Business 25 February 2015 by BGSD-cs

RATES REFORM PLEDGE

AUTO-ENROLMENT HEADS UP

LIFE-SAVING APP

What Labour will do on property tax if it wins next election – p3

Why you can’t ostrich over the big changes heading your way – p8&9

Bristol firm’s app cuts air ambulance dispatch time – p5

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bristolpost.co.uk

25 FEB

2015

BIG INTERVIEW

THE UNASSUMING REVOLUTIONARY How local MP Steve Webb has turned the pensions industry on its head – see pages 6&7

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www.bristolpost.co.uk/business

Retail

Wednesday, February 25, 2015

Accommodation

● Staff open the Bristol store

Screwfix launches fourth Bristol store ● DIY and trades supplier Screwfix has opened its fourth store in Bristol, on Bush Industrial Estate, St George. Hundreds of customers visited during the first weekend as the chain continued its expansion, with plans to open 50 more stores nationwide in 2015. Already 91 per cent of the UK population is within a 30 minute drive of a Screwfix store. Store manager Nicholas Blake said: “We chose to open a new store in Bristol because it’s a growing city with a great trade presence. “Many of our customers already shop with us for our convenient shopping experience and are delighted to see a fourth store here in Bristol.” The store is looking for local charities to support. Find out more at www.screwfix foundation.com.

Marketing

McCann lands ITV sponsorship deal ● MARKETING agency McCann Bristol has secured a four month sponsorship of ITV National Weather for spectacle lens brand Crizal UV, owned by Thornbury-based Essilor Ltd. The sponsorship was negotiated by McCann Bristol’s team and started this month. The Bristol agency has also done the creative work, focusing on how Crizal UV helps unsung heroes in our communities, people who are out in all weathers, do their jobs better and more safely. Produced by Partizan films and directed by Martin Sterling, the ‘idents’ feature a lollipop lady, a farmer, and a fireman. Essilor managing director Mike Kirkley said: “We were impressed with McCann Bristol from the start.”

● Unite has 14 properties in Bristol alone, including Phoenix Court tower blocks near Cabot Circus shopping centre

Strong growth Rising numbers of students drives Unite’s profits up Gavin Thompson Assistant Editor (Business) gavin.thompson@b-nm.co.uk

ROWING numbers of students are helping drive up profits at a Bristol company which provides digs around the country. Unite reported its recurring earnings from letting out rooms rose 44 per cent from £23.1 million to £33.3 million for the year ending December 31. The removal of the cap on student numbers, which was raised last year and will be scrapped entirely in September, has encouraged universities to chase more enrolments. That in turn means more accommodation

which is good for Unite. Chief executive Mark Allan said the firm, which employs 250 people at its St Thomas Street head office, was well placed to keep growing. “Market conditions remain supportive,” he said. “Student numbers continue to grow steadily, interest rates are still low, development costs remain attractive and the investment market continues to strengthen. “We are alert to the risks of rising interest rates, development cost inflation and the uncertainty of an impending general election but are managing the business in a discip-

lined way and continue to look forward with confidence.” The positive outlook is reflected in the fact that 65 per cent of its 43,000 student beds are already booked for the 2015/16 academic year, up from 62 per cent. Rents rose 3.3 per cent, ahead of inflation, helping lift profits. The firm has 4,400 more beds in the pipeline over the next three years in the regional markets and a 50 per cent share in a project delivering 2,320 student beds in London this year and next. It already has 14 properties in Bristol alone, including Phoenix Court tower blocks behind Cabot Circus

shopping centre. The company is FTSE 250 listed and is looking to ensure shareholders get their slice of the cake. Mark said: “Over the past few years we have made some important strategic decisions about the shape and direction of the business and our strong results for 2014 demonstrate how we continue to deliver against these plans. “With recurring profits up over 40 per cent and a highly visible growth trajectory from here we are pleased to announce a step change in our dividend, which has more than doubled year on year. “Our dividend now represents a 65 per cent pay out ratio and it should continue to grow significantly in the coming years.”

Lord Mayor’s charity

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Author and business mentor Bev to be guest at gala dinner A FUNDRAISING event targeted at Bristol’s business leaders has attracted its first Gold Sponsor – “Millionaires’ Mentor” Bev James. The business woman and best-selling author is the first to announce her support as Gold Sponsor for The Lord Mayor’s Charity Gala Dinner. Described by organisers as one of the not-to-be-missed events of the year, it takes place on April 30 at the Bristol Marriott Royal Hotel. The event, supported by the Bristol Post, is in aid of The Lord Mayor of Bristol’s Children Appeal, which gives 1,650 disadvantaged children vouchers for food, clothing and gifts at Christmas.

Bev, pictured, is from Bristol and is a local success story. She is chief executive of The Coaching Academy, the world’s largest training organisation for coaches, and director of mentoring for Start Up Loans, the government initiative providing advice, business loans and mentoring to start-up businesses. Bev also co-created The Entrepreneurs’ Business Academy with James Caan, star in the BBC hit show Dragons’ Den and wrote Do it! Or Ditch it. The businesswoman will be a guest

at the dinner and is certain to be popular among networkers. The event includes a drinks reception and three-course dinner, with a high-value auction, plus raffle prizes, and live entertainment. The first ‘early bird’ tickets sold out in just two days, with the second tranche selling for £65 each or £610 for a table of ten, plus booking fee. Director of Business Showcase South West Jamie Breese, a volunteer on the charity’s event committee, said: “This will be one of the not-to-be-missed events of

the year, and we are delighted to have the support of Bev James, one of the city’s great success stories. “She strikes gold in all her business ventures so it is fitting that she is supporting this charity event and has come on board as our first gold sponsor.” He added: “We are asking the city’s business leaders and companies to give their full support, from sponsorship to donating high-value auction prizes and buying tickets.”

Bev said she was delighted to sponsor the event. “I am proud to be from Bristol and still have a home here in Stapleton as well as having a base in London. “It is important to me to provide support where I can. This is why I am involved in Start Up Loans, and why I wanted to support The Lord Mayor’s Charity Gala Dinner.” ● To secure your tickets at £65 each, or £610 for a table of 10, please go to https://galadinner2015.eventbrite.co.uk ● Corporates and organisations interested in sponsorship packages or in donating high-value or money-can’t-buy prizes should email info@galadinner2015.com

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

Tax

Green technology

Minister visits science park to meet leading eco businesses CHIEF Secretary to the Treasury Danny Alexander paid a visit to the Bristol & Bath Science Park meeting businesses who are taking an innovative role in the green and technology sectors. He also met science park chief executive Bonnie Dean and Richard Pitkin, Innovation Centre director, who gave him a tour of the park facilities and explained some of the innovation it supports. The visit highlighted the growth and uptake of business space at the park and showed its role in enabling collaboration between the tenants. The minister said: “The success of these businesses at the Bristol & Bath Science Park – many of them leaders in green technology – shows why going green is great for the UK’s economy, as well

● Bonnie Dean, Danny Alexander MP and Richard Pitkin as the environment.” Mike Adams, founder of Hieta which uses 3D printing to make lightweight heat management components for green energy systems, said: “Since coming to the science park we have seen our opportunities to collaborate with other businesses increase significantly which is helping us to scale and commercialise our technology. “We have also created 15 high value jobs in the first 12 months.”

● Shadow Chancellor Ed Balls with Shadow Work and Pensions Secretary Rachel Reeves, right, and Kingswood Labour candidate Jo McCarron during a visit to the A400M wing manufacturing facility at Airbus at Filton

Rates reform Balls pledges action if Labour wins power Gavin Thompson Assistant Editor (Business) gavin.thompson@b-nm.co.uk

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HE Labour Party will honour the review of business rates promised by Chancellor George Osborne if they win the general election in May, Business can reveal. This publication campaigned for wholesale reform of unfair business rates which deter companies from growing and creating more jobs and wealth. Last year the government relented with a promised review but with an election looming there was uncertainty over whether it would happen. But on a visit to Bristol this week, Shadow Work and Pensions Secretary Rachel Reeves told Business: “We would absolutely honour that review and get it up and running.” She said it was unclear whether the government had yet done anything to get the review, due to report ahead of next year’s Budget, under way. “We know especially for small businesses and businesses on the high street that business rates are one of the top pressures alongside energy bills,” said Rachel. The party has pledged to freeze then cut rates for small businesses, paid for by reversing a planned cut in corporation tax. Rachel said: “That is a cut in taxation for businesses with smaller properties. We want to make life easier for smaller businesses.” Shadow Chancellor Ed Balls added: “I think the Bristol Post has got its priorities right in identifying that business rates under this Government are holding back the potential of businesses here in Bristol. “Nearly 200,000 businesses across the South West will save money under Labour. And we will look to do more as we, unlike this Government who prioritised cutting corporation tax for big firms, will put small busi-

nesses first in line for future tax cuts. This is the right priority when money is tight.” The shadow cabinet members spoke after visiting Airbus’ Filton plant to launch their economic plan for the South West. They answered questions from business leaders and party members, including from business rates expert Ben Batchelor-Wylam from property firm Colliers who said rates were unfair because they were pegged to the September inflation rate which was higher than a yearly average and asked whether the overall total tax take raised from rates was on the table in the planned review. The Shadow Chancellor didn’t directly answer the question, instead talking about his party’s general policy on rates. Ben said afterwards: “Unfortunately the Shadow Chancellor’s comment about reducing the burden on business was a bit of a tick-in-the-box; it didn’t actually address the issues which I raised. “He wasn’t willing to be drawn on whether the total amount raised from business rates was going to be reduced and, if so, where the cost for that was going to be picked up. “Interestingly though, he did intimate that online retailers might not be picking up their fair share in contrast to the traditional ‘bricks and mortar’ retailers.” The shadow ministers set out other policies, including raising the minimum wage to £8 over the Parliament, which Rachel said would give small businesses time to adjust, and cracking down on some zero hours contracts. The Shadow Work and Pensions Secretary explained this would not be a blanket ban. “No one wants to ban supply teachers,” she said. “But if you look at a contract that says you can’t work elsewhere even though you can’t be guaranteed any hours by that company that is exploitative. Working the same number of hours on a regular basis for the same company week after week but not being given a secure contract, that’s exploitative.”

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

Bristol Post Business Awards THE CATEGORIES

● Director Mark Thurgood with some of his staff at eXPD8, which has its headquarters in Orchard Street

Business awards Our win really raised our profile within the city

● Innovator of the Year, sponsored by Aon ● Export Award, sponsored by Mazars ● Marketing Campaign of the Year ● Best Creative or Technological Business, sponsored by Next Generation Data ● Young Entrepreneur of the Year, sponsored by Renishaw ● Lifetime achievement award, sponsored by Punter Southall ● Retailer of the Year, sponsored by Broadmead Bristol BID ● Family Business of the Year, sponsored by BOM Group ● Large Business of the Year, sponsored by Smith & Williamson ● Small Business of the Year, sponsored by Lloyds Bank ● Start-up Business of the Year, sponsored by Jordans ● Environmental Business Award, sponsored by Nuffield Health ● Contribution to the Community, sponsored by First Great Western ● Customer Service Award, sponsored by Destination Bristol ● Leisure and Tourism Business of the Year, sponsored by QBE

Gavin Thompson Assistant Editor (Business) gavin.thompson@b-nm.co.uk

INNING the large business prize at last year’s Bristol Post Business Awards has helped retail support services specialists eXPD8 raise its profile in the city. The company helps shops with point of sale displays and coordinates big nationwide campaigns in stores, such as the Amazing Spiderman 2 and The Inbetweeners DVD releases. It employs 2,500 people but because its work is done across the UK, it hasn’t always been so well known in its home city. Director Mark Thurgood said: “We were thrilled to win Large Business of the Year against some tough competition from high-profile companies across the region. “Although we are a national business serving clients throughout the country, we love Bristol and being part of the Bristol community.

“Winning the award has helped raise our profile as a mover and shaker in the city and represents recognition to all our fantastic people who are truly passionate about the clients they work for, and help to keep eXPD8 ahead of the field and a leader in the industry.” The company, headquartered in Orchard Street, won the sought-after award as it achieved significant growth of more than 25 per cent over the past eight years, has invested more than £2 million in the region since inception and now employs 60 people in and around Bristol. It has become a major player in the retail support or field marketing sector, working with major retailers, international film studios and brand

owners to maximise their in-store sales success. Services include stock control and availability, product marketing compliance, product promo-

tions and sampling, point of sale placement and development, mystery shopping and logistics. The company announced a 26 per-

cent growth equating to £2.7 million increase in turnover over the past 12 months. It has projected a further growth of £6 million by 2015 and has also recently added 12 new clients to its portfolio including UCA, Yankee Candle and ashortwalk. Apace with the growth, the company’s workforce in the UK has also risen from 1,000 to 2,500 since 2012. Mark added: “We have grown our business on the back of our in-depth understanding and expertise in the markets we serve along with exceptional customer service. “Our ever growing team have played a critical role in ensuring that our customers meet the demand of their consumers in store. We are always looking to bring new people into our fast expanding business and we are in the process of setting up an apprenticeship scheme with a local college.” ● The awards will be presented at a gala dinner at the Passenger Shed on June 25. To enter the awards, become a sponsor or attend the ceremony, go to bristolpost.co.uk/businessawards.

Sponsor profile

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Nuffield Health – the leading employee health and wellbeing provider in the UK NUFFIELD Health provides access to more than 10,000 health experts through our 31 hospitals, 75 fitness & wellbeing gyms and more than 200 corporate facilities to help people get healthy, and stay healthy. We are the UK’s leading employee health and wellbeing provider and work with more than half of the FTSE 100. We were recently named ‘Best Provider of Workplace Wellbeing Services 2014’ at the Health Insurance Awards for the third year running. Our nationwide network of physiotherapists is the largest in the UK outside of the NHS. As a not-for-profit organisation, we reinvest everything

back into the organisation to improve our facilities and services and provide public health education. Nuffield Health Bristol Hospital, The Chesterfield, is a state-of-the-art hospital in Clifton Village which opened in October 2013 following a £20 million redevelopment. Clifton Court, originally built in 1742, is the centrepiece of The Chesterfield Hospital, which has been part of the Nuf-

field Health family since 1961. Whilst retaining and restoring the historic Grade II listed building itself, we have built an entirely new hospital on the site, combining leading-edge clinical facilities with an outstanding customer experience. We offer a range of services including: ● Neurosurgery & Spinal ● Women’s Health

● Nuffield Chesterfield is a stateof- the-art hospital in Clifton Village ● Sport & Exercise Medicine ● Endoscopy ● Men’s Health In addition to fitness facilities, our Fitness and Wellbeing gym, which is located just off the Triangle in Clifton, offers on-site health MOT assessments, professionally trained health advisors, relaxation areas and regular ‘Meet Our Experts’ health seminars.

Having provided healthcare in Bristol for over 50 years, Nuffield Health Bristol Hospital – The Chesterfield symbolises a new era for private treatment in the South West. Nuffield Health is a longstanding supporter of local business in Bristol with involvement in initiatives such as Clifton Bid and the Clifton Traders Association, and is proud to support the Bristol Post Business Awards 2015.

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

Technology

Property

Investment in city rises by 23 per cent ● INVESTMENT in property is rising in Bristol, according to new data. Direct real estate investment reached £1.5 billion in 2014, up 23 per cent on the previous year. The figure included the sale by Land Securities of a 50 per cent share of Cabot Circus shopping centre in Bristol to Axa Real Estate in a £267.8 million deal. Olly Paine, director, capital markets in JLL in Bristol which advised Land Securities on the Cabot deal, said: “The sale of half of Cabot Circus gave the South West’s real estate investment figures a real boost last year, while investment was further driven by the purchase of £140 million worth of Bristol city centre offices. “Looking ahead, we expect the development pipeline will continue to provide the quality product needed to drive investment in the region and we are advising a number of developer clients on exciting projects throughout the region which will be of great benefit to our towns and cities.”

Travel

Lifesaver Mubaloo app speeds up emergency crews’ response times Gavin Thompson Assistant Editor (Business) gavin.thompson@b-nm.co.uk

NEW mobile app created by a Bristol business is helping save lives by getting air ambulance crews to the scenes of accidents faster. The app cuts the time it takes London’s Air Ambulance advanced trauma teams to be dispatched by up to two minutes. It has been developed by Cliftonbased Mubaloo to use EE’s 4G network in the capital. It speeds up the process of dispatching life-saving teams by providing key incident data, real-time

navigation and a live 4G connection to the emergency operations centre. Dr Gareth Grier, of London’s Air Ambulance, explained why the time saving was so important “Out of the 5,000 emergency calls that are received by the London Ambulance Service every day, we typically see six patients whose injuries are so critical that they need additional specialist treatment on-scene before they get to hospital,” he said. “Even reducing the time we take to get to our patients by 10 seconds could, in some instances, mean the difference between life and death.” Mubaloo’s Sarah Weller said: “Like many organisations, there are operations and processes that are unique to London’s Air Ambulance.

“With 4G helping to improve the speed of third-party apps, it was clear that taking a custom approach would deliver further benefits. “EE’s 4G network means the app has a reliable, direct data connection to ensure it is always updated with the right information. “The app has led to improvements across London Air Ambulance’s critical processes, with the time savings being passed to the people who need it the most, the patients.” Gerry McQuade, chief marketing Officer at EE, which is also Bristol-based, said: “This is a fantastic example of how 4G and mobile technology is helping organisations to improve performance, even in the most critical applications such as emergency services and healthcare.

“In the hands of the brilliant London Air Ambulance team, the speed and reliability of EE’s 4G network combined with a bespoke application by EE Customised Apps partner Mubaloo, is creating crucial efficiencies that are actually helping to save lives.” The air ambulance advanced trauma teams are sent out to 2,000 patients every year, by helicopter in the day and rapid response cars by night or in adverse weather. The app, which runs on 4G tablets, has reduced the time it takes for London’s Air Ambulance to dispatch trauma teams by up to two minutes, with rapid response cars now being dispatched in as little as 10 seconds with all crucial incident and navigation data in hand.

Airline’s new routes for business people ● AIRLINE bmi regional is launching three new routes to Paris, Düsseldorf and Nantes, targeting business travellers. Robert Sinclair, chief executive at Bristol Airport, said: “These new flights will strengthen links to key markets in France and Germany.” Airline chief executive Cathal O’Connell said: “Flying twice a day to Paris means business travellers can now have a full day of business in the French capital, rather than having to stay overnight. “Düsseldorf is the centre of the Rhine-Ruhr and an international business and financial centre, renowned for its fashion and trade fairs, and bmi regional the only airline to connect businesses in the South West directly to the capital of North Rhine-Westphalia.” James Durie, executive director of Bristol Chamber of Commerce at Business West, added: "This gives business across our region and beyond better connections to two of our most important trade markets.”

Workplaces

Rockpool and Midas among leading companies to work for Joanna Peasland Business@b-nm.co.uk

● Construction firm Midas and digital marketing agency Rockpool, based at Paintworks have been lauded in national surveys

creativity and employee growth, to a flat and flexible system allowing for more autonomy and really giving individuals a change to shine everyday.”

The Midas Group, based in Winterstoke Road, is one of the UK’s largest independent providers of property and construction services. The firm’s head of people Ian Bas-

sett said: “This is a particularly pleasing plaudit to earn as it follows on from Midas earning a Silver Investors in People accreditation in 2014. “We are extremely proud to receive the One to Watch accreditation after participating in the survey for the first time. “We continue to focus on ensuring Midas is a great place to work as the company grows.”

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TWO Bristol companies have been recognised for being great places to work. Rockpool, based at Paintworks, is to be included in The Sunday Times’ list of 100 Best Small Companies To Work For this year while construction firm Midas has been rated “One to Watch” in the Best Companies Guide. Rockpool is a digital marketing agency which develops multimedia apps for some big consumer brands, including Red Bull, STA and Sky. The annual small companies list published by the national paper high-

lights the successes of UK companies by assessing and presenting results on a variety of standards. Exceptional working environments and high levels of satisfaction among motivated, collaborative staff are attributes which are said to have earned Rockpool its proud place on the list. To be chosen is “a real achievement”, says the founder and managing director Bruce Griffin. “Keeping our team happy has been key since day one. We work hard to ensure employees are motivated, supported and rewarded,” he said. “We have made some changes last year in the way that we work, moving away from a traditional management hierarchy which can easily stagnate

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

The Big Interview

THE MINISTER THEY JUST CAN’T During five years of the Coalition Government, the two parties have largely tempered one another’s aspirations. But when it comes to pensions, we have seen the biggest reforms in more than a generation, leaving the industry racing to keep up. Gavin Thompson talks to the man driving those sweeping changes, Pensions Minister Steve Webb.

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E was once dismissed in unguarded remarks by his party leader as “lacking ideas”, but Pensions Minister Steve Webb has come a long way since Nick Clegg was overheard discussing his then front bench team a little too candidly on a plane to Scotland. Steve is one of few ministers to stay in post for the full five years of the Coalition, something which has allowed him to push through a radical reform agenda. “When I came in the job in 2010, I had had ten different predecessors in the last 13 years and I had some sympathy with each of them as pensions is a long-term business and it takes a long time to get things done,” he says. “I said right from the start that I was clear about what I wanted to achieve and that we don’t want constant chopping and changing. I wanted to set a direction of travel then progressively deliver it and in fact we have pretty much delivered what I set out to do at the start. “Taking the state pension reforms from green paper to white paper, draft bill to bill and now sitting down with people and giving them a real forecast for what they will get in the future, seeing that through from start to finish has been fantastic.” How does Steve respond to people who think his reforms are really preparing the ground for the eventual scrapping of the state pension? “You do hear people say that,” he says. “First, I would say that perhaps there wouldn’t be a state pension in future if we hadn’t made the system more sustainable. One way we have done that is to link the state pension age to the length people live. Each time we find out people are living a year longer, we’ll put two-thirds of that on working life and one-third on retirement. So pension ages will continue to rise but so will the length of retirement. Otherwise it’s just a massive tax hit on working age. “Second, is any government going to say to near pension-age people ‘We are going to get rid of the pension’? I can’t imagine that.” So Steve hopes he is leaving the state pension secure, but what about the pensions industry? It’s certainly been a roller coaster, culminating in the shock announcement in last year’s Budget that people will no longer have to buy an annuity with their private pension pot but can do what they like with the money. It turned the industry on its head. “I don’t think the annuity is an evil product,” says Steve although some in the sector might not believe him. In fact he goes as far as to suggest they’ve had a bad press as longer life expectancy and low interest rates lie

behind the lower returns many people get. “But people weren’t shopping around enough and they weren’t getting enough extra for ill health,” he says. “There had been lots of attempts to make the annuities market work and they just weren’t cutting the mustard. I would talk about auto-enrolment (of workplace pensions, more on that in a moment) and people would say to me ‘Yes, but at the end I’ve got to buy an annuity and they’re not very good value’. “There is still a place for annuities in the market but the providers are just going to have to work a bit harder to find it – and that’s a good thing.” He added: “Since the Budget more people feel more positively about pension savings and I think that’s great.” It’s not just sections of the pensions industry who might think Steve has been a thorn in their side during his ministerial term. The automatic enrolment of workplace pensions – meaning employers must put everyone into a pension scheme – wasn’t his idea. The initial legislation was done by the previous Labour government, but Steve has been responsible for driving it through. And that means more red tape and expense for pretty much every business at a time when they would argue they’ve had enough on their plates with a global recession. He is unrepentant. “I recognise we are asking employers to take on a new task,” he says, “And I understand if someone says ‘That’s a cost and burden to me and I’d rather we didn’t have to’ but in terms of the millions of workers in the private sector who have no private pension – we’ve tried everything else! “We’ve tried stakeholder, tax relief. all sorts of schemes to try to get people opting in and we’ve just failed. When I started we had got to the stage where just one worker in three in the private sector had a pension. That had been falling for 50 years. The remaining two thirds would only have the state pension to live on. “The beauty of auto-enrolment is that we’ve all got the chance to opt out but we’ve all been stunned by how many people are staying in – 90 per cent have stayed in. “Partly that’s credit to the employers so far who have put money in to give their workers the information. “It’s a different kettle of fish if you’re a very small business and I understand that. What we’ve tried to go is get the balance right between doing what we need to do and minimising the burden. One example, when I started you would have had to enrol someone who earned above the national insurance floor which was about £5,500 a year. We said that’s far

“ I said right from the start that I was clear about

what I wanted to achieve and that we don’t want constant chopping and changing I want to set a direction of travel then progressively deliver it and in fact we have pretty much delivered what I set out to do at the start. Pensions Minister Steve Webb too low and put it up to £10,000 so you don’t have to enrol someone unless they earn that. “Another example, you used to have enrol someone as soon as they walked through the door. “We’ve given a three-month window so you don’t have to enrol a Christmas casual worker.” Steve points out that the process is halfway through in terms of employee numbers, with five million people now enrolled. However most of those are from the big employers, with the many smaller firms still to go through the process which could create a bottleneck due to the sheer volume of businesses. The minister hopes it will go smoothly. He says they have been putting a small sample of micro firms through to test the systems for them and tweaking things as they go. “It will be a different proposition for smaller firms,” he says. “For the large firms they wanted pensions

tailored exactly for their workforce whereas it’s going to be bulk commodity for the small firm. ‘I’ve got one employee above the threshold, I want to comply and enrol them and that’s it’. “Actually it can be a lot simpler for small firms. If you’ve got one employee and they always earn above the threshold, you meet them every day so you give them legal paperwork but you talk to them all the time, as against a firm that’s got 17 different payroll systems, with casual and permanent workers. “Although it’s cost they could do without, for many small firms it will be relatively straight forward.” He also believes the bigger firms going first has given the industry time to catch up. For example payroll providers now have auto-enrolment modules on their software. “They didn’t on day one,” says Steve. “They’ve had to write them. That kind of infrastructure is more in

place now than two years ago.” One concern was that small companies would find no one wanted their business. The returns on their own investment for the pension providers are not so attractive if you have five employees rather than 500 or 5,000. That’s why the Government created the National Employment Savings Trust (NEST), but in reality Steve says the market has responded better than he had expected. “Nest is there because we couldn’t be sure that anybody would be interested in the very smallest of fir ms,” he said. “But there has been more appetite than we thought from the private sector. There are two other main social providers – the People’s Pension and NOW Pensions. People such as Legal & General have gone much further than we might have expected and there are others. I think the small firms will have more options than we might have thought.” With staging dates looming for most small and medium-sized firms, Steve is urging employers to act. “We are going to write to every remaining employer, so they will be notified,” he says. “There’s a whole sequence of letters 12 months out, six months out.” For those who fail to comply, there are penalties, but the minister hopes they won’t be needed. “The regulator’s focus is educate and enable,” he says. “Yes enforce too because there is a legal duty but I don’t want to raise a

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

PENSION OFF... All about Steve Name: Steve Webb Age: 49 Position: Pensions Minister in Coalition Government and Liberal Democrat MP for Thornbury & Yate Education: Comprehensive school in Birmingham then, Hertford College, Oxford, studying philosophy, politics and economics before dropping politics because “I wasn’t very good at it”. First job: Economist at the think tank the Institute of Fiscal Studies, which was a “very stimulating environment” where the likes of Evan Davis and Stephanie Flanders also worked. Other interests: Member of the cross-party Christians in Parliament group, music and an armchair West Brom supporter. Father of two. Favourite film: A Beautiful Mind, I like the story about the brilliant genius and person who doesn’t quite fit and how society treats them. On a similar theme we recently enjoyed The Imitation Game, telling the story of Alan Turing and the Bletchley Park code breakers. Hero or inspiration: Nelson Mandela. It’s a bit of a cliche but if you have been locked up and mistreated all of your adult life, to not emerge bitter but come back saying ‘I am going to forgive people and bring them together’ is incredible. Whenever you see an intractable world problem, that gives you hope that there is nothing that ultimately can’t be solved.

South West survey

Three-quarters of firms plan to take on staff during 2015 Gavin Thompson Assistant Editor (Business) gavin.thompson@b-nm.co.uk

THREE-QUARTERS of companies plan to hire staff in 2015, according to a survey of nearly 25,000 business owners in the South West. The research carried out by Insight Data for Weston-super-Mare firm GBRS Recruitment focused on businesses which employ more than six people already. It found that 75 per cent of respondents planned to hire this year, with 49 per cent intending to take on one to three new members of staff, six per cent saying between three and five people and 20 per cent more than five. But while most want to hire, only 44 per cent believe they can find the right skills. GBRS director Gary Higgins said: “Recruiting the skills they need is still an issue for some businesses; and in particular in the construction sector. “But still nearly half of those polled say they believe the skills they require are out there in the economy.” Despite the large numbers planning to hire, the number who felt more jobs would be created in the UK this year was a little lower, at 64 per cent, suggesting that business owners think they are doing better than the economy in general. A minority, 39 per cent, of firms say they planned to hire at least one apprentice this year, against 41 per cent which are not and 20 per cent undecided. The survey also found just over half of the businesses questioned thought work building a

● GBRS directors Gary Higgins and Ben Milsom new nuclear reactor at Hinkley Point – the biggest infrastructure project for some time – would impact them, with 12 per cent believing it would have a direct impact and 39 per cent saying it would affect them indirectly. That leaves 49 per cent feeling it will have no impact on them. Fellow director Ben Milsom said: “As a company that operates in the employment and skills sector, and with lots of debate around work, we were keen to see what intentions businesses in the South West have around employment. “The results were revealing and we are surprised so many firms will not be directly impacted by the build and legacy of Hinkley Point. “Overall though, the results were positive and show that firms in the region are confident going forward.”

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penny in fines.” Pensions might be boring to some, but it’s clearly been where the action is in government this past five years. How much of that has been down to Steve, an unassuming, churchgoing Liberal Democrat? The state pension reforms have been his baby and while he didn’t start auto-enrolment, he has put a lot into delivering it. The recent changes around annuities he says are more of a product of Coalition. “If the Chancellor hadn’t wanted to do it, it wouldn’t have happened,” he says. “But I’ve been banging on about annuity reform for 15 years now. So it was the right combination of people. As a liberal, the idea of letting people do what they want with their own money works for me but it works for the Chancellor too.” And having Nick Clegg, despite those past comments, in his corner has been vital. “If Nick Clegg and Danny Alexander hadn’t been batting for the pension reforms it would have sunk,” he says. “It wasn’t in the Coalition agreement. I would see Nick and explain what I wanted and why it’s good for the Lib Dems but when the four of them (Clegg, Alexander, George Osborne and David Cameron) sit down together I’m generally not in the room.” The minister has enjoyed being in Government. “When you’ve been in Opposition for 13 years it’s good to have the opportunity to actually do things,” he says. “Opposition is important and being a local MP is important and that was all I assumed I would ever be, but there is that special thing about being able to bring to the fore the things you believe in.” He would love the chance to continue, but that all depends on the outcome of the next election. No one can take reelection for granted, but Steve is one of the safest Lib Dems in a region that had until very recently been a stronghold for the party. A recent poll suggested a worst case scenario where all but two of the party’s South West seats were lost but even then Steve and Yeovil MP David Laws would survive. Whatever happens, however, the Thornbury & Yate MP has no plans to take a run at the leadership should the post become vacant after the May 7 ballot. “Categorically not,” he says. “I’ve found my niche, a role where it’s what I enjoy, what I hope I’m good at and I’m very positive about what I’ve done. “To be leader of any party frankly is an awful job. I discovered what I really like is focusing on something a bit technical, detail, gnawing away at it, whereas the leader’s job is very generalist. You have to cover every subject, you have to do the party politics, it’s so broad and requires a particular set of skills that I don’t have. I have no aspirations to that.” How about a career outside politics then? “Maybe one day,” he says. “It’s a funny profession. You take a decision once every five years and I’ve nailed my colours to the mast for the next five years, unless the electorate has something to say about it. “But I could at some point think of working the world of pensions or something else.” So whenever he does walk away from Westminster, the pensions industry might not have seen the back of Steve Webb yet. Perhaps next time day he’ll revolutionise the industry from the inside.

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

Focus on start-ups | Sponsored by THEME SPONSOR’S NAME HERE.

Pensions auto-enrolment

‘OSTRICH APPROACH WON’T WORK – It’s coming and there’s nothing you can do to stop it. Soon even the smallest of employers will have to automatically enrol their staff into a workplace pension scheme. Gavin Thompson reports

NE of the biggest administrative headaches in decades is about to hit Bristol’s small businesses. Automatic enrolment of workplace pensions is now affecting companies with as few as 30 employees. And over the next two years it will reach even the smallest of firms. Unlike the stakeholder pensions of the early 2000s, there’s no way to avoid this one. So the advice is to be proactive and deal with it soon. The basic concept is that everyone must be automatically enrolled into a workplace pension scheme into which they contribute part of their salary and their employer contrib-

“ Approaching auto-enrolment can feel daunting and there are a lot of things to consider. But a little planning can go a long way.”

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Morten Nilsson

utes too. Workplace pensions have been around for decades, but the big shift is that now workers have to opt out rather than in. It is designed to tackle the looming crisis of how our growing population will be able to afford to live in retirement, and for that has been broadly welcomed. But with it comes a burden of administration on businesses. While the bigger firms which have already gone through the process can lean on their human resources teams to handle it, that’s not an option for most small and medium-sized businesses. Derek Miles, below, managing director of pensions adviser Aspira, based in Aust, South Gloucestershire, said: “The ostrich approach won’t work. Engage early and plan well and it will save you thousands in execution and delivery. Planning means you can include it in your budget and you might even be able to reduce some of the costs.” He believes one possible saving could be if you employ people over 55, you might pay part of their remuneration as pension instead of salary. They could then utilise recent pension reforms draw it down as income

straight away, cutting your NI contributions and other costs. But such steps are only available to companies which are proactive. Derek, whose own company employs 57 people and manages about £475 million of investments, said: “Act early and get someone to help you.” He said many firms would be put off paying for advice because they are

already facing more costs but urged them to think hard. “The legislation on auto-enrolment is 100 pages long,” he said. “Most of these firms won’t have human resources departments who understand the process. “When you get into the SME market, the problem is cost. The cost with payroll, the costs of funding a pension scheme and the employer contributions... and then we want them to pay us money to help them understand

the scheme as well. But for a small cost you can find an expert to help you understand it and it could save you thousands in time, effort and fines.” He urged the Government, and his local MP Pensions Minister Steve Webb, to cut the costs of regulation, and suggested allowing basic pre-approved kite marked products which then require lighter regulation. “We want to cut the cost of regulation so we can cut the cost of

advice,” said Derek. The former Monks Park pupil believes advice is more important for those who won’t have huge pension pots. “For the high net-worth people, putting in an extra £10 a month doesn’t make a lot of difference,” said Derek. “But to someone paying in £100 a month that extra £10 makes a huge difference. They need help and support more than the wealthy.” The pensions regulator can fine

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

ENGAGING EARLY WILL SAVE CASH’

● Morten Nilsson, chief executive of NOW: Pensions

AUTO-ENROLMENT ✔ All businesses will have to put their workers into a pension scheme. They can then opt out, but you have to put them in first.

✔ Larger companies have already gone through the process but smaller firms are now being affected, many of which had no existing workplace scheme.

✔ Employees also contribute starting with a minimum of one per cent of their salary, increasing to four per cent over time.

£10,000

It applies to any worker earning £10,000 or more aged from 22 to the state pension age (currently 65).

0.2

Minimum employer contribution is one per cent of each employees’ earnings, increasing to three per cent by 2018.

The Government also pays via tax relief, starting at 0.2 per cent of your earnings and rising to one per cent by 2018.

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companies which fail to comply. Soft furnishings firm Dunelm was among the first to face action and was made to cough up £143,000 after it was judged to have underpaid in contributions. Fines can be £100 a day after missing a deadline. And even if none of your employees wants to join, it doesn’t help. “Some people think, I’ll have a chat with the staff, they won’t want to do it and I’ll be all right,” said Derek. “But the employer has to put everybody in

and then it’s up to them to opt out. You must have a real scheme even if no one wants to stay in. “Then you have to do a month-to-month, or week-to-week if you pay weekly, reassessment of your payroll. It’s an ongoing issue.” One big concern for small and medium sized businesses was that no one would want their business. While handling the big corporations might be a juicy contract, the independent cafe with four staff is certainly not. That’s why the National Employment Savings Trust (NEST) was set up, so every business knew that someone would take their business. It’s a single scheme that’s open to any employer as well as the self-employed. But, to the surprise of some, the private sector has waded into the smaller end of the market too. Legal & General is perhaps the biggest household name to get involved. The firm has launched an online self-service platform allowing small businesses to do it themselves without any set-up or administrative charges. Jim Islam, Legal & General Investment Management chief operating officer for client operations, said: “With tens of thousands of SMEs reaching their staging dates over the next few years, there’s huge need for a straightforward, self-service online solution so they can set up their scheme quickly and easily. “Schemes joining our workplace platform only pay £50 for our default auto-enrolment multi-asset fund. I believe this package in conjunction with our new online system is a compelling proposition for SMEs implementing auto-enrolment.” In theory, an employer can register within 30 minutes and be live within 24 hours. Of course, that doesn’t mean it’s a good idea to leave it late or that this off-the-shelf approach will be the best deal. The Pensions Regulator recommends firms start planning 18 months ahead of their staging date. Something most small firms are not doing. Morten Nilsson, chief executive of NOW: Pensions, said: “Last year, of the 4,279 companies that signed up with us, nearly one in five completed their application either very close to their staging date or after the deadline had passed. “While we’re happy to accept companies that leave it late we strongly recommend that employers make their provider selection as early as possible to avoid unnecessary stress. “Approaching auto-enrolment can feel daunting and there are a lot of things to consider, particularly for firms that have never set up a pension scheme before. “But a little planning can go a long way and taking a thorough approach will certainly pay dividends.” Right now, auto-enrolment is a big headache for many small firms. But a decade from now, it will be the norm and workers for companies of all sizes will look at the pension scheme when weighing up how good, or bad, a potential employer is. More than enough reason to take some time to get it right.

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www.bristolpost.co.uk

Wednesday, February 25, 2015

In pictures South West VR Conference

Reality check City’s ready to take lead role in new creative market Gavin Thompson Assistant Editor (Business) gavin.thompson@b-nm.co.uk

Business diary Bristol Distinguished Address: Matthew Layton, managing partner at Clifford Chance LLP is the latest speaker at UWE Frenchay Campus, today, 6pm. Financial and business advice: 45-minute one-to-ones with Geoff Cole of Burton Sweet Accountants. Tomorrow at The Hive, Weston-super-Mare. Register at www.northsomerset enterprise agency.co.uk. Business Plans for Growth: Business coach Rob Carter and Business West offer free seminar on creating a business plan and access to finance for SMEs. Friday, 8.30am-1pm, at Leigh Court with lunch. Register at www.actioncoach. com/robcarter/events.

RISTOL is already a leading centre in the film and television industry, hosting the likes of the BBC Natural History Unit, Oscar-winning Aardman Animations and a host of smaller businesses involved in all aspects of the production process. It is also a player in technology, along with Bath it forms the biggest UK digital cluster outside London. So it should be no surprise that the city is now leading the drive into a new creative area – virtual reality. Yesterday At-Bristol hosted the South West VR Conference, bringing together companies from across the burgeoning industry. The signs are there that this is an industry with huge potential. Facebook recently bought VR games firm Oculus for $2 billion, Samsung has developed new VR equipment and both Sony and Microsoft working on their versions. David Maher Roberts, creative and digital media specialist at Invest Bristol & Bath, said: “The Bristol and Bath region has a long-established industry in TV, film and animation, coupled with a thriving games industry, meaning that it is well placed to host start-ups and established brands as they move into virtual reality. “Current estimates indicate a worldwide market of $5.2 billion, made up of games, film and TV, visualisation and experiential applications so this is a hugely exciting time

Bristol Airport Careers Fair: Information on becoming one of the 3,000 workers at the airport. In the Administration Building at Bristol Airport on Saturday, 10am-noon. Email to register, recruitment@ bristolairport.com. Confidence in Business - Keys to Success: Unlock the What, How and Why of your business. Four linked morning events starting Wednesday, March 4 aimed at Bristol business women covering branding, marketing, presentation skills and finance. This is a series of free events presented by women for women. www.blueorchid.co.uk/events. Bristol Distinguished Address: James Timpson, chief executive of Timpson, gives the address at UWE Frenchay Campus from 6pm on Wednesday, March 4. for the region.” The event was organised by Opposable Games, a games developer based at the Bristol Games Hub in Stokes Croft. It featured quick-fire talks from significant industry-leading figures

with plenty of time to network and try out the hardware, software and 360 degree movies on show. Speakers at the event ranged from representatives from Sony to Bristol start-up Ultrahaptics which is leading the way in feel-without-touch con-

trol technology using sound waves. The one-day event was supported by Invest Bristol & Bath, Creative Skillset, the Digital Cultures Research Centre, Webstart Bristol, the Centre for Digital Entertainment, the BMT Group and Unity 3D.

Smart Cities - tech solutions to urban transport challenges: Panel event hosted by Bond Dickinson at its Temple Quay offices about how connected technology and data could help traffic problems. From 11.30am. Email bonddickinsonevents@ dickinson-dees.com. Bristol Business Exhibition: Sponsored by Bristol City Council and Destination Bristol, this event attracts more than 500 delegates, typically business owners and decision makers from the SME sector. Tuesday, March 17 at M shed. See www.bristolbusiness exhibition.co.uk.

● Simon Reveley, of Figment Productions with speaker Kevin Williams

CUTTING EDGE: BRISTOL TECH FACTS ● 25% of all natural history TV production comes out of Bristol & Bath. ● Half of all vehicles use a Bristol & Bath chip in their engine management. ● More than one billion TV set top boxes around the world are powered by Bristol & Bath chips. ● Bristol & Bath was named as the only fast-growing and globally-significant tech cluster in UK outside London in 2014 ● More than 500m users view digital content produced in Bristol & Bath each month.

Walk & Swim Netwalk for Women in Business: Meet at the Lido for coffee then walk towards the Gorge, along the Promenade to Clifton Downs and returning to the Lido around 10.30am for coffee. Then a swim and sauna pass. March 19. Book via Eventbrite. The Lord Mayor’s Charity Dinner: Enjoy a drinks reception followed by a three-course dinner, live entertainment and auction, in aid of The Lord Mayor of Bristol’s Children Appeal on April 30 at the Bristol Marriott Royal Hotel. Book tickets through Eventbrite and help raise money for the city’s most disadvantaged children. Email info@galadinner2015.com for sponsorship opportunities. Email your business events to gavin.thompson@b-nm.co.uk. Events are sometimes cancelled without us being notified so please check with organisers before travelling.

www.bristolpost.co.uk/business

Wednesday, February 25, 2015

The back page

Your digest of the week in business

People ● A Bristol businessman has been named among the Maserati 100, a list of Britain’s most successful business leaders actively supporting the next generation of entrepreneurs. Mike Bartley is the founder of TVS, which has grown from being a one person company, to employing 130 people around the world. Its head office is at the Engine Shed at Temple Meads. He is now chair of the West of England Local Enterprise Partnership’s high-tech sector group, chair of the Bristol branch of the British Computer Society, and spends time promoting the high-tech sector, encouraging young people to go into science and technology. In addition, Mike also runs a series of young people’s coding and Raspberry Pi days for aspiring tech entrepreneurs. The full list, compiled by the Centre for Entrepreneurs, can be found at www.themaserati100.co.uk. ● John Thatcher, third generation cidermaker from Sandford-based Thatchers Cider, has been given a prestigious award by the Worshipful Company of Fruiterers. The Matthew Mack Award is made for distinguished achievements in education, training and innovation within the fruit industry, and is made once every three years. It is the first time that the award recipient has been chosen from the cider industry. At the age of 71, John still plays an active part in the orchard stewardship at Thatchers. Rupert Best, Master of the Worshipful Company of Fruiterers, said: “John’s passion for research and innovation, particularly in the areas of orchard stewardship and orchard sustainability, has led him to be recognised within the sector as one of the country’s most respected cider makers and an ambassador for the industry throughout Europe.” ● Dunkley’s Accountants in Bradley Stoke has appointed Lisa White as a new client partner. Lisa has 20 years’ experience and joins from a national firm in South Wales. She will head a portfolio of audit and non-audit clients as well

In numbers Inflation (CPI)

● Unit E Abbey Wood Business Park

● Mike Bartley

● Imran Ali

● John Thatcher, third generation cidermaker from Sandfordbased Thatchers Cider, receives his award from Rupert Best as taking a lead role in the business development of the firm. ● The general manager has been appointed for one of Bristol’s newest hotels. Imran Ali, will take over the Hampton by Hilton, Bristol hotel in the build up to its opening in June. Located on the corner of Bond Street and York Street, the new hotel forms a major conversion of what was York House, a 1960s office block. Managed by Focus Hotels Management Ltd, once complete it will include 186 bedrooms. The opening follows an increase in demand for hotel rooms in Bristol as the city attracts more business and tourism. Imran said: “The opening of this quality, mid-range hotel is great news for Bristol. There is definitely an appetite for both business and

leisure travellers to visit the city and to stay in quality accommodation. “Events like the Shaun the Sheep trail and Bristol’s European Green Capital label will place it prominently across the whole of Europe hopefully attracting more visitors.”

Places ● Children and young people’s cancer charity CLIC Sargent has sold the freehold of its previous office in north Bristol to another charity. Property consultants Alder King finalised the sale of Unit E Abbey Wood Business Park in Filton to Africa Inland Mission International, which is relocating from Redland. The 1,651 sq ft two-storey office building was sold off a quoting price of £300,000. Neil Buckland, head of property and facilities at CLIC Sargent, said:

“Our old offices in Filton had served us well but we had outgrown them and moved to Whitefriars in Bristol city centre last year. We are pleased to have now sold the Filton office, especially as it’s been acquired by another charity.” Tom Dugay, office agency specialist at Alder King, supported CLIC Sargent throughout its office relocation and disposal. He said: “The successful disposal of this out of town office building is indicative of the high level of demand for modern office space on the north Bristol fringe.” ● Two new occupiers have moved to the Liberty Industrial Estate in Ashton Gate, South Bristol. The Window Outlet Ltd has taken a five-year lease on the 8,187 sq ft Unit 11 at an annual rental of £32,338, while the 10,959 sq ft units 4 and 5 have been leased by Jing Xing Trading Co for 12 years at a rental rising to £43,848. Landlord CBRE Global Investors was advised by joint agents Knight Frank and Russell Property Consultants. Rob Russell, of Russell Property Consultants, said: “With good access to the Portway and on to the M5 Liberty Industrial Estate ticks all the boxes for trade counter, distribution and light manufacturing companies.” ● A Bristol-based company has opened its second international office. Opus Recruitment Solutions, based in Castlemead in the city centre, will open a new office in Amsterdam on March 1. Opus was founded in Bristol back in 2008 and also has offices in London and Sydney, Australia. The new office signifies a milestone for the recruitment agency, bringing it more strongly into the European market.

0.3 1.1 2.6 0.5 3.99

Inflation (RPI)

Weekly earnings

Base interest rate

% % %

Ave mortgage rate % Business current accounts

1.01% State Bank £10,000 deposit of India 0.25% £1 deposit

Business savings accounts State Bank 1.49% of India £10,000 deposit 1.26% Manchester £10,000 deposit BS Source:

Start as you mean to go on and secure business success

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ERHAPS an alternative title for this piece could be the fictional Mary Poppins’ exhortation “well begun is halfway done”. The non-fictional Sir Richard Branson has stated that the secret to a successful start-up lies “in the art of delegation, risk-taking and surrounding yourself with a great team, working on projects you really believe in”. There is a continual stream of start-up businesses, but the failure rate is high, and even if a business gets through the first crucial three years, the owners end up disappointed because the business is not performing for them as they had hoped. There are all sorts of reasons for this but the most common malaise is best expressed by the complaint that “I don’t own the business, the business owns me”. This arises from the fact that the owner spends too much

Know how Andrew Fisher Executive director Alanbrookes Ltd 01934 863386 AndrewFisher@ Alanbrookes.co.uk www.alanbrookes.co.uk

time working in the business, and not enough time working on the business. That phrase has become something of a truism, but it is worth repeating because it is so incredibly common. In many cases, all the owner has ended up with is a job, but with no paid holiday or sick leave. There will always be a demand for,

say, good plumbers and good IT consultants, but just because you have the skills does not mean you can turn this into a successful business. There are any number of business publications and DVDs which take you step by step through setting up a real business that is capable of running effectively without the original owner’s input (our favourite being Michael Gerber’s The E-myth), but what we sense that most potentially successful entrepreneurs are after is someone to turn to when they face new challenges or need to make strategically important decisions. This person can best be described as a “mentor”. A mentor is very different from a trainer, technical consultant, professional adviser or management consultant. They act more like a sounding board for ideas, providing honest and constructive feedback,

and are particularly useful at offering wise and dispassionate counsel at times of stress such as a period of rapid growth, or rejection of a request for additional bank funding. The problem is that these experienced mentors can be expensive, and start up businesses often have little capital. Websites such as mentorme.co.uk can give you access to a wide range of mentors, from both commercial and not-for-profit organisations. There is also a Government backed initiative offering a mentor as part of a start up loans package (www.startuploans.co.uk). Some firms of chartered accountants offer free business advice for start ups (see www.icaew.com and search for business advice service). Many proactive accountants will provide a mentor to hold you to account at regular intervals, and to accompany you to crucial meetings.

One or two even offer a full first year mentoring package to start-ups which meet its criteria (search Entrepreneurs Scholarship Award (ESA) for an example). An alternative way of rewarding a mentor is to give them a meaningful stake in the business in return for ongoing support. People are instinctively averse to giving away equity but 60 per cent of a great enterprise is better than 100 per cent of a one man band type business. Unless you are already an experienced entrepreneur, new businesses are more likely to succeed with a mentor to hand. Start-up businesses need a unique differentiating factor to succeed and a mentor will help you identify what this is and how to market it – or expose the lack of a unique selling point, in which case you will need to go back to the drawing board!