Business & Breaks - Issue 4 by Business Breaks

How Currency Hedging Can Protect Profits Being Understood Is the First Consideration for British Businesses in a Post-Brexit Landscape

REBUILDING TRUST

IN THE

FINANCIAL

SECTOR

Sensing a real need to rebuild peoplesâ&#x20AC;&#x2122; trust in the finnance sector, 30-year City veteran John Gunn has launched SynerGIS, an investment opportunity for regular consumers.

Oxfam Booking.com Adam Phones

BUSINESS & BREAKS

Inside this Issue... 10

Senior Exit Strategy Joelsonâ&#x20AC;&#x2122;s David Greenhalgh explains the steps you can and should take to ensure you get the most possible from your exit package.

SynerGIS: Rebuilding Trust in the Financial Sector Sensing a real need to rebuild peoplesâ&#x20AC;&#x2122; trust in the finnance sector, 30-year City veteran John Gunn has launched SynerGIS, an investment opportunity for regular consumers.

BUSINESS & BREAKS

How Currency Hedging Can Protect Profits With more small businesses than ever before looking overseas to increase sales and growth, Brian Harris, Chief Product Officer at Currencies Direct, tells us more about how how SMEs can use hedging products to protect their revenue when doing business abroad.

Interprefy

Theme Traders

Adam Phones

Booking.com

Britannic Technologies

Oxfam

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Hello & Welcome 4

e...

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VACANCIES FOR LEGAL PROFESSIONALS SPIKE AS PROPERTY MARKET RALLIES Vacancies for legal professionals in Yorkshire have risen by 39% month-on-month, with particular demand for conveyancing experts, according to new survey data from specialist recruiter Clayton Legal.

Vacancies for legal professionals in Yorkshire have risen by 39% month-on-month, with particular demand for conveyancing experts, according to new survey data from specialist recruiter Clayton Legal. The research - compiled based on the recruiter’s comprehensive data on advertised roles - echoes encouraging figures from the Land Registry which show that the property market enjoyed a revival in the third quarter of 2017. Commenting on the results of the data, Lynn Sedgwick, Managing Director at Clayton Legal said: “Firms in the region have been reporting significant growth in recent months so it’s perhaps unsurprising that we have seen such an increase in demand for legal professionals. Shoosmiths which only opened its Leeds office last year has already increased its head count from seven to 60, and Shulmans has posted a growth in turnover of close to 30 per cent in its mid-point results – both of which demonstrate the robust nature of the

legal sector as we approach year end. “In addition, strong activity in the remortgaging sector in Yorkshire has heightened demand for conveyancing professionals. This is largely due to the recent increase in interest rates, which led to an eight year high in remortgaging last month. This, in turn, fuelled demand for experts who could quickly deliver remortgage conveyancing before the new rates took hold. “Going forward, the Chancellor’s recent abolition of stamp duty for first-time buyers on properties costing £300,000 or less is likely to stimulate the market further and increase future demand for conveyancing specialists. Consequently, firms must make sure that they are prepared for increased activity over the coming months and pipeline talent accordingly.”

The war for talent is more fierce than ever, and there is a growing belief that the people who have the highest potential are also your most agile learners. However, defining learning agility, and determining who has more of it, has remained a challenge until recently. The new book, Learning Agility: The Key to Leader Potential, authored by David Hoff, Chief Operating Officer and Executive Vice President of Leadership Development at EASI Consult, and W. Warner Burke, Professor of Psychology at Columbia University and developer of the Burke Learning Agility Inventory™ (Burke LAI), effectively defines learning agility, and explains how to measure and apply it in organizational settings. “Learning agility is one of the hottest topics in talent management and leadership development today,” says Allan Church, PepsiCo Senior Vice President of Global Talent Assessment & Development. “Hoff and Burke’s book on the topic provides a new framework and way of thinking about the construct that is just what the good doctor ordered. Whatever your interest in learning agility, this is a musthave resource and represents a leap forward for the field.”

BUSINESS & BREAKS

ICR PUBLISHES WHITE PAPER ON MIFID II AND IMPLICATIONS FOR DOMESTIC INVESTOR RELATIONS PROGRAMS

ICR, a leading strategic communications and advisory firm serving over 500 private and public company clients, today published a white paper for its clients on expected implications from the implementation of MiFID II on domestic investor relations programs.

On January 3, 2018, new European regulation will require the unbundling of trading commissions from investment research payments, resulting in investment firms separately valuing and paying for research and corporate access. While investment management and trading activity in the U.S. is not subject to MiFID II upon its implementation, large global investment banks and investment firms are in the process of adopting its provisions, and given the global nature of their businesses, ICR expects these changes to migrate to the U.S., beginning in 2018.

• ICR expects companies will experience a substantial increase in requests for corporate access opportunities. • ICR expects the buy-side community will materially increase direct outreach to companies for information and corporate access opportunities. • Companies of all sizes and across industries will need to consider intensifying their investor relations campaigns and should consider investing in financial public relations to supplement and/or complement their investor relations outreach.

So, what are the likely impacts?

To receive a complimentary copy of the white paper, please e-mail steven.boediarto@icrinc.com.

• In general, ICR expects sell-side research analyst coverage will decline. This will evolve throughout 2018 as investment banks determine what institutional investors are willing to pay for their research. 7

BUSINESS & BREAKS

Name: David Greenhalgh & Jennifer Maxwell-Harris Company: Joelson Web: www.joelsonlaw.com Email: info@joelsonlaw.com Phone: +44 (0)20 7580 5721 Address: 30 Portland Place, London, W1B 1LZ

SENIOR EXIT STRATEGY TALKING LTIPs CSOPs, EMIs, RSUs…

o, the writing’s on the wall… you’ve given your all to your employer for years but there’s a new broom in town who is looking to bring in their own team and make their mark with a couple of big name exits. Whatever the reason for your departure, you should consider maximising your exit package. Share options, stock and bonuses can be very important financial elements in a severance package. Share-based incentives are often seen by employers as a way of rewarding a senior employee while ensuring that their approach remains aligned with shareholder interests. As a result, stock (often in the form of restricted stock units, or ‘RSUs’), share options and deferred bonus arrangements forming part of a long term incentive plan (LTIP) are commonly offered to senior level employees in place of, or as well as, monetary bonuses. There is the potential for you to lose your stock, or lose your share options on your exit if they haven’t vested. As such, before it’s too late, you should review exactly what you have and what you might need to do (and when) in order to negotiate the best exit deal you can. Although schemes will often contain broadly similar terms in relation to what happens when an employee leaves, 8

you should make sure you are aware of the precise terms of the type of arrangement you have in place. There are a number of types of share option schemes, including tax favoured option schemes such as CSOPs and EMIs as well as unapproved (i.e. fully taxable) share options. Exiting employees may have a small window of a few weeks or months to exercise vested share options and acquire shares. However, dealing with unvested share options can often present a bigger challenge as these usually lapse and fall away when the employment ends. Typically, exiting employees may retain RSUs or other shares in bigger companies, particularly in listed companies however smaller companies may be disinclined to allow departing employees to hang on to shares or share options. For tax favoured arrangements such as CSOP and EMI options, no longer being an employee will be a ‘disqualifying event’ and the favoured tax treatment will be lost. The reason for the dismissal may also have an impact, with schemes distinguishing between good and bad leavers. For instance, employees leaving due to redundancy or retirement (often categorised as ‘good leavers’) may be able to keep their shares or transfer

BUSINESS & BREAKS

David Greenhalgh, Partner - Employment

â&#x20AC;&#x153;It is important that you feel confident and informed in the strength of your position and the options open to you and your employer. Be sure to seek specialist legal advice to ensure you are in the best possible negotiating position.â&#x20AC;?

BUSINESS & BREAKS

them back to the company at a favourable rate. Good leavers may also benefit from accelerated or pro rata vesting (to the date of departure) of unvested share options, depending on the circumstances. By contrast, employees who leave of their own volition or who are dismissed for misconduct (often ‘bad leavers’) may find their shares must be transferred back to the company at a low or nil value, or find that all their options are lost altogether.

exercise of discretion. The latter route is particularly useful because there is otherwise a statutory cap on the compensation awarded in unfair dismissal claims. Where there is a claim for discrimination it may be possible to tag on a claim for the loss of shares or options. As part of any negotiated exit deal your employer will want you to waive any potential claims you may have and in return you should aim to secure your vested and unvested options, RSUs or other stock or deferred arrangements and to protect any bonus (perhaps calculated on a pro-rata basis) and then seek an ex-gratia payment on top of that. In addition to a straightforward commercial exit negotiation, if you feel you have been unfairly treated or that your employer has not followed the correct procedure in letting you go, you should consider using this as additional leverage in your exit discussions. At this point, it is important that you feel confident and informed in the strength of your position and the options open to you and your employer. For example, your position may be improved by lodging a formal grievance or making a subject access request. Be sure to seek specialist legal advice to ensure you are in the best possible negotiating position.

At least theoretically, a glimmer of hope for the bad leaver would appear to lie in recent changes in the law around contractual penalties. Bad leaver provisions may constitute a penalty where they are triggered by a breach of contract and are disproportionate to the legitimate interest being protected. Importantly, if they are found to be penalty clauses they will be unenforceable. Depending on the circumstances, a possible sign that a bad leaver provision might amount to a penalty is a single stated price for any bad leaver’s shares (regardless whether they have committed an act of gross misconduct or not) together with a wide definition of bad leaver itself. It may also be helpful if you are able to show that you were not properly advised or that there was an inequality of bargaining power between you and your employer at the time you entered into the option. That said, in recent cases employees have found it difficult to show that bad leaver provisions amount to penalties. As such, you are likely to be better served trying to negotiate with your employer before relying on this route…

About Joelson Joelson is a multi-service law firm based in London.

Integrated into the rules of many share option plans is the entitlement of the board to exercise discretion in certain circumstances. Persuading your employer to exercise its discretion in your favour is commonly the key to successfully negotiating a settlement. The applicable share scheme or share option plan rules may contain a provision excluding the company’s liability for loss of the employee’s rights in the event the company terminates employment, even if the termination of employment is in breach of contract (wrongful dismissal). Employers are not protected where there is an unfair dismissal or for improper

Joelson’s employment team has recently been top-ranked by Legal 500, the main independent guide to the UK legal profession, for the team’s work in advising senior executives. The authors of this article David Greenhalgh and Jennifer Maxwell-Harris have also both been individually recommended in the guide. To find out more about Joelson, please visit www.joelsonlaw.com. 10

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Jennifer Maxwell-Harris, Partner - Employment & Immigration 11

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Name: John Gunn Company: SynerGIS Web: www.synergisbonds. com Email: help@synergisbonds. com Phone: +44 800 684 8200 Address: SynerGIS Bonds, 2nd Floor, 2 London Wall Buildings, London EC2M 5PP

REBUILDING TRUST IN THE FINANCIAL SECTOR Sensing a real need to rebuild peoples’ trust in the finnance sector, 30-year City veteran John Gunn has launched SynerGIS, an investment opportunity for regular consumers.

o first thing’s first – what is SynerGIS, and what is it you guys provide? SynerGIS is a new financial brand, with big plans to launch fixed-rate, fixed-duration investment bonds designed specifically for UK consumers in early 2018. People get a raw deal with the current interest rates on offer from regular savings instruments – most just leave their savings sitting in current accounts of low-interest rate ISAs.

We feel people can do so much more to make their money work harder for them. So essentially – we’ll be offering people on the street a super-intelligent savings tool that will aim to provide returns above and beyond your average current account or ISA, without any fees. We’re sort of an ISA 2.0 - offering better returns that ISAs, but the principle is broadly the same. What makes us unique is that we’re backed, and able to take advantage of, the existing infrastructure, insights and capabilities of Global Investment Strategy (GIS) UK - our profitable parent business. This set-up allows us to keep the overheads and the upfront investment costs to a minimum, giving us the agility to go after lower-risk investment opportunities versus the competition...so we can generate competitive returns for our investors without taking any unnecessary risks that the competition may be pushed to take. What’s your background? What gave you the inspiration to found SynerGIS? I’ve lived and breathed the financial services industry for

John Gunn, Founder 12

BUSINESS & BREAKS

30 years – so it’s pretty safe to say I know the sector after three decades. I started my career in stockbroking in 1987 at Hoare Govett, and have since worked at Carr Sheppards, Merchant Securities and Williams de Broë, where I was a senior investment manager until 2002. Later that year I founded Global Investment Strategy UK Ltd (GIS), where I also currently serve as a director. I’ve also worked with renewable energy and cleantech businesses since 2004. As well as being Executive Chairman and Founder of SynerGIS, I’m also currently the CEO and Chairman of AIM-traded Inspirit Energy Holdings PLC.

thoroughly explored. Driven by an exceptionally talented team, SynerGIS is designed to push the boundaries in efficient asset financing, providing consumers with responsible and secure returns. This security, combined with historically low interest rates, creates a compelling opportunity for the consumer. Who are you competing against? SynerGIS Bonds are competing with the challenger banks’ and also regular consumer savings products. We’re confident that we will be able to deliver more attractive interest rates while pursuing lower risk investment grade investment opportunities vis-àvis our closest competitors.

The real inspiration in founding SynerGIS was to shake things up in financial services, and give consumers a better understanding of what’s available to them. Britain is a real global leader in this field, at the forefront of innovation and change. But I believe we need to create a fairer, more transparent system, so that it’s the consumer on the street who gains the most from the changes and regulations being put in place. At the moment, most of the gains these changes generate go towards management fees, fancy offices and extortionate salaries! Ultimately, businesses and industries exist because of consumer need and thus depend on consumers.

A lot of the new entrants to the savings field are still trying to make a profit, after having had to build their offerings from the ground up and make significant investment in the required technology, infrastructure and talent. It’s fair to assume that in order to generate sufficient returns to recover the upfront investment and deliver on the promised customer returns, some new market entrants may be pushed towards taking disproportionate levels of risk...something we don’t have to worry about. What drives and motivates your team to do deliver on your promises? The SynerGIS board and the management team have proven experience in the establishment of well-run, profitable businesses with integrity. This is the basis for implementing such a high-quality infrastructure, whilst exercising a cautious approach to the deployment of capital. As a team, we have a collective understanding of risk – not driven by reward, but by the ethos of maintaining its reputation and treating all consumers fairly.

What’s in it for SynerGIS? Why have you launched the company now? In the post-Brexit and low interest rates environment, we see a lot of appetite for intelligent savings products with competitive returns. We believe this demand is not yet fully satisfied, and the opportunities within the lending market are yet to be fully explored. We see a considerable market opportunity because large institutions, with cheap sources of capital, lack the ability or inclination to lend quickly and flexibly, even to fund quality investment grade projects. Smaller, more specialised lenders have their hands tied by the prohibitive cost of capital. Vis-à-vis the competition, SynerGIS is an efficient solution to these differences in the lending market, unlocking potential available returns not yet 13

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Name: Brian Harris Company: Currencies Direct Web: www.currenciesdirect. com Email: customer.s@currenciesdirect.com Phone: +44 20 7847 9400 Address: One Canada Square, Canary Wharf, London, E14 5AA

HOW CURRENCY HEDGING CAN PROTECT PROFITS With more small businesses than ever before looking overseas to increase sales and growth, Brian Harris, Chief Product Officer at Currencies Direct, tells us more about how how SMEs can use hedging products to protect their revenue when doing business abroad.

or many small and medium-sized business, there comes a point where their next step is to expand overseas. Online trading has made foreign expansion easier than ever. Indeed, for many SMEs, their first step into doing business abroad may be to offer international delivery options on online orders – a comparatively simple process. SMEs are well aware of these benefits. A recent survey by Currencies Direct and Tamebay found that 91% of SMEs considered international sales to be important to the growth of their business. However, despite the fact it’s now easier than ever to start buying or selling overseas, a number of risks often come to light. One such risk is a volatile currency market. Since the Brexit referendum and ongoing political uncertainty, both in the UK and across the world, the currency market has remained increasingly unstable – a trend that shows every sign of continuing into the near future. This can result in issues for businesses unprepared for trading overseas, making it incredibly difficult for a small business 14

to protect its bottom line. Take the example of a UK manufacturer supplying a business in Europe. The customer in question may order a few thousand pounds worth of stock but may not pay the outstanding invoice for a number of weeks. By this time, the value of the Euro against the pound may have increased, meaning that the UK manufacturer loses out. Shifts in currency values may appear small, but even losing a few pence in every pound can add up to a considerable loss, which can run well into the thousands across the course of a year. Uncertain cash flow can be detrimental to small businesses. Around half of all small businesses suffer from ineffective management of cash flow, ultimately hampering their ability to grow and expand overseas. The reality is that SMEs don’t need to be vulnerable to fluctuating foreign exchange rates. A risk management strategy allows SMEs to plan ahead and consider implementing a budget rate for their overseas business, which in turn allows them to track their outgoings with certainty and control costs in the long run.

BUSINESS & BREAKS

â&#x20AC;&#x153;Around half of all small businesses suffer from ineffective management of cash flow, ultimately hampering their ability to grow and expand overseas.â&#x20AC;?

Brian Harris, Chief Product Officer 15

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There are a number of hedging products available to help SMEs manage risk. Among the most commonly utilised is a forward contract â&#x20AC;&#x201C; an agreement that an SME can buy foreign currency at a pre-determined amount for the duration of the contract. This product allows businesses to make payments at a set rate and avoid unpleasant surprises if currency values shift. A currency expert works with businesses on an individual basis to discuss a tailored approach to risk management and how best to avoid any nasty surprises.

Awareness of the dangers posed by volatile currency markets remains low, but making small businesses conscious of these challenges and encouraging them to protect themselves will mean that they are able to trade internationally with more certainty and security. Option products can carry a high level of risk and may not be appropriate and/or suitable for everyone. Please take all reasonable steps to understand certain key concepts before transacting in FX derivative products.

The process of hedging against foreign exchange rates is an alien one to the majority of SMEs. 63% of small businesses across the UK say they do not hedge against currency risk. Of that, 51% believe they are too small to benefit from the risk management, 17% donâ&#x20AC;&#x2122;t see the value and 10% didnâ&#x20AC;&#x2122;t know such services existed. Notably, UK businesses lag behind others around the world in their implementation of risk management strategies. Less than 40% of UK SMEs use risk management tools like FX options and forward contracts, a small proportion compared to the likes of Australia (where more than 50% of business use FX options and/or forwards) and New Zealand (where 40% use FX options and an impressive 78% use forwards). With this in mind, it is evident British businesses are not as well informed on what services are available to them. The landscape for small and medium-sized businesses in the UK has shifted dramatically in the last 24 months. If Brexit goes ahead as planned, it will become more important than ever for SMEs to find new overseas markets to ensure their growth and long-term stability. As a result of this, organisations are conducting business in multiple currencies and have to be prepared to manage the risks associated with a fluctuating currency market. Many small businesses would be prudent to identify their risk exposure to foreign currencies and take steps to mitigate this risk. 16

BUSINESS & BREAKS

“Losing out to business because of language barriers is not a new problem – government statistics show that the UK loses about 3.5% of its GDP every year because of a lack of language skills and cultural awareness in the workforce.”

BUSINESS & BREAKS

Name: Kim Ludvigsen Company: Interprefy Web: www.interprefy.com Email: sales@interprefy.com Phone: +41 44 586 91 86 Address: Stadelhoferstrasse 12, CH-8001 Zürich, Switzerland

BEING UNDERSTOOD IS THE FIRST CONSIDERATION FOR BRITISH BUSINESSES IN A POST BREXIT LANDSCAPE UK companies cannot afford to rely on Anglophone export markets alone. Technology provides the agility they require to overcome language barriers as they expand into new markets. By Kim Ludvigsen, founder and CEO at Interprefy

s the United Kingdom prepares to leave the European Union, corporations are considering how to adapt to a radically altered business landscape. There is little doubt that there will be considerable economic turbulence as new laws and regulations define the challenges and opportunities companies will face. A paramount consideration for businesses contemplating their future in a post-Brexit landscape is the need to forge new partnerships with enterprises beyond as well as, within Europe. And as they do, they will need to demonstrate a capacity to conduct themselves competently in local language. This challenge will be heightened further if the freedom of movement for EU citizens is revoked, as fewer foreign 19

language speakers will reside in the UK. Losing out to business because of language barriers is not a new problem – government statistics show that the UK loses about 3.5% of its GDP every year because of a lack of language skills and cultural awareness in the workforce. But, it is likely to become an even bigger problem if British companies don’t address a language shortfall in the run up to Brexit. It’s not enough for English speaking business leaders to simply take advantage of the rest of the world’s need to learn their language. So, what can business leaders do to ensure the language barrier is not an obstacle as they seek to buy and sell services and products across the globe?

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Aside from learning new languages from scratch, company decision makers have two options. They can employ in-house foreign language speakers to cover each territory they wish to target. But this is costly and ineffective for those organisations looking for multiple languages. It also severely restricts the talent pool as only those who are multilingual can be considered for a particular role – when considering that, according to the 2011 consensus, just 7.7 per cent of the population in England and Wales spoke a language other than English at home, the severity of this issue becomes apparent.

online meetings, in as many languages as are required. For example, using this kind of platform, a British businessman in São Paulo could organise interpreting for an upcoming meeting in English, Portuguese and if a colleague from Argentina wanted to join, Spanish could be added, all at very short notice. No forward-planning or specialist equipment is required. In the past, simultaneous interpreting has been out of reach to many businesses because of its prohibitive price. But now technology is driving rates down by around 50% of what a conventional interpreting solution would cost because the need for interpreters’ travel, accommodation and onsite AV hardware is completely removed. With today’s technology meetings tend to be smoother and more productive, meaning UK companies can be more agile as they negotiate new business agreements in a post-Brexit landscape.

The second option available to companies wishing to conduct themselves in another language is to hire an interpreter for meetings and events. While this is adequate to make oneself understood, it relies on consecutive interpretation, whereby each speaker must stop at regular intervals so that the interpreter can translate for the audience. This means meetings not only take twice as long as they should, but they can be choppy, interrupted and awkward, which is frustrating for UK businesses as they aim to put their best foot forward.

We have seen many sectors undergo significant change due to technological disruption. Across property, transport and banking, business models have been turned on their heads and in many cases automation has replaced human activities in the workplace. This is not the case with interpreting. Simultaneous interpretation requires an ability to capture nuances and subtleties that can only be done by a human. However, technology has provided a platform to empower interpreters and users to connect remotely. By reducing costs and administration, technology has opened the door to many companies that would have never considered simultaneous interpreting in the past.

Neither of the options available is ideal for UK companies looking to scale-up internationally. Employing native speakers of specific languages is cumbersome and expensive, while relying on consecutive translation requires considerable forward-planning and can make presentations tiresome and clumsy. But there is now a third option. Today, technology is available to provide services whereby attendees of an event or meeting can listen-in to real-time interpreting in their chosen language on headphones via a dedicated app. Instead of relying on cumbersome consecutive interpreting, executives can access quality simultaneous interpreting remotely, with the interpreter based anywhere in the world.

With the overwhelming majority of British people confessing they are bad at speaking foreign languages, the need for multilingual solutions to forge contacts with new markets outside the EU will be greater than ever before. And without embracing new technologies to overcome language barriers, trade relations and export performance will suffer further following the UK’s departure from the EU. Smart companies will embrace such technologies to provide them with the agility required to excel in a post-Brexit environment.

This solution can be used for face-to-face business meetings, larger conferences or virtual 20

BUSINESS & BREAKS

About Interprefy Interprefy has revolutionised interpreting. Its powerful cloud-based platform can provide remote simultaneous interpreting for one-toone meetings, roundtables, corporate events and large-scale conferences.

compared to conventional interpreting technology are substantial. Interprefy has worked closely with event organisers across the world at some of the largest trade shows and conferences to supply remote simultaneous interpreting in numerous languages. Users can appoint their own interpreters, use an agency or alternatively they can gain access to some of the best language specialists in the world through Interprefyâ&#x20AC;&#x2122;s own database.

The user-friendly app allows interpreters to work remotely and participants to use their smartphones as receivers. Because interÂŹpreters need not travel and no heavy equipment is needed on-site, cost savings

BUSINESS & BREAKS

30 YEARS ON Name: Adam Toop Company: Adam Phones Web: www.adamphones.com Phone: +44 20 8742 0101 Address: 1-3 Dolphin Square, Edensor Road, London, W4 2ST

“In 1987, I set up a business from my bedroom, in 2017, it’s supporting clients worldwide; from presidents to astronauts.” Adam Toop, CEO at Adam Phones, discusses the most important element for setting up and running a successful telecommunications company

f you pass the exams for Cambridge University, but fail the interview, the next logical step is to start a car phone company in the bedroom of your parent’s house. At least that’s what I concluded at the age of 21. I founded Adam Phones alone in 1987 - and 30 years later, the company is now made up of over 60 dedicated and highly-experienced industry professionals. For the past three decades, our obsession has been connecting people - and, so, we’ve committed ourselves to delivering leading-edge connectivity solutions, with the highest levels of service. We installed the first analogue car telephones and hired radio pagers to expectant fathers in the late 80s, moving on to providing satellite communications to isolated areas, such as war zones and disaster sites since, the 90s. We’ve gone on to supply communications to the White House Communications Agency during the Northern Ireland Peace Process, Nato Summits and more - and have had the pleasure of working alongside film companies and national broadcasters, delivering connectivity solutions that support their work. Exceptional customer service is the key Discretely delivering customer service excellence is at the core of our DNA. Our 22

business has been built on supporting those who need exceptionally high levels of service. These clients include some of the most demanding businesses, organisations and locations in the world. A large and ever increasing part of our client base is the London alternative investment market. In 2006, a handful of financial services firms trusted us with their critical connectivity – in 2017, we support over 35 per cent of the sector; including hedge funds, private equity firms, family offices and wealth managers. They rely on us to achieve regulatory compliance in a sector where performance is measured in milliseconds. Almost all our clients are intolerant to downtime 24/7; working across multiple time zones and travelling internationally – and, therefore, demand hands-on levels of service to keep them running. We deliver a flexible and responsive ‘concierge’ style service, providing direct access to named account managers and support personnel. Having a team of trusted advisers who know our clients and their business is core to what we do at Adam Phones. We foster a highly collaborative structure, and over 30 per cent of our team have worked for the company for over a decade.

BUSINESS & BREAKS

“We deliver a flexible and responsive ‘concierge’ style service, providing direct access to named account managers and support personnel.”

BUSINESS & BREAKS

As well as a personal commitment to exceptional levels of service, I also believe in only using the very best, proven products and services – and this has become a guiding principle of the organisation. Adam Phones is meticulous about every project, applying tried and tested methods of appraisal, deployment, measurement and auditing to achieve the best solution - and, therefore, we only endorse new products once the concepts are fully proven both technically and commercially for our clients.

tance of mobile communication has grown massively, and in line with this, we’ve seen the growth in the automated communication of data between connected devices. This situation has the potential to deliver real value and innovation but also open up more channels for sensitive information to be put at risk. It’s imperative for all organisations to closely monitor and manage how their data is recorded, stored, and used by both employees and third-party suppliers. In 2018 and beyond, Adam Phones will continue to provide class leading support to individuals and businesses - in being a trusted advisor and secure intermediary for 24/7, innovative and resilient communications. I have a huge appetite for auditioning new entrants to the market but equally a total intolerance of unreliable technology; technology becomes extinct for a reason, so I never get misty-eyed about the past.

What do the next 30 years hold? Looking towards the future, Adam Phones has been investing heavily in the development of a new range of products and services to support the next stage of communications. Next year will be one of the biggest for compliance deadlines. Alongside the requirements of the General Data Protection Regulation (GDPR) – which provides updated safeguards for customer data - the second ‘Markets in Financial Instruments Directive’ (MiFID II) comes into force on 3 January 2018. MiFID II will have a massive impact on the financial services sector. While current regulations stipulate a requirement to record mobile phone calls for those operating within certain remits of financial services (specifically traders), MiFID II will introduce a new wave of enhancements. These adjustments will overhaul every facet of call recording; from the storage duration and use of recordings to enforcing call recording on organisations who previously were exempt. We’re working closely with our clients to ensure they have the right telephony solutions in place to adapt to these regulations. Our MiFID II compliant call recording solutions ensure calls are recorded at network level, with no applications or additional hardware required. As well as compliance, still key on today’s agenda is security. It’s clear that the impor24

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Name: Jonathan Sharp Company: Britannic Technology Web: www.btlnet.co.uk Email: hello@btlnet.co.uk Phone: +44 1483 242 526 Address: Britannic Technologies Ltd, Britannic House, Merrow Business Park, Guildford, Surrey, GU4 7WA

TECHNOLOGY WRAP-UP 2017

Technology is now part of our DNA and businesses and organisations are realising that they have to consider it; not only to grow, but to survive.

echnology is now part of our DNA and businesses and organisations are realising that they have to consider it; not only to grow, but to survive. Now, at the end of this year, we are in the midst of a new digital industrial revolution that will result in benefits tenfold, but the change has also brought about issues and challenges that we need to address. An Increasing Skills Gap A study by Barclays has found that 43% of adults in the UK do not have basic digital skills, that are required by around 63% of jobs and this gap is predicted to increase due to technology advances. Working with a Solutions Provider is one way of ensuring that your company will have access to the latest technology and expertise to deploy and manage your digital solutions. The subject of ‘Big Data’ has also been huge this year with data collected by technology in retail, over social media and on websites. The possibilities on how to use this data to maximise sales and marketing are endless but finding the staff to analyse it and put it into practice is challenging. Big data and data analytics are vital to the UK’s digital growth, 27

and are expected to be worth £241 billion to the UK economy by 2020, creating 157,000 additional jobs (Sas.com). However, businesses need to find the right people with the right skills. Without this expertise, the UK’s ability to capitalise on the big data revolution will be restricted. Low Productivity The issue of productivity in the UK, or lack of it, has also been hitting the headlines during 2017. Productivity is at the same rate as it was in 2008, during the financial crisis. Economists have warned that the UK’s productivity continues to fall behind the US, France and Germany. One of the theories for the low and decreasing productivity rate is the lack of investment in technology since the financial crisis of 2008. Companies’ capital spending is only 5 percent above its pre-crisis peak, compared with a 60 percent increase over the decade after the 1980s recession and 30 percent following the 1990s slowdown, (FT, Oct 2017). In the digital age, it is vital that companies invest in technology to retain and attract customers and survive in this fast, competitive world. This year we have most definitely seen a big

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take-up in unified communications technology, particularly around mobile, conferencing and collaboration solutions, and multi-media contact centre solutions, all of which improve internal and external communications, business processes and customer service. It is a vital step in making staff more efficient and productive. Welcoming AI Talk of artificial intelligence (AI) and robots has also been very much present in the media this year with articles on how AI will threaten jobs. However, digital transformation and the new industrial revolution that we are all facing will inevitably bring about change, and change scares people. AI should be looked at as an opportunity for businesses and not a threat. It will enable companies to deliver a more personalised customer service bringing information to the customer and the contact centre agent in real time, in a user-friendly format that they can engage with. This is called Web Real Time communications where customers can talk to agents over instant message, phone or video and share information instantly. Digital Transformation Race 2017 has very much felt like a race with companies and organisations speeding ahead to get on board with digital transformation. Fearful that they will be left behind if they don’t adopt a digital strategy and their competitors will steam on ahead.

During this year, we have witnessed a lot of companies that have not stopped to take stock and get back to basics. Companies need to make technology core to their success and work out why they require specific technology, and what they hope to achieve from it. The market is saturated with technology and it is often difficult for people to know what they want and why. Especially as technology solutions are now increasingly complex, consisting of multi-vendor solutions. This is where System Integrators come into play. They work closely with businesses to discover what their needs and requirements are. Then they will devise a technology strategy and road map that will help them achieve their objectives and yield results. Digital transformation must be viewed as an evolutionary journey and not a quick fix by suddenly implementing the latest technology. Access to a Leading Ecosystem Technology solutions comprise of multi-vendor technology and applications. By working with a System Integrator and Managed Service Provider, you will have access to an ecosystem of the latest technology from their global leading partners. Moreover, it allows for a level of supplier consolidation that can result in valuable cost-savings, as you don’t need to constantly recruit, or train up your IT department on the latest technology. 28

Integration is the Answer Of course, it’s not just about having the latest technology and devices. It is vital that technology is seamlessly integrated into the front and the back office for it to be a success. Finding a technology partner with system integration expertise will kill two birds with one stone, in that it reduces the supply chain and, again, gives you IT skills that you may not have available in-house. Managed Services takes the pain of integration away, ensuring that your new technology and applications are integrated into your infrastructure and work effortlessly. It can be concluded that 2017 has been a very busy year and the new digital industrial revolution that is upon us is not scary or threatening. It is in fact exciting and we will continue to guide and advise companies and organisations in setting and delivering technology strategies and road maps, connecting technology with people to deliver results. Helping them with change management and accepting a changing workforce, environment and culture. So, bring on 2018, we’re ready!

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“Digital transformation must be viewed as an evolutionary journey and not a quick fix by suddenly implementing the latest technology.”

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cated. As Brexit rears its head, vertically integrated models such as Theme Traders, which allow businesses to manage all elements in-house, has become essential in invigorating British talent and transferring new life into neglected boroughs. Theme Traders is one of the first to use this concept successfully in the creative sector, turning around show stopping events with short deadlines and high expectations.

Company: Theme Traders Web: www.themetraders.com Email: appointments@ themetraders.com Phone: +44 20 8452 8518 Address: Production Village, Turpins Yard, Oaklands Road, London, NW2 6LL

TRADING IN FUN IS A SERIOUS BUSINESS

Celebrating thirty years in the party planning business Theme Traders is one of the most creative companies coming out of the creative sector, and one that’s uniquely modern British, with a multicultural, diverse and skilled workforce.

rom creating lavish bespoke parties and brand engagement experiences to immersive events such as an18th Century Paris street with cobbled streets, to shop fronts where guests can purchase items from the era to an intense Orange is the New Black prison themed party, Theme Traders create, often at unbelievably short notice, extraordinary immersive parties and events. Theme Traders create intimate bespoke parties for private clients to, large scale brand events for clients such as Anya Hindmarch to Vita Coco, from Aldi and Buzzfeed to Uber. Situated in the centre of Crick-

lewood – home to Europe’s biggest £4 billion regeneration project - Theme Traders has made the concept of a creative economy a reality within its extensive property, offering everything from bespoke props to sets for film and television, private parties and everything in between. Many props and party items are handmade on site, all created by Theme Traders hugely talented workforce in their creative village. These sorts of creative hubs are seen as the focal point in furthering London’s burgeoning creative economy, noted for being able to bring development and innovation to the local areas where they are lo30

Theme Traders is unique in that it undertakes all elements of production and creation under one roof. The company covers multiple different service areas, from brainstorming ideas for brand engagement to undertaking all elements in order to throw extraordinary parties. Every project the business undertakes, large or small, stems from its site in Cricklewood. Many events companies often have the brains and creativity units separated from the production crew that ultimately build the event. At Theme Traders, the teams are all on one site, ensuring excellence in imagination and delivery, from corporate events to private parties. Natalie Webber, Director of Theme Traders says: “Theme Traders are, I believe, fairly unique in this business, there aren’t many, if any, one-stop shops in this sort of industry. I think having a strong creative production unit and short supply chain means that we’re much better fixed to translate our clients’ needs

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and exceed expectations.” From carpenters to seamstresses, from artists specialising in hand painted sets to graphic designers, the unified approach ensures brilliant results. The employment of young creatives, most with their own art or artisanal practice, equally grants Theme Traders the fresh creative thinking which most businesses today seek, while also providing support and training to the next generation of London’s creative and practical skills sector. Universities from the UK burgeoning events industry courses are also keen visitors to the site, with graduate students gaining access and exposure to the leading business in the sector.

“Theme Traders has made the concept of a creative economy a reality within its extensive property, offering everything from bespoke props to sets for film and television, private parties and everything in between.”

The ethos of Theme Traders is simple – they provide creative excellence and deliver extraordinary immersive experiences from brand engagement, prop building, parties, creation of unique locations, event production and set building. With clients such as Coral, Uber, Wateraid, Victoria Station and more, the success of the last 30 years is undoubtedly to be continued for many more.

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Company: Booking.com Web: www.booking.com

MORE BUSINESS TRAVEL: THE SECRET TO PROFESSIONAL SUCCESS

Business travel is valuable, if not essential, to achieving professional success today, not only because of its positive impact on businesses but also for the opportunities it offers employees to expand their horizons and reach their fullest potential. Six in ten (60%) working professionals globally say experiencing new cultures and destinations adds value to their job, a sentiment echoed most by those in the Travel and Tourism (69%), Management Consultancy (68%) and Architecture and Design (65%) sectors.

hese are among the top findings of new research from Booking.com for Business, the global leader in connecting business travellers with the widest choice of places to stay. Conducted with more than 17,000 working professionals from 24 countries, the research reveals the extent to which they view business travel as essential to professional growth and business success, including key differences across professions. Employees use business travel as opportunities for professional growth When asked what they most hope to achieve when travelling for business, nearly half (46%) of working professionals cite growing their company’s business. But delving further into individual professions reveals a series of personal and professional growth ambitions: • Social and Welfare (45%), Arts and Culture (43%), Education (41%) and Communications 32

and Media (41%) professionals wish to gain inspiration to apply to their work (vs. 37% professional average) • Half (50%) of Charity and NGO employees seek to spend time with colleagues or clients and strengthen professional relationships (vs. 36% professional average) • The top goal for Armed Forces and Education professionals (41% each) is to learn a new skill they can apply to their job (vs. 36% professional average) • Understanding a new culture and its business impact is the top goal for Travel & Tourism professionals (39%), and also an aspiration for Management Consultants (37%) and Architects and Designers (36% vs. 30% professional average). Across professions, travel also has a broader impact on business success Half of working professionals (51%) say that being able to take a few off-the-clock hours during

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â&#x20AC;&#x153;When asked what they most hope to achieve when travelling for business, nearly half (46%) of working professionals cite growing their companyâ&#x20AC;&#x2122;s business.

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a business trip to enjoy the destination improves their performance in business meetings, a sentiment echoed most by Management Consultants (58%).and Architects and Designers (57%).

• Those in Agriculture and Farming are more likely to opt for a place that exhibits ‘local charm’ (19% vs 13% average) By making it easy to search, find and select accommodation from the wide variety of business-ready stays available today, Booking.com for Business helps connect business travellers with their ideal place to stay – whether that reflects their professional preferences, business trip objectives or overall lifestyle.

Despite the benefits of modern technology and real-time communications, a real business case for in-person meetings still exists. Globally, twothirds (66%) of working professionals agree that travelling to meet clients or colleagues face-toface is essential to business success, rising in importance for those in Management Consultancy (78%), Manufacturing (71%), Construction and Engineering (70%) and Agriculture and Farming (70%).

“Experiencing different cultures and destinations and gaining new perspectives through travel is becoming increasingly important to professional success, particularly in today’s hyper-connected and globalised business world. Regardless of profession, today’s business travellers are savvier about the value up for grabs, both for their companies and for themselves. Where they choose to stay is crucial in realising that value, with today’s business travellers seeking places that align with their specific, priority needs when it comes to location, flexibility and certain amenities,” says Ripsy Bandourian, Senior Director of Product Development at Booking.com for Business.

Business-ready accommodation is key to boosting business trip potential Choosing the right accommodation plays a critical role in maximising the potential of a business trip. Six in ten professionals (60%) agree that travel and accommodation options that cater specifically to the business traveller are no longer optional, but essential. A comfortable bed and strong Wi-Fi signal top the list of business accommodation must-haves (52% each), followed by a hearty breakfast (38%) and free transportation or shuttle service (27%). The choice of accommodation is also strongly driven by location, with convenient access to meetings (47%) and placement in the city centre (29%) identified as top priorities for overnight stays. With Booking.com for Business, properties that have been favourably reviewed by prior business travellers and tick the boxes for these important business travel essentials are surfaced with priority in the search results.

“Looking at our data and millions of business traveller reviews, we make it easier to find those stays recommended by other business travellers, without compromising on choice. Corporate travellers can enjoy flexibility and freedom to personalise and maximise a business stay experience, all while still working within a company’s policy.”

When it comes to the most-booked business stay types across professions: • Architects and Designers are more likely to choose a boutique hotel (23% vs. 13% professional average) or a hi-tech, gadget-filled place to stay (24% vs. 18% average) • Perhaps due to increased scrutiny over corporate travel budgets, only 20% opt for ‘high end, luxury’ accommodation, driven by Management Consultants (26%) and Banking and Finance professionals (24%) 34

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â&#x20AC;&#x153;Looking at our data and millions of business traveller reviews, we make it easier to find those stays recommended by other business travellers, without compromising on choice.â&#x20AC;?

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Name: Erinch Sahan Company: Oxfam Web: www.oxfam.org.uk Email: enquiries@oxfam.org.uk Phone: +44 1865 47 3727

BUSINESS NEED NOT BE CONSTRAINED BYTHE STRAIGHTJACKET OF MAXIMISING PROFITS We all look to business to be a force for good. Decent jobs, paying tax and treating communities fairly are quite common expectations, but trust in business is on the decline. Oxfamâ&#x20AC;&#x2122;s Head of Future Business Initiative, Erinch Sahan tells us more.

hrough the last few decades, we have seen spiralling inequality and an increasingly scary ecological crisis unfold. The economic activity driven by business is stretching the very limits of our planet, while under-deliv

ering on their prime purpose of providing food, income, energy or making their workforce feel valued and fairly paid. The benefits of businesses do not appear to be shared properly and many think something has gone wrong. The clue may be in the way weâ&#x20AC;&#x2122;ve designed businesses. In any major brand or retailer, there is a board, shareholders and a corporate charter (or the like). Almost certainly, these give power and primacy to the goal of maximising returns to shareholders. My view is that this is a narrow and out-dated way of running a business and has become a straight-jacket. It limits whether a business can ensure workers receive a living wage, make viable long-term investments that drive vibrant communities or reduce the effects of industry on the environment. Not all businesses put profits for shareholders first with every decision. A rich and diverse set of business models

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already exist. At Oxfam, weâ&#x20AC;&#x2122;re eager to support dynamic, innovative and equitable business models around the world. Working towards fairer business models is not new territory for us. We have founded and supported successful enterprises such as Cafe Direct, as well as dozens of community-level enterprises around the world through programmes such as the Enterprise Development Programme and Women in Small Enterprise program. In the Fair Trade movement and as a founder of the Fairtrade Foundation, we have always promoted a range of models designed to serve the interests of workers, farmers and communities. Looking deeper at the structures of business is key, and important levers include the governance and ownership model of a company. Examples of such models include fair trade businesses partly owned and governed by farmer groups (e.g. Divine Chocolate),

companies that are employee-owned (e.g. John Lewis) or share most of the profits with workers (e.g. Huawei), companies with governance models that prioritise a social mission (e.g. Fairphone), social businesses focused on how they affect consumers (e.g. Grameen-Danone Foods) and companies owned and controlled entirely for the benefit of millions of farmers (e.g. Amul). This is all to the public good and shows that business models should not be structured around solely maximising profits. Governments, investors, business leaders and consumers have a key role in a vision for a better future, by shaping businesses that are fit for purpose. We need to foster diversity and dynamism in business â&#x20AC;&#x201C; unlocking growth for those that have goals to make society better, and we need investors and consumers to get behind these models. Big companies, regardless of their structure, can be pivotal 37

in supporting these models in their supply chains. Critically, developing and emerging economies can leapfrog into better business models. They need not promote the narrow model that dominates most western economies. The central design feature of tomorrowâ&#x20AC;&#x2122;s companies are being shaped today. There is time to ensure these are geared to address the great challenges of the 21st century.

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IL GUSTO TO LAUNCH NEW ‘A LA CARTE’ BUSINESS MODEL FOR FRANCHISEES Franchise operations are a well-established concept where business minded individuals buy into established retail concepts and then set up their own operation within that framework. Often requiring a significant amount of investment and usually a full time commitment, Il Gusto founder Richard Mosconi has expanded on that concept with an ‘a la carte’ approach that is likely to appeal to the growing number of experienced successful people who are seeking a more flexible working regime, investing in working hard for some of the year to free up time to pursue different interests at other times.

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Company: Il Gusto Web: www.ilgusto.uk.com Email: info@ilgusto.uk.com Phone: +44 1494 448 242 Address: 13 The Broadway, Penn Road, Beaconsfield, Bucks, HP9 2PD

ounded in 2000, ILG Ltd is the parent company of Il Gusto, an established retailer selling an array of high quality oils, balsamic vinegars, liqueurs, exclusive spirits and gifts. These are all available in a wide range of shape and size of bottles, meaning they have potential to become personalised gifts that are suitable for a wide range of budgets. The Il Gusto brand provides a direct link from producer to consumer and notably sells most produce direct from the barrel. With seven UK based company-owned Il Gusto shops, Il Gusto has now expanded to Germany and with Middle East outlets planned from February 2018. The IL Gusto franchise concept was opened to franchise development options in 2005, and currently operates three successful franchisee sites with a ‘ready-to-go’ business model, in which ILG Ltd research and secure prime locations across the UK for franchisees to select from. Leases are then signed directly with ILG Ltd and full training is provided for each team, streamlining the process from start to finish for franchisees. Mosconi has now created a seasonal approach to this model, focusing on ‘pop up’ shops in high traffic malls and department stores during the busy October/November/December months that require a limited time commitment. This will offer franchisees the ability to maximise profits while minimising costs, 39

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with the unique concept also endeavouring to provide further economies of scale for franchisees through reduced logistic costs, staff optimisation costs, improved rent and cross selling, all of which should ultimately result in increased turnover and profit.

The ambition from Il Gusto is to see successful franchisees extend from running one pop up to manging a series of others in the same region, avoiding fragmentation and cannibalisation as the franchisee’s owned business grows. Mosconi has deliberately focused on creating a franchise template based on simplicity of set up to encourage regional expansion, encouraging growth with ease.

This ‘a la carte’ concept offers franchisees the flexibility to work for a minimum of three months per annum during the established and highly profitable pre-Christmas period. Il Gusto’s high quality, personalised food and drink products and Mosconi’s second business model, Cabaia, a personalised accessories brand offering customisable premium bobble hats in a range of colours and styles, are both ideally suited to the gifting market and ‘pop up’ franchisees can choose to operate either one or both of the Il Gusto and Cabaia business models.

“I think this concept is very much of the time” said Mosconi. “For many people, the opportunity to work profitably on a basis that is effectively part time is highly attractive. Seasonality and personalisation are two key trends that support the potential success of any franchisee with a relatively low level of investment. “We’ve looked at how we could accommodate applicants who want to do more. While woolly hats are clearly a much more winter focused concept, we’ve extended the Cabaia concept to high quality personalised flip flops. Each pair comes with a series of differently coloured thongs, allowing the customer to match the same pair with a whole series of outfits – a great idea of holiday makers with a limited amount of space in their luggage.

Prior to launching the new model to market, Mosconi undertook a trial in Newcastle in Q4 2016. The trial kiosk at Intu Metro Centre proved highly profitable, as have all ILG Ltdowned seasonal kiosks to date. In the run up to the Christmas season in 2017, Il Gusto is currently operating 9 of these pop up kiosks in the four cities of Newcastle, Cardiff, Glasgow and Nottingham, all of which have launched successfully in the run up to Christmas. In addition, IL Gusto’s novel Halloween products, including absinthe filled glass skulls, added an extra boost to the newly opened pop up shops initial sales, driving increased awareness and Christmas sales.

I’d like to think that as we develop our business concepts further, we’d be able to offer potential franchisees a range of seasonally relevant products that would be available at different times of year so we can accommodate as many people who have that passion & commitment that is needed to make any business successful but have that desire to do more with their life than work for 12 months of year.”

The ambition is to extend to 25 pop up kiosks in 2018, with the new kiosks all to be run on a franchise basis. With both Il Gusto and Cabaia products ideally suited to Christmas gifting, it makes sense for franchisees to make the most of the opportunity to invest in a business opportunity geared towards this commercially valuable time frame, receiving the same level of training and support that a full time franchisee would, an ‘a la carte’ franchisee. 40

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