SAM WILLOUGHBY
FTSE 100 -74.40 6710.52
HUDDERSFIELD EXAMINER TUESDAY, JUNE 16, 2015
Marketing is her mission Interview - Page 3
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COLIN BARRATT Gains to be made Column - Page 4
An EXAMINER publication
KIRKLEES BUSINESS NEWS The business NEWSpaper for Kirklees
By HENRYK ZIENTEK Business Reporter henryk.zientek@examiner.co.uk
Eight Huddersfield companies are among Yorkshire’s best-perfoming businesses, a survey has revealed. The eight are listed among the region’s top 250 companies in the Yorkshire Report compiled by business services firm BDO. Together, the 250 firms have revenue exceeding £100bn and cash in the bank totalling £3.2bn. Huddersfield’s excellent eight generated revenue of £796m and together employ 4,739 people. They have also amassed export sales of £185m. The eight are vehicle recovery and fleet management firm FMG, haulage company Hoyer Petrolog UK Ltd, nursery products firm Mamas & Papas, services provider Mavisbank Ltd, signage and branding specialist Principle Holdings Ltd, pharmaceuticals manufacturer Thornton & Ross, engineering firm VTL Group and air industry supplier Wesco Aircraft Europe Ltd. Analysis which splits the region’s top 50 firms – those with turnover of £300m-plus – and the mid-market 200 reveals it is the medium-sized businesses that are driving growth and prosperity for Yorkshire. Turnover, overseas sales and employee numbers are growing faster in the mid-market than they are among Yorkshire’s biggest businesses. Turnover has
■■ Terry Jones, partner and head of BDO LLP in Yorkshire, said companies in the region were growing strongly – as evidenced by the inclusion of businesses such as Linthwaite’s Thornton and Ross (above) in BDO’s Yorkshire Report listing 250 top-performing firms
grown by 13.2% for mid-sized firms against 5.2% for the largest 50 companies while employment levels are up by 11.6% compared with 2.8% and overseas sales have rocketed by 19.3% opposed to just 3.6% in large firms. Terry Jones, partner and head of BDO LLP in Yorkshire, said: “Yorkshire firms have recovered well and are growing strongly, with cash in the bank, employment and overseas sales all on the up.
But what’s really clear is how important the mid-market is to our regional economy and future prosperity.” Manufacturers account for 72 of the region’s top 250 companies. The region’s manufacturers saw profits before tax jump by 38% to more than £1bn in the reporting period. The sector also accounts for more than half of all overseas sales made by the 250 companies. The retail sector continues to be the
largest contributor to revenues with a £44.3bn contribution. However, profits have plummeted following another tough year for food retailers Asda and Morrisons, which account for more than 90% of the sector’s revenues. Manufacturing was the second biggest contributor with revenues at £12.4bn, followed by the food and drink sector which recorded a 22% jump to £11.3bn.
Report shows ‘promising results’ for regional economy
■■ Senior partner Stephen Newman
A LAW firm has detected “green shoots” in the regional economy. The latest Economic Index Report published quarterly by Huddersfield firm Baxter Caulfield noted “promising results” from its key business data on job creation, new investment and contract wins during the three months to the end of May, 2015. The report found that at least 1,178 jobs had been announced or created throughout Yorkshire and the Humber during the period. An estimated £40.83m of new investment had been made by private sector businesses while an estimated £20.22m worth of contracts had been won by private sector businesses in the region. Key announcements during that time included the completion of Holmfirth
Dyers’ Park Valley Mills site, which will create 70 jobs. Other major investment includes Banks Renewables, part of The Banks Group, investing £14m in the fiveturbine Hook Moor Wind Farm, which will create 30 jobs. Other announcements include a major power plan scheme, the Knottingley Power Project, which has been given consent by the Department for Energy and Climate Change. The project will be located at the site of the former Oxiris Chemical works in East Knottingley and will create 50 permanent jobs. Stephen Newman, senior partner at Baxter Caulfield, said: “It’s really good news for the regional economy that there appears to be a renewed sense of confi-
dence among businesses. This sense of positivity leads naturally to investment in our regional economy and to the creation of new jobs. “Since our quarterly Economic Index report was first published two years ago, we have been able to measure the economic fortunes of businesses located throughout Yorkshire and the Humber. “ Mr Newman said: “Whilst the picture has not been universally good, there is a definite upward trajectory in success, represented most keenly by increasing levels of confidence, which lead to vital investment by businesses of all shapes and sizes – something which is particularly important for our home-grown owner-managed businesses.”
Cutting the cake LAW firm Chadwick Lawrence has marked the 10th anniversary of its Employer Support Protect (ESP) Scheme with members of the employment law team and representatives from its first ever client – cutting tool supplier Cutwel Ltd, of Cleckheaton – gathering to celebrate a decade in business. The law firm’s employment department has delivered specialist employment law, health and safety and HR support to hundreds of businesses across the region. The ESP team has developed relationships with prominent organisations such as Kwik-Fit, Huddersfield Town FC and Leeds Rhinos.
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Energy savings Elland-based energy management specialist Orchard Energy has helped a family-run hotel chain save money on its energy bills. The owner of the Waterfront Lodge and Prego at Brighouse, the Briar Court Hotel and Da Sandro’s at Birchencliffe and speciality food and drink supplier Continental Quattro Stagioni, has been a client of Orchard Energy for the last 10 years. Orchard identifed a new contract 12 months in advance of renewal that would bring significant cost savings.
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TUESDAY, JUNE 16, 2015 HUDDERSFIELD EXAMINER
KIRKLEES BUSINESS NEWS
national
Chief plans to put some fizz back into Majestic Majestic Wine reported a slide in annual profits as its new boss pledged to scale back new store openings and warned that earnings would take a further hit as he tries to inject some fizz into the business. Chief executive Rowan Gormley said he wanted to make the shopping experience “simpler, easier and more fun” for customers as part of a series of initiatives to turn around the group’s fortunes that will cost about £3m to achieve. Pre-tax profit fell by 22% to £18.4m in the year to the end of March – although like-for-like UK retail store sales rose by 1.9%. Total revenues were 2.3% higher at £284.5m. The number of active customers who made purchases during the year rose by 5.4% to 678,000, but the average spend per transaction was unchanged at £129. The group, which has a store at Queensgate in Huddersfield, had been planning to expand to 330 stores from its current 213 – but the
new boss said that he wanted to limit new openings to 20 to 30 locations “that can deliver a good return on investment”. He said: “It is obvious that we need to make investments to reinvigorate Majestic Wine. “These investments will initially suppress profit in the short term, but I am confident we can rebuild momentum in this excellent business.” Mr Gormley joined Majestic in April after it bought online rival Naked Wines – a company he founded in 2008 – for up to £70m. He replaced Steve Lewis, who left the retailer in February after poor sales. The new boss has embarked on a “thorough strategic review” of the business. He said: “Although I have only been chief executive for 10 weeks, it is clear to me that the enlarged Majestic Group has excellent future prospects. “However, it is also clear that Majestic Wine had a period of chal-
lenging trading in recent years. Profit declined last year with growth in online and commercial sales not enough to offset the underlying sales decline in the more mature Majestic stores. “There are a number of areas where customers are telling us that we need to do better, and issues which are holding us back need to be addressed.” Among new initiatives is investment in staff training and retention for Majestic’s workforce of more than 800. Mr Gormley said he also wants to build sustainable sales through personalised service and rebuild the supply chain to optimise availability, as well as delivering “robust” IT. Majestic Vintners opened its first Wine Warehouse in Wood Green, north London, in 1980. By the end of 1985 there were 13 stores in the Majestic estate. It opened its 50th store in 1995 and launched itse-commerce arm in 2000.
Engineers enjoy boom in exports Yorkshire engineering exporters are flying high in international markets, a survey has revealed. Some 44% of firms in the sector are generating more than 80% of their turnover from export markets, according to figures from accountancy and business advisory firm BDO LLP and the Institute of Mechanical Engineers (IMechE). The largest overseas markets for Yorkshire manufacturers are Western Europe and North America with 56% of firms selling goods and services to these regions. The growing success of businesses breaking into Africa is also evident with just under a quarter now selling goods there. Two-thirds of exporters in the region intend to grow international sales even further in the next five years, with South America, India and China being highlighted as key markets of interest. The UK is the 10th largest goods exporter in the world – with 78% of engineers believing that it is the quality of UK products that holds the most value for overseas buyers against 20% who think price is the biggest issue. However, only a third of Yorkshire exporters felt that their company is spending enough on research and development to keep its competitive position – at a time when the increasing sophistication of low-cost economies such as India and China is closing the gap on UK product quality. Jason Whitworth, partner and head of manufacturing at BDO in Yorkshire, said: “International trade is the cornerstone of sustainable, long term growth for Yorkshire manufacturers. “With foreign markets accounting for such a large proportion of sales, it is clear that firms that refuse to rely on domestic markets and invest in their export capabilities are reaping the rewards. “Despite it still being one of our largest trading partners, economic weakness in the EU has created significant headwinds for exporters over the past few years placing increasing emphasis on emerging markets.”
■■ Majestic has endured “challenging trading”
Chinese venture for Cook Regulator defends rules The Thomas Cook brand is going to China after the 174-year-old travel firm agreed to form a joint venture selling holidays under its name in the world’s second biggest economy. The venture with Shanghai-based conglomerate Fosun will see the group try to cash in on China’s £85bn tourist market. Thomas Cook said the agreement will see domestic, inbound and outbound holidays sold in the country through a business that will be 51% owned by Fosun. Thomas Cook will own the remainder of the operation.
The head of the Bank of England’s regulatory body has denied a “witch hunt” against the financial sector as he defended its actions in tightening up rules. Andrew Bailey, chief executive of the Prudential Regulation Authority (PRA), made the remarks amid signs of a backlash over some of the changes being introduced in the wake of the financial crisis. HSBC is considering moving its headquarters out of the UK in the wake of regulatory and structural reforms.
The firms said the joint venture will combine Thomas Cook’s heritage and expertise in international travel with Fosun’s knowledge of the local market and operational resources, in a bid to capitalise on China’s growing demand for leisure travel. It comes after Fosun agreed to buy a 5% stake in the UK firm in March for £91.8m in a move that both firms said would lead to closer links. Fosun, founded in 1992, is led by billionaire Guo Guangchang, who has a fortune estimated to be worth £2.8bn.
These include “ring-fencing” to separate banks’ risky investment arms from retail banking operations serving the likes of mortgage borrowers, current account holders and small businesses. Former Barclays chairman Sir David Walker had earlier said the arguments for ring-fencing had become redundant. But Mr Bailey said: “Our desire for change is not out of a wish for witch hunts, but because clear responsibility creates the incentive to manage and mitigate risks.”
SHARE PRICES NORTH AMERICAN
American Express Chevron Du Pont Exxon Mobil Gannett Hess Corp Microsoft Motors Liquidation Wal-Mart Stores Wrigleys
£50.85 £63.94 £44.14 £53.73 £23.11 £43.42 £29.12 48.20 £46.44 £51.39
AEROSPACE & DEFENCE
Avon Rbbr BAE Systems Chemring Cobham Meggitt Rolls-Royce Senior
AIM
600 Group Brady Plc Highland Gold Mining Johnson Service Grp London Security M”S Intl Nichols Redhall Group Scapa Grp Youngs GKN Barclays
840 482 2131/2 2825/8 4801/4 945 3045/8
16 /8 99 49 88 £231/8 1411/2 1297 101/2 1951/2 12651/2 3
AUTOMOBILES & PARTS BANKS
-0.26 -0.24 -0.28 -0.27 -0.15 -0.06 -0.42 -0.11 -31 -71/8 -41/2 -67/8 -73/8 -25 -83/8 -1 +3/4 +5 -51/2
3561/4
-9
265
-43/4
Bk Ireland HSBC Lloyds Banking Gp Ryl Scotland Stan Chart Barr (AG) Diageo SABMiller Croda Elementis 98 Johnsn Mat
247/8 600 863/8 3501/2 1038
BEVERAGES
609 /2 18741/2 £33 1
CHEMICALS
£277/8 2981/8 £303/4
CONSTRUCTION & MATERIALS
Balfour Beatty C”R”H Costain Low Bonar Marshalls Drax Gp SSE
245 /2 1830 3351/4 741/4 299 1
ELECTRICITY
372 /8 1587 7
-1/2 -73/4 -5/8 -67/8 -26 -5 /2 -22 -1/2 1
-1/4 -1 -1/4 -6 -15 -11/2 -3/4 -83/4 -3 /8 -6 1
ELECTRONIC & ELECTRICAL EQUIPMENT
Laird Morgan Advanced Ox Instmts Volex
3821/2 3305/8 1031 821/2
-4 -155/8 +3 +1/2
Alliance Trust 4955/8 BlackRock Income Strat Tst 1341/4 Candover Inv 2691/2 Dunedin Inv 252 Dunedin Sml 2171/2 Edin Invst 673
-67/8 -11/4 -81/2 -31/2 +11/2 -51/2
EQUITY INVESTMENT INSTRUMENTS
Electra Private Equity Forgn & C Henderson Smllr Cos North American Inc Scot Am Scottish Mortgage Witan
£313/4 4431/4 6601/2 820 2661/4 2627/8 802
-3/8 -11/4 -19 -91/2 -31/4 -51/8 -101/2
FIXED LINE TELECOMMUNICATIONS
BT Grp Cable & Wireless Comm Colt Group KCOM Talktalk Telecom
4521/2 633/4 1561/4 973/4 3803/4
-1 -11/2 -13/4 -1 -51/4
1771/8 2591/4 214 101
-11/4 -25/8 +1/4 -1/2
FOOD & DRUG RETAILERS
Morrison W Sainsbury Tesco Thorntons AB Food Carrs Group REA Hldgs Tate Lyle Unilever
FOOD PRODUCERS
£301/8 1411/2 300 549 £273/4
-3/8 -71/2 -2 -1/8
262 8485/8 8271/2 £211/8 9481/2
-11/4 -63/4 -121/2 -1/4 -131/2
GAS, WATER & MULTIUTILITIES
Centrica National Grid Pennon Grp Severn United Utils 3i Group Close Bros ICAP
GENERAL FINANCIAL 533 /2 1577 5341/2 1
-9 -30 -15
Aga Rangemaster Barrat Dev Bellway Persimmon Reckitt Benckiser Taylor Wimpey
Local shares Carclo Marshalls National Grid Weir Gp
153 299 8485/8 1813
-31/2 -83/4 -63/4 -35
6710.52
down 74.40 London StockExch Man Group Provident Financial Schroders Schroders NV
£23 /4 161 £285/8 £32 £243/8
- /2 -41/2 -3/8 -1/2 -5/8
3593/4 1137
-51/4 -24
GENERAL INDUSTRIALS
Smith DS Smiths Grp
GENERAL RETAILERS
Ashley L Dixons Carphone Home Retail Inchcape Kingfisher M & S Mothercare Next Signet Jewelers WH Smith
301/4 4565/8 1631/2 831 3733/4 551 2593/4 £723/4 £837/8 1498
1
-11/4 -83/4 -23/8 -101/2 -27/8 -61/2 -3/4 -11/8 -1/2 -24
HEALTH CARE EQUIPMENT & SERVICES
Smith Nph
1087
HOUSEHOLD GOODS
-3/4 -15 -1/2 -43 -3/4 -53/8
2071/2 1191 89 74 £341/8 1813
-8 -20 -1/2 -31/2 -5/8 -35
INDUSTRIAL ENGINEERING
FTSE closed at
1
1051/4 596 £233/8 1927 £557/8 1833/8
-10
Fenner I”M”I Molins Renold Spirax-Sarco Weir Grp Ferrexpo
INDUSTRIAL METALS 71
-3
INDUSTRIAL TRANSPORTATION
BBA Aviation
3133/4
-43/8
5051/2 2603/4 2037/8 1574 468
-9 -31/8 -4 -311/2 -61/4
9261/2 2671/8 153 1269 1066 1032 415 1591/4 5381/2 164
-15 -25/8 -23/4 -3 -3 -8 -5 +1/4 -31/2 -2
LIFE INSURANCE
Aviva Lgl & Gen Old Mutual Prudential Standard Life
D Mail Tst ITV Johnston Press Pearson Reed Elsevier Sky STV Group Trinity Mirror Utd Business UTV
MEDIA
WPP
MINING
Anglo American Antofagasta BHP Billiton Fresnillo Kaz Minerals Lonmin Rio Tinto VEDANTA RESOURCES
1464
-15
994 /8 728 13201/2 7331/2 244 1293/4 £281/8 5931/2
-11 /8 -4 -20 -31/2 -11/4 -1/8 -1/4 -1
962 2311/4
-16 -31/8
3
MOBILE TELECOMMUNICATIONS
Inmarsat Vodafone Group
NONLIFE INSURANCE
Admiral Grp Jardine LloydThomson Marsh McL RSA Ins Gp
1429 1013 £377/8 422
OIL & GAS PRODUCERS
BG BP Cairn Energy Premier Oil Royal Dutch Shell A Royal Dutch Shell B Total Tullow Oil
+1/2 -21/2 -23/4 +1/4 -31/2 -31/2 -1/2 -75/8
8691/2 9001/2 687
-31/2 -8 -81/2
PERSONAL GOODS
Burberry Gp PZ Cussons
-25 -16 -1/8 -43/4
10881/2 435 1845/8 1583/4 18541/2 18801/2 £313/4 3693/8
OIL EQUIPMENT & SERVICES
Amec Foster Wheeler Petrofac Wood Gp(J)
5
1648 3601/2
-12 -31/8
PHARMACEUTICALS & BIOTECHNOLOGY
Astrazeneca GlaxoSmithKline Shire
£411/2 1351 £521/8
-5/8 -22 -5/8
833 807 6481/2 3203/4 1270 4191/4
-41/2 -41/2 -4 -21/2
5451/2
-6
1048 1847 1206 1501/4 521 2273/4 2273/4 1210 2811/4 1621/4 4267/8 6311/2 4851/4 6131/2 1901/4 1513/8 £213/8 £411/8
-25 -21 -11 -13/4 -101/2 -7 -7 -19 -73/4 -23/4 -3/4 -141/2 +6 -4 -43/4 -15/8 -3/8 -1/4
1103
-23
REAL ESTATE
Brit Land Gt Portland Hamrsn Intu Properties Land Secs SEGRO
-45/8
SOFTWARE & COMPUTER SERVICES
Sage Group
SUPPORT SERVICES
Berendsen Bunzl Capita Connect Group De La Rue Elctro Com Electrocomp Experian G4S Hays Homeserve Interserve Menzies J Northgate Prem Farnell Rentokil Travis & P Wolseley
TECHNOLOGY HARDWARE & EQUIPMENT
ARM Hldgs
IBM Spirent Comms
TOBACCO
Br Am Tob Imperial Tobacco
£1061/4 88
-11/8 -1/2
£341/8 £313/4
-7/8
TRAVEL & LEISURE
Bwin.Party Digital Carnival Compass Grp easyJet Enterprise Inns FirstGroup Go-Ahead Gp Greene King Intercontl Htls Intl Cons Airl Ladbrokes Marston’s Mitchells & Butlers Natl Express Punch Taverns Rank Org Restaurant Grp Ryanair Stagecoach Group Whitbread William Hill FTSE 100 FTSE 250
971/8 £311/8 1115 1550 1261/8 1231/8 £265/8 8151/2 £265/8 5081/2 117 1641/4 4567/8 3081/4 121 2173/8 6961/2 8471/8 401 £503/8 4083/4
INDEX
6710.52 17728.73
-1/2 -3/8 +1 -36 -1 -1 -1/4 -71/2 -3/8 -91/2 -23/4 -1/4 -2 -33/4 -45/8 -71/2 -13 -33/4 -3/8 -83/4 -74.40 -220.36
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HUDDERSFIELD EXAMINER TUESDAY, JUNE 16, 2015
KIRKLEES BUSINESS NEWS
profile
Home win as Sam savours running her own business There’s no place like home for Sam Willoughby. The owner of Kirkheaton-based 1017 Marketing is more than happy to be a Huddersfield girl running her own business in her home town. Sam was brought up in Taylor Hill and attended Newsome High School before taking A-Levels at Greenhead College. “One of my A-Levels was business studies and I enjoyed the marketing aspects of the course,” she says. Sam had got a taste of selling “at the sharp end” with a student job over several summers working on the perfume and cosmetics counter at Peter’s fashion store in King Street, Huddersfield. She says: “I was keen to do a marketing degree, but – believe it or not – the only universities offering the course I wanted were Huddersfield and Bournemouth. There was no contest, really!” During her studies at Huddersfield University – where she gained a BA (Hons) in marketing – she went on placement with a small marketing agency in Cleckheaton and on graduating in 1996 was invited to take up a fulltime position with the firm. She went on to work for a number of marketing agencies in Huddersfield and Sheffield, dealing with a diverse range of clients and helping to “sell” an array of products ranging – she says – “from bras to buses”. Sam progressed from account executive to account director at the Sheffield firm before seeking a change of direction. “I worked with some great people and some great clients,” she says. “But I think I always knew that eventually I would want to do something different. “Agency life is brilliant when you are young and don’t have commitments. In 2012, I had my little boy and I didn’t want to continue commuting to Sheffield.” Sam’s father, John Quarmby, had his own hydraulics company, DCA Group, based at a former chapel in Taylor Hill. “My father had talked before about me coming to work at the
company,” says Sam. “It had never seemed to be the right time, but now it was a great opportunity. It also gave me flexibility and meant I would be working locally.” Sam worked at the company for 18 months – getting to grips with highly technical products and helping market them to customers far and wide. She says: “It gave me a great insight into hydraulics! I was responsible for all the marketing. It made me think that I could be doing this for other businesses. By this stage, my father was retiring and the direction of the company was changing. “I thought I could do a similar thing for smaller local companies that couldn’t justify having a marketing person in-house but needed help with marketing their businesses or particular projects.” She says: “There are a lot of managing directors who want to improve the profile of their businesses. They have a great product, but their marketing activity comes
at the bottom of the ‘to do’ list.” Sam set up 1017 Marketing in March last year – taking the name of her business from the 10th and 17th letters of the alphabet, her father John Quarmby’s initials. The company provides services such as project management, web design, copywriting, email campaigns, brochures and leaflets and sales support with Sam drawing on her own expertise as well as the support of specialists in specific fields. “I work with a network of other freelancers, which also provides a cost-effective solution for the client,” she says. And she’s no regrets about making the move. “Things are going really well,” says Sam. “When I started 1017 Marketing, I did a lot of networking. I was amazed how many networking groups there are in Huddersfield alone. Now I am getting business through word-of-mouth recommendation. “I work mainly with local companies. I can’t believe how many
■■ Sam Willoughby likes the diversity of her work running 1017 Marketing
businesses there are on my doorstep. “I set out to help smaller businesses, whether that’s sole traders or firms employing 20 people, but I find I can also offer services to larger companies that have established marketing teams but need someone to support them on special projects.” And Sam hasn’t completely abandoned the world of hydraulics. “Just before setting up 1017 I met the chief executive of the British Fluid Power Association, which represents hydraulics and pneumatics companies. “Now I am a strategic alliance partner and through that I’m working for a hydraulics firm in Norfolk.” Says Sam: “My first client was a physiotherapist and now I’m working for clients ranging from architects, butchers and children’s nurseries. “There are some amazing businesses, but it is frustrating that they have all these great ideas but they don’t have the time to action anything because they have to look after all sorts of other issues. I will never know their business as well as they do, but what I can do is provide a fresh pair of eyes.” Sam has sound advice for business owners who want to revitalise their brand and get their message out to a wider public. “To a lot of businesses, I say: ‘Step back a little bit and do things in bite-sized chunks.” Sam says she likes the diversity of her work and the flexibility afforded by running her own business, but admits selfemployment can be a lonely place. “I have a really supportive family, but I also have to be able to motivate myself,” she says. “Luckily, I’m quite good at that!” When not running her business, Sam likes “doing all the nice things that everyone likes to do, such as holidays”. She says: “I know it’s a cliche, but I genuinely love spending time with family and friends.” Yes, home is definitely where the heart is for Sam.
Sam Willoughby Role: Owner Age: 40 Family: Married to Justin with son Josh, three Holidays: We go to Majorca with my family and enjoy Portugal for swimming and the beach Car: Audi First job: I used to work on the perfume counter at Peter’s in King Street. I worked there every summer from school to university Best thing about the job? I enjoy the diversity and flexibility and helping small businesses improve their profile Worst thing about the job? The fact that I’m responsible for everything – including all the admin, paperwork and financial side of things Business tip: Be confident and focus on what you do well. Be mindful of your weaknesses and don’t think that you have to do everything
1017 Marketing Work: Marketing services for smaller businesses Site: Caldercliffe Road, Taylor Hill Phone: 07713 161994 Email: hello@1017marketing.com Web: www.1017marketing.com
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TUESDAY, JUNE 16, 2015 HUDDERSFIELD EXAMINER
KIRKLEES BUSINESS NEWS
local
Capital plan for those selling a business A MAJOR concern surrounding the sale of a business is the amount of Capital Gains Tax (CGT) that will be incurred. Generally, gains are subject to CGT at 18% or 28% depending on whether the individual is a basic or higher rate taxpayer. For business owners making qualifying gains, Entrepreneurs’ Relief is available which taxes business gains at a significantly lower rate of 10%. This rate applies to gains up to a total of £10m. Qualifying gains include the disposal of the whole or part of a business carried on by an individual or partnership member, or shares in an unquoted trading company. The majority of business sales are conducted via a limited company and Entrepreneurs’ Relief will be available on the sale of the shares in an individual’s personal company, if throughout a period of 12 months prior to the disposal the company
TAX TALK Colin Barratt carried on a qualifying trade and the individual owned at least 5% of the ordinary share capital and voting rights and they were an officer or employee of the company. Where practical, action needs to be taken for those directors/employees affected to ensure that they have this minimum shareholding 12 months before disposal. In the case of husband and wife shareholders, this could be achieved by transferring ordinary
shares to the minority shareholding spouse giving them the required 5%. If it is too late transfer to the one who already has 5%. Such inter-spouse transfers are exempt from CGT. Entrepreneurs’ Relief is also available in respect of the sale of shares made by key employees, who have played a vital role in the growth of the company, where those shares were acquired on the exercise of an option granted under the tax-favoured Enter-
Colin Barratt is tax partner at Wheawill and Sudworth chartered accountants, Huddersfield
prise Management Incentive Scheme (EMI), as long as the grant of the option takes place at least 12 months before the shares are sold. The minimum 5% shareholding requirement does not apply to these particular EMI shares. It is common for business premises to be owned personally by shareholders or partners in a trading partnership to protect the asset in case of business difficulties. The 10% tax rate can apply to gains made on the disposal of such assets but, for sales made on or after March 18, 2015, this rate will only be available if the disposal is connected with a disposal of at least a 5% shareholding in a trading company or a 5% share in the partnership itself. Entrepreneurs Relief will, however, be restricted to the extent that any rent has been paid for the use of the premises since April 6, 2008. Consideration needs to be given as to wheth-
er rents should cease in order to secure some measure of Entrepreneurs’ Relief against the individual’s need for rental income to pay interest on any mortgage taken out to buy the property. The entitlement to Entrepreneurs’ Relief could also be jeopardised if a trading company holds substantial investment assets or undertakes substantial non-business activities. Consideration and timely planning needs to be given to demerging nonbusiness assets/activities in order to protect the company’s status as a trading company as well as protecting the non-business assets. Proactive steps may need to be taken prior to the last 12 months before a business is sold in order to secure this valuable relief. Otherwise, business disposals could be taxed at rates applying to non-business assets increasing the CGT liability by 180% (from 10% to 28%).
Still on the right road ■■ Ken Sims (above, right) hands over the keys to 12 Daihatsu vehicles supplied by Hepworth Motor Co Ltd to Goodall’s Caravans and below (left) celebrates with his team after winning a dealership award from Daihatsu
They’ve helped generations of families take to the roads. Now Holmfirth-based Hepworth Motor Co is celebrating 50 years in business. The firm was launched by Ken and Pauline Sims in 1965 in Hepworth – with the village giving the company its name. Ken had left school at 15 to pursue a vehicle technician apprenticeships with Rolls Royce and Silkoline Oils in Belper, Derbyshire – with a slight interruption for National Service, when Ken was drafted into the Royal Electrical Mechanical Engineers. Ken moved to Huddersfield with his parents when his father took charge of the Newton Cinema chain. Ken completed his training at Hebble Auto Volkwagen and at Huddersfield Technical College while Pauline was a shorthand typist working as secretary to the managing directors of William Oddy’s in Lockwood and later at Dobroyd Mills, Jackson Bridge. After setting up Hepworth Motor Co, Ken expanded the
■■ Ken Sims (left) with (from left) Pauline Sims, Jacquie Barnett, Matthew Barnett and Garry Gibbison at the Holmfirth premises of Hepworth Motor Co
premises by acquiring the old mill next door and converting the building into a paint and bodyshop – doing most of the building and conversion work himself. The firm’s first franchise was
with French manufacturer Simca in 1968 when a new saloon cost £830. When Simca was integrated into the Chrysler network, Hepworth Motor Co switched to American Motors cars and jeep
4x4s and later Skodas. Hepworth Motor Co expanded further in 1970 by acquiring the garage and showroom at Huddersfield Road, Holmfirth. After American Motors withdrew during the 1970s fuel crisis and Skoda was taken over by Volkswagen, Hepworth Motor Co was awarded the Daihatsu franchise in 1978 and remains a Daihatsu dealer to this day. In 2012, the company was the first in the UK to be awarded the Great Wall franchise fron China, selling 4x4s and double cab products. Over the next few years, Hepworth Motor Co sold a full range of models and cars and SUVs for the Chinese firm – one of the world’s fastest growing motor manufacturers operating in 120 countries around the world. Hepworth Motor Co remains a family business – Ken and Pauline are still active in the company while their eldest daughter Jacqueline is a director and her husband Matthew is workshop manager.
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TUESDAY, JUNE 16, 2015 HUDDERSFIELD EXAMINER
KIRKLEES BUSINESS NEWS
Exporters’ insight at network event FOUR successful Yorkshire exporters have been selected to speak at a major networking event. The four will speak on the theme “What I Wish I’d Known Before I Started Exporting” when they address Leeds City Region Enterprise Partnership’s We are International Export network event on June 25 at the offices of Addleshaw Goddard in Leeds. Speaking are Marc van der Voort, managing director of Industrial Textiles and Plastics Ltd at Easingwold; Mel Fairborn-Varley, international projects director at DWA Architects in York; Brian Farrell, logistics manager at Pace plc in Bradford: and Paul Walters, director of Lime Tree Europe in Halifax. Industrial Textiles and Plastics Ltd exports to Azerbaijan, China, Germany, India, Indonesia, Italy, Kazakhstan, Oman, Qatar, Turkey and UAE while DWA Architects has designed assisted-living schemes and over-60s apart-hotels in the Middle East. Lime Tree Europe has more than 40 years’ exporting and logistics experience in the electrical, engineering, nursery and toy industries in Europe, US and the Middle and Far East while set-top box manufacturer Pace Plc is global market leader, selling to Belgium, India, Israel, Kuwait, Malaysia, Mexico, Qatar, Saudi Arabia, Turkey, UAE and USA. For details of the event phone 0845 0347200 or visit www.weareinternational.co.uk
local
Sweet deal for cake company A SWEET deal with chocolates retailer Thorntons is on the cards for an award-winning Huddersfield cake maker. Allison Whitmarsh, who set up ProperMaid in 2008 to make tasty cakes with unusual flavours, had seen her business go from strength to strength – especially after getting the backing of Dragon’s Den panellist Deborah Meaden in 2012. The company, based at Heritage Exchange in Lindley, now delivers its innovative cakes to customers including Manchester Airport and Pret a Manger as well as delicatessens, garden centres and coffee shops. The Business Enterprise Fund (BEF) provided the means for ProperMaid to expand its manufacturing and storage facilities to meet the growing demand. Now Allison can take on the new opportunities her success has brought – and has plans to grab a bigger slice of the market. Projects include working with chocolatiers Thorntons to launch a cake at Christmas working with some of Thorntons’ ingredients. “It’s very tasty I must admit!” Allison said. The cake will stand out from its rivals, judging by Allison’s previous inventions, which include a dandelion and bur-
■■ Richard Greenwood, of Ovenu
Turning up the heat for Ovenu
■■ Allison Whitmarsh, of award-winning Lindley-based firm ProperMaid
dock cake as well as classics such as chocolate fudge brownies. ProperMaid has picked up rewards for its efforts, including winning the SME category in the Examiner Business Awards as well as featuring in Ideal Home magazine and the Guardian. ProperMaid’s success started with Allison’s passion for cookery. During an entrepreneurship module at Huddersfield University she decided to live the dream of running her own business.
“I realised there was a big gap in the market for home baking,” she said. Hits such as TV’s The Great British Bake off have also helped the business bloom. In July, Allison will be teaming up with BEF for a challenge that’s going to be no cake walk – conquering the Yorkshire Three Peaks in aid of the charity One In a Million by completing a 25-miles hike over the hills in under 12 hours.
Firms fail to take up R&D funding Fewer than one in six businesses in Yorkshire have taken advantage of government schemes to support innovation – despite more than half saying that they undertake some form of research and development (R&D). And less than a sixth have a dedicated R&D budget – meaning that firms in the region are failing to secure a potential financial windfall from the millions that go unclaimed each year in R&D tax relief. Figures from Yorkshire Bank show that only 21% of Yorkshire SMEs have correctly valued their non-physical assets – such as copyrights, franchises or brand reputation, which are often created through R&D activity. As a result, they are not gener-
ating growth opportunities – and are failing to take full advantage of government incentives to encourage R&D, which are worth up to £2bn a year in the UK. More than 13,000 SMEs and almost 2,300 large companies across the UK are already claiming £1.4bn in tax relief from HMRC. But in Yorkshire, only 15% of SMEs have accessed government R&D incentives and only 15% have a dedicated R&D budget – even though 54% claim to participate in R&D. Jumpstart, the company created to support UK firms make successful R&D tax relief claims, said Yorkshire and Humber accounts for 7.2% of all businesses in the UK private sector.
Since its launch in 2008, Jumpstart has successfully claimed £3,275,179 for businesses in the Yorkshire region – with an average initial benefit for companies of about £34,842. It has a client base of more than 500 companies across all regions of the UK and an annual business pipeline in excess of £10m. Simon Fisk, the firm’s business analyst in the North East of England, said: ““Many companies in the North East have made significant gains following successful applications to HMRC by Jumpstart, but many more could achieve returns which can often be game-changing for smaller innovative concerns.”
Grammar school’s marketing makeover A SCHOOL has been given a marketing makeover as it enters its 30th year as an independent education provider. Hipperholme Grammar School worked with Leeds marketing consultant Gemma Teed to refresh its brand identity and
create a revised marketing strategy. A new logo and coat of arms has been created along with a brand “bible” that will be used to ensure that all marketing communications from the school are consistent with the school’s ethos and history .
Brighouse-based Faith PR has also been appointed to support the school to help increase its presence on social media and deliver a marketing and communications schedule that includes PR, advertising and digital communications.
A THRIVING oven valeting firm has invested in its fleet after seeing demand for its services soar in the last year. Ovenu West Yorkshire has taken delivery of two new vans for its contractors, who serve Huddersfield, Halifax, Huddersfield, Bradford, Leeds and Wakefield – with the company taking 20% more bookings compared to the same period last year. Established in 2008, Ovenu Yorkshire employs four members of staff. It has averaged more than 2,000 oven valets a year since 2013 and in the final quarter of 2014,completed its 10,000th clean. Owner Richard Greenwood said: “With a growing economy and increased consumer confidence, this has benefited the business and has contributed to our growth. “It is continued investment in resources that has allowed Ovenu West Yorkshire to provide a first class service to our customers throughout the region. “I am excited with this latest phase of investment and promising business activity, which bodes well for the future.” Ovenu is a franchise network made up of more than 100 businesses throughout the UK. Rik Hellewell, managing director and founder of Ovenu, said: “It is great to see Richard’s business continue to thrive which has resulted in this latest investment. “I am delighted that he is experiencing significant growth, having followed Ovenu’s proven business model and I would like to wish him and his business all the best.” The Ovenu valeting process involves dismantling key components of an oven such as the door, interior panels, fan and shelves and placing them into design-registered tank equipment, which uses safe, non-caustic products to clean the oven parts. The whole process takes three to four hours and leaves the oven, hob and exterior in immaculate condition. Richard’s franchise was the quickest to 10,000 of all Ovenu franchises across the country. To celebrate, the former steel manufacturing chief executive carried out the 1,000th valet for free.
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HUDDERSFIELD EXAMINER TUESDAY, JUNE 16, 2015
KIRKLEES BUSINESS NEWS
Lettings experts offer their advice Current and potential landlords have been invited to a special event hosted by estate agency Reeds Rains. Advice from industry professionals will be available at the dedicated landlords’ event to be held from 10am to 2pm on Saturday, June 27, at the agency’s Market Place offices in Huddersfield and at Reeds Rains branches across Yorkshire. Staff will be on hand to explain the process of purchasing a buy-to-let property, provide tips on the best places to buy, what they think tenants are looking for from renting as well as the full range of Reeds Rains services available. Jamie Kennerdale, lettings manager at Huddersfield, said: “We are seeing more people come to the office with a real interest in buy-to-let property. Many are first-time landlords looking for advice and these events are the ideal opportunity to find out all the information needed to get started.”
Industry site sold Property agent Knight Frank advised on the purchase of a 145,000sq ft industrial site at Keighley Road, Halifax. The estate has been bought by Kent-based Wernick Group Ltd, which supplies modular buildings, portable cabins and temporary accommodation for sale or hire. The site will serve as the firm’s new regional depot. The sale price was not disclosed. Tom Lamb, industrial property specialist at Knight Frank in Leeds located the site for Wernick Group Ltd – having previously represented the sellers over Wernick’s purchase of an 135,000sq ft industrial site near York.
property
Booking in for energy advice Elland-based energy management specialist Orchard Energy has helped a family-run hotel chain save money on its energy bills. The group – which includes Waterfront Lodge and Prego at Brighouse, the Briar Court Hotel and Da Sandro’s at Birchencliffe as well as speciality food and drink supplier Continental Quattro Stagioni – has been a client of Orchard Energy for the last 10 years. By scouring the market, Orchard was able to identify a new contract 12 months in advance of renewal, with a rate 29.9% higher than the previous contract, meaning significant cost savings across all businesses and on bills going forward. Gareth Henderson,
Orchard Energy group managing director, said: “Our in depth knowledge of the energy market enables us to predict how it will change in the future. “This helps us forward plan for our clients and search for better contracts, so they don’t have to worry about renewing contracts when the time comes, in most cases, it has already been done for them.” Andy Cowling, finance director at Waterfront Lodge, said: “We really appreciate the level of dedication we get from Orchard. “We have put a lot of faith in them over the last 10 years in terms of our energy bills, which is why we trust their instinct and have signed a new contract so far in advance.”
■■ Gareth Henderson, of Orchard
London calls for furniture manufacturer A HOLME Valley furniture company is gearing up to open its second showroom – in London. Honley-based Distinctive Chesterfields will open the new showroom at Clapham Junction. Husband and wife team Steve and Claire Laidlaw, who founded the business in 2007, have already expanded it into America, Australia, South Korea, Japan and Sweden. Now the company is responding to strong demand from customers in the south of England to open the showrooom. The new premises – the work of Londonbased interiors experts – will stock everything from leather suites and sofas, to wingback chairs and footstools. Said Steve: “The launch of the new showroom has been the business’s key priority for some time. “We’re well aware of the demand for good quality, but equally great value chesterfields and we realise our West Yorkshire showroom is a little out of reach for London-based fans of the brand.” Steve, who employs a Yorkshire-based team of 20 upholsterers and a further eight office and showroom staff, said: “We can’t wait to meet everyone who’s planning to say hello during or after our launch and we’d be delighted to offer tempting launch day discounts to anyone interested in making a purchase.”
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TUESDAY, JUNE 16, 2015 HUDDERSFIELD EXAMINER
KIRKLEES BUSINESS NEWS
movers and shakers
Gathering to mark special anniversary By HENRYK ZIENTEK Business Reporter
Imran Alam
Technical consultancy role Imran Alam has been appointed as a technical consultant by Lindleybased Crest IT. Mr Alam, who is pictured (above, right) with Crest IT managing director Michael Branford, has more than six years of experience in desktop support. In his new role, he will focus on providing customers with support for Windows 7/8 and Microsoft Office. Mr Branford said: “Imran has joined us at an exciting time for the company as our client base and staff team are quickly growing. Natu-
rally, we want to offer our customers a full skill-set and Imran brings with him a wealth of experience for us to able to provide that.” Before joining Crest IT, Mr Alam, who has a BA (Hons) in Computing in Business, worked for Capita as part of its internal IT support team. Microsoft-certified Crest IT provides clients in Yorkshire and Lancashire with a range of services including IT support, maintenance and security, network design, strategy and project management.
Amber Daley
Apprentice is in the Pink Distribution firm The Pink Link Ltd has appointed Amber Daley as customer services trainee. Amber was successfully appointed as apprentice through the National Business College scheme after completing A levels in sociology, childcare and health and social. She will work closely with The Pink Link Ltd’s customer service team and gain valuable experience through working hands-on with customers and colleagues. The National Business College is a private training organisation based in Huddersfield. It specialises in businessrelated subjects and information technology – the main focus being
henryk.zientek@examiner.co.uk
A LAW firm has cause to celebrate. Chadwick Lawrence has marked the 10th anniversary of its Employer Support Protect (ESP) Scheme with members of the employment law team and representatives from its first ever client – cutting tool supplier Cutwel Ltd – gathering to celebrate a decade in business. Established in 2005, the firm’s employment department has delivered specialist employment law, health and safety and HR support to hundreds of businesses across the region ranging from small businesses to companies with more than 8,000 employees. The ESP team is made up of eight employment law experts who have developed significant relationships with prominent organisations such as Kwik-Fit, Huddersfield Town FC and Leeds Rhinos. The employment law department remains one of the biggest units within Chadwick Lawrence and contributes significantly to the overall income of the firm. In 2014, the department also launched My ESP, a fully interactive support service combining legal and commercial knowledge with a cutting edge, online app allowing businesses to manage their needs at the touch of a button. Associate Daniel Krigers, who started with Chadwick Lawrence in 2005 and has played a key role in the success of the employment law
■■ Celebrating 10 years of Chadwick Lawrence’s Employer Support Protect scheme are (back, from left) Carol Gledhill, Adele Whitehead, Nils O’Donoghue, Jack Oldroyd, Charlotte Ardron, Neil Wilson, Holly Butterworth, Sam Pawson, and Sarah Wood and (front) Paul Campbell, Paul Hawksworth and Daniel Krigers
department, said: “It is a fantastic achievement for the team to reach 10 years in business. Our success over the past 10 years is a result of gaining the trust of our clients and providing a professional, yet personal service. “The ability of the team to now deliver health and safety, litigation and bespoke HR services further strengthens the unique offering we give to our business clients.” Paul Hawksworth, managing director of Cleckheaton-based Cutwel Ltd, said: “As the
first subscribers to the ESP scheme, Chadwick Lawrence have become our trusted advisors and have come to understand all aspects of our business. “ Neil Wilson, managing partner at Chadwick Lawrence, said: “As a firm we are extremely proud to celebrate 10 years of business for ESP. “The long term success is a testament to the team we have and the value they add to our clients. Here’s to another successful decade.”
Savile Row style is talk of the Town to help young people find jobs and gain relevant qualifications leading to intermediate and advanced apprenticeships frameworks. Vicki Davenport, sales and commercial director at The Pink Link Ltd, based at Oakes in Huddersfield, said: “We are very pleased to welcome Amber to the team.”
Firms focus on ‘green’ issues Elland-based Marshalls plc and Camira, of Mirfield and Meltham, will explain how tackling environmental issues has boosted their businesses at this week’s Eco Fair. The event, run by West & North Yorkshire Chamber, takes place from 8.30am to 4pm on Thursday at the Centenary Pavilion, Leeds. and includes seminars on waste, environmental management, energy and reducing costs as well as an exhibition showcasing energy and renewables, material and water together with property and people. Visit www.eco-fair.co.uk
It’s a tailor-made partnership. Huddersfield-based bespoke tailor Owen Scott is the latest company to become an official commercial partner of Huddersfield Town in the run-up to the 2015-16 Championship campaign. Owen Scott, which has stores at King Street, Leeds and London’s upmarket Savile Row, specialises in bespoke tailoring and alterations as well as offering men’s accessories, a traditional in-store barber and wedding wear hire. Commenting on the tie-up with Town, owner Scott Hufton said: “I always wanted to become a club partner as it is a great family and business-focused club.
“Huddersfield Town works closely with the community and has fantastic people doing the right thing, which is an added bonus. The staff are all very welcoming and I am looking forward to working with them next season.” Town commercial director Sean Jarvis said: “We are delighted that Owen Scott is now a partner of the club. “This is a local business that has grown year by year with very ambitious owners who are passionate about what they do and where they come from. We are all looking forward to working with them.”
■■ John Williams (left) of Town with (from left) Andy Littlewood and Scott Hufton, of Owen Scott, and Town commercial director Sean Jarvis with a specially-made suit featuring a blue and white striped lining
Arkoni appoints new general manager Brighouse-based fire-rated glazing and metalworking firm Arkoni has appointed Bob McMann as general manager. Mr McMann (pictured), who lives in Huddersfield, takes responsibility for reviewing and improving the operational side of the rapidly growing business with the aim of increasing profitability and departmental efficiency.
Arkoni founder and managing director Mark Prentice said: “We’re delighted to welcome Bob on board. “With 35 years of experience within the glazing and construction facade sectors, he’ll bring a wealth of knowledge to our operations.” Mr McMann said: “The fast growth of Arkoni in recent years has created issues that need to be
addressed such as the increase in product lines and the requirement to provide the correct training and resourcing for our workforce.” Founded in 1991, Arkoni makes metalwork features and fire-rated glazing systems for the UK construction industry. It employs 60 full time staff and is expected to post a 23% increase in turnover to £6.5m for 2014/15.