in the international marketplace.” has a background in electronics, and Jolyon Tidmarsh, an award-winning physicist, Lawton added: “Working with UKTI South East designed smartbuoy to measure the has been instrumental in our securing several temperature and quality of every drink, So how does this ingenious device work? major international deals. Funding we received wherever in the world it is dispensed. enabled us to participate in market visits and Whenever flow is detected in the drink overseas events, meet prospective clients, and Lawton said: “When I was at university, I worked dispensing line, the time is logged and key make sales trips that resulted in significant part-time in a bar, and was intrigued to see the information associated with product quality, amounts of business. Interestingly, three of our huge operational inefficiencies and wastage such as temperature, flow rate and beer-line overseas clients say that because we met them when serving beer. Brewers and operators biofilm levels, is captured. The flow sensor can face to face, rather than conducting business via know it’s vital that their products are served at email and phone, they felt more comfortable the correct temperature, from clean beer lines also accurately differentiate between beer, water and line cleaner – and even detect when negotiating a contract with us. This initial and poured at the right speed for the complex personal contact has been a winning formula.” mix of flavours to be fully appreciated. Pubs an alternative brand is in use. rely on repeat business, and consumers rightly Information is uploaded to Smartcellar’s server The company will be exhibiting at one of the key European beverage industry shows, Brau Bevial, expect a high-quality drink every time. Get that via the mobile phone network. The company’s wrong and you won’t see that customer again. in Germany, from November 10-12. complex data-processing routines produce “Smartcellar ensures that brewers and bars simple-to-understand, web-based reports for can provide consistently good drinks exactly customers anywhere in the world. Smartcellar Details: www.smartcellarworld.com

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 14 focus on reading Thirty years on: Reading still the place to be PwC set up its first Reading practice based at Blagrave Street with a small team of accountants in 1981. Thirty years on, it is the largest professional services firm in the Thames Valley and has helped many companies plan through two recessions. Miles Saunders (right), senior partner of the Reading practice discusses why the town is in a good position to make the most of the upturn and how PwC is making sure it can support businesses through it

Reading - a great place to do discussions are substantially lower than a Investing in the local market business year ago, which perhaps indicates we are through the worst of the restructuring At PwC, we work with a wide range of organisations from FTSE to privately owned Before the recession, the Thames Valley cycle. region was predicted to be one of the companies, and we have continued to fastest growing regions over the next five However, the view that this growth is invest in key areas of our practice during the years. Reading had one of the highest very fragile and the potential that a recession, particularly in the services where employment rates and average earnings double dip may occur is still in the minds our clients have needed the most help. in the UK, with a highly-skilled workforce, of many businesses, and as we have seen Over the past 12 months, the Reading many of which worked in knowledge- from previous recessions, the turning practice has expanded the human resource based sectors such as technology, bio- point can be just as risky as the depths of services, business recovery services, public tech, pharmaceuticals and life sciences. recession. sector and private business teams to ensure While there is no doubt that everywhere Although we are seeing a fall in the that we have enough people in place to has been hit hard, Reading has fared number of administrations, this is assist our clients. better than other regions. As the mainly because businesses are able to People are fundamental to us and without economy recovers, the private sector use other options before insolvency, the right people we can’t provide the right will be a key driver in economic growth which is considered as a last resort. level of service, especially when our clients and the town has a number of factors to Financial restructuring, company need it most. We have learnt from previous attract private sector companies. voluntary arrangements and schemes recessions and done all that we can to keep Reading’s high-skilled workforce is likely of arrangement are being used instead our people in work and retain talented to not only attract employers but also and businesses are starting to realise individuals during the recession. entrepreneurship. When businesses that the sooner problems are identified, We are very focused about how we do this de-layer during a recession, it’s not the quicker a solution can be found. Our using training, motivation and reward, and uncommon to see individuals set up Business Recovery Services team are also we consider our title as the top graduate their own business, especially in the seeing many restructurings either not employer and rank within the top five of the technology space, and because of the involving insolvency or using light touch best companies to work for, as a fantastic high skill levels involved in these sectors, insolvency techniques to salvage viable achievement. The graduate recruitment they tend to grow very quickly. businesses. programme has been maintained at similar The close proximity to London and Our latest Debt Market Update showed levels as previous years, and the motivation Heathrow also makes Reading an that UK corporate lending was still and commitment levels of staff at our attractive option, especially with the recent relatively quiet in Q2. The euro-zone Reading practice ranks among some of the investments in improving transport links, debt crisis and renewed economic highest across the entire firm. such as the £850 million redevelopment doubts restricted the supply in the debt of Reading Station and ongoing capital markets and also dampened the Outlook transformation of M4 junction 11. demand for new lending. Whilst we are statistically coming out of recession, the economy is still fragile and The road to recovery The public sector remains a major challenge for the economy, which has we should not take recovery for granted. A mood of cautious optimism is actually been a source of growth for We have significantly invested in our returning to the local economy and some regions during the recession. Reading practice so that we can offer the there are signs that we are, at last, at a According to our latest regional trends support that businesses need, whatever the economy might be doing. turning point. survey, 50% of the UK regions included The latest PwC analysis into corporate in the report cited the public sector Details: insolvency numbers were an indication as having been a key sector in driving Miles Saunders that the effect of the downturn on UK growth at the beginning of this year. 0118-9383250 [email protected] business is showing signs of easing with Fortunately, the percentage of public a significant 21% decrease in corporate sector businesses in Reading is insolvencies on the previous quarter. relatively low, which makes the town There has also been a noticeable less vulnerable to spending cuts than loosening of access to capital in this many other cities, however the impact region, albeit at a price, and on the on public sector providers and local debt restructuring front, payment businesses alike is still likely to be defaults and new formal restructuring significant.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 focus on reading 15 Leumi ABL: supporting entrepreneurs

With many businesses now seeking reliable and flexible forms of funding, Leumi ABL is taking a consistent approach to assisting growth across a wide range of sectors, from traditional manufacturing businesses, to new media and electronics companies

Recognising the importance of and we provide funding lines from a way that will deliver the funding having a presence in Reading at £1 million to £25m. There has never levels and flexibility needed. the heart of the Thames Valley been a more important time to Hughes is picking up positive dealmaking community, Leumi have the right funding package in signs: “In Reading the mood ABL has recently set up an office place, creating that all important among business leaders and at Davidson House in Forbury headroom in the business plan.” advisers is improving greatly. Square. Both advisers and clients are It’s encouraging to see that With cautious optimism seeping seeing that Leumi ABL can assist recruitment levels are up and into the Thames Valley market, by making the existing assets I believe growth is very much deal activity is becoming more in the business work harder. on the agenda. Leumi ABL is buoyant, according to Jonathan Leumi ABL’s full asset-based very keen to support regional Hughes, Leumi ABL regional sales lending capability, including entrepreneurs and I would director covering Thames Valley invoice finance, stock facilities be pleased to discuss any and the south: “Good businesses and plant & machinery finance, opportunities.” are seizing growth opportunities combined with trade facilities and Details: Jonathan Hughes now rather than continuing to property finance via Bank Leumi Jonathan Hughes 07584-630762 play the waiting game. One thing (UK) plc, means that available Whether finance is required to [email protected] is certain – businesses looking to funding can be maximised. From support market expansion, organic www.leumiabl.co.uk grow in this climate need access straightforward invoice finance to growth, completing an acquisition, to increased working capital complex multi-facility deals, Leumi restructuring operations or from a provider they can trust. ABL takes time to understand the following a successful turnaround Leumi ABL is well placed to meet individual needs of clients and has – whatever the business scenario the additional working capital built a strong reputation amongst Leumi ABL works closely with the requirements of well-managed clients and introducers for a management team from day one businesses throughout the region flexible and personal approach. to ensure the deal is structured in

Reading | London | Oxford It’s more than a reputation... City quality legal advice across the Thames Valley

‡ Mergers and acquisitions ‡ Venture capital ‡ %DQNLQJDQGoQDQFH ‡ %DQNLQJDQGoQDQFH ‡ %DQNLQJDQGoQDQFHIT and intellectual property ‡ Commercial ‡ Employment ‡ Real estate ‡ Family and private client ‡ Contact: Justin Starling Rob Hayes Partner, Corporate Partner, Corporate +44 (0)118 982 2646 +44 (0)118 982 2647 [email protected] [email protected]

Manches LLP, Davidson House, Forbury Square, Reading RG1 3EU www.manches.com

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 16 focus on reading Barclays Corporate – the power to help you succeed Having made a ‘significant’ investment in attracting talented new staff, the team at Barclays Corporate Thames Valley and Oxford is going from strength to strength

With greater expertise across The past year has seen Barclays loan application approvals are key sectors such as technology, Corporate expand its team of running at around 85%, thanks telecommunications and relationship directors in the in no small part to the advice property, Andy Simpson, head of Thames Valley and Oxford by and support our relationship Andy Simpson, head of Thames region, believes the bank is now 20%. In addition, a streamlining directors can provide.” Valley & Oxford region well placed to take advantage of customer portfolios has freed of what remains a challenging The commitment to the teams up to spend more leverage all our strengths and market. time with their clients. understanding its customers is emphasised by Barclays improve their bottom line,” he “We are hugely aware of our “We’ve ensured that not only Corporate’s new strapline “The added. responsibilities in terms of do we have more relationship Power to help you to succeed”. “We have a terrific mix of helping lead the economy out directors, but we’ve given them experience and capabilities, of recession,” he said. “Reading, He believes the ability to more time to spend with clients,” which makes us very strong along with the Thames Valley team the strengths of Barclays added Simpson. “It has proved and enables us to make a real in general, is as well placed Corporate with those of his very successful because it gives difference for our customers.” as any regional economy. In them an opportunity to further colleagues at Barclays Capital order to drive this recovery their in-depth knowledge and Barclays Wealth makes Details: Andy Simpson forward, trust has to be rebuilt. of their clients’ businesses, an unbeatable combination, 07775-552125 We will continue to lend to the markets they inhabit, the enabling the bank to “match our [email protected] viable businesses, whether they business models they adopt and customers’ ambitions with our www.barclays.com are new or existing clients, to the strategic direction they have own ambitions”. help them achieve their goals set a path towards. – quite simply credit worthy “We want to be an intrinsic part applications will continue to be “Practical evidence of that of our customers’ success and answered with a yes.” success is the fact that our we are proactively setting out to Boyes Turner welcomes one of Reading-based cloud Thames Valley’s most influential business leaders hosting company joins ‘fastest-growing’ list Boyes Turner has announced that on board someone of his calibre, Ian Smith, formerly the senior and benefit from his extensive DediPower Managed Hosting “DediPower’s global expansion partner at PwC’s Reading office, network and considerable business is officially ranked as one of in Hong Kong and the USA will be working with the firm in an experience will undoubtedly help the UK’s top 50 fastest-growing also keeps us among the top advisory capacity, as of October the next phase of our strategic private tech companies and managed hosting companies in 2010. development.” the highest-ranked hosting the world. Following his retirement in June Smith is a well known figure in the company. “Customers such as Sony, Virgin, this year from a 30-year career at Thames Valley business community. The Sunday Times Microsoft TweetMeme, ITV, The BRIT the accountancy giant, Smith will He was instrumental in setting up Tech Track 100 lists DediPower Awards and the Lovemoney.com divide his time three ways: pursuing PwC’s office in Greyfriars Road in at number 41, rubbing shoulders all value our ‘Passion for Service’, personal hobbies and ambitions; 1981 and went on to become their with PKR, LoveFilm.com, The Hut technical superiority, world- working with a number of not-for- youngest partner at the age of 30. Group, Bet365 and other leading class security and dedication to profit organisations; and working During his career, he has presided brand names. excellence. I am very proud of with two or three local businesses over some of the most important the whole DediPower team and to give them the benefit of his business deals in the Thames Valley CEO Craig Martin commented: this is a further endorsement of considerable business experience. and has held the role of senior “The company is going from their unstinting commitment.” partner of the Reading office for accolade to accolade and our Commenting on the the past 12 years. He is also group position in the Sunday Times The Sunday Times Microsoft Tech announcement, Boyes Turner’s CEO president of the Thames Valley Tech Track is testament to sales Track 100 is a league table of Andrew Chalkley said: “This is an Chamber of Commerce. growth of 58% a year. the UK’s fastest-growing private invaluable and unique opportunity technology companies, based on “DediPower has risen to be one for Boyes Turner. Ian is very much Smith said: “I am a long standing sales growth over the past three of the top cloud computing and at the centre of the business supporter of Boyes Turner... I years. community in the Thames Valley am looking forward to working managed hosting providers in and is widely known and respected. with them as part of the team, the UK, and it is estimated that British firms will double spending We are delighted and flattered that acting as a sounding board and Details: on cloud services to £1.2 billion Ian has chosen to work with us contributing to the next stage of www.dedipower.com as a mentor and adviser. To have their development.” by 2012.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 law 17 Is your brand safe in cyberspace? If you look at the internet you might well think that it is a rights-free zone where intellectual property law does not apply. The truth of the matter is that rights owners and the courts are struggling to keep up with the pace of technology, writes Sarah Hadland, intellectual property partner at Boyes Turner

On-line auction sites in particular are full of keywords and therefore referred the matter to counterfeit branded goods that are peddled the European Court of Justice (now the Court of as authentic to unsuspecting buyers, and a Justice of the European Union - CJEU). The ECJ bargain to others. Social media and file sharing has not yet made a ruling but in light of recent has had a similar effect on the music and rulings, it is likely that the court will conclude publishing industries and as a result rights that the mere use of trade marks as keywords holders continue to find themselves losing out does not infringe. on millions of pounds of revenue. Google AdWords is Google’s main income Over the past few years, rights holders have generator. Google “sells” keywords to tried to tame the internet and enforce their companies so that when a user types those rights. The most high-profile cases have been words into the search engine, the company’s those where individuals, including children, advert is listed as a sponsored link to the right have been pursued by record companies for of the search results page. Advertisers often Sarah Hadland copyright infringement for downloading songs use the brand names of their better known without permission. Only recently, a group competitors in their keywords. This enables marks as adwords unless it is alleged that that called Operation Payback which believes that their website advertisement to appear in the the sponsored link which appears as a result ideas, and the music and literature which list of sponsored links, preferably at the top of of the use of the trade mark as a keyword results from them, should be freely available, the list. The brand owner’s website may appear makes it difficult for the internet user to easily hacked the website of ACS:Law (which handles lower down the list or only in the general distinguish the advertiser’s services or goods a high volume of piracy cases), leaking the search results. from those of the trade mark proprietor. personal data of thousands of ISP customers. In these cases Google will investigate the Other high-profile, although less controversial, So, what does constitute an complaint and if upheld, will remove the actions by brand owners have involved eBay infringement? advert. and Google, in particular Google AdWords. Trade mark proprietors complain that such use With the recent cases against eBay and Google, of their trade marks constitutes infringement. the way in which intellectual property law eBay - a vehicle for selling fake goods? This was claimed by Louis Vuitton in the case it applies to the internet is becoming clearer. In some areas, such as the use of adwords, the In May 2009, litigation between eBay and brought against Google for allowing advertisers ECJ rulings favour the internet host rather than L’Oreal concerning the sale of fake L’Oreal to purchase LV’s trade marks, such as Dior, the brand owner. In others, such as the illegal perfumes on eBay resulted in a ruling that eBay for use as adwords. The litigation resulted downloading of music, the application of the is simply the host of the site and not liable for in a referral to the ECJ which made a ruling law favours the rights owner. The difficulty any infringing goods sold on it. Further, the earlier this year. The court ruled that by merely here is in tracking the illegal users. No doubt Court held that eBay already takes adequate allowing advertisers to purchase keywords there will be an increasing amount of litigation steps to help prevent the sale of infringing or corresponding to a third party’s registered as the internet, which is already an important counterfeit goods. For example, brand owners trade marks, Google was not infringing those platform for trade, continues to develop. can sign up to its VeRo programme which helps trade marks. However, infringement may occur those wishing to prevent the advertisement where the consumer is unable to distinguish on eBay of goods that infringe their rights, and the advertiser’s goods from those of the brand For further information and advice on track down those responsible. Having lost a owner. protecting your brand and other intellectual similar case in France against LVMH, this ruling A similar claim was brought against an property, contact Sarah Hadland - see below: was important for eBay. advertiser by Porta Kabin. It complained that a company called Prima Kabin BV was using key words and adwords - a growing the trade mark PORTAKABIN and various Details: problem for brand owners mis-spellings of it, as key words, and that this 0118-9527142 [email protected] The other issue which was dealt with in the infringed its trade mark rights. Again, the www.boyesturner.com L’Oreal case was the use of keywords by eBay. matter was referred to the ECJ which handed EBay purchases keywords consisting of various down its ruling in July of this year, upholding trade marks on search engines such as Google the Louis Vuitton v Google ruling. and Yahoo. It selects the keywords on the basis of the activity on its site and their purpose is to What does this mean for brand owners? cause a sponsored link to eBay to be displayed As a result of the ECJ’s decision in the Louis when a user types in the keyword. One of the Vuitton case, Google has changed its policy. keywords referred to in the case, for example, Originally, when the search engine received was “Shu Uemura”. L’Oreal claimed that eBay’s a complaint from a brand owner that its use of its trade marks as keywords infringed trade mark was being used as an adword, it those trade marks. would stop the use by the third party. Now, The UK Court considered that a Europe- it essentially ignores complaints about the wide approach should be taken to the use of purchase by third parties, in Europe, of trade

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 18 law

the employment aspects, partner Debbie Brett advising on commercial contracts and Blandy & Blandy advises associate Katja Wigham advising on property issues. Few commented: “We are very pleased to on share sale deal have advised Launch Diagnostics on this interesting deal, which required bringing Launch Diagnostics is a leading supplier of together the skills a number of different Thames Valley law firm, Blandy & legal areas to ensure the client received the Blandy LLP has advised Launch diagnostic reagents and equipment to the health services of the United Kingdom and best advice at all stages of the transaction.” Diagnostics on the sale of its various other European countries. Biokit John Twycross, managing director of Launch 49% shareholding in Biokit to is a supplier of a wide range of infectious Diagnostics, said: “’I am very pleased with Instrument Laboratory (UK), for an diseases test equipment and molecular the commercial guidance advice and work diagnostics products in the United Kingdom. we received from the team at Blandy & undisclosed consideration Blandy in relation to the sale of our shares Blandy & Blandy advised existing client in Biokit. David Few and the team provided Launch Diagnostics on the corporate and first-class advice, making the whole process commercial contracts and employment a lot easier.” aspects of the sale of its 49% shareholding in Biokit to Instrumentation Laboratory (UK), a wholly owned subsidiary of the Werfen Group - a manufacturer and distributer Details: David Few of ‘in vitro’ medical diagnostic solutions, 0118-9516858 medical devices, and scientific instruments [email protected] worldwide. Fried, Frank, Harris, Shriver & www.blandy.co.uk Jacobson advised Instrument Laboratory (UK). The Blandy & Blandy team was led by partner and head of the corporate team David Few who was responsible for overseeing both the sale and acquisition. Few was assisted by corporate associate Peter Woolley, with partner and head of employment Sue Dowling David Few, head of Corporate and Commercial and associate Sukhpal Matharoo advising on

Darbys Solicitors acquires debt recovery business

Darbys Solicitors of Oxford has they will get even better support acquired commercial debt recovery than before.” gurus Graham Bridgman & Co, Simon McCrum, managing partner Solicitors. of Darbys Solicitors, said: “We have Specialising in receivables collection been steadily building our debt for a wide range of businesses, recovery team and developing our Graham Bridgman & Co was set up INTHEBLACK service for commercial and grown by Graham Bridgman, clients. However, we believe that a Fellow of the Institute of Credit if we are going to do something, Management, who has spent his we want to do it properly, and debt career in helping companies recover recovery lawyers don’t come better money that is owed to them. than Graham. His joining us is a quantum leap and we are delighted He and Darbys have come together that he and his clients have joined us. because he needs the wider resources Our aim is to become a leading debt that the firm has, and it sees effective recovery firm in the south east, and debt recovery as a key way to add this takes us a long way down that value to the services it provides to business clients. road.” Graham Bridgman said of this union: “I have many commercial clients but Darbys is one of Oxford’s largest law the work they generated kept me firms specialising in 13 specialist behind a desk, and they sometimes areas of law ranging from planning, had work that I don’t specialise property, family, employment, trusts, Graham Bridgman in. Keeping my clients happy was tax and probate, clinical negligence, crucial in this decision and teaming personal injury and now debt recovery. up with Darbys means that I know 13 specialist teams we have all the that my clients will be taken care expertise and back-up my clients Details: Graham Bridgman of while I get the chance to get out could need – they have all followed 01865-811700 and grow the business. With Darbys’ me and with our pooled resources [email protected]

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 roundtable: property 19 Mortgage log-jam could stifle the market Recently, The Business Magazine and Pitmans gathered a group of local experts to consider the property investment market. Below John Burbedge reproduces selected observations from the roundtable discussion

The Roundtable message came loud and clear: Mortgages need to be made more readily available, particularly for first-time-buyers (FTBs), to get the residential market moving, and with it the property sector in general. The lack of lending was risking a ‘stifling’ of the market, claimed developer Mark Clayton. “There is a danger that people just won’t move – and therefore the estate agents will not be paid, the lawyers will not be paid, the removal men will not be paid, the home furnishers on the high street will not be paid ... and even the Government will not receive stamp duty (SDLT) or VAT on any other associated service, damaging the public purse. People will stop spending on certain items and there will be From left: John Burbedge, Anthony Henry-Lyons, Jim Meechan, Rory Carson, Nick Coote, Philip casualties in the market place.” Davies, Mark Clayton, David Murray, Mark Stuckey In addition to higher deposits being required within costly mortgage funding and legal and moving costs, a stamp duty increase in April Banking overview: ‘We 2011 was adding to the financial difficulties of buying a home. For many, without the Bank of do want to lend, but.... Participants Mum & Dad, it would be virtually impossible to “Most banks, and that includes Barclays, do Rory Carson: move. want to lend money, and we certainly have the Asset manager, south of England Mark Stuckey revealed: “The age of the capacity to as one of Europe’s best capitalized PRUPIM average FTB without a deposit is 37.” banks, despite the negativity that there may appear to be in certain sectors of the market,” Mark Clayton: Anthony Henry-Lyons agreed: “The log-jam in said Stuckey of Barclays Corporate. UK property, and devolving from that incidental CEO Continued overleaf... commercial and retail development, is not Chelsminster Group, residential being able to get mortgages. developers “The market is all about the circle. First-time buyers get on it, then they upgrade and they Glossary Nick Coote: move on, and on again and the circle keeps Head of Thames Valley operations Basel III – is the latest stage in the moving on. But if you can’t get on the circle...” continuing G20 response to the Lambert Smith Hampton With irony, he noted that FSA chairman Lord international financial crisis. The G20 Philip Davies: Turner is recommending greater mortgage and supported Basel Committee on Banking credit controls. “How will we get mortgages to Supervision, is requiring banks to make Founder of Linden Homes work?” very major improvements in their capital Chairman of Ashill Developments and liquidity. In September the BCBS Philip Davies called for mortgage indemnity so proposed that banks must hold minimum Anthony Henry-Lyons: that FTBs can borrow 80-90%. “If we can get the common Tier 1 equity capital of 4.5% by Commercial developer institutions to provide some insurance, and the January 2015, and a further 2.5% as a Madford Developments Government stands behind it, then we might counter-cyclical buffer. move the FTB market.” NAMA – the National Asset Management Jim Meechan: Currently, the main residential market was Agency – is a key part of the Irish Banking and finance specialist, Thames probably £250,000 up to a £1m, said Davies. government’s solution to current banking Valley Buy-to-Let acquisitions had priced out FTBs difficulties. With its €80 billion NAMA Pitmans pre-recession, and now they are priced out aims to acquire around 15,000 good by the need for larger deposits and difficult and bad property loans from the riskiest Mark Stuckey: mortgage terms. portfolios of Irish banks, thus allowing Head of southern region property team Another problem will be shortage of HCA them lend more confidently into the main Barclays Bank money for affordable housing. “We haven’t national economy. NAMA is a workout not liquidation vehicle. Property lending got people walking on the streets yet through David Murray: lack of housing but you can see within 5-10 will continue where viable, but borrower years that there could be a shambles. Someone default is likely to see NAMA place assets Managing editor and publisher of The needs to take the initiative,” Davies added. on the open market. Business Magazine chaired the discussion.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 20 roundtable: property

than last year, and I think it will remain constant “How closely are the regulators talking to banks going into next year, but that may not be the view about the level of Tier 1 capital they need to of other banks,” said Stuckey. retain? How will that translate to lending activity going forward? As far as I see the G60 (Basel III) Cost of debt is proposing a far stricter regime, which can’t be good news.” Henry-Lyons: The fundamental problem is not the willingness of people to lend money, it is the Clayton welcomed international parity over continued from previous page... pricing of it for the borrower. It’s the cost of debt banking regulation, but also called for a level and the increased equity requirement. We all know playing field for UK funders in terms of tax “However, we do have to make lending decisions the 120% loan-to-value scenario did occur, but incentives given to foreign investors. in a very different risk environment than pre- nowadays the average lending criteria is 50-60% recession, with pricing directly impacted by and they need to see the colour of your money the cost to the banks of seeking funding in the before they’ll go to credit committee.” wholesale market. Henry-Lyons said despite competition between There are also demand issues, with a real individual UK banks, their terms were still not reluctance from many businesses and households competitive. He exampled a Canary Wharf deal to take on more debt, with many of our where a German bank was offering “substantially commercial clients actively paying down debt.” cheaper money”. Davies said banking aversion to high gearing also made quick deals difficult, further stagnating the market. “Going forward we have a need for some form of mezzanine financing.” Rory Carson explained that PRUPIM’s access to funds was proving advantageous. “On some recent deals, we have found that tenants have been prepared to accept long-term leases because we Jim Meechan can release capital to them from Day One.”

Davies said another reason for the banking sector’s The impacts of Basel III frugality with mortgage loans was its commitment and NAMA next year to start paying back “their huge amounts of wholesale debt refinanced by the bank of Jim Meechan warned that the “fairly gloomy England.” outlook” might get worse before it got better. Basel Anthony Henry-Jones III’s “significant impact” on Tier I capital ratioswould Meechan agreed that banks were trying to reduce effectively reduce banks’ lending abilities. their exposure, and a significant number of tenures “Even when we are approached with refinancing were coming up for reconsideration. While praising Quoting Bank of England statistics, Meechan requests it’s often not a straightforward transaction banks for adopting a pragmatic approach to debt revealed that 2010 Q2 real estate lending procedure. Funding is available, but because of during the downturn Meechan was concerned contracted at its fastest rate since 1998. changing risk profiles, it could be on very different they may not adopt such a patient approach this terms from 2-3 years ago.” Henry-Lyons: “In fairness, the banks concern is time around. “With NAMA compounding the getting their money back. To a degree the banks market situation we could be looking at a fairly Banks considering loans to property developers have ‘played the game’ and instead of foreclosing rough period.” would now look at a range of variables: on a facility they have tried to work with the • the strength and quality of a management team borrower. But there is a point of no return arriving Don’t believe all you read very soon.” • type and location of asset in the papers! Property-laden banks, regretting not having sold quality of underlying income stream Red-top tabloids and national media coverage • during “the four months bubble last year when came in for Roundtable criticism for perpetuating a • development opportunities, especially high- the investment market perked up”, would be less UK plc ‘doom and gloom’ scenario. quality housing accommodating this time round. Clayton said when Chelsminster spotted level of return on capital Nick Coote pointed out that several investment • the property market overheating it acted to deals had failed during ‘the bubble’ because consolidate its property position. “We sat and • the opportunity to reduce and spread any risk. banks were loathe to lose large fixed money debt waited. It was a hard game because the market redemptions linked to properties. Hedge fund “All those things will drive debt quantum, was still rising. But the downturn did come. Then involvement had also not helped dealmaking. availability of funds, tenure of facilities and the we had quantitative easing and things started to price.” Henry-Lyons: “The biggest pressure coming on come back and grow. But now, it seems everyone Banks will focus on developing client relationships, banks is Basel III but I think the problem will be has lost confidence and the market has been said Stuckey– for Barclays multi-transactional compounded by NAMA whereby a huge weight of coshed because of all the negative media talking of relationships. “It won’t be a case of John Smith property is going to hit the market and we haven’t possible double-dips. This does not help.” got a lot of purchasers out there at the moment.” coming to us to buy money off the shelf, and we Stuckey suggested the national media picture lend it, and don’t talk to him again. It will be about While NAMA property offloading would provide was also inaccurate. “There are some really positive growing a relationship and extending our ancillary bargain-purchasing opportunities, it would also things that can be said about the Thames Valley sales, that’s with existing and new-to-bank clients.” depress valuation rates, and pressurise existing particularly, but also across the regions. We are David Murray queried whether credit availability loan facilities. “That will all have an impact on us actually in a stronger position here in the south would be higher in 2011. being able to do any business.” east.” “Barclays willingness and flexibility around the Meechan wondered about future funding Davies agreed that media coverage was too broadly assets we have looked to fund this year is stronger availability for property investors and developers. negative. “They don’t pick up the regional plusses.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 roundtable: property 21

positive activity we have been seeing in the West End, will probably be seen in the Thames Valley Q3 2011. Actually, we’re already seeing the first signs with enquiries coming through.” Clayton: “Confidence is much more valuable than gold or any currency in the market. What can we do to take away this doubt? As people tighten up, it will stranglehold the market and Carson said such mismatches would be people will be afraid to do business, especially highlighted with only new stock being able to the banks.” command long leases, while leases on secondary stock would continue to get shorter. This would Coote said the importance of confidence was push values further apart towards a layer- illustrated by the lack of market decision-making. differentiated market between prime and other “The whole of the commercial market today is properties. actually driven by scheduled lease events.” Henry-Lyons wasn’t so concerned about lease Some corporates were opting for pre-let deals Nick Coote length. “The American and European real estate to offset tricky decision-making in a changing industry has in general survived on shorter market. Pre-lets allow the company to secure leases.” For example, the residential market is very regional, their future move, then live within the existing but the Thames Valley is definitely holding its own.” lease and let it run-down, so the move impact Murray stressed that The Business Magazine aimed is minimized, explained Coote. Yell’s pre-let had to present an accurate regional view - “and you are even helped them come out of the recession right, this region is much stronger than other parts feeling ‘chipper’. With the economy seemingly of the country”. improving and staff adopting a new building with a fresh working culture “it’s like a whole Carson: “In the Thames Valley there is a slight company relaunch for them,” said Coote. difference between market perception and reality. The tenants I am talking to seem to be saying that Developers’ dilemmas they are growing and things are improving. But, I think the perception is that because we are not Davies: “Most housing developers are storing back to where we were in early 2007, it doesn’t yet away their strategic land because it needs huge feel like ‘Business as Usual’. “ upfront infrastructure money. Currently they have an appetite for 12-18 month production The unspoken Roundtable question was: “But, are sites, but the problem is getting any volume we ever going to get back to those heady times?” through. Henry-Lyons noted that as yet NAMA and its “As a rule of thumb, a good average was Rory Carson selling two-thirds of a sale per site per week. At recent low points we were below a third. Now we are around half a sale, but it doesn’t give enough confidence to commit to further Office overload in the work in progress, because people can’t get the Thames Valley mortgages at the other end. Coote saw two big negative trends. “If house prices fall, as most indices predict, pockets like the Thames Valley will hold their • Office space demand is reducing by 30-40% own. You may see a problem at the bottom end through modern working practices. Average though, partly through lack of demand and corporate desk utilisation is now only 53%. partly because the housing stock is tired.” The historical wedding of workers to desks is being replaced by work anywhere flexibility, Coote said that with foreign money making London’s West End a very competitive prime less need for floorspace. property market, he had high-worth clients with • Globalisation is causing consolidation – jobs £40-50m to invest now considering regional going to India, for example - and changes in locations instead. human resource requirements in the Thames Philip Davies If this largely cheaper foreign money started to Valley. move out of London it was going to make it even “Add-in the recession to these changes and possible consequences for the UK had gone largely more difficult for people in the UK to compete, that’s why demand for offices is unhappy in the unreported by the media. he added. Thames Valley.” Davies: “You can always point to London for a Foreign investment could be a big benefit to the Henry-Lyons: “Thames Valley office take up in commercial, residential or investment market, Thames Valley, Murray suggested. Only if the the past 18 months has been at a monumental even if it is currently fuelled by foreign money, but foreign investor understood the Thames Valley negative compared even to the 1990s.” I wouldn’t want to be doing anything outside the and its big regional towns, Coote countered. south-east at the moment, particularly with public “There are all sorts of complicated issues in Coote said there was 12.5 million sq ft of available sector cuts coming.” the investment world that will impact on how built office space in the greater Thames Valley area properties are delivered and occupied going - Guildford, Woking, Blackwater Valley, Reading, Be confident: recovery is forward,” added Coote. Maidenhead, Slough, Heathrow and Oxford. Take- up in Q1 2010 was 165,000 sq ft. Annualised that coming He mentioned as examples, lease accounting is 25 years supply of office space. The underlying changes, the amortising of fit-out costs, and the trend is around one million sq ft take-up per year. Coote pointed out that the Thames Valley market mismatch of tenants wanting shorter traditionally followed London trends. “The leases; investors wanting longer leases. Continued overleaf...

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 22 roundtable: property

to live right on top of the station?” asked Henry- Henry-Lyons said the costs and regulations Lyons. involved in refurbishment could limit this market. Davies pointed out that government (John Murray questioned whether banks were Prescott) directives at the time for higher density reluctant to get involved with secondary building had actually created a demand for flats. property. “We have now done 10 years of that and the Stuckey: “If it is a well-placed secondary asset only demand now is back to houses. It will be a and part of a widespread portfolio where long time before there is any equilibrium in the continued from previous page... the banks can be comfortable that risks are apartment market.” “So, is there no need for speculative building?” mitigated, then there is appetite, particularly as queried Murray Clayton pondered the developer’s choice: the opportunities to fund prime assets are pretty residential v. retail v office. limited.” Henry-Lyons: “We are back to the appeal of new versus old.” “There is a risk element in retail and commercial offices, so, supported at the time by the Coote: “Not all that supply is Grade A. Reading government’s aim to build 2.2 million new homes town centre, near the station is bucking the and bulk buying of buy-to-lets, that’s why they Thames Valley trend. Rents are going up; rents may have put in a larger residential element. After everywhere else are down 30-40%. I think all, everyone needs a roof over their head.” future office demand will be focused right on transport hubs, people will want to walk to work, and live within sophisticated areas, and What’s the true property will need town centre residential. And that value? experience is not limited only to Reading.” Henry-Lyons said too many people were viewing development proposals on the basis of rates per sq ft, and comparing them either against out-of- date rates or against inappropriate comparative properties or areas. A dose of valuation reality would assist the market. Clayton said it was frustrating when deals were Mark Stuckey virtually agreed and then real estate agents’ valuations presented to the banks for funding While creating the right product for the purposes ‘trashed’ the deal. Thames Valley at the right quality and Stuckey: “The lack of movement in the market adding value was always key, that wasn’t hasn’t really helped with comparables.” the only difficulty, said Clayton. He exampled a proposal to convert 20,000 sq Coote: “Valuers are having to work harder than ft of commercial office space in Mayfair to ever to reflect market circumstances, being aware residential, which is set to return 52% profit of changing market conditions, but hampered by on costs, but the problem was still in finding low transactional levels.” an investor to come in. “It’s not just lack of Mark Clayton Clayton highlighted a new valuation difficulty: capital, it’s confidence and commitment.” “How do you introduce an aspect such as NAMA Carson said that in the current economic Will Reading’s Station into a valuation?” climate, several tenants had been opting Coote warned that sources of valuation might to negotiate rent-free periods with their Hill go ahead? contract in the near future with an industry trend landlords in return for taking out lease breaks thus staying in their buildings longer and for companies to use valuers who meet the new, The roundtable view was it might have looked avoiding expensive relocation costs. “The exacting RICS competency standards. like the right scheme in 2006 but that times and problem is that their offices are not getting circumstances had now changed to its detriment. Clayton: “Then you are back with equity any younger and the rate of obsolescence The funding scenario was radically different now problems, because if your valuations are being is getting faster and faster as people opt from when the scheme was first mooted, the hit, then banks will ask for more equity to be put to occupy at increasingly high densities. panel agreed. in.” This will lead to a certain level of ‘pent-up’ demand when the economic outlook is Coote: “I don’t think it will happen in the form it brighter.” is now, because it’s just indigestible. Can anyone Refurbishment imagine anyone funding one of those buildings, opportunities? Coote pointed out that several 25-year particularly when there’s no evidence that there is deals were beginning to ‘wash through’. “We demand for high-rise? Reading Central at 10 or 11 Coote raised concerns about commercial are going to see a wave of big office deals floors is about as big as you can expect, whereas office development. “Nothing is being built coming along, and these tenants won’t some of the Station Hill plans are for 30 storeys.” speculatively and yet people want top quality, stay in their buildings because the M&E is big floorplate modern buildings, by a transport inadequate. They’ll want better buildings.” The concept had changed from the original hub. Existing stock is slowly being taken out, that The panel agreed that there were enough scheme, because of amendments suggested will accelerate as confidence increases, and then positive signs to indicate that the property by local authority planners. The panel discussed we will have a real problem of supply. This could investment glass was “half-full rather than whether the viability of the development would effect business efficiency through not being able half-empty”. The Thames Valley was still the be improved if there were more offices and retail to provide the required working environment.” place to be. in the mix and less residential. Refurbishment of older buildings in good “I can’t see the appetite for that amount of locations could be where the investment market residential. I was interested in Nick’s point about might find future value, he suggested. Deloittes Details: offices near a transport hub, but will people want in Reading was given as a recent example. www.pitmans.com

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 finance 23 New office takes off for Barclays Corporate This month sees the opening of a smart new headquarters for the Heathrow and Slough Team at Barclays Corporate

Located just a stone’s throw from the runway goals and ambitions and make a real difference airport hotels, we’re saying to businesses come at Heathrow Airport, the purpose-designed to their business.” and see us and use our premises as a much offices at the World Business Centre underline more corporate alternative to meet your key The new offices will be home to a team of the bank’s commitment to helping customers clients,” she added. around 20 relationship directors and support build for the future. staff, as well as providing a base for the bank’s With the airport on its doorstep, the Heathrow Heading up the team is corporate director network of product specialists who provide and Slough team has a predominance of Heathrow and Slough Jagdeep Rai, who sees dedicated expertise for specific customer customers in the transport, logistics and freight the relocation as a real step forward. requirements. sector, as well as across the retail and wholesale arena. “By investing in new premises, we’re also “We’re really proud of our mix of experience investing in our people and we see this as a and the fact we’ve been able to take on some Rai is keen to expand this customer base into very positive move,” she said. “As the economy really high-quality new recruits with very other areas such as property and says the starts to come out of recession, we’re very strong commercial finance backgrounds,” Rai bank’s strengths and in-house expertise will be clear about the fact we’re in growth mode and continued. key as it looks to capitalise on the area’s plans we want to support businesses who can take for domestic and international growth. “There is a real appetite for growth and we have advantage of the new opportunities. the right people to assist our customers and do Details: Jagdeep Rai 07775-545251 “In terms of the number of people coming to us some quality deals.” [email protected] to do deals, this is the most positive I have seen In a further move designed to support the local www.barclays.com the local market in the last two and a half years. business community, Rai plans to throw open Heathrow and Slough are really important areas the doors of the new offices as a central hub in terms of economic growth for the Thames and meeting place for local companies. Valley and we want to work closely with our customers so we can help them achieve their “At the moment, meetings are mainly held in

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THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 24 finance deals update

Changes in pension Good call for Zeus Independent private equity house, been able to take advantage of Zeus Private Equity, has exited its a highly fragmented sector and contributions broadly investment in telecommunications position itself as a market leader provider, XLN Telecom. in the SME telecoms space. Under welcome, says James Cowper the leadership of CEO Christian ECI Partners has backed the Nellemann, XLN has experienced The government’s For those entrepreneurs and management team in a secondary exceptional growth over the past two announcement to reduce small business owners who buyout of XLN for an undisclosed years and I wish the business all the the amount individuals prefer to make large one-off consideration. The deal has best for the future in its partnership can contribute to their contributions when times are delivered a multiple of investment with ECI.” pensions in any one year good, there is also welcome of 4.5x for Zeus. A number of from £255,000 to £50,000 news. The annual £50,000 unsolicited approaches generated XLN’s management team, led by will be largely welcome by limit will be supplemented by sufficient interest for Zeus and the founder and Group CEO, Christian those on moderate and high unused relief from the three management team to consider Nellemann, will continue to lead the incomes, says Thames Valley preceding years the sale, following three years of business following the transaction. accountants and business significant profit growth. advisers James Cowper. Lee explained: “The recession Nellemann commented: “By taking Based in Vauxhall, XLN was founded has hit businesses hard and a completely fresh approach, we Chris Lee, a partner and in 2002 by Christian Nellemann, for the past two years it may have been able to transform a pensions specialist, said: “The following the deregulation of the niche and historically overlooked be that business owners government’s announcement UK telecoms sector. The company sector of the market. We have been have not been able to afford might sound like a clamp- supplies fixed line, mobile and able to achieve this by combining to make significant pension down on so called ‘gold- broadband services to more than best quality products with best contributions. These rules will plated’ pensions and on the 115,000 customers in the SME sector value pricing and industry leading go some way towards allowing very wealthy. However, for and is the UK’s largest independent customer service standards. As the vast majority of people entrepreneurs to top up their telecommunications provider. As a result, we now have a highly who contribute no more pensions when business once a result of the transaction, XLN will profitable and scalable business than £50,000 a year to their again picks up.” now have funds available to more that will allow us to rapidly expand pensions, the announcement is than double the size of the business the range of services we deliver welcome as it confirms that full However, there is less welcome through acquisitions. news that from April 2012 to the small business market. We tax relief will be available for are delighted that ECI will be a key the maximum value in most Zeus originally backed the all contributions. part of the business’s exciting next pension schemes will be management buy-out of XLN in chapter given the opportunities for “In contrast, the previous reduced from £1.8 million January 2008, investing £6.63 million government’s proposals would to acquire a majority stake in the consolidation within our sector.” to £1.5m. At present, any have restricted or denied business. In March 2009, Zeus went ‘excess value’ above the limit Ian Barton, corporate finance partner higher rate tax relief to anyone on to support XLN’s acquisition of is taxed at up to 55% when at Deloitte in Reading, provided competitor, OneBill Telecom, with with annual income of more corporate finance advice to Zeus, pension benefits are drawn. additional investment of £2m. The than £150,000, regardless of while Mark Dawson from the their level of contribution. The Government has yet to firm now employs 180 staff at its Manchester office of Shoosmiths Further, it is a great announce how the new limit head office and recorded a turnover provided legal advice. Neil Davies of improvement on the current will be implemented, but of £54m in the year to March 2010, KPMG provided vendor due diligence transitional rules which, for those with existing funds of revenues having grown substantially and Nick Jones, Dan Bowtell many people, have meant an over £1.5m must be concerned from £27m in 2007. and Richard Shaw of Clearwater effective £20,000 cap on fully that they will face a substantial Tony Dickin, partner at Zeus Corporate Finance in London advised relievable contributions.” tax hit. Private Equity, said: “XLN has the management team at XLN.

Rice Associates retained in Vendia Group acquisition

Rice Associates, in conjunction 30,000 customers being serviced by ensures that they can now offer an weeks to complete. Both sides with Herrington & Carmichael more than 450 employees, agents unrivalled vending product and were extremely sensible on the LLP solicitors, were retained by and franchisees, and will be the UK’s the key management are really negotiations making the transaction SnackTime Plc, an AIM-listed fourth largest vending company. committed and enthusiastic over a fairly smooth one from the point company and one of the UK’s largest their offerings of the newly enlarged of view of agreeing documents and Rice Associates Chartered national operators of snack and group–it doesn’t get much better disclosure. Accountants provided the financial chilled drink vending machines, to than that.” “We wish SnackTime all the best provide financial, commercial and due dilligence, tax and accounting Commenting on the deal, and congratulate it for reaching this legal advice and due diligence in advice to SnackTime with a team led Yavan Brar, head of corporate at milestone in its acquisition strategy.” assisting SnackTime in acquiring by Richard Somerville and Andrew Herrington & Carmichael said: “We the entire share capital of Vendia Beet. Somerville noted: “Having have enjoyed a successful working Group UK. previously advised Snacktime on an acquisition last year we were relationship with SnackTime in Details : Vendia Group UK consists of very keen to assist the board with previous acquisitions and were 01344-761415 four UK companies supplying this acquisition. Working to a tight delighted to advise on this complex [email protected] various vending products which reporting deadline of seven weeks and exciting deal. From a technical www.rice-associates.co.uk complement those provided by ensured everyone was committed point of view it was very interesting; SnackTime. The acquisition means and focused and the deal never had six companies, two groups, four that SnackTime will have over the chance to go off rails. This deal trading companies and seven

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 deals update 25 Latest deals data from across the region

SnackTime PLC Management buyin of Dunham Leisure Completion Date: 09/2010 Completion Date: 09/2010 Target: Vendia Group UK Target: Dunham Leisure ESG taps Acquirer: SnackTime Acquirer: MBI team backed by RJD Deal Value: £21 million Partners market for Details: Rice Associates and Herrington & Carmichael LLP were Deal Value: Undisclosed retained by SnackTime an AIM Listed company operating snack Details: HMT Corporate Finance, led by partner Andrew Wall and dividend recap and chilled drink vending machines to provide financial, com- manager Amish Bakhai, advised an MBI team and RJD Partners mercial and legal advice and due diligence in assisting SnackTime on the management buyin of Dunham Leisure, a leading holiday in acquiring the entire share capital of Vendia Group UK park business based in south east Scotland 3i-sponsored Environmental Scientifics Group (ESG) has tapped the loan market Funding: Paper for Paper with cash Funding: RJD Partners; Yorkshire Bank for a £73 million loan refinancing that Legal Advisers: Herrington Carmichael Corporate Finance Advisers: HMT Corporate Finance pays the sponsor a dividend. Financial Due Diligence: Rice Associates Legal Advisers: Eversheds/Shoosmiths The senior financing is split into an Commercial Due Diligence: Herrington Carmichael Financial Due Diligence: Grant Thornton £18.5m amortising term loan A, an Commercial Due Diligence: Armstrongs £18.5m bullet term loan B facility, a £20m acquisition facility and a £5m revolving Project Southampton credit facility, provided by Bank of Ireland, Sale of The Office Group Completion Date: 10/2010 Barclays, GE Capital and HSBC. Completion Date: 09/09/2014 Target: 360 Scheduling There is also an £11m mezzanine facility Target: The Office Group Acquirer: Industrial and provided by Indigo. Acquirer: Esselco Financial Systems, IFS AB (publ) The financing follows the sale of holding Deal Value: £43.3 million Deal Value: Undisclosed company Inspicio’s Inspectorate business Details: Travelex founder Lloyd Dorfman funded the manage- Details: Charles Russell LLP acted for the acquirer on its acquisi- to French certification company Bureau ment buyout of Bridges Ventures’ majority stake in serviced-office tion of the entire issued share capital of 360 Scheduling for an Veritas in June for £450m. business The Office Group in a deal worth £43.3m. Charlie Green undisclosed sum. 360, which has sites in the UK, France and the and Olly Olsen, the original founders participated USA, is one of the world’s leading providers of mobile workforce Following that sale Inspicio Group along Funding: HSBC scheduling and optimisation software with Eclipse Scientific will be rebranded as ESG. Eclipse Scientific will be retained Corporate Finance Advisers: Cavendish adviser to vendor; FF&P Legal Advisers: Charles Russell for IFS as a brand within ESG alongside other Advisory adviser to purchaser Financial Due Diligence: PwC for IFS brands including Soil Mechanics, TES Legal Advisers: Taylor Wessing to vendor; Steinfield Law LLP Bretby, PMC and CL Voelcker. adviser to purchaser Environmental Control Services (ECS) Financial Due Diligence: Deloitte Completion Date: 29/09/2010 Commercial Due Diligence: Brecher Solicitors; legal adviser to Target: Environmental Control Services (ECS) purchaser Acquirer: Managed Support Services (MSS) plc Disposal of XLN Telecom Deal Value: £3.2 million Completion Date: 09/2010 Details: Osborne Clarke has acted for MSS on the acquisition Target: XLN Telecom of ECS Secondary Placing Acquirer: ECI Partners Corporate Finance Advisers: Cenkos Completion Date: 10/2010 Deal Value: Undisclosed Legal Advisers: Osborne Clarke (James Massy-Collier, Jeff Chang Target: N/A Details: XLN has been sold by Zeus to its management team in & Jake Turcan) a secondary buyout funded by ECI Partners, RBS, Clydesdale and Acquirer: N/A Lloyds. The deal generated a 4.5x money multiple (£39 million) Deal Value: £1.5 million before expenses Project CRISPY for Zeus, who were advised by Ian Barton and James Oliver of Details: Charles Russell LLP advised AIM-listed Europa Oil & Completion Date: 10/2010 Deloitte’s Reading and Southampton offices Gas (Holdings) plc, the oil and gas explorer and producer, on a Target: Undisclosed Funding: ECI Partners, RBS, Clydesdale, Lloyds, management secondary placing to raise approximately £1.5m before expenses. Acquirer: Undisclosed Corporate Finance Advisers: Deloitte LLP £13.4m new ordinary shares were successfully placed by finnCap Deal Value: Undisclosed on behalf of the company at a price of 11.5 pence per share Legal Advisers: Shoosmiths Details: HSBC provided five year senior debt facilities to enable Funding: finnCap management to buy out the shareholding owned by August Legal Advisers: Charles Russell for Europa Equity. The financing forms part of management’s strategy to gain total control of the company and to provide them with a strong Next Deadline financial platform for future growth The next Deals Update will appear in our Funding: Ben Knowles of HSBC Corporate Banking, Southamp- December/January issue Sale of Clifford House ton Completion Date: 09/2010 Legal Advisers: Kath Shimmin from Blake Lapthorn acted for Deadline for submissions is Wednesday Nov 10 Target: Clifford House Residential Care Home HSBC and Lynn Knight and Rebecca Newson of Shoosmiths were Submissions are free. If you would like to submit deal information Deal Value: Over £1 million engaged by management or to advertise on this page contact: Details: Coffin Mew LLP acted for the owner of a long-estab- Financial Due Diligence: Darren Philips and Jon Watts of BDO Tanya Liddiard lished care home in her sale of Clifford House Residential Care LLP, Southampton 0118-9745308 [email protected] Home for over £1m Commercial Due Diligence: Geoff Rampton from RPL Elcot Publications is not responsible for the accuracy of information in the Legal Advisers: Lynne Beasant and Philip Yetman of Coffin Mew Tax Advisers: Alan Gasser and Jane Mulholland of PwC, South- deals update section which is supplied by individual firms acted for the vendor ampton provided corporate tax advice

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 26 outsourcing

outsourcing companies are in a great position as they can offer significant Outsourcing companies cost savings in areas that businesses may not have considered previously. Mike Blackmore, CFO, Ceridian UK, with strong track record commented: “Traditional outsourcing companies relied heavily on simple offshore delivery to reduce costs, will flourish but this often also meant reduced quality. By intelligently integrating on and offshore delivery, at Ceridian It is an interesting period of change for the outsourcing sector at we have found that we are able to the moment. The public sector funding cuts announced soon after give our customers both significantly the election of the new Government sent shockwaves through the improved service, and at the same outsourcing industry, particularly those businesses with public sector time, deliver a clear and quantifiable financial case for businesses to contracts, writes Nigel Gibson, relationship director of Lloyds TSB outsource to us. Therefore, in difficult corporate markets, Thames Valley and south market conditions we have actually been able to streamline companies’ outputs and offer significant cost However, as the realities of these there opportunities out there for savings.” cuts start to become clearer, and by outsourcing companies, but that the For those outsourcing companies closely evaluating the landscape, banking sector also has confidence that might be concerned about a outsourcing companies are realising in them and are prepared to bolster potential dearth of public sector that provided they continue to their plans for development. contracts, it is important to note improve efficiency and offer a We look after a number of that these contracts will continue quality service there are still many outsourcing companies in the to come up for tender. Companies opportunities for growth in the Thames Valley region and talk to with a strong track record of delivery market. them on a regular basis to discuss in the public sector are well placed One example is Ceridian UK Ltd, their business prospects and how to be successful. Additionally, a Reading-based outsourcing we can support them. Ceridian, for while pressures on the state purse company that provides payroll and example, has remained steady due continue, outsourcing companies human resources services, which to the real quality of service that it have the opportunity to demonstrate has continued to find opportunities provides. This demonstrates that their strengths and assist the in the current market place. Lloyds when companies focus on their core Government in addressing their has provided its banking services skills and quality of delivery they are cost issues. Consequently, despite a and continued to support the able to ride out difficult periods in challenging period for outsourcing company over the past ten years. the market place. In this stretch of businesses, there remain a number This is positive news for the industry, downturn, as businesses continue to of good reasons for the sector to be demonstrating that not only are find ways to reduce their overheads, optimistic.

Outsourcing could benefit from public-sector cuts writes Martyn Hart, chairman of the National Outsourcing Association (NOA)

Predicting the future without the use of government cuts. This now means more and of offshore destinations offering strong a crystal ball can sometimes be difficult, more organisations will look to examine what government tax incentives and affordable, well particularly in today’s changeable climate – is core to the way they are run, then find ways educated staff. For example Malta, a relatively however, if you take a long hard look some of to run it more cost effectively and/or more new player within outsourcing has invested today’s issues, you might be able to find some efficiently. $300 million in SmartCity, home to a number of clues. state of the art buildings fully equipped with a This is where outsourcing has the ability to network of dual fibre optic cables... For instance, the government’s decision to play a central role in creating sustainable and cut spending in the public sector means that affordable solutions for many businesses. To read the full story go to: the outsourcing sector is poised to benefit Business Process Outsourcing (BPO) is already www.businessmag.co.uk increasingly over the coming months, as public experiencing increased popularity by delivering and click through to the Digital edition. sector departments take advantage of the cost efficiencies in specific non-core business efficiencies on offer to them. Combine this with functions such as human resources, finance and THE some positive signs that we’re moving beyond accounting and allowing organisations to focus BusinessTM the recession, as the economy picks up, we upon their core competencies. MAGAZINE:DIGITAL can speculate that the future for outsourcing is bright, with constant change and growth as Market research predicts that both BPO and ITO well as a number of planned key developments will grow by 19% (Gartner) to 25% (IDC) each planned. in the next year as businesses look to become more cost effective. Indeed, we’ve already seen, public sector organisations taking a step back to look at Outsourcing also seems likely to grow within their business processes, as a result of the the customer service field with a number

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 outsourcing taxation 27 Increase efficiency The future of R&D and cut costs, not tax relief in climate quality of spending reviews In June 2010, the coalition government began its term Until you are actually faced by announcing a number of immediate changes to with running a business the corporate tax landscape including a 1% reduction you may not realise the in the rate of corporation tax, writes Malcolm Joy time and expertise required to do tasks that are outside These headline reductions, weighed The relief provides SMEs with a your specialism, writes against the pressure to reduce the 175% enhanced tax deduction Jean Piercy of Griffins budget deficit of £155 billion in cuts for qualifying costs. This relief is to spending, leaves the Government offset against taxable profits, or with some difficult choices. may (subject to certain criteria), be The monthly hassle of processing surrendered for a cash credit (up to the payroll can be a real chore if The coalition has clearly shifted Jean Piercy £24.50 per £100 spent, capped at you are not sure of what you are the focus away from financial the companies PAYE liability). doing. Similarly, getting to grips with Considering finance and payroll services, towards sectors such as employment contracts may take time can be a good starting point as you manufacturing and UK innovation and energy that you simply cannot already outsource some of these to lead the country out of recession. spare. Often the difficulty is that, activities such as audit and taxation. We would have expected that although important and necessary, Why not do the same with your the R&D tax relief regime would it may not be cost effective for your finance department? The service play a key role in encouraging business to employ someone on a level agreement can be completely these sectors and incentivising UK full or part-time basis for these types flexible according to your needs businesses to invest more in R&D. of activities. and if it includes online accounts However, David Cameron, who had There is an alternative: outsourcing. you will have the benefit of easily previously suggested the R&D tax This is where a business function accessible up-to-date management relief regime would be completely is contracted out to a third party. information at any time. abolished, asked James Dyson to Almost any function can be review the current UK incentives to outsourced. Functions vital to your A word of warning encourage innovation. In the post business such as book keeping, election budget chancellor George Research shows that a significant accounts, payroll, HR, marketing and Osborne announced to “agree with number of outsourcing Malcolm Joy, tax partner, BDO LLP IT as well as non-vital functions like business a long-term approach to arrangements end badly, but this cleaning and facilities management the proposals from James Dyson on in itself is not a reason to reject to name a few. Research & Development”, marking outsourcing. It does however For large companies, the relief a shift from the Conservatives emphasise how important it is to provides for a 130% enhanced tax original suggestions. Is outsourcing right for your choose your outsourcing partner deduction, offset against taxable profits (the large scheme does not business? very carefully. Your outsourcing Dyson’s report, entitled “Making allow for a cash credit). However, partner should be flexible to match the UK the leading high-tech It may be tempting to rush into when you consider that the removal your needs, culturally a good fit for exporter in Europe”, proposed a outsourcing, but take the time to of the R&D tax relief regime for you, have ability and a good track refocus of R&D tax credits on hi-tech think it through. A good way of large companies (ie only allowing record and more importantly bring companies, small businesses and assessing this is to consider a series of it to continue for SMEs) would fund in knowledge and value. Remember start-ups, and when public finances questions: the 1% reduction in mainstream – anything done on your business’ allow, suggested the rate should corporation tax, you can appreciate • Will outsourcing free up your time behalf will reflect directly on it. be increased to 200% (currently the government’s dilemma on the and allow you to concentrate on 175% for small and medium- future of R&D tax relief. what you do best? And finally... sized businesses). The report also recommended that the process of With the emphasis shifting towards • Will outsourcing improve your If managed successfully, outsourcing claiming the relief be simplified. smaller start-up technology efficiency or customer service? allows you to concentrate on companies, many large companies, what you do best, save money, be R&D tax relief, and in particular the • Will outsourcing have a positive (and perhaps smaller non-’hi-tech’ more flexible and manage growth cash credit, is hugely valuable to impact on your competitive companies) may well have only a effectively. companies, often representing the advantage? very limited window to continue life blood of fledgling technology benefiting from this valuable tax relief. • Are the costs of outsourcing Details: Jean Piercy businesses. The relief is available favourable as opposed to doing it 01635-265265 to companies that are seeking to Details: Malcolm Joy in-house? [email protected] develop or achieve an improvement 0118-9527310 in a product or process, and in doing • Are the risks involved acceptable? www.griffins.co.uk [email protected] so, seek to achieve an advance in If the answer to these questions is science or technology, through yes then outsourcing may be right the resolution of scientific or for you. technological uncertainties.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 28 taxation

“Once this concept becomes Taxation: RSM Tenon flags established it could be extended to other companies by reducing the turnover threshold,“ warns up the iXBRL issue Parker. Ongoing taxation changes Nick Parker, RSM Tenon’s head of tax in the southern region, is fighting something VAT will increase to 20% in the of a losing battle at the moment. The eyes of the nation’s businesses are focused New Year, but companies need to on the likely impact of the government’s recently-announced public sector be careful about forward-billing, spending cuts, and Parker wants people to wake up to a new taxation threat, said Parker. There are now specific anti-avoidance provisions for writes John Burbedge forward-billing transgressions and HMRC can impose the additional It’s enough to make Parker want and format of a document clearly 2.5% VAT on the invoice rendering to say “iXBRL“ very loudly to lots for normal management purposes. entity if the companies abuse the of people. That’s not like “?*!/&!! The adoption of iXBRL for financial provisions. “My advice is to get all “ or “{§?&!!“ you understand, but and tax reporting has the potential your VAT systems checked and to it is annoying that iXBRL is being to assist business management, follow HMRC published guidelines introduced by Her Majesty’s and to simplify HMRC compliance carefully.“ Revenue & Customs largely – but, as Parker warns, also to flag unnoticed by the business world. Now is also the time to maximise up non-compliance. on Entrepreneurs’ Relief rising to The reason for Parker’s concern is £5 million – if you qualify. “People Should tax enquiries get too that iXBRL, a system of automated naturally assume they come within involved and even to the point of computer checking, is set to the HMRC rules, but they might legal contention, companies can dramatically increase the number get a nasty surprise if they haven’t expect integrated handling from of HMRC investigations. And while already checked it out. The rules HMRC, Parker suggests. “HMRC the “flags“ will be out when iXBRL are complex and it is easy to fall won’t just enter into a single is launched next year, business foul of them and end up with an aspect enquiry anymore. It will folk will have few reasons for unexpected tax bill. There are look at everything – PAYE, VAT, celebrating, Parker believes. planning opportunities for married Corporation Tax, NI, etc .... We’ve Nick Parker partners with shareholdings but “The iXBRL format allows already had inquiry meetings care needs to be exercised as such the HMRC to interrogate where seven different inspectors “Companies will have to get used planning needs to be carried out a the information it receives have turned up. to presenting things to HMRC on full year before disposal.“ more closely. Its systems a fully disclosed basis, and in the “Basically the taxation regime is will automatically ‘flag’ iXBRL right way.“ Encouragement for UK plc has becoming far more efficient, and anomalies. So, with less humans come with corporation tax officious.“ involved, and computers throwing The message to businesses being reduced from 28% to 24% out exception reports, I think it is everywhere is plain: Get your over a four-year period. Capital inevitable that the number of tax Disclose or be discovered systems and books in order, get allowance rates are being reduced professional help as required – or enquiries will increase,“ says Parker. “We are getting a more robust from 2012, which could act as an suffer the painful consequences! economic catalyst if businesses There are short-term and sophisticated approach from HMRC nowadays, which is decide to get projects underway problems: Will the buck stop in your understandable with the level of before the rates drop. HMRC is introducing mandatory pocket? national debt that we have. HMRC Looking ahead to the spring iXBRL online filing of accounts will be looking for low-hanging Another incoming HMRC 2011 Budget, Parker couldn’t and computations from April 1, fruit on tax matters, and that’s innovation is the concept of senior see any major changes in key 2011. Many businesses (mostly why upfront disclosure has now accounting officer responsibilities taxes such as VAT and income the smaller ones) and even some become absolutely key for all – persons within large companies tax. There might be increases in accounting software providers and businesses. (turnover £200 million-plus) who taxation on discretional spending accountants (not RSM Tenon) may will be individually responsible – fuel, tobacco and alcohol – but not be ready when iXBRL goes live. “Fundamentally, there are for certifying that their company enormous ‘grey areas’ in tax, “nothing radical, and not as harsh systems are fit and proper for The days of in-house accounting and if a company is adopting an as we might expect.“ spreadsheets using Word or providing HMRC with required approach in a grey area, it needs Parker also notes that the nil rate Excel could be numbered unless accounting information. to set out precisely what it’s doing of inheritance tax was now frozen suitable conversion software is so HMRC knows. And, if it is at “If that senior accounting officer at £325,000 for the life of the installed. Many more owner- odds with HMRC manuals, then gets it wrong there is a personal current Parliament. managers and SMEs will outsource the company must make a formal fine of £5,000, out his own pocket. tax affairs work to mainstream disclosure, otherwise HMRC can If the company pays it, it will be Details – RSM Tenon Offices accountants, Parker believes. issue discovery assessments for treated as a benefit in kind.“ Reading: 0118-9530350 not being properly informed.“ And long-term problems: The practical problems and Basingstoke: 01256-312312 Marlow: 01628-478100 iXBRL, or inline Extensible Business Parker suggests companies should pressures of such individual Epsom: 01372-743816 Reporting Language, uses tags seek advice and carefully review responsibility are obvious in (like bar codes) that enable “grey areas“ such as repairs and multinational corporates, not software to automatically read, renewals, entertaining, legal and least with global compliance process and analyse financial professional fees, capital items, concerns. Tiered sign-offs information. People will still be share schemes, and benefits in will take on a whole new able to see the original content kind (P11Ds). anxiety level.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 taxation 29

• During the financial crisis the last government temporarily reduced the Is there honesty in tax? standard rate of VAT to 15% for 13 months in the hope of stimulating High Street sales. Honesty in tax is all important. I am sure that all right-minded people It is this constant carrot and stick would agree with that statement. But I fear that honesty is becoming a approach which has, in part, contributed much rarer commodity in our tax system today, writes Cormac Marum, to the excessive length of the UK tax code. partner Harwood Hutton Tax Advisory LLP If successive governments have taught British consumers to respond to economic messages sent out directly through I am not suggesting that, as a nation, the tax system, why do they think that we are becoming more dishonest businesses and individuals operating in in our tax affairs and sinking to the a free enterprise system should suddenly depths of non-compliance witnessed stop responding to certain economic in some other countries abroad. stimuli? The whole wealth of the country Despite the likes of Del Boy and is based on companies and individuals Rodney operating with “no income tax, no VAT” in the black economy, the level responding day in and day out to all of tax compliance in the UK has always kinds of economic stimuli. We all rely been high thanks largely to the co- on companies and individuals being operation of the accounting profession entrepreneurial. and the law abiding nature of the UK If an entrepreneurial approach is public with its instinct for fair play. followed, tax is simply a cost and, like This is a very British characteristic and any other cost, it needs to be managed. is something about which this country To seek to minimise your tax liability is should rightly be proud. merely a natural response and one to be Where I see the increasing dishonesty expected, and actually encouraged, from in the tax system is not amongst the an economically literate person. There is taxpayers but worryingly amongst nothing illegal in following this approach the upper echelons of HM Revenue providing you make full disclosure, as & Customs advisers and amongst our required, to the tax authorities and you legislators. stick to the rules laid down. What form does this increasing Nothing good is achieved dishonesty take? It is in the deliberate by dishonestly confusing Cormac Marum policy to blur the distinction between the sensible management tax evasion and what is called tax of tax costs with illegal avoidance. It is simply dishonest not tax evasion. All that is to consumers either to persuade to distinguish between these two achieved by following such them to stop doing certain things categories and dishonesty is not the a dishonest policy is to harm or to encourage them to do more of basis on which to build any public British business and British something else. Hence governments policy least of all our taxation system. consumers by getting them have: To continue with this dishonesty will to worry unnecessarily and only bring the UK tax system into • increased ‘sin taxes’ to reduce levels of refrain from responding disrepute and quickly undermine the smoking and drinking; naturally to economic prospects of economic recovery. circumstances. • racked up fuel taxes to persuade us to Tax evasion and tax avoidance are cut down on the use of our cars; and In my view, the country not, by any stretch of the imagination, would be much better the same. They are definitely not two • introduced air passenger duty to make served by reducing the sides of the same coin. Yet repeatedly us think twice about taking unnecessary complexities in our tax we have heard, both from the last flights. system, removing this government and from the present dishonest association of At the same time those governments coalition, that they intend to be tax management with have sought to encourage consumers ruthless in their pursuit of those who tax evasion and allowing to undertake a range of activities which avoid or evade paying tax and that, British business and British presumably they thought would have in the country’s present economic consumers to respond been ignored without those helpful tax difficulties, they will attack those who naturally to economic think that paying extra taxes is an breaks. So we have for example: realities. That would bring optional extra. This is all good populist • Gift Aid to encourage businesses or some much needed honesty sentiment. But no distinction is drawn individuals to make donations to charity; to our tax system. between tax evasion, which is clearly illegal and can never be condoned, • Enhanced capital allowances to make and tax avoidance, which is no more more attractive investment into certain Details: than the sensible management of an types of plant and machinery; 01494-739500 economic cost facing any consumer. cormacmarum@ • Generous tax relief under EIS to harwoodhutton.co.uk Governments of all political colours persuade individuals from outside to have long followed a carrot and take equity stakes in small and medium- stick approach and used the tax sized enterprises undertaking certain system to send economic messages qualifying activities; and

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 30 taxation Structuring for the future Have businesses gone far enough? Baker Tilly’s Gary Heynes and Leo Bentley look outside the box

In the current economic corporate structures. Taxation A hybrid structure can overcome environment many business is one area where the profits these as well as other issues: owners have seized the extracted by business owners opportunity to review their through a limited company is • Providing improved cashflow; processes and streamline their considerably different when • Establishing an efficient business systems. However, compared to an unincorporated business structure for making few will have looked at their entity; for an existing partnership, future acquisitions; operating structure, accepting partners will be taxed at 40% or with little challenge that they 50% on profits allocated to them, • Facilitating staff incentives in Gary Heynes are a sole trader, partnership (or whether they need them or not. the form of share schemes to Limited Liability Partnership) or They suffer this tax even if they retain key employees; and move to a hybrid structure, there company and putting up with the wish to retain the profits in the are significant opportunities for • Prompting the need to inflexibilities of a single structure. business. A company could pay tax many businesses to enjoy the revisit outdated partnership/ as low as 21% on profits it wishes benefits of an improved structure. There is an alternative – a hybrid shareholder agreements. to retain. Conversely, companies A review is certainly worthwhile to structure – where a business pay very high rates of national ensure your business is in the right is made up of a mixture of Baker Tilly has advised on and insurance on salaries and bonuses, shape in time for the upturn in the partnership and company. Far implemented hybrid structures as do the employees themselves. economy. from being expensive, it can for a range of businesses over provide cost savings, motivation Cashflow is different given that recent years and has significant Details: Gary Heynes for senior employees through tax on salaries is paid monthly, but experience in this area. We have 01483-307000 ownership of the business and those who are self-employed only worked both with small businesses [email protected] the potential to grow through pay tax half yearly. that have a handful of owners, and www.bakertilly.co.uk acquisition without significant substantial businesses with over A company buying a business can cash outlay. 200 partners/shareholders. offer shares for the purchase, but a There are noticeable variations partnership cannot nor can it offer On the basis that both between unincorporated and its employees a share incentive. partnerships and companies can

The tax covenant provides Buying a business: how to avoid the tax traps additional protection. Often, suing under the tax covenant is more When purchasing a company, it is vital to gather as much information about the effective and differs from breach of business as possible. Laura Lindsay of Penningtons Solicitors LLP explains the warranty in the following ways: importance of undertaking tax due diligence before completing the purchase • the damages awarded may be higher; The due diligence process Examples include: • there is no requirement to is conducted by the buyer’s • the status of open tax returns prove that any financial loss lawyers, who ask the seller for – HMRC may investigate the incurred was foreseeable; information on various aspects of tax affairs of a company up to • there is no duty for the buyer the company, including finance, two years from the end of each to take steps to attempt to assets, employees, and insurance. accounting period; mitigate their loss. VAT – the buyer should consider • A tax covenant is also used What is the purpose of tax whether payment had been to protect the buyer against due diligence? made on time and how supplies liabilities arising after the of goods or services made by purchase and to adjust the From a tax perspective, the buyer the company have been treated should look into the tax affairs of purchase price of the company for VAT purposes; and following completion, if the company in order to identify: • PAYE – the buyer should obtain • potential tax liabilities which previously undiscovered tax copies of the company’s last liabilities lower the value of the may arise after the purchase of PAYE audit. the company; company below the price which the buyer paid at completion. • the tax consequences of How should buyers protect purchasing the company; and Laura Lindsay • any areas where the buyer themselves? Details: statements of fact about the tax Laura Lindsay should negotiate specific Following the due diligence affairs of the company. If any [email protected] clauses to be added to the sale process, there are two types warranties subsequently turn www.penningtons.co.uk and purchase agreement (SPA). of document which cover tax out to be false, the buyer could liabilities: the SPA and the tax sue the seller for damages. The Which issues should the covenant. SPA may also contain specific buyer consider? The SPA contains a series of tax "indemnities" in relation to tax There are numerous areas "warranties" about the company, liabilities which could arise in where tax liabilities could arise. by which the seller makes various special circumstances.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 taxation 31 The importance of making a Will 2010 continues to be a volatile and troubled year and with that uncertainty in the world, it will pay to create certainty at home. Only 50% of us who should be making a Will, do and many people misunderstand intestacy, write Patrick Hurd and Michael Jepson of Pitmans

Is the following acceptable for your Will? and civil partners for property passing to the to secure an effective further deduction survivor so that the transfer will be exempt on the second death through careful, but • If my spouse/civil partner survives me he/ from IHT even if the value is in excess of nil straightforward planning, involving the she gets all my personal possessions and purchase of business assets from the trust. the first £250,000 of my estate plus a life rate band. Where one spouse is not domiciled interest (interest in income only) in half in the UK, there is a significant inheritance tax Where business property is held, more detailed of the rest. The other half is to go to our restriction which needs to be provided for. provisions are needed in the Will to take children as and when they attain the age of Complexities arise where foreign assets are full advantage of the reliefs. Clients whose 18 or on earlier marriage. involved, particularly overseas land which is businesses are carried on in partnership, need to be aware of a trap in that BPR can be denied If he/she survives me but I have no children always subject to local rules and taxation. • on the death of a partner where the remaining he/she gets personal possessions and the first £450,000 of my estate plus half of the rest. The other goes to my parents or brothers and sisters. • I do not appoint anyone as my executor but my spouse/civil partner and my family can sort out who is to apply for a grant. Now, if you have not made a Will, then that is your Will, as that is a basic summary of the main intestacy provisions. The Government has issued a consultation paper on intestacy so that even if the above were acceptable now, any new provisions would apply after 2011. Would you want to leave it to the Government to update your Will? Intestacy arises when the deceased did not make a Will or revokes it. Patrick Hurd, consultant Michael Jepson, consultant Marrying or entering into civil partnership revokes a Will unless it makes specific reference Since 2007, the Government has permitted one partners have implicitly or expressly agreed to an intended marriage. Alternatively, the Will spouse’s unused nil rate band to be transferred to buy out the deceased partner’s share of the may be invalid. on the first death to the other. Importantly, business, possibly through insurance policy this is at the level applying on the second arrangements. Clients need to review their Certain assets are excluded from intestacy, death. This is an important entitlement, but partnership agreements in this respect. namely those held jointly, which pass by it is not always the case that spouses will survivorship ie joint tenancy (as opposed want to organise their affairs to maximise Combining the use of BPR with capital gains to tenancy in common of property) when it the amount that can be transferred to the tax holdover reliefs and the possibility of using passes automatically to the survivor outside survivor. For example, where property is likely lifetime trusts, instead of a Will, to provide for the Will/intestacy, for example property and to grow in value faster than the nil rate band succession to family businesses can prove a joint accounts. Life insurance policies are threshold increases, it may well be preferable compelling tool. often written under trust when they also pass for that property to be put into a nil rate band There is much that clients can do to minimise separately. discretionary trust at the outset, so as to use up the tax burden by taking advantage of reliefs You can avoid intestacy by making a Will. It the nil rate band. which the Government have introduced. is often straightforward becoming more Agricultural (APR) and Business property relief This represents legitimate tax mitigation, not complex where tax and cross border issues (BPR) are vital reliefs as assets and property exist. Incorporating a trust into a Will is an avoidance, itself now a perjorative term. which qualify can get 100% or 50% relief from important consideration, for example where IHT. BPR applies to any unquoted (except Details: minor children are involved or dealing with a for AIM) shares in a qualifying (broadly, non Patrick Hurd 020-7634-4634 second marriage. It needs to be remembered investment) company or unincorporated [email protected] that if there is a beneficiary who is dependant business, which has been owned for two years. on the deceased, for whom proper provision These assets can pass straight into a trust on Michael Jepson 020-7634-4637 has not been made, then claims can be made the first death and the surviving spouse can [email protected] under Inheritance (Provision for the Family and be included as a beneficiary, but without the www.pitmans.com/private-tax-family-business Dependants) Act 1975. interest forming part of his/her estate. This People generally think of inheritance tax when exemption may well be lost (because the thinking about Wills. There is a (currently business may be sold or the relief wholly or frozen) nil rate band limit of £325,000. Above partially withdrawn by the Government) if not that inheritance tax is payable at 40% on the used as part of the planning for the death of whole of the excess. the first spouse. There is, of course, exemption between spouses Circumstances may permit additional planning

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk THE BusinessTM MAGAZINE:DIGITAL

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To book your page email Tanya Liddiard at [email protected] entrepreneurs 33 What is entrepreneurial spirit? The Business Magazine writer John Burbedge goes in search of an answer

“Animal instinct!” was the reply to that question So, personal legacy might be the driver Take generous helpings of: from a business friend of mine. for entrepreneurial spirit. But, what does entrepreneurial spirit consist of? • Confidence and desire He explained his answer. “It’s not about survival of the fittest, although winning can be important to I thought I’d ask an expert in the entrepreneurial Mix with significant quantities of: some people, it’s about the natural urge of humans field, Susan Elliott, CEO of Thames Valley Innovation to procreate and leave something of themselves & Growth Team (IGT), who deals with hopeful and • Market awareness behind,”(only, he didn’t use the word ‘procreate’). successful entrepreneurs every day of her working • Ability, and willingness to learn life. “Put simply, men want to make their dreams Add a spark of: become reality; they want to give birth!” he added. She consulted her Thames Valley IGT colleagues Nigel Biggs, Bob Bradley, Nick Horslen and Stephen • Innovation “What about women?” I queried, immediately Foale and they came up with the following feeling stupid. Allow to stand for some time with: ingredients and ‘recipe’ for making entrepreneurial “Well, they have ‘entrepreneurial urges’ too, don’t spirit (with no distillation or special brewing • Stamina they?” he said with a smile. equipment required). ...entrepreneurial spirit in action Not only did the Thames Valley Innovation & Growth Team (IGT) team Confidence and desire provide this ‘recipe’ for entrepreneurial spirit, but it even provided some Confidence and desire are two different examples of the finished product to savour, each containing strong qualities. Confidence suggest certainty, desire suggests passion. Together they produce evidence of these important ingredients, yet each with distinctive positive action. highlights Future Purchasing has performed confidently within its sector since it was formed in 2002, bringing together project teams of Market Awareness professional consultants with exceptionally strong change management, process design, Being in the right place at the right time The IGT provides a range of monthly implementation and educational expertise is good news for an entrepreneur... but seminars that have been very useful and a in procurement. It has more than 40 only if you know it is the right place good gathering point to network further. specialists based in the UK, Scandinavia, The at the right time. Market awareness “Thames Valley IGT’s Bob Bradley and Netherlands, France and Germany. also means having the right product or service available when the opportunity Stephen Foale were also instrumental for Its procurement consultancy teams have arises. Like any good comedian, for the bouncing ideas off, and giving us a reality enabled Future Purchasing to provide vision, entrepreneur aiming to get his customers check. Their business acumen has been challenge, perspective and highly practical smiling with satisfaction, it can also often very helpful in packaging our business for implementation experience. This proven be a matter of good timing. a future flotation or bringing in external ability is now recognised by a considerable investors. They also provided us a range number of senior procurement professionals FISCAL Technologies has its EMEA of tools to help plan our business and headquarters in Reading and provides within the FT European 500 and the public develop it further. When you are in a sector. world-class accounts payable audit small fast-paced technology business, all software to medium & large organisations. In 2009, confident of his teams’ abilities, this is vital.” Future Purchasing managing director Mark David Griffiths, CEO and Director of Griffiths is obviously not alone with his Webb set about extending the business Customer Development, sprinkled his entrepreneurial talent. The company has from pure consultancy to the sale of a entrepreneurial magic on an existing category management software solution that product that wasn’t succeeding in the reported 50% sales growth each year for increases the effectiveness of sourcing and market. Through innovative marketing, the past three years, and has ambitious supplier management - a tool called Track 8. strong product development and a well- plans to continue to increase its brand managed re-launch the product is now awareness over the next few years. His entrepreneurial desire was to move selling well. from a concept to product reality through FISCAL’s agility and innovation allows a considered development, marketing and He had contacted the Thames Valley them to “run rings around conventional launch strategy for the Track 8 product. Innovation & Growth Team which put audit companies and offer high Thames Valley IGT helped Future Purchasing him in contact with a peer group of immediate value to our customers,” channel its confidence and desire into other similar companies. “This has as Griffiths puts it. “We are winning positive action and Mark Webb’s goal was been invaluable as we can all share our five or six customers every month and achieved in less than 12 months. problems and solutions. It is also nice to now it’s about continuing to scale the know other people are in the same boat. organisation profitably.” Webb commented: “If we’d had this support to underpin our ambitious plans two years ago Track 8 would already be on the market with sales secured”. Continued overleaf...

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 34 entrepreneurs

continued from previous page... Stamina Getting a business off the ground requires entrepreneurial spirit. Keeping that company Ability, and willingness to learn going needs regular inputs of one special entrepreneurial quality - stamina. That’s the Knowing one’s abilities is not the same Diversification and expansion presented new rugged stamina of the boxer to roll with the as confidence. There are plenty of damp and unexpected challenges. Colin Aurelius punches and avoid the knockout blows; the children who were confident they would explained: “We were looking to capitalise on a constant determined stamina of the long- outrun the incoming waves. The same goes range of opportunities, but with a management distance runner; and the energetic stamina for entrepreneurs, only they tend to get burnt team limited in board-level experience, we of the gymnast to be able to adapt and react – financially! needed more expertise and guidance in this quickly. area.” Costly business mistakes caused through IT and software company Avco Systems is not lack of the right abilities invariably cause Through a personal contact, Colin Aurelius a high-flying star that faded quickly, as some business setbacks to growth too. They could became aware of the Coaching for High Growth promising businesses do. even kill a fledgling business. programme delivered by the Thames Valley Innovation & Growth Team. Led by managing director Dr Raphael Kanza Pride comes before a fall they say, and not the company has grown slowly but very seeking help through personal pride is a “I was able to work with Nick Horslen, a high surely (and profitably) every year for 25 common entrepreneurial failing. Showing a growth business coach, and discuss a broad years, having strongly supported UK-based willingness to learn is not admitting failure, it range of challenges and opportunities facing software development for high-quality is recognising a fresh opportunity. the business. Working with someone outside applications. Avco Systems has a history TDB Fusion enabled me to step back from the TDB Fusion, the Bracknell-based IT specialist, of gaining large customers who remain day-to-day business and think through the was founded in 2002 by brothers Colin and as customers for years and years – greatly strategy more carefully,” he added. Richard Aurelius, and quickly established valuing their personal relationships with Dr Kanza and the Avco team. itself with a prestigious customer list through Now with 25 employees, TDB Fusion rebranded the technical ability of its core team. The this year to reflect the broadened scope of its Prudent financial management has enabled company provided complex IT management operations and services – through its work with the company to grow and develop out of systems to enterprise customers, managed the Thames Valley IGT the company completed its profits without recourse to borrowing. service providers and telecommunications the development of Federos, an innovative Its sustained growth and low staff turnover carriers. Its customer base grew significantly business process management technology has made Avco thriving, innovative and as the business broadened the range of IT which bridges the gap between IT and data successful with a reputation for delivering management solutions within its portfolio, centre operations to support consolidation value for money services and high-standard and identified a number of strategic strategies and drive operational efficiency; it yet flexible customer support and aftercare. opportunities for rapid growth. continues to go from strength to strength. Avco has just moved into new offices in Slough ready for a new growth phase. Avco Systems is now developing an ‘IT Emporium’ concept offering ‘near-the-shelf’ software, where an ‘off-the-shelf’ option is Innovation not available. Avco uses its existing software libraries to prototype a customer’s needs I believe they say that: Innovation is 10% The innovation that the Mackleys brought very quickly before final development work, inspiration and 90% perspiration. Whatever to small retailers was software products making the solution delivery faster and the quote, innovation within the business and services to drive business efficiencies more cost-effective. Avco is also part of a world is not all about Eureka moments. and save time and money when selling consortium researching cloud computing. More often than not an innovative new through multiple channels. The systems product or service is an improvement of an also integrate with SAGE accounting to Nigel Biggs at Thames Valley IGT has assisted existing product or service – ‘tinkering with allow complete end-to-end business Avco Systems to improve its strategic technology’ or doing things better, quicker, management. Importantly, the Intelligent planning. Recently Dr Kanza presented a cheaper. Retail systems are simple to use and refreshed and considered business plan to his bank manager who commented: “Whilst we But it does help to spot a gap in the market. affordable for small to medium-sized retailers. have discussed your plans several times over Newbury-based Intelligent Retail was begun the years, this was the first time I can really say in 2005 by brothers David and Neil Mackley Of course, Intelligent Retail was a small start- that the business has had a crystal clear vision in a bid to help small retailers fight back. The up business itself and needed some help. It for growth and real evidence of change being Mackleys had noticed that small retailers turned to Thames Valley IGT. David Mackley delivered at pace”. were losing the battle to the high street admitted: “We didn’t have all the skill sets giants when it came to electronic point-of- in house, so it’s been very useful to have independent experts involved to ensure sale (EPoS) systems. Thames Valley Innovation & Growth Team provides that we didn’t make the sort of mistakes that tailored support to help accelerate business growth With the retail industry’s move towards others businesses might. In fact, looking selling across multiple channels, namely and innovation. Experienced business people who back over the past few years, they’ve been a have started, managed, grown and sold businesses shop and web, the need to keep up with fundamental part of our success and growth the Jones’s, let alone the Tesco’s and John help management teams and owner managers as a company.” Lewis’s, was turning into a daunting and increase market potential through independent demanding challenge. Larger retailers had Having set off on a journey to develop and objective guidance and coaching. Government the time, money and resources to implement supply a range of EPoS systems designed funding enables this support to be delivered at little or sophisticated multichannel invoicing and specifically for smaller retailers, Intelligent no cost to business owners and managers. stock control systems; the majority of smaller Retail is now well on track, turning over more independent outlets did not. than £2million and still growing. Details: www.innovationgrowth.co.uk/thamesvalley

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 entrepreneurs 35 How to reduce your tax burden against future changes In this age of austerity, with the UK Government trying desperately to boost its coffers and with MPs’ expenses and ‘loopholes’ high up on the agenda, John Addrison, from Rouse Chartered Accountants, considers what changes we might see over the next year in the areas of tax legislation that may affect our entrepreneurs

“Tax avoidance is good, tax evasion is bad” is correctly formulated, may prove effective as Smaller business owners (especially a mantra that accountants throughout the UK only legislation has been deemed capable of husband and wife companies) have intoned for years to their clients and we preventing them from continuing. Setting up a limited company: in the sights of have been no exception. However, under the Opportunities for entrepreneurs: Correct the taxman eagle eyes and sharp claws of the Treasury, use of EBTs and EFRBS can save substantial the coalition wants to target the avoiders as From Gordon Brown (when chancellor) amounts of tax for profitable businesses and much as the evaders. This may not be good and the Inland Revenue’s failed attempts to allow owner-managers to enjoy more fully the electioneering in the longer term but that is bully Mr and Mrs Jones into submission in fruits of their labours. If you are considering this not their key focus now. the Arctic Systems case, to the more recent type of tax mitigation then there is a window of revelations about senior BBC presenters who So, what is around now for entrepreneurs opportunity between now and March 2011. have set up their own Limited Companies, it who want to plan to reduce their tax burden has always been an Inland Revenue ambition and what will still be there in 12 months time? to prevent people working together from Unfortunately with child benefit going, I can no structuring their affairs such that they pay, longer save up for my own crystal ball so what overall, the least amount of tax. follows is my thoughts on what may stay and what will possibly go. Thanks to the House of Lords ruling in the Arctic Systems case it is still possible to have ‘normal’ family or close companies. With Tax rates generally appropriate planning at inception, family We know that VAT is going up to 20% and members can be shareholders and can take that the highest rate of income tax is unlikely advantage of the payment of tax efficient to change yet, so is there much room for dividends out of taxed profits. movement. With sweeping reductions in Dividends remain the simplest way to ensure public spending, the Government is trying not that you keep the most from your business in to directly tax the UK more than currently is a non-aggressive manner and the savings you the case. We know that corporate tax rates will can make could pay for your next holiday... reduce at the top and may reduce at the lower or more! Don’t forget that national insurance end. There is more bad news on the horizon rates go up again next year so dividends will for non-resident/non-domiciled tax payers. be even more effective for entrepreneurs.

Employee Benefit Trusts (EBTs): Limited companies can be excellent places Looks like they are on the way out to shelter 40% or 50% income tax liabilities at 21% or 28% instead and make use The use of EBTs that allow employees to avoid John Addrison subsequently of tax-efficient extraction plans. income tax are popular with a wide range of companies, from City firms to football clubs, So whatever the future might hold... but are thought to be a likely ongoing target Company share option plans: for the Revenue. The Treasury has indicated Safe for now There is always room for sensible tax planning; that they are seeking to legislate in some way talking to your advisers regularly to make on the use of trusts (mainly offshore) to reward The Treasury must balance its crackdown with sure you are up to date with any changes in appropriate members of staff in a low tax/nil sense (something that does occasionally seem legislation is vital. tax environment. to be missing when government and business collide) but it would be an extremely backward Currently the tax treatment for the company and stifling step to prevent employees from Details: depends on the type of EBT it creates but supporting their own firms and from employers John Addrison the overall savings for the company and the 01494-675321 individuals who benefit can be substantial. incentivising their staff members in this income tax and CGT efficient manner. [email protected] www.rouse.partners.co.uk Employer-Funded Retirement Benefit This is an ideal way to retain key members of Schemes (EFRBS): staff and ensure that your flourishing business Could also be on their way out continues to do just that. EFRBS work in a similar way to EBTs and For the Entrepreneur: If you are thinking of HMRC has already warned that it will seek to creating some form of share option or incentive legislate against “attempts to avoid tax and NI plan then speak to your accountant or a through arrangements to disguise payments of specialist provider as the planning and set up remuneration”. is the most important part of the exercise and In some ways this is good news for both EFRBS will not only provide your staff with the benefit and EBTs as it means that current schemes, you wanted them to have but you will have a if provided by a reputable organisation and much more motivated workforce.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 36 entrepreneurs A business lesson for us all

This month, the finals of the Haines Watts Young Entrepreneur Award 2010 competition are taking place and the entries have been of a very high calibre. The final is promising to be an exciting event, writes Rodney Style (right), partner at Haines Watts

Watching the whole competition unfold, the defining characteristics of the successful entrepreneur have become crystal clear: pure energy, focus and dedication to the work ethic. Their personal business vision is their life blood despite their young age and it is their commitment to hard work and their positive attitude to challenge that is truly inspiring for us all. All participants will provide a heady mix of thoughts and ideas The judges also know about the passion and commitment at the finals and we will announce the winners next issue. that is needed to succeed with your own business. The panel As well as the prize money, Haines Watts is delighted to be includes partners from Haines Watts, all of whom provide helping the winners on their way with a year-long mentoring daily support and advice to businesses at every stage of their programme with one of our partners. formation and lifespan, from start-up to sale/disposal. Nigel Botterill, another judge, is a ‘serial entrepreneur’ and founder For further information about of the highly-successful national ‘Bestof’ online business Haines Watts Young Entrepreneur directory. Meanwhile, a speaker at the event, Stafford Award 2010 see below. Carrington, showed his business promise from the age of eight at car boot sales and made his first million aged 26 as the owner of Impact IT. Details: www.hwye.co.uk

In Business Barometer survey, entrepreneurs reveal the anticipated impact of government cuts

Just one in eight entrepreneurs expect will benefit from the spending cuts, However, business owners in the cuts to benefit their businesses. Scots buoyed by the prospect that reduced south are most optimistic that they are revealed to be the most concerned government budgets could lead to will be unaffected by reductions in about government cuts. These are just an increase in the number of public public sector spending, with almost two findings of RSM Tenon’s Business sector activities that are outsourced to one in five (20%) predicting that Barometer. private businesses. these will have no impact on their business. According to the survey, nearly half One in eight entrepreneurs (12%) (47%) of business owners in the expect to see an improvement in Richard Smith, head of risk private sector expect the impending their company’s financial position as a management at RSM Tenon, said: government spending cuts to result of the spending cuts. ”While some businesses dealing negatively affect their business’ directly with government will financial performance. Companies The south most optimistic inevitably be hit by the cutbacks, reliant on government departments there are some clear opportunities Nationally, only one in five as their main source of business are for entrepreneurs to take advantage entrepreneurs (19%) believes that set to be particularly badly affected, and fill the gaps resulting from their businesses will be left unscathed. with reduced government spending reductions in government hitting sales and potentially damaging Business owners in Scotland were resources. financial stability and staffing levels. found to be most concerned about “Maintaining reduced spending RSM Tenon’s Business Barometer the spending cuts – 57% expect to see levels will be a key priority for the found that almost a third of business a negative financial impact on their public sector – this could well lead owners (29%) expect the cutbacks business. to an increase the number of public to negatively affect their company’s Entrepreneurs in the north west (50%) sector activities that are outsourced. staffing levels. also believe that the spending cuts Businesses that take the initiative and will have a negative financial impact, adapt their current practices to meet Potential opportunities while one quarter (24%) of those in these public sector demands could Despite their expected severity, Yorkshire are pessimistic about the therefore find themselves in a strong some business owners believe they impact on staffing. position in a year’s time.”

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 property 37 Home secretary celebrates Millgate Homes’ success Home secretary and Maidenhead MP the Rt Hon Theresa May paid a glowing tribute to the business achievements of Twyford-based prestige housebuilding company Millgate Homes, when she visited its head office last month

The event marked a celebration of directors and employees. “It is the firm’s success as three-times particularly fantastic because I know Home Secretary the Rt Hon Theresa May MP, is presented with a cheque for winner of the coveted Best New life has been tough over the last two Feed The Children (UK) by Millgate Homes chairman Graeme Simpson (right) Home of the Year title in the Evening to three years. and managing director David Simpson (left). Standard New Homes Awards, and also provided chairman Graeme “The Government is now catching the results. We are hiring people As well as spending time talking Simpson with the opportunity to up and as part of the process of the again and we have returned to to staff, the home secretary was congratulate Theresa May on her spending review, we are having to profitability, which is a big relief and also presented with a cheque for appointment to one of the top posts do the sort of things you have been there are rays of sunshine on the £1,000 for local charity Feed The in government. doing as a private sector company; horizon, which is great to see.” Children (UK), for which she is a keen taking out costs and focusing on supporter. The charity focuses on After a tough period which saw Drawing parallels between the customer service delivery. We are helping youngsters, both at home Millgate Homes cut overheads by tough decisions that the company now bringing in the rigour that you and overseas, with a particular some 40% and take a stringent had had to make during the have had to exercise over the last emphasis on developing sustainable attitude towards cost control, economic downturn with the cuts few years and my congratulations communities, and part of this latest the company has now emerged now been driven through as part of on having come through in such donation is likely to go towards leaner and fitter and has just the government’s spending review, style.” improving healthcare for children in reported record profit levels. the home secretary praised the Uganda. team for their hard work. Simpson commented: “The huge Among its current projects is an task that the Government has ahead exclusive development of six luxury Details: David Simpson “I am really pleased to be able to of it is very similar to what we have detached homes in Dark Lane, 0118-9348050 come and celebrate your fantastic been going through ourselves and Wargrave, which will be launched in [email protected] success,” she told the board of now we are really starting to see December. www.millgatehomes.co.uk Hidden dangers of improvements and alterations A tenant of a commercial property may from time to time consider that improvements or alterations are necessary to its property to revive or stimulate better performance and growth. Alastair Goggins (right), dispute resolution partner at Gardner Leader LLP in Newbury, examines what a tenant and a landlord ought to be considering if the building is to be altered and improved in any way

The first consideration leads • It is for the tenant to show that the tenant to prove that no further both parties to the lease. A lease the landlord has unreasonably consent is necessary. You should of commercial property usually withheld consent. make sure that the lease is being includes Tenant Covenants restricting complied with and ensure that It is implicit that the tenant must alterations to the property either • you have supplied the landlord absolutely or subject to the make its proposals sufficiently with all relevant information landlord’s consent. The Landlord clear so that the landlord can needed to decide whether any Court proceedings brought by and Tenant Act provides that, decide whether to refuse to give to grant consent or not. If the the tenant. In certain circumstances where the landlord’s consent is consent. landlord does not respond within landlords could find themselves with heavy penalties for not responding needed, then that consent is not So, what should you do if you are a reasonable time, then you are to the tenants request. to be unreasonably withheld. the tenant and you believe that the likely to succeed. The following principles warrant landlord is unreasonably refusing For the landlord it is important that, if For further information about consideration: consent? one of its tenants applies for consent, commercial property and commercial disputes, contact Gardner Leader’s • A landlord is not entitled to refuse • You could decide not to proceed the lease is first checked, any further consent on grounds that have information from the tenant is commercial or dispute resolution with refurbishment, or you could teams. nothing to do with a landlord’s proceed regardless, which could requested as soon as possible and property interests. lead to legal proceedings against then a written decision is provided Details: expeditiously. It is evident from a • The landlord must prove that you. 01635-508080 number of recent cases that the conclusions which led to the www.gardner-leader.co.uk • You could apply to the Court for a Courts require landlords to act refusal were reasonable. declaration that you are entitled promptly to such requests, certainly • The landlord cannot refuse to proceed with the improvement no response after two months consent just on financial loss without any further consent. If from the landlord would place the alone. this option is taken then it is for landlord in difficulty in defending

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 38 property Asbestos is still with us In an attempt to reduce the risk of the general population suffering health problems, and even death, from exposure to asbestos, the Government introduced the Control of Asbestos at Work Regulations, writes Matt Ward of Haslams

Regulation 4 came into effect known as HSG264. The main dutyholder is vacating a building, on May 21, 2004, since when differences between this and and is asked for a copy of their all persons with repairing MDHS100 are the reference to only asbestos audit and management obligations in relation to non- two survey types (Management plan for forwarding to a domestic premises should have Survey and Demolition/ prospective tenant, then an explicit identified and be managing any Refurbishment Survey), and the obligation is placed on the existing asbestos within their buildings. way in which certain parts of the tenant to assist by providing all Matt Ward To effectively comply with this, it subsequent asbestos audit need information they hold in relation to is necessary for a premises to be reporting. Any surveys prepared asbestos related issues. inspected so that an asbestos audit now should refer to HSG264 and then the relevant dutyholder will The Government take the issue of can be prepared identifying where not MDHS100. immediately be on the back foot asbestos and its effect on health asbestos materials are located in defending any resultant claim. On the assumption that the above very seriously indeed. The Health within the premises, such that they For most premises the carrying has been complied with, and & Safety Executive are actively then can be monitored, repaired out of the inspection for asbestos, the occupier of a non-domestic policing requirements of this or removed in accordance with the and preparation of the subsequent premises is managing asbestos regulation and if you have not subsequent management plan. audit report, is relatively straight located within the building received a visit from a Health & forward and could save lives. Do In the past, an asbestos audit properly, there is one aspect of the Safety Officer to date, it can be you have yours? should have been carried out in regulation that is not understood. assumed that one is not far away. accordance with MDHS100 and A specific obligation is placed on There is also the consideration that Details: Matt Ward included three types of survey the ‘dutyholder’ to assist any other should any person who entered 0118-9211533 (imaginatively referred to as parties who have an interest in, or the premises subsequently suffer [email protected] types 1, 2 and 3). Following the enter the premises, for whatever an asbestos-related illness, and coming onto force of the Control of reason. Such parties could it is then shown that relevant Asbestos at Work Regulations 2006, include the landlord, maintenance documentation with regards this there is a new guidance document operatives, fire brigade, services regulation were not in place until relating to the inspection and technicians and potential new some considerable time after preparation of asbestos audits tenants. Consequently if a current the regulation came into force,

Slough Trading Estate Companies struggling to secures two more lettings expand along the M40 White Commercial Surveyors report recession and ‘credit crunch’ which Milling International Marketing, a and the south east, but without that they are experiencing a shortage has restricted commercial property leading UK supplier of equipment the London rates.” of suitable sites and buildings for developers ability to develop new for construction machinery, has a number of their current clients’ buildings and premises speculatively signed a new five-year lease at Prompt Suppliers has also signed a business expansion plans. and also the restrained and SEGRO’s Slough Trading Estate. three-year lease on new premises Chris White, managing director of The company has relocated from after relocating. The company will legislative approach of the planning the company, said: ‘’ Although the elsewhere on the Estate to new operate from a unit of more than system in bringing sites forward for general economy faces difficult 5,500 sq ft at 447 Perth Avenue, development. premises, taking a unit at 505 trading conditions we currently which will be used for storage Ipswich Road, totalling 1,540 sq ft. have four high-value manufacturing and distribution of clothing and White Commercial advises clients The move is the third for the and distribution clients, with textiles. Anil Malhan, director of that the lack of modern production company in recent years, as it requirements totalling over 800,000 Prompt Suppliers, said: “Slough and distribution accommodation has enjoyed a sustained period sq ft who cannot locate suitable sites Trading Estate is a fantastic will require many businesses of growth whilst at the Trading and buildings along the M40, from location for us, allowing the with large space requirements Estate. The larger unit will be used Bicester to Warwick (Junctions 9 to 15). business to be linked to the rest of to store machinery equipment, to work alongside development the UK.” “These companies employ a allowing increased flexibility in significant number of skilled organisations on a ‘design and build’ managing delivery and collections. David Drummond of SEGRO said: employees who live and work and basis providing buildings built to the occupiers specific requirements. Martin Pink, area manager “These expansions are a key also spend their incomes on the indicator of the positive sentiment shops and services in the area. These of the South East depot in With the development/procurement Slough, commented on Milling we’re seeing coming back to the companies will potentially have to look at alternative locations for their process for 50 -100,000 sq ft buildings International Marketing UK’s market. We’re witnessing a range businesses if they cannot relocate taking at least 12 months, businesses decision to expand at the Estate: of businesses growing on the successfully within the district - “Slough offers an excellent Estate and we’re committed to will need to be in a position to having a serious impact on the local location, close to London which working in partnership with them manage the whole process which economy generally.” enables easy collection and to offer the best solution to their will require professional guidance delivery of products to London business space needs.” White Commercial blames both the and a project team approach.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 international trade 39 Negotiating the procedures maze One of the more daunting challenges of exporting is negotiating what, to the The EUR1 (completed by the uninitiated, can seem an impenetrable forest of procedural requirements and exporter) is used to claim preferential rates of duty in paperwork countries where trade agreements exist with the EU, benefiting the UK Trade & Investment South All exporters should check that parties under Incoterms – buyer by making goods cheaper to East operates a free International they comply with HM Revenue & globally recognised international import. For some non-EU markets, Services (IS) helpline for Customs requirements. HMRC’s commercial terms designed to such as Turkey, an ATR certificate companies with queries on export “Breaking down the Barriers” guide clarify buyer/seller contractual (available from chambers procedures, helping them see the is a good starting point. obligations and avoid of commerce) offers similar wood for the trees and acting as misunderstandings, eg FOB and Most goods exported to other EU arrangements. a gateway to the knowledge and free on board may mean different states attract no import duty. For expertise of UKTI international things to US and UK traders (www. For companies taking product markets beyond the EU, import trade advisers and services both samples overseas for exhibition duties may apply. Every type of iccwbo.org/incoterms/id3040/ in the region and a worldwide and marketing purposes, a good is identified by a code that index.html). network of diplomatic posts. Carnet – a sort of product determines the amount of duty to UKTI can help with any issues passport – can save much time Samantha Davies, deputy IS be paid by the importer. that arise, including specific and inconvenience. Applicable manager, says: “We’re a one-stop “Many companies simply aren’t requirements for your commodity, for some major non-EU markets, advice centre, offering an export aware of commodity codes and such as the type of packaging or and valid for a year, it simplifies readiness check for companies how to find them,” observes Davies. special certificates for particular customs clearances, avoids new to international trade, “A call to HMRC’s tariff classification markets. As Davies says: “A simple charges and is stamped at the and a helpline for those with team (01702-366077) will give you duty enquiry can branch into point of entry to and departure specific queries on exporting assistance for obtaining codes. many different areas.” from the country being visited. technicalities. The most common For some markets, a binding queries concern duty regimes and Certificates for the movement Reliable sources of detailed tariff code is recommended. This export documentation.” of goods are among the main information on export procedures is legally binding on customs subjects of export documentation and documentation are: Business Having the right documentation administrations in the EU for up to enquiries. Link, www.businesslink.gov.uk, is vital to international trade, six years and is intended to ensure local Chambers of Commerce, and “UKTI offers assistance with minimising risks and potentially the correct tariff classification of the British Chambers of Commerce the quirks and complications costly delays. As well as a written your goods. (documentation). contract between buyer and of documentation,” explains “The EU Market Access Database seller, specific documents may be Davies. “For instance, exporters is a good guide to tariffs and Details: 0845-278-9600 needed for goods to pass customs of meat-based products like formalities in individual markets [email protected] and to calculate duty tariffs; and pies and pasties may not know and any restrictions that may apply a licence is necessary to export these are covered by the export to your product.” certain goods – for example, health certificates required for items with dual civil and military Who pays the duty depends international movements of purposes. on the contract between the livestock.”

populations and increasingly- How many US tourists for example Selling Britain by the pound wealthy middle classes for whom think twice about coming here after London’s 7/7 terrorism attacks By any measure the travel industry behind chemicals and financial travel is an attractive activity. in 2005, New York’s 9/11 and, matters to the UK in a big way but services. It adds that inbound Scope for growth there then. But even further back, the Lockerbie it is also very vulnerable, writes visitors spend more than £16 despite its successes the travel bombing? Richard Willsher of The Business billion annually and contribute sector as a whole has been hit by Magazine. over £3b to the Exchequer. some major shocks. For example, Research by Euromonitor in spring this year the Icelandic ash International suggests that for the Every year the world travel industry These are big numbers and yet cloud brought the UK’s airports to UK, 2012 will be the year when descends on London’s Excel for the UK ranks only sixth among a standstill. Strikes such as those at UK tourism will really recover. The the World Travel Market. Hoards tourist destinations, in research Olympics will be the attraction of industry professionals from British Airways haven’t helped. Nor conducted by the United Nations that will boost visitor numbers across the globe gather to meet, has the collapse of travel operators Tourist Organisation. Top of the after several fallow years and greet and thrash out travel deals such as Sun4U. Increased travel list is France with 74 million visitors will act as a catalyst for travel together. The show highlights taxes and fuel costs have upped in 2009, second was the USA with throughout the country besides two important facts: that travel the cost for Brits traveling abroad. 55m and Spain came third with host city London. The travel and and tourism is worth a lot to the Some of these factors may actually 52m. After China and Italy, the UK tourism sector will be hoping UK economy but that it is also have assisted the domestic travel had 28m. In addition, of the top for good weather, a spectacular highly competitive, with countries and tourism sector however, as 10 “markets” from which Britain’s Games and an absence of security and destinations around the more UK holidaymakers opted visitors originated, all but two, alerts, among other things. It world fighting tooth and nail for for staycations. The weakness of the USA and Australia, were in may be Britain’s third biggest travellers’ dollars, euros and yen. sterling against the euro and the the EU. This suggests that the UK industry but travellers can easily dollar also made the UK a more Visit Britain, which “markets Britain has had relatively little success in be discouraged by events well attractive destination. overseas and develops the visitor penetrating the emerging markets beyond the control of those economy,” says that tourism is the of China, India, Brazil and Russia Factors such as these make the whose business it is to make travel UK’s third highest export earner among others that have massive travel sector vulnerable to shocks. attractive and profitable.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 40 employment people

EMPLOYMENT LAW IN PRACTICE

with Doyle Clayton the employment solicitors Enhanced family friendly rights are coming Piers Leigh-Pollitt, (right) a partner in Doyle Clayton’s Reading office, takes a look at • Manches family law team is the only Thames Valley family law team to be ranked top in the recently published The Legal 500 the enhanced rights directory. The Legal 500 stated as follows: “Manches LLP provides due to be introduced in a ‘top-quality service’ with partner Alexandra Lewis and senior 2011 and explains what associate Ruth James identified as ‘harder hitters’ than the competition. Lewis is the only Thames Valley lawyer qualified to employers should do consult directly with children in mediated cases, and recently Over the past decade, there has advised on a complex case involving assets in excess of £60 In addition, there will be an million. Meanwhile, partner and head of the family law team, been a steady improvement in the extension of the right to request rights of families at work, starting Jane Mitchell negotiated a separation agreement involving flexible working. Current assets worth over £30m”. Mitchell added: “We are delighted with with better maternity leave and regulations allow parents of pay. In 2003, statutory paternity this feedback from our peers and clients which is a culmination of children under 17 (or disabled everything we have been working towards. We know our clients leave and pay, together with the children under 18) to request right to request flexible working, appreciate our committed, well informed and friendly approach flexible working. From April and this ranking is a reflection of this. We expect to see some new were introduced and these are 2011 this right will be extended shortly set to undergo further challenges in family law and with our expanding team we are well to parents of children under 18, placed to meet those challenges.” transformation. benefiting an estimated 300,000 Current paternity leave more people. entitlement is to two weeks off Equality minister Lynne after the birth of a baby. However, Featherstone said: “This will be the previous government a long process involving wide introduced regulations entitling ranging change, and today’s a father to share a maternity measures are the first stage in that leave with his spouse or partner, journey”. The Government has affecting parents of children due already announced that it intends on or after April 3, 2011. to extend the right to request Under these regulations, flexible working to all employees. employed fathers will have the So what should employers be right to take up to six months’ doing now? leave after the child is 20 weeks old and before the child’s first birthday. • Review paternity and flexible If the leave would have fallen work policies and procedures during the mother’s statutory to ensure they take into maternity pay period, the right to account the changes from payment will also transfer to the April 2011 onwards; • Paul Trincas has been Helen Greenwood, private- father. • • Put systems in place to ensure appointed head of corporate client lawyer at full-service law Following the election of the the correct information about services at lawyers Charles firm Rowberry Morris, has been coalition Government, it was additional paternity leave Lucas & Marshall. Trincas admitted as a member of the initially suggested that these and pay is captured – by has been with the firm much-coveted Society of Trust changes might be scrapped. using template notices and for 29 years and a partner and Estate Practitioners (STEP) However on September 30, the employee/mother declaration for 20 years. A specialist STEP is a leading worldwide employment relations minister, forms. in commercial litigation, professional body that aims Edward Davey, announced that Details: Piers Leigh-Pollitt he is a leading expert on to help families plan their the Government was committed 0118 -9596839 motoring law disputes, long-term financial futures and to family friendly working and that [email protected] commercial and contractual comply with the often-complex these regulations would remain in www.doyleclayton.co.uk law and dispute resolution. tax rules surrounding trusts, force as originally published. His appointment brings a estates and inheritance. STEP wealth of experience to the members undergo additional Davey added that the Government firm’s corporate services training, which strengthens intended to introduce more team, adding to the wide their expertise and enables ambitious plans later in the range of employment and them to provide the highest year and that these regulations corporate law services standard of service in their field should be regarded as an interim already available. of work. measure.

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 people 41

The UK’s largest employment law firm

“Doyle Clayton has taken time to learn our company’s nuances. They take a London City commercially focused approach to settling problems rather than stating the facts s s without understanding the business’ realities, so we can be confident that we will s Canary Wharf s receive solutions tailored to our needs rather than a ‘one size fits all’ answer.” s Reading s Emer Boulter, Regional HR Director, Halcrow

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• Barclays Corporate has • Following on from his ranking • Market-leading professional services firm PwC has appointed Trevor French, 41, in the latest The Legal 500 and strengthened its Thames Valley practice in Reading with 25 as corporate director for the Chambers directories as one new graduate joiners. PwC is recognised as the top graduate Oxford area based at the firm’s of the leading individuals in employer, having been voted by students as number one in the Thames Valley, Manches’ offices at Wytham Court, West The Times Top 100 Graduate Employers for an unprecedented IP and commercial partner Way, Oxford. French brings a seventh year in a row, as well as top Accountancy Employer of Chris Shelley has received wealth of corporate banking the Year for a record 10th year. In addition to its 2011 graduate experience having worked in a further accolade in being recruitment scheme, the firm also intends to create 800 new the industry for more than 24 selected for inclusion in the jobs over the next 12 months - a programme which opens this years and will head up a team IAM 250, a directory of ‘The World’s Leading Patent and month with over 1,200 vacancies nationwide. of nine relationship directors Technology Licensing Lawyers’ and a support team of 25. published by Intellectual Asset Management magazine. IAM 250 stated: “Chris Shelley of Manches has a broad IP practice focusing on non- contentious matters. He is an ‘experienced and well established figure in the life sciences sector’, say sources, and comes recommended as a ‘practical, tough lawyer who really knows what he is doing’.” Of the 250 lawyers listed only • As part of its ongoing • Leading business finance 37 are from the UK, which is a expansion, Penningtons provider Bibby Financial reflection of Shelley’s ongoing Solicitors LLP has welcomed Services (BFS) has strengthened commitment to providing a Kay Taylor to its clinical its international trade finance first-class service to clients. negligence team. Previously team in the south with the • Thames Valley accountants department head at appointment of Tracy Grazioli and business advisers James • Alex Pratt, founder and Shoosmiths, Taylor joins as business development Cowper has strengthened managing director of Penningtons as an associate manager.Grazioli has spent over and will be based in the 30 years in the banking sector its audit team with the Aylesbury-based Serious firm’s Godalming office. At and brings with her extensive appointment of director Alan Brands, has been appointed Shoosmiths, she was promoted experience from working at Poole. Poole has joined the chairman of the Bucks branch to a managerial role in 1999 and foreign banks in the UK and company’s Reading office of the Institute of Directors. from the Slough office of led the clinical negligence team abroad. Before joining BFS, she Pratt, who started his Grant Thornton where he at its Basingstoke office. She spent 17 years as relationship business at 23, is committed was a senior audit manager, has nearly 20 years’ experience director at the Bank of Ireland, to making Buckinghamshire and he brings with him a in clinical negligence and and more recently she has the “entrepreneurial heart of wealth of experience and personal injury litigation and is worked at Delta Capital Trade expertise in acting for large and Britain” and believes the IoD a member of the Association of Finance and China Export multinational organisations. has a vital role to play. Personal Injury Lawyers. Finance.

THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010 www.businessmag.co.uk 42 diary how to reach us diary – november

Managing Editor & Publisher 2 17 David Murray december “Managing Challenging Customer “Eco-design for Manufacturers”, MAS [email protected] Situations”, Newbury College event, Farnham Castle. Details: Tel: 0118-9745330 1 workshop. www.mas-se.org.uk Fax: 0118-9744110 “Introduction to Import & Export”, Details: 01635-845229. www.businessmag.co.uk “Creative Problem Solving”, Newbury HM Revenue & Customs workshop, 5 College workshop. Reading. Details: 0845-603-2691. “Business Insight 2010”, TV Chamber Details: 01635-845229. advertising 2 event, Ascot Racecourse. 0118-9745308 18 Details: “Property & Planning”, Oxon [email protected] www.thamesvalleychamber.co.uk Thames Valley Business Magazine Chamber Forum, Blake Lapthorn, Sales Director Awards, Conference Centre, Madejski Seacourt Tower, Oxford. Details: Tanya Liddiard: 0118-9745308 Business Leaders’ Forum, TV Stadium. Details: www.thamesvalleychamber.co.uk [email protected] Chamber event, Henley. www.businessawards.co.uk Details: 3 “Becoming a Director”, HM Revenue marketing www.thamesvalleychamber.co.uk “Corporate Keynotes”, TV Chamber & Customs workshop, Reading. event, Hilton Reading. Details: Creative Executive 8 Details: 0845-603-2691. Amanda Strange: 0118-9745581 www.thamesvalleychamber.co.uk [email protected] “Stress Management”, Stress “Business Advice”, HM Revenue & Management Plus seminar, Reading. Customs open day, Gerrards Cross. 6 editorial Details: Details: 0845-603-2691. “Becoming an Employer”, HM www.assertyourself.eventbrite.com Revenue & Customs workshop, High [email protected] “Food Safety”, Newbury College Wycombe. Details: 0845-603-2691. Writers: John Burbedge; Terry 9 workshop. Woodhouse; Richard Willsher; “Thames Valley Technology”, Details: 7 01635-845229. Alison Dewar; Jackie Storer TV Chamber forum, Green Park, “Managing Poor Performance”, Photographers: Dave Marriott Reading. 19 Newbury College workshop. Details: Details: 01635-845229. production www.thamesvalleychamber.co.uk Business International lunch, TV Chamber event, Hilton Reading. “Setting up a Limited Company”, Production Manager “Newly Self-employed”, HM Revenue Details: HM Revenue & Customs workshop, Steve Banbury: 0118-9745585 & Customs workshop, Reading. www.thamesvalleychamber.co.uk Reading. Details: 0845-603-2691. [email protected] Details: 23 Production Editors 0845-603-2691. 8 Carolyn de la Harpe; Amanda Strange “Becoming an Employer”, HM “Time Management & Delegation”, 10 Revenue & Customs workshop, Newbury College workshop. Details: events “Managing Conflict”, Newbury Reading. 01635-845229. College workshop. Details: 0845-603-2691. Events & Business Development 9 Linda Morse: 0118-9745584 Details: 24 [email protected] 01635-845229. “Health & Safety”, Newbury College Reading Business Lunch, TV workshop. Details: 01635-845229. Chamber event, Penta Hotel. administration & accounts “Pitching for management not Details: 01753-870500. 10 money”, Angel seminar, London. Administration Networking breakfast, IoD event, Details: “Sport & Recreation”, Bucks New 0118-9745330 Cliveden, Taplow. Details: [email protected] www.angelnews.co.uk University community lecture, High Wycombe campus. www.iod.com Credit Control 11 Details: 01494-522141. “Fast Track to More Customers”, Lorraine Buckle: 0118-9745588 marketingco seminars, Wallingford & [email protected] West Berks Business Lunch, TV 25 Chamber event, Regency Park Hotel, Marlow. Details: All major credit/debit cards taken Thatcham. “Meet the Chamber”, TV Chamber www.marketingco.biz Details: 01753-870500. event, Kassam Stadium, Oxford. Published monthly by: Details: 12 Elcot Publications Ltd 12 01753-870500. Wine Tasting Dinner, IoD event, 2 The Courtyard Compleat Angler, Marlow. The Old Dairy House FSB Thames Valley AGM & dinner, 26 Details: [email protected] Maidenhatch Eton Dorney. “Political Working Lunch”, TV Pangbourne Details: www.fsb.org.uk Chamber event, Microsoft HQ, 13 Berkshire RG8 8HP 15 Reading. “Stress Management”, Stress print & distribution “Newly Self-Employed”, HM Revenue Details: 01753-870500. Management Plus seminar, Reading. Details: Circulation: 12,500 & Customs workshop, Reading. “Fast track to more customers”, www.assertyourself.eventbrite.com Readership: 53,000 Details: 0845-603-2691. marketingco workshop, Wallingford. Subscription: 1 year £45 Details: www.marketingco.biz 15 Printing: Lamport Gilbert 16 Slough Business Breakfast, TV Thames Valey Regus Business “Assertiveness”, Newbury College Distribution: SOLO Mailing Chamber event, Copthorne Hotel. Seminar & Exhibition, Arlington workshop. Distributed direct to business directors and Details: 01753-870500. Square, Bracknell. Details: professionals, and also available in selected Details: 01635-845229. hotels and business centres. www.thamesvalleychamber.co.uk “Building business with agents, 30 Registered under the Data Protection Act. 16 All rights reserved. distributors & international partners”, “Sales & Marketing”, TV Chamber No part of The Business Magazine may be re- UKTI South East seminar, Holiday Inn, forum, Newbury Racecourse. “Principles of Risk Assessment”, produced or used in any form or by any means Gatwick Airport. Details: Newbury College workshop. either wholly or in part, without prior written permission of the publisher. Mss, artwork and Details: 0845-271-7400. www.thamesvalleychamber.co.uk Details: 01635-845229 photographs can be accepted only on the understanding that neither the company nor its agents accept any liability for loss or damage. To have your business event included in this monthly diary, email details to: [email protected]

www.businessmag.co.uk THE BUSINESS MAGAZINE – THAMES VALLEY – NOVEMBER 2010

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