BUSINESS
ECHO
★★★★
Christmas comes early in Wavertree
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Start Survive Thrive
Growing sales with the personal touch PAGES4&5
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THE latest quarterly networking lunch for the construction and property sector group Exchange takes place on June 9, at The Mandarin restaurant in Liverpool’s Victoria Street, from 12.30pm to 2pm.
Carlsberg maintains LFC links LIVERPOOL brand agency Uniform has delivered the latest project in its work on repositioning the brand of Carlsberg. The Danish brewer sponsored Liverpool FC for 18 years and wants to retain its links with Anfield. So Uniform flew in Japanese graffiti artist Dragon 76 for two days to create a mural touching on every stage of a fan’s matchday experience, while incorporating images of club legends Kenny Dalglish, Ian Rush and Steven Gerrard. Uniform design director Tim Sharp said the 5m x 2.5m mural will be installed in the club’s Carlsberg Lounge. Footage of Dragon 76’s challenge is on the Carlsberg website.
UBIQUITY PR is ● staging its latest Fish! networking event
on June 9, at Bold Street’s The Italian Club, from 5.30pm to 8pm, where Cayrus Performance Consulting will make a presentation.
●
LIVERPOOL Chamber of Commerce hosts a “60 Really Useful Minutes” seminar on June 10, from 9am to 10am, on how to reduce energy bills. David Hunt from Eco-Environments will demonstrate how “feed in tariffs” work and how business can get maximum benefit from investing in green technologies. Book online at Liverpool chamber.org.uk
PHYSICAL GRAFFITI: Japanese graffiti artist Dragon 76 pictured during his two-day artistic challenge for Carlsberg
SPACE IS ACE FOR FLEDGLING FIRMS EXCLUSIVE
By TONY McDONOUGH Deputy Business Editor
A NEW serviced office facility will boost small and fledgling businesses in Knowsley. Serviced offices are available for the first time at Knowsley Industrial Park (KIP), near Kirkby. Knowsley Development Trust (KDT) has launched the development at its North Mersey Business Centre operation, in Woodward Road, situated in the park. KIP is one of the biggest of its kind in Europe.
Trust offering serviced offices at business park
The furnished offices – from 130 sq ft to 200 sq ft – are designed for up to two or four people and come complete with personalised telephone number, broadband and a reception service. Tenants also benefit from 24-hour access and free parking.
KDT says a major advantage for occupiers is the availability of free on-site business support. Over the last 21 years, the organisation has advised over 2,000 businesses who have gone on to create more than 5,000 jobs. As well as the serviced offices, KDT has also introduced a “virtual office product” at the centre. This includes a registered postal address at the Earl of Derby Complex, mail redirection, personalised telephone number, phone answering and a reception service. A range of meeting rooms are also available for hire and shared office space can be rented on a hot desk basis as required.
KDT chief executive Steve Dumbell said: “Our aim in launching these products for micro companies is to be able to cater for businesses at every stage in their development. “It will now be feasible for a new entrepreneur to start here with a virtual office, move on to a serviced office and then in time rent one of our larger suites as they expand.” North Mersey Business Centre is currently home to around 100 companies employing more than 750 people. The success of the scheme has resulted in KDT winning a string of major awards, most notably the prestigious Queen’s Award for Sustainable Development in 2009.
LINK Direct, the ● Birkenhead door drop marketing firm,
won the Direct Marketing Association Northern Lights Innovation Award in Leeds for its new Smart-Drop “mapping” software which helps clients target specific demographics of people with unaddressed mail with greater accuracy.
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CHAMPION Insurance Brokers, with offices in Southport and Chester specialising in commercial and corporate insurance for the small firms market, has celebrated its first birthday with two new recruits and by hitting annual targets within 10 months. Avril Parry has joined as claims manager and Liam Maloney is a new consultant to the team.
MIDLANDS-based engineering firm ● Laser Process has
appointed Craig Dwyer as its first dedicated sales director with responsibility for the north west region.
2 NEWS
Wednesday, June 1, 2011
★★★★
BUSINESS CHUMS REPORTS STEADY TRADING
HOME shopping firm Chums consolidated previous sales increases last year during a solid year’s trading. The Knowsley-based firm saw turnover edge up 0.3% to £27.9m in 2010, which followed increases of 13% and 10% in the previous two years. Pre-tax profits were much higher, up £1.82m to £1.95m. However, because of the substantial payments to directors the company’s profitability is better measured by stripping out bonuses. Directors’ remuneration last year was £700,000, down from £2.4m. In accounts filed at Companies House, managing director Graham Rubin said: “The final results for the year are significantly influenced by the level of remuneration paid to the directors in the form of bonuses. Profit on ordinary activities before taxation and bonuses stood at £2.7m.” That compared with £2.8m in 2009 and £3.2m in the previous year, reflecting competition within its sector. Cash balances remain strong, at £3.7m at the year end, while shareholders’ funds rose to £1.78m. Chums employs 160 staff and is based at the Knowsley Business Park. Annual rent of £245,000 was paid to the Graham Rubin Pension Scheme.
EATONFIELD SUSPENDED
BELEAGUERED Cheshire property group Eatonfield yesterday suspended its shares on the Alternative Investment Market (AIM) after it depleted its working capital funding. It is the latest move by the Tarporley firm that has been in dire straits for more than two years as asset values fell and cash evaporated. The shares suspension follows the collapse of land sale talks last week.
SMALL
BUSINESS of the Week
J
UST off Liverpool’s Old Hall Street the crisp, white snow lay thick and even and the boughs of the towering Christmas tree groaned under the weight of dazzling decorations. Meanwhile, the nearby business district basked in early summer sunshine, oblivious to the winter wonderland in Edmund Street’s Nations House. Sarah and Nick Bolton had worked their magic once more to showcase their Christmas Decorators business which was created in the exclusive US ski resort of Aspen, Colorado, and is now developing into a fast-expanding franchise. What began as a distraction for Sarah, 37, while Nick, 38, ran his snowboarding business is now a £500,000 turnover venture. Back in 1994 Nick had worked behind bars “throwing bottles around” but was desperate to do something he enjoyed before “getting into the rat race”. He was one of the first snowboarders in the UK and decided to teach the fast-emerging sport to beginners. So, thinking big, he headed for Aspen, the winter playground of the rich and famous, where anyone who is anyone in Hollywood has a home. “A couple of mates were going to be my business partners, but when it came to the crunch and getting on the plane they backed out. So I thought, ‘sod you all, I’ll do it on my own’,” he said. He rented an eight-bedroom lodge and in the first year three UK TV crews had flown out to feature his Rocky Mountain Snowboard Tours. “Back then one in 100 people on the slopes were snowboarders, now it’s more like 50:50,” he added. By then Nick’s girlfriend Sarah had quit her primary school teacher job and joined him. He said: “Sarah hates snow and skiing and wanted to do something on her own, so she started decorating some of the lodges we ran. “We have both always loved Christmas and she made sure our lodges and restaurant looked really festive at Christmas time. People asked us who did the lodges.” Sarah had always had a passion for design and had done an art degree and interior design in Birmingham. She said: “I was a teacher, but was also the art and display coordinator in the school.” The turning point came one Christmas when a local celeb’s pipes burst and she decamped to a nearby hotel. Sarah and Nick offered to decorate her suite and did such a good
Christmas every day in a little corner of Wavertree Neil Hodgson celebrates the festive season early with the Christmas Decorators job that platinum-selling songstress Mariah Carey stayed for three weeks, even though plumbers had finished their repairs. Word spread around Aspen’s showbiz community and the following year Sarah and Nick were decorating for the likes of Goldie Hawn and Kurt Russell, Kevin Costner and Jack Nicholson. But after 12 years in Aspen their first youngster was approaching school age. Nick said: “We had to decide where he was going to school, so we decided that with mine and
Sarah’s mum and dad missing their grandkids, we would return to Woolton. “It was 2005 and we were at a loose end and thought, let’s see if the Brits go for this.” They started Christmas Decorators from their living room floor as a “hobby business” and word soon spread around the local footballer fraternity. “We decorated for Wayne and Coleen Rooney, and Phil and Julie Neville,” said Nick.
Then, X-Factor judge Sharon Osborne got in touch and Sarah and Nick had broken into the UK showbiz circuit. Sarah said: “Sharon’s was the big one. It was all traditional and lights and lots of outdoor work. It was great.” It also led to an introduction to Elton John, who had seen their work at the Osborne’s. Nick said: “Sarah doesn’t get starstruck but she was quite giddy when she rang me from the front path of Elton John’s house.” She added: “I was like a kid in a candy shop at Elton’s. They said they would bear us in mind this year.” After a successful first year in the UK the couple have now extended the business model to include commercial clients, with Liverpool’s Hard Days Night Hotel among the first. Nick said: “They contacted us and said they wanted New York in Liverpool for Christmas.”
Former Royal Mail boss appointed chairman at Pace SET-TOP BOX maker Pace has turned to former Royal Mail chairman Allan Leighton to help turn around its ailing fortunes. Mr Leighton, who is also currently deputy chairman of department store Selfridges and chairman of budget clothing chain Peacocks, will take over from current
chairman Mike McTighe in the summer. His appointment follows a turbulent six months for the Yorkshire-based group, which makes satellite and cable TV boxes. In May, its shares tumbled after it warned profits this year would be well below market expectations at
between $150m and $170m (£97m to £110m) because of component supply problems related to the Japanese tsunami. Earlier in the year, Pace also revealed a major order from a US customer had been postponed until 2012. Mr Leighton said his task now was to help Pace develop as a “great technology
company”, but without the “bumps”. As part of the terms of his appointment, he has agreed to buy £200,000 worth of Pace shares. He has also been granted options over a further 600,000 shares at prices of 145p and 190p and which depend on Pace’s performance over the next four years.
Pace, which has its head office in Saltaire, West Yorkshire, employs around 1,200 staff in countries including the US, India and China. Mr McTighe, who has been on the Pace board for ten years and chairman for the past five, said Pace is well positioned for the future.
★★★★
Wednesday, June 1, 2011
EARLY CHRISTMAS: Nick and Sarah Bolton in the Christmas Decorators showroom in Liverpool
support of a 6,000 sq ft warehouse in Wavertree employing six staff to store and supply decorations, leading to more than 150 seasonal jobs for decorators. Nick said: “Christmas doesn’t just happen. I have spent the past four weeks in May in back-to-back meetings with hotels, restaurants, estate management companies and our franchisees.” He will also fly to China twice a year to visit factories making their decorations and to carry out quality control checks before they are shipped. Their big lines this year are massive, eye-catching spheres perfect for shopping centre atriums and a device to rotate huge Christmas trees, decked as only Christmas Decorators can. He said: “The way we decorate our trees is incredibly sumptuous. “Not much of the tree is visible and there’s lots of ribbon and glass baubles.” The firm takes the pain out of Christmas, he added, saying: “We can save companies and people money because we are cheaper than doing it yourself. We rent Christmas to people, which is cheaper than going to B&Q and buying it yourself.” Sarah said the job satisfaction is fabulous: “But it’s really sad when you have to take it all down.”
IMPORTER PLANS TO EXPAND
A COMPANY with established trade links to the manufacturing heartland of China has opened a new warehouse and distribution centre at Bromborough, Wirral. Importer and wholesaler Empire Supplies is looking to grow its business from a 3,421 sq ft unit at The Old Hall Estate, which is owned and managed by London and Cambridge Properties (LCP). Empire Supplies works on behalf of clients to source and import products ranging from household and garden furniture to bathroom and kitchen equipment and commercial catering equipment from China. The new base will enable it to show what it can provide as well as storing and distributing goods. Robert Kelly, who set up the company with Paul Smith, is based in China’s Guangzhou province where Empire Supplies has an office and warehouse. Managing director Paul explained: “We can source pretty much anything. “Our links with reliable suppliers means we can help businesses here to get the goods they need at the right price.”
Do you want to be our Business of the Week? Contact Neil Hodgson 0151 472 2451 or email neil.hodgson @liverpool.com
Another prestigious commission cemented their standing in the UK hotels sector after they were asked to dress the entrance to London’s famous Claridge’s hotel. Nick said: “That was probably our most exciting commercial client. Everything we do is tasteful. We don’t do inflatable Santas.” Their special touch is now so popular that the couple are recruiting franchisees. Nick explained: “The problem for us was one day we would be in Edinburgh and the next in London, and you can’t run a business like that. That’s why I believe franchising is the way forward. “When it comes to decorating, it is all local staff and if there’s a problem we can be there in 10 minutes.” The first franchisee was recruited in Eastbourne, Sussex, in 2007 and now there are 16, with another 10 lined up. Nick said: “We have to give them training in two weeks that we learned in 10 years. The franchisees keep us busy all year round because it is important that every franchise is able to deliver the same quality that we do.” Development of the franchisee network will be measured, with 20 in place by the end of the year, but ultimately the couple have identified 54 potential UK territories over the next two years. The all-year-round nature of the Christmas business requires the
NEWS 3
FESTIVE: Father Christmas is a familiar sight all year round for the Boltons
COOKER FIRM’S BBC TIE-UP
MERSEYSIDE cooking appliance brand Belling has clinched a deal to supply the BBC with kitchen appliances for three BBC Good Food Shows, as well as MasterChef Live, as it gears up to a year of celebrations to mark its 100th anniversary. Chefs including James Martin, Rachel Allen and Mary Berry will use its induction cookers at the shows, while MasterChef’s John Torode and Gregg Wallace – as well as this year’s winner, Tim Anderson – will re-create dishes on the firms appliances. The firm was established in the UK in 1912. Today, the brand is part of the wider Glen Dimplex group.
4 NEWS
Wednesday, June 1, 2011
★★★★
BUSINESS
BIG Export strength S puts sheet metal firm on growth curve INTERVIEW
Alex Turner talks to Eoghan McTiernan, MD of Haydock manufacturer HQC
OCIAL networking has always been an important event for Eoghan McTiernan. The managing director of Haydock manufacturer HQC displays the comfortable personal charm for which his native country, Ireland, is famous four. “We have always done social networking – gone out with the lads for a beer,” he said. “But social networking these days is without a beer.” The point he is making is about the importance of personal relationships, which can’t be achieved remotely. That is important in maintaining long-standing relationships with customers, which he says is based as much on the quality of the service as it is about the quality of the finished product. “Customer service is a human thing, it’s all about perception,” he said. “If they enjoy the relationship they don’t think too much about it. That’s built up over time. “We just get sales by reference because of our excellence. Jonny or Gunther will say ‘these are the guys you need’,” he said. “It’s because we provide them with such a good service. When they have a new design we make the samples. We are very close to their engineering teams, so we are the first port of call. “People always come back again, again and again because we are the ones that help them out.” Sheet metal manufacturer HQC, now in its 25th year, exists with a small customer base that gives it a wide reach. “We are a very international-looking company,” said Eoghan. “We export about 40% of what we do. “A large proportion of our growth this year has been with existing clients. They are all international companies – when people in Germany, France, wherever, start coming out of recession, they do too. “We did 25% year-on-year growth last year to this, and we are aiming for 25% growth this year.” That growth has enabled HQC to expand its workforce, adding 16 people to its workforce, which is now nearly 70-strong. The growth has come at an exciting time for the company. Earlier this year McTiernan led a management buyout (MBO) of the firm, along with finance director Sheila Bowden and operations director Peter O’Neale. The deal saw managing director Keith Parkes and investor Merseyside Special Investment Fund exit the business seven years after a previous MBO, when
NETWORKER: Eoghan McTiernan says forging relationships is key to future growth Picture GARETH JONES
McTiernan had first arrived in Haydock. “We need to be able to ensure all the investors that we can do it, so it is fantastic to be able to grow during the MBO,” he said. “Companies like this do MBOs every seven years or so – I won’t be here for 30 years, I will be here for,
say, 10. We generally breed the MBO teams from within. The only thing that really changes is the investors. “One of the things we have done differently this time around is we have used angel investors that are coming from the contract manufacturing background.”
‘Customer service is a human thing, it’s all about perception’
Eoghan is focused on growing the company – and its value – quickly, although he recognises it needs to run quite quickly just to keep pace with competition from the Far East. He said: “With MBOs in small companies like this, you only realise the value at the end. You may be able to pay dividends along the way but generally you realise it at the end. “We have got pretty good plans to expand what we have here and double the business in five years, that will bring its own benefits for
everyone. We have been growing at 25% so it’s not unachievable. “The biggest issue we have is low-cost countries stealing our business. For every one we win, we lose one. We have now got a partner in China, that helps us keep the business especially when you get to a certain volume.” The decision to work with, rather than in competition against, a Chinese manufacturer formed part of HQC’s low-cost strategy, which was developed after the company lost a hugely-important customer.
NEWS 5
Wednesday, June 1, 2011
★★★★
WINNING: HQC is thriving in its markets despite fierce competition from rivals overseas
ADVERTORIAL
cOnfIDEncE In yOuR cAsh fLOw By LEIGh TAyLOR Area director for Lloyds TSB Commercial in the North West
“The client was building, say, 100 pieces a month,” said McTiernan. “We helped them and set it all up here. “After a couple of years they got a big contract and it was up to 300 a week. Then the business got taken off us to China. “With it went all the other stuff – that customer had been 70% of our business, now it’s 0.5%. “We decided to hang on to the business we needed to offer something whether it’s a partner so we hang on to it all.” The partnership makes their
offer competitive but he recognises that they can still face a tough fight to keep hold of the high-volume work. “My next problem is this one,” he said, indicating another piece of shaped and sculpted metal. “It was 100 a month and now it’s 100 a week. But coming with it is all his other metalwork and we, possibly, will lose that. “At this stage we can offer them a Chinese alternative so at least we have something to offer, and if we don’t lose that main piece we won’t lose the rest of it.”
Unpredictable cash flow can be one of the most common barriers to growth. As raw material and product costs fluctuate and you strive to get paid on time by suppliers, confidence that you have access to funds is crucial to maintaining stability and achieving future success in your business. As well as approving eight out of 10 requests for loans and overdrafts*, Lloyds TSB Commercial also has a number of solutions designed to ease cashflow pressures and keep your finances fluid. Manufacturing – which still contributes an estimated £20 billion a year to the North West economy – is a sector where businesses simply cannot afford to see cash flow run dry. One option used by businesses facing this issue is factoring, or invoice discounting, which allows you to secure funds against the value of invoices – ideal when you know you have orders in the pipeline but need funding to pay for production. In many cases you can receive up to 90 per cent of the value of your invoices within 24 hours of raising them. A significant help when many customers are stretching payment terms to the limit. For businesses which have a solid base and have invested in infrastructure designed to help them compete and grow, asset finance may help. Offered by Lloyds TSB Commercial Finance – capital is released by borrowing against the value of your fixed assets, such as property and equipment. Of course, not all businesses own their premises or have the same tangible assets as manufacturers.
Managing stock levels and cash flow can be key to success The tourism sector, for example, boosts the North West economy by around £9 billion a year, much of it seasonal. This seasonality creates cash flow peaks and troughs, meaning that while significant costs such as marketing may need to be paid for in the ‘off season’, the bulk of income arrives in the peak holiday seasons, creating gaps in finances which firms have to bridge. When this kind of cash flow gap appears there is a different option for smaller amounts, where businesses might have a credit/debit facility with minimum monthly takings of £3,500. Companies in this position can take advantage of Lloyds TSB Cardnet’s partnership with Merchant Cash Express,
offering a business finance advance which gives smaller organisations access to an injection of cash when they need it most, without the need for additional security or approvals. However strong your cash flow feels now, you can never fully anticipate every issue which might disrupt it. Having a plan for which option suits you best if you do experience a shortfall can save valuable time and help you focus on keeping your business on track. For more information about how Lloyds TSB can work with you and your business, please contact your Relationship Manager or visit www.supportingbusiness. co.uk/lloyds
To find out about factoring or invoice discounting visit www. ltsbcf.co.uk Any property given as security which may include your home, may be repossessed if you do not keep up repayments on your mortgage or other debts secured on it. All lending is subject to a satisfactory credit assessment. Lloyds TSB Commercial is a trading name of Lloyds TSB Bank plc and Lloyds TSB Scotland plc and serves customers with an annual turnover of up to £15M. Authorised and regulated by the Financial Services Authority. We subscribe to The Lending Code; copies of the Code can be obtained from www.lending standardsboard.org.uk
6 NEWS
Wednesday, June 1, 2011
★★★★
BUSINESS
CITY’SCREATIVE
Alistair Houghton on plans to revive an overlooked part of Liverpool
OVERVIEW: The Baltic Triangle, as viewed from Elevator Studios. The warehouses in the centre of the picture are part of the Baltic Creative complex
FOCUS . . . on Liverpool’s Baltic Triangle
I
T’S HARD not to warm to a project that proudly hails itself as a “bonfire of old-school regeneration mantras”. And that’s how the latest manifesto for Liverpool’s Baltic Triangle area was launched to a crowd of creatives eager to hear how the overlooked semi-industrial landscape could be transformed into a creative “biosphere” to rival Salford’s MediaCity. A group of businesspeople who already work in the triangle have joined forces to write a manifesto for the area. They believe it has the potential to become a buzzing hub for the creative and digital sector, and could become a Merseyside equivalent to London’s Shoreditch or New York’s Meatpacking District. The Baltic Triangle stretches from Wapping to Parliament Street, Park Road and St James Street. Several creative enterprises have already set up in the area. The Elevator Studios complex in Parliament Street, for example, houses dozens of creative firms from designers to video game developers. Meanwhile plans have been unveiled for the second phase of Baltic Creative, the public sector-backed initiative to transform disused warehouse space into homes for small firms. The manifesto’s creators want the Baltic Triangle to become a “creative biosphere”. They want to see the area filled with creative and digital firms, large and small, all working with each other. But for it to become a real attraction for visitors, it needs more businesses to invest there. There may be many exciting businesses operating behind the scenes, but at street level the area still has many derelict sites and few obvious attractions for visitors. Those behind the manifesto believe it needs more shops, bars or restaurants to open at street level, filling some of the gaps in the landscape and making it a more welcoming place. Miles Falkingham, director of architecture practice Union North, is one of the team behind the manifesto. For the area’s regeneration to succeed, Falkingham believes, then it needs to be led by the private sector and by the creative firms that will define the Baltic Triangle’s
identity. He describes the Baltic approach as: “A bonfire of old-school regeneration mantras; a celebration of everything marginal, curious and inspired; a private sector led, bottom-up, grassroots, networking, matchmaking and freewheelin’ revolutionary manifesto for change.” For Falkingham, the strategy for the area is simple – get the creative companies in first, by offering them high-quality yet low-cost space, and regeneration will happen organically. “Fill the area with people and the rest will follow,” he said. “Fill the area with creative, industrious and pioneering people and the rest will follow sooner.” The manifesto team includes Chris Lee, of fashion firm Microbrands One, and Tim Speed, one of the brothers behind the £2m-plus Elevator Studios complex in Parliament Street. Lee came up with the biosphere concept, inspired by the changes he has seen in the Shoreditch, Hoxton and Spitalfields areas of London. Those East London areas were some
of London’s forgotten districts, but have been reborn as trendy areas housing shops, restaurants, artists and creatives. Baltic Creative is about to embark on its second phase of warehouse conversion, designed by Falkingham’s Union North. Baltic Creative manager Mark Lawler sees his complex as a campus where firms can work together. Lawler said: “We might have an architect next to a model maker next to an interior designer, and so on. The sector will benefit from these close links.” Mr Lawler is convinced the Baltic Triangle is on the up – and believes that will boost the economy of the whole city. “There’s a lot to be excited about,” he said. “Our second phase will be great. But it’s not just that – there are other projects happening here as well. “Two or three years down the line, we’ll see it as a place which is more obviously supporting the growth of the creative and digital sectors.”
Just across the road from Baltic Creative, the Elevator Studios complex stands as living proof that the creative biosphere idea can work. Tim and Paul Speed have converted a block of four Victorian warehouses in Parliament Street into a warren of offices and rehearsal spaces. As well as housing bands including The Wombats, Elevator is home to design agencies such as Milky Tea and several of the young video games firms that have sprung up in the wake of job losses at Sony and Bizarre Creations. Tim Speed is proud several of his tenants have started working together. “These were key warehouses,” he said. “They would have been full of exotic goods, and things like tobacco, cotton, and coffee. Now they’re full of ideas. We’ve brought them back into operation in a really interesting way. “What we provide is an excellent and a cheap space. It’s a creative space. It’s a catalyst for the regeneration of this area.”
Gecko climbs into Triangle GECKO DESIGN, run by husband and wife team Karen and Christopher Moss, will move into the Baltic Creative complex on Friday. The company was founded a year ago to offer creative services from web deign and hosting to branding and signage. Graphic designer Karen currently works from home in Bootle while web specialist Chris works from a shared office near Baltic Creative. Karen believes that being based near the Baltic Triangle’s other creative firms will boost her business. She said: “I feel there are so many people around there, and so many
PLAN
MONEY MATTERS
HALF of people think Britain will become a nation of renters within a generation as young people give up on the dream of home ownership, a study has suggested. Around 77% of people who have not yet got on to the property ladder said they still aspired to buying their own home, but 64% said they thought they had no prospect of ever doing so, according to high street bank Halifax.
NEWS 7
Wednesday, June 1, 2011
★★★★
Instead, 46% of 20 to 45-year-olds said they thought the country was becoming more like Europe, where renting is seen as the norm, and Britain would be a nation of renters within a generation. The perception that banks are not lending was seen as one of the biggest problems, with 84% of potential first-time buyers
with NICKY BURRIDGE, personal finance correspondent
saying banks did not want to advance them money and would find excuses to turn them down. At the same time, 92% of people said they thought it was hard for first-time buyers to get a mortgage, 60% of whom thought it was either very hard or virtually impossible. The large deposits currently required were
seen as a further barrier, with only 5% of people saying they were making sacrifices to save for a deposit, while 95% said they either did not have enough spare cash to do so, were not interested in setting aside money or had tried to do so but failed. A further 61% of potential buyers also said they were put off getting on to the property ladder by the stress involved in applying for a mortgage.
ADVERTORIAL
cOnfIDEncE In yOuR cAsh fLOw By LEIGh TAyLOR Area director for Lloyds TSB Commercial in the North West
GROWTH PLANS: Mark Lawler of Baltic Creative
NEW HOME: Karen and Christopher Moss are moving Gecko Design to the Baltic Triangle connections to be made. Everywhere seems to be buzzing. “It just seems creative. There’s so many arty people round there. We want to be able to bounce off other creative people.
“It’s really busy. We’re working 14-hour days, seven days a week. “Hopefully, this move into Baltic Creative will be a step up for us and we can get a bigger office when the new building is complete.”
Unpredictable cash flow can be one of the most common barriers to growth. As raw material and product costs fluctuate and you strive to get paid on time by suppliers, confidence that you have access to funds is crucial to maintaining stability and achieving future success in your business. As well as approving eight out of 10 requests for loans and overdrafts*, Lloyds TSB Commercial also has a number of solutions designed to ease cashflow pressures and keep your finances fluid. Manufacturing – which still contributes an estimated £20 billion a year to the North West economy – is a sector where businesses simply cannot afford to see cash flow run dry. One option used by businesses facing this issue is factoring, or invoice discounting, which allows you to secure funds against the value of invoices – ideal when you know you have orders in the pipeline but need funding to pay for production. In many cases you can receive up to 90 per cent of the value of your invoices within 24 hours of raising them. A significant help when many customers are stretching payment terms to the limit. For businesses which have a solid base and have invested in infrastructure designed to help them compete and grow, asset finance may help. Offered by Lloyds TSB Commercial Finance – capital is released by borrowing against the value of your fixed assets, such as property and equipment. Of course, not all businesses own their premises or have the same tangible assets as manufacturers.
Managing stock levels and cash flow can be key to success The tourism sector, for example, boosts the North West economy by around £9 billion a year, much of it seasonal. This seasonality creates cash flow peaks and troughs, meaning that while significant costs such as marketing may need to be paid for in the ‘off season’, the bulk of income arrives in the peak holiday seasons, creating gaps in finances which firms have to bridge. When this kind of cash flow gap appears there is a different option for smaller amounts, where businesses might have a credit/debit facility with minimum monthly takings of £3,500. Companies in this position can take advantage of Lloyds TSB Cardnet’s partnership with Merchant Cash Express,
offering a business finance advance which gives smaller organisations access to an injection of cash when they need it most, without the need for additional security or approvals. However strong your cash flow feels now, you can never fully anticipate every issue which might disrupt it. Having a plan for which option suits you best if you do experience a shortfall can save valuable time and help you focus on keeping your business on track. For more information about how Lloyds TSB can work with you and your business, please contact your Relationship Manager or visit www.supportingbusiness. co.uk/lloyds
To find out about factoring or invoice discounting visit www. ltsbcf.co.uk Any property given as security which may include your home, may be repossessed if you do not keep up repayments on your mortgage or other debts secured on it. All lending is subject to a satisfactory credit assessment. Lloyds TSB Commercial is a trading name of Lloyds TSB Bank plc and Lloyds TSB Scotland plc and serves customers with an annual turnover of up to £15M. Authorised and regulated by the Financial Services Authority. We subscribe to The Lending Code; copies of the Code can be obtained from www.lending standardsboard.org.uk
8 NEWS
Wednesday, June 1, 2011
★★★★
Business to Business
BUSINESS
HOW TO NET NEW OPPORTUNITIES
Commercial Property
For Sale On behalf of the LPA Receivers
Former NurSiNg Home / DevelopmeNt opportuNity 4 lorNe roaD oXtoN BirkeNHeaD For further information contact Hannah Quinn or robert Deacon
Business For Rent WINE BAR LEASE FOR SALE Prime location, Aigburth Rd, L17. Current trading Ingoing £15,000. Rent £1500pcm Call 0151 920 9999 or 07900 424441 THE GEORGE PUB TO LET Breck Road, Anfield, L4. Prime Location − Currently Trading Rent: £500 per week Call 0151 920 9999 or 07900 424441
SHOP With permission for hot takeaway food. Aigburth, very busy rd £200pw. 07938 877632
RESTAURANT/BAR L7 New refurb, 34 covers. Equipped & ready to trade 07763 400728 ADVANCED CLUTCH GARAGE Bedford Rd Bootle £300pw 07780 009537 KING HARRY PUB + B&B. £3,000pcm 07577 626321
Industrial Property UNITS TO LET Bootle Area 5,000−15,000 sqft. Flexible terms 0151 486 0004
0161 831 3300 Business For Sale ALLERTON AREA − LARGE CONVENIENCE STORE / OFF LICENCE / 24 SEAT CAFE 4 bed luxury apartment. Huge potential. Reduced for quick sale £439,000. 07592 397518 OFF LICENCE & Convenience Store Woolton L25. Long lease, established business over 15 yrs 07730 565209 TRADITIONAL SWEET SHOP Kirkby inshops, gross profit £50,000pa. quick sale £10,000. 0151 545 3351
HAIR & BEAUTY SALON fully eqpd & 2 bed flat above. Freehold, Walton 07551 608925 RESTAURANT Heswall. Busy est restaurant £30,000. Good will & fix/fit 07776 152200 CITY CENTRE Newsagents for sale, cheap rent £500 per month. 07776 305336
Taxis/Cab & Plate NEW & USED CABS & P L A T E S finance arranged. 0151 922 3626
05 LONG COLLAR Over 25. 07787 178710 CITY NIGHT COLLAR 07789 884399 BOTANIC CARS Requires owner drivers 0151 220 2020
It pays to advertise in
Classified
Building Trade FRAMELINE TRADE SUPPLY COMPOSITE DOORS UPVC
WINDOWS, DOORS, CONSERVATORIES. 5 Day Turnaround Tel 0151 546 5577 Fax 0151 546 5588 ACCREDITED WITH BS7412 & BS7950
KITCHEN & BEDROOM FITTINGS from a hinge to a full kitchen/bedroom. 3D plans now available. Showroom & Trade Counter at 3 Rockley Street, Kirkdale, L4 0151−207 0008. www.brosna.co.uk
Business Opportunities TANNING AND BEAUTY SALON LEASE FOR SALE Great Georges Road, Waterloo, L22. Includes: Sunbeds, Salons equipment. Ingoing: £5,000 Rent: £500pcm. Call 0151 920 9999 or 07900 424441
LATE NIGHT OFF LICENSE T O L E T Prime Location on South Road, L22. Licensed until 12am Midnight. For all details Call 0151 920 9999 or 07900 424441
WISE WORDS: Business Networking International regional director Terry Hamill offers advice on how to make an impression
by NEIL HODGSON Industry Reporter NETWORKING is playing a bigger role in winning business for small firms still reeling from cutbacks and the impact of the downturn. Terry Hamill, regional director for Business Networking International which runs a series of events across the city offers his personal insight into how novices to networking can crack the schmoozing scene. “I believe every business, from the sole trader to the big city law firm, can reap a wealth of benefits from networking events that will help make your business very successful. Here are my top tips for successful networking:
‘Speed dating for businesses’ can win deals 1 Always be prepared. The best preparation for successful networking is to have the tools to network with you at all times – business cards and brochures. 2 Be proactive. A successful networker knows it pays to be proactive and to take a lead in any event, whether it’s networking, a business meeting or seminar or conference. Why not volunteer in a session or introduce yourself to those you are sitting by? You never know who you could end up
in conversation with. 3 Set goals. Many people are concerned about getting effective results from the time they spend networking and it helps to set an attainable goal for the number of people you will meet and talk with during an event – and don’t leave until you’ve done it. As your confidence grows you can make this goal increasingly ambitious. 4 Listen. It may sound strange but a good tip to remember is that a good networker has two ears and one mouth, so ask questions and listen to the other person before you start to talk about yourself and your own business. 5 Take the pressure off. If you are expecting to ‘close a deal’ every time you walk up to a potential client it is no wonder you might feel uncomfortable. Networking is
about developing relationships. Meeting people at events should be the beginning of the process, not the end of it. 6 Give. The best networkers believe in the ‘givers gain’ philosophy. What goes around comes around in the business world, and an effective networker should always be looking for how they can genuinely help others. 7 Don’t spread yourself too thinly. When you meet someone interesting it is natural to want to spend time chatting, but this can really limit your potential. Think of networking as speed dating for business people. You can set up a follow up for a later date. 8 Be true to your word. Contact each person you have met and make sure to fulfil any promises you have made.
Secured Mail wins backing for expansion LIVERPOOL postal operator Secured Mail has secured fresh private equity backing following the exit of previous investor, Aquarius Equity Partners. Aquarius, run by entrepreneur Steve Sealey, invested £1.6m in the business in 2008, taking a 50% stake.
At the time, Secured Mail was running out of cash and the investment proved to be a lifeline. Now Next Wave Partners has bought out the Aquarius stake for an undisclosed sum, and the firm is now looking at an expansion drive. Established in 2006, Secured Mail processes
millions of letters every night and is predicting a turnover of around £50m this year. Operating across the UK with well-known household brands among its clients, Secured Mail is one the UK’s largest postal businesses. Managing director Mark Bigley said: “We have
grown to become one of the largest postal providers in the country, as a result of our excellent quality of service and attention of detail. “Setting the business up in Liverpool, Secured Mail has a national reach with sites in London and a recently opened mail
hub in Warrington. “Further expansion is planned over the next 12 months. “The investment received from Next Wave will allow us to bring the next phase of our vision to life.” PKF and Hill Dickinson advised Secured Mail on the deal.
Commercial Premises
OFFICES TO LET
LIVERPOOL CITY CENTRE 750sqft & 1,300sqft respectively
For Further Details Please call 0151 521 3080 (Press Option 3)
INDUSTRIAL UNITS To Let. South L’pool 500 to 4000 sqft, monthly tenancy, competitive rents. From £50pw Tel: 0151 427 5051
AIGBURTH RDL17 split level shop. Roller shutters approx 40sq mtrs. £100pw excl. 0151 427 0367/ 07715 008846
FOR SALE Large empty shop unit in Knowsley. 15yr lease, with options. Busy parade of shops. Planning permission for hair salon, beauty & sunbeds. Call for details 07802 887588
OFFICE TO LET Knowsley Industrial Estate, 1st flr, s/c, brand new decor, 1500sqft, £400pcm 07572 956272
PRESCOT SHOPS/OFFICES 1 large £495pcm, & 1 small £275pcm. 2 months free rent Tel: 07710 815649
L7 SHOP/OFFICE Busy rd, any use, £100pw. Also L20 office, £90pw 07710 498311
KNOWSLEY IND EST 600sqft lock up unit 07587 130170 or 07572 956272
WELLINGTON RD L15 Variety of Industrial units available now 0151 227 2875
BUSINESS TO BUSINESS
A-L TEL: 0151 472 2746 K-Z TEL: 0151 472 2573
Appears every day in your