ISSUE 14 | AUTUMN 2017 RANDALL-PAYNE.CO.UK
Thinking to capitalise on
The acquisition process explained Officeworx acquire out of county
BUDGET DAY AWARDS SEASON
Best Client Project win for our team at British Accountancy Awards
Our predictions for 22 November
ACADEMIES
- TAX PAGE 7
Everything an academy needs to know
BUSINESS NEWS
GET TO GRIPS WITH GDPR REGULATION
INTRODUCING GAINS FUNDING FOR HIGH GROWTH SMES
OUR NEWS
DAY IN THE LIFE OF AN AUDIT TRAINEE
IN THE COMMUNITY SKYLIGHT9 WIN FOR WORK WITH HGT
WELCOME
Rob Stokes | Partner
MEET OUR PARTNERS Tim Watkins Managing Partner
Will Abbott Partner Specialism: Business Advisory
Welcome to the autumn edition of In Focus. It’s a time when all our teams are busy, from academy audits to preparation for the tax return deadline, while we eagerly await the news of budget changes. You’ll all know we will hear the inaugural Autumn Budget as the Chancellor delivers his budget statement on 22 November 2017. Annually, the budget announcement is widely anticipated by businesses but, following a period of austerity, it’s become an important focus for other sectors, too. Many more areas of the non-business community are finding themselves directly affected by the government budget, having to anticipate it and plan for changes. It’s truly becoming a budget for everyone. As our audit team, recently nominated for Audit Team of the Year in the British Accountancy Awards, gear up for academy audit season, the budget becomes particularly relevant. Academies, who are responsible for their own finances, are funded by the Department of Education so will be watching the announcement with interest. As it is for the business sector, there is increasing cost pressure on academy finances so budget announcements may have significant implications for them. As accountants and business advisers for profit/ non-profit businesses and private clients, we also wait eagerly for details of the budget and its financial impact. The Making Tax Digital deadline and its potential implications for the future shouldn’t be forgotten. This is going to be an important focus for us to make sure our clients are equipped and, as explained in the previous edition of In Focus, an easy step forward would be through the use of cloud accounting.
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Russ Byrd Partner Specialism: Audit Vicky Link Partner Specialism: Accountancy
As accountants and business advisors for profit/non-profit businesses and private clients, we also wait eagerly for details of the budget and its financial impact As the tax return submission of 31 January rapidly appears over the horizon, both the accounts and tax teams are also busy. Whatever changes are announced, all tax payers need to know how their profits or income generation is working for them throughout the year in order to plan for potential tax planning opportunities. Enjoy the advice and information contained in this edition. Please give us a call if you would like further information on anything included.
Rob Case Partner Specialism: Tax Rob Stokes Partner Specialism: Outsourcing Ollie Newbold Partner Specialism: Corporate Finance
For further information about any of the topics covered in this magazine, please contact Fiona Hughes, Marketing Manager: T: 01242 776000 E: fiona.hughes@randall-payne.co.uk @RandallPayne Randall & Payne LLP
In Focus is designed by Alias. T: 01242 235000 W: wearealias.com
CONTENTS
IN THIS ISSUE NEWS FOCUS | 04 — 05
P7 Predictions ahead of Budget Day
Client award win plus hot topics: cyber, GDPR and the Autumn Budget TIM’S VIEW | 06 What training means to Randall & Payne TAX | 07 Budget predictions – what we think we know ACADEMIES | 08 — 09 A tangled mix of funding, budgets and governance CORPORATE FINANCE | 10 — 11 An acquisition opportunity for Officeworx ACCOUNTANCY | 12 The importance of maintaining good records AUDIT | 13 Audit shouldn’t be a curse word BUSINESS ADVISORY | 14
P8 Focus on academies
GAINS business advisory funding now available IN THE COMMUNITY | 15 Local business charity awards and our fundraising efforts RANDALL & PAYNE NEWS | 16 — 17 A day in the life of an audit trainee, British Accountancy Awards and more GUEST ARTICLE | 18 Staying on top of EHS compliance management EVENTS | 19 Key accounting deadlines and an invitation to our upcoming events
P10 Reams of opportunity for Officeworx
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NEWS FOCUS
Glevum Security wins Business Award for CSR Last month saw the 20th Gloucestershire Business Awards where our highlight was Glevum Security winning the award for CSR! We have been proud headline sponsors of the Business Awards for the last six years and it remains a privilege to put something back into the business community. The event took place on 5 October at the Centaur, Cheltenham Racecourse, and was a glittering celebration of Gloucestershire’s business talent. Tim Watkins took great pleasure in announcing Glevum Windows as the winner of the Business of the Year category at the end of the night. But the highlight of the evening was the announcement that our client, Glevum Security Ltd, had won their category and we were thrilled to celebrate their success with them. Glevum Security won the CSR Award for their commitment to providing opportunities for people with learning difficulties and disabilities in the workplace. Steve Barnett, Joint MD, said “We were delighted to accept the award for CSR and would like to congratulate all finalists. What a great occasion to demonstrate the business success throughout the county. Thanks to Randall & Payne and all of the other businesses that believe in Gloucestershire and for supporting a great night.” A decade ago, Glevum were struggling to recruit staff from the local job centre and ended up working with them on a training programme for staff. This forged a mutually beneficial working relationship and, through working with other
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local organisations, led to assisting with finding employment for candidates with learning difficulties and disabilities. Glevum benefitted by employing the candidates and the candidates helped change the organisation’s mindset by demonstrating their abilities rather than their disabilities. Steve signed the Disability Confident Commitment to demonstrate this pledge, a government initiative to encourage employers to engage more with people with learning difficulties and disabilities. Steve’s work with the Gloucester MP and Gloucestershire County Council Forward Clubs as an employer ambassador involved monthly workshops to sharpen the employability skills of people with learning difficulties and disabilities to make them work ready. This programme was later taken to local schools where presentations were given to students, giving them confidence when applying for employment opportunities. The project has helped Glevum Security with their own recruitment issue while supporting the local community with employment opportunities. Their award entry demonstrated that CSR added value to their business in multiple ways: ›› Value Creation – the initiative showcases Glevum as a good employer through recruiting their staff for their abilities, not disabilities. A demand for a security course from Glevum’s Training
Ian Heather of HRML presents Steve Barnett and Mark Baker with their award.
Academy from across the security industry has also allowed them to forge good working relationships with other like-minded companies. ›› Risk Mitigation – CSR is not just a phrase at Glevum, it is the fabric of all their policies and procedures. They have ensured all their recruitment and training procedures are accessible to all ages and abilities and that procedures are regularly reviewed through internal and external audits to ensure they are meeting and exceeding their aims. ›› Brand Differentiation – the initiative has given them the opportunity to showcase their brand in the media, at events, and through their commitment to support the local community, not just by the quality of services delivered. Congratulations to Steve and all at Glevum Security.
Newly formed Autumn Budget is announced Replacing the two annual budget announcements, the Chancellor has set the date of 22 November for his inaugural Autumn Statement. Philip Hammond stated that this is a significant change to previously making announcements twice in a year.
CyNam Cheltenham Cyber Cheltenham is the biggest event in Gloucestershire dedicated to bringing the local cyber security and tech community together for presentations and networking. A not-for-profit entity based in the heart of the UK’s cyber security community in Cheltenham, CyNam’s aim is to harness, foster and enhance cyber talent in the county. Randall & Payne have sponsored the last two CyNam events and James Geary, our Corporate Tax Manager, was one of the speakers in September. He explained how R&D Tax Credits can help IT and cyber technology businesses to grow and fund the development of their unique offerings. The presentation also highlighted instances where the relief had helped employers hold onto their key developers in a tough recruitment market, as well as to maintain their competitiveness in a fast-moving industry. His talk used practical case studies to illustrate how the tax credits are much more accessible and wide-ranging than many people believe, and prompted several questions from the audience. The event attracted almost 200 attendees representing a broad crosssection of small, medium and large businesses, support providers, public sector representatives, investors and academics. All of the talks triggered plenty of questions and interest among the attendees. The next flagship event is in November. See cynam.org for more information.
We are pleased to confirm that we are not changing the successful format of Gloucestershire’s largest Budget Day networking event and are looking forward to hosting our annual Budget Day lunch at Kingsholm Rugby Club as usual, albeit in November not March! Over 100 business leaders attend this lunch to watch the Budget live after which they listen to and give their views on the announcements. Our experts in corporate and private tax, VAT, audit and business advisory are also on hand to offer their first thoughts on the impact of what has been announced. To find out how to attend, visit the Events page at randall-payne.co.uk/events
GDPR made easy The new GDPR regulations will be the biggest shake up of European privacy laws for 20 years with a marked change to sanctions. All organisations will have to be compliant and should start to make the changes now that are required to be in place by next May. We are holding a GDPR workshop here at Chargrove House on 16 November (9am to 11am). Circle2Success are bringing together Professor Richard Benham, who will provide insight into what’s coming up, a legal partner to guide us through the legal requirements, and Salpo Technologies to talk about software solutions. It’s free for our clients to attend – to find out more about booking, visit randall-payne.co.uk/events For more information about GDPR, visit the government website ico.org.uk
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TIM’S VIEW
Tim Watkins | Managing Partner
Training for the future Randall & Payne have always seen the value of good training and we continually invest in our team to ensure that they are able to achieve their potential. Traditionally we have supported both the Chartered and Certified qualifications and the Accounting Technician qualification and have had great success. The past few weeks have been no exception, with no fewer than five making it through their final exams and becoming Chartered or Certified Accountants.
We need to do far more than the traditional training as the marketplace changes, services change, and society changes Training represents a large cost for the firm. Not only do we train people for qualifications but we also provide training to make sure everyone keeps up to date with changes that are being made all the time in legislation and rules. It has also become obvious over recent years that we need to do far more than
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the traditional training as the marketplace changes, services change and society changes.
results. Internally, Will and Richard train key staff to recognise our clients’ business needs.
While encouraging training, there is also an awareness that although accountancy is a rewarding career, it can be highly stressful, and training and doing a full-time job can be extremely hard. Thanks to Jo Byrd, Clare and Charlotte, we achieved the Workplace Wellbeing Charter as a firm and I am proud that Jo and her team have followed this up with support for World Mental Health Day and the International Stress Awareness Day. The overall health and wellbeing of all of our team members is of paramount importance to us all.
Our accounts and outsourcing teams are now trained in many of the cloud accounting packages and are able to help with conversion to the cloud and day-to-day queries.
So what other training do we provide? We have people training for their Chartered Tax Adviser exams. These enable individuals to specialise in certain areas of tax, which includes VAT – essential given the complex rules. To supplement this our head of private client tax, Trish Clements, is now a qualified Society of Trust and Estate Practitioner (STEP). Few accountants are STEP qualified, which enables them to have a real understanding of estates, trusts and inheritance tax planning issues. We have Will Abbott and Richard Gray who are trained and qualified to provide business advisory services through our EPIC programme to challenge your thinking in order to deliver real
And Charlotte Gallagher, who supports Jo and Clare in our Admin team, has recently passed her Business Administration Level 2 Apprenticeship. That’s just the tip of the iceberg! Training to benefit our team means better help for our clients.
TAX
Rob Case | Partner
Budget predictions What we think we know As we prepare for Philip Hammond’s Autumn Budget statement in November, we make a few educated predictions on what could be in the speech and on the horizon for the year ahead. Things we know We know there are plans to increase the tax-free personal allowance to £12,500 by 2020 and also the Higher Rate Threshold to £50,000. We should expect the usual step changes to these thresholds. We also know that the tax-free dividend allowance of £5,000 is to be reduced to £2,000 from 6 April 2018, impacting a large number of owner-managed businesses. Corporation tax rates are set to reduce to 17% in 2020, so there is likely to be a confirmation of that policy. With Brexit, the government may not have much room to manoeuvre and given the Office of Tax Simplification is carrying out an in-depth review of VAT, there are unlikely to be any significant changes to that tax.
What might we see? Stamp Duty Land Tax (SDLT) It is feared that SDLT is acting as a major deterrent to home movers and putting pressure on the UK housing market. Although SDLT revenue has hit a record high, the numbers of property sales have plunged. Certain exemptions may be introduced to remove SDLT for older homeowners, which would encourage people to downsize and free up homes for younger families.
Pensions Given that the government was forced to maintain the state pension triple lock, there may be some changes to pension tax relief. Under the current system, relief is linked to the income tax rate of an individual. It is thought the government may move to a flat rate of around 33%– a change that would hit middle earners harder. Public sector pay cap On the basis that some of the public sector pay cap has already been lifted, could we see the cap lifted for others, too? Ministers may support a more staggered approach, prioritising areas such as nursing where there are staffing shortages. Contractors and the gig economy The changes to the IR35 rules put much more onus on the ultimate contractor to assess the tax position correctly where a subcontractor operates through a personal service company, where that body is a public sector organisation. It is expected that changes will be made to the private sector to follow this. Making Tax Digital While the implementation of MTD has been delayed until 2019 for VAT and “at least 2020” for other taxes, we can expect to see more about it.
Young people Given the success of the Labour party in canvassing young voters, it is likely that Philip Hammond will look to help young people. Apparently, the Chancellor has asked Conservative backbenchers for submissions on how to close the generational gap. Perhaps there will be a cap on the Student Loans Company loan interest percentage or an innovative tax break or financial incentive for this group of people? Whatever the outcome there will be some political motives, but it will still be difficult for the government to work towards balancing the books.
Bite-Sized Thinking ›› Join us at our Budget Day Lunch on 22 November – see our Events page for details. To find out more about any of the topics discussed in this article, visit randall-payne.co.uk
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ACADEMIES & EDUCATION
Rob Stokes | Partner
Academies: A tangled mix of funding, budgets and governance When academies were introduced, few would have predicted the level of regulation and complexity for this sector, which has resulted in numerous operational laws and regulations. As part of the process of becoming an academy, schools need to appoint auditors. Making the right choice can be all the difference to the support you receive throughout the year to help with the numerous operational reporting and financial regulations. Auditors are required for end-of-year reporting, to provide guidance through the conversion process, and offer advice throughout the operational year. However, a really good auditor will play a dual role: ›› Ensuring compliance with the multitude of laws and regulations; assisting the school finance team with the preparation of information required to complete returns, etc. ›› Education support for both the senior leadership and finance team, together with the board of governors, through information guides and seminars. Many governors may have been elected on the basis of a child at the school or putting something back into the community and weren’t fully prepared for what the role entailed. At Randall & Payne, our auditors don’t just carry out the compliance – we engage with the academy team, getting to know them, their strengths and weaknesses and being part of their support network. A good auditor will work with you and provide you with ongoing updates and continual dialogue.
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Many governors may have been elected on the basis of a child at the school or putting something back into the community and weren’t fully prepared for what the role entailed What should you expect from your auditor? ›› Important information, provided timely and clearly, with an assessment of potential impact to the academies. At Randall & Payne, we produce Academy Snippets to assist with this. ›› Insights into the experience of other professionals from within the sector. As members of the UK200 group, Randall & Payne are able to share our
thoughts with a number of member firms and have valuable insights into situations we may not have experienced, sharing best practice and innovative processes with our clients. ›› Ensure your auditor keeps on top of any updates, as having the right information and sharing at appropriate stages can ensure you are ready for implementation throughout the year to keep you compliant with regulation and laws. ›› Auditors should have good links to government bodies to ensure they are offering you up to date advice. As members of one of the Education Funding Agency’s working groups, we have been involved in the updates to the Academies Accounts Direction and other financial returns, beta testing new forms as they have been issued. ›› Bringing together our many school business managers, key governors and head teachers at our seminars is a great way to share best practice, key concerns and offer expertise from professional partners with relevant information. An open forum allows the sharing of experiences across a variety of academies and should be something your auditor should provide. We run our termly academies seminars for these reasons and, given the complexities of the academy
ACADEMIES & EDUCATION
sector, an effective seminar would be focused not just around the financial and audit updates, but would also expand to cover other operational aspects through the use of subject experts.
Our Audit team updates include: ›› Accounts Direction and applicable accounting standards or SORP changes, including the transition to FRS102. ›› Examples of frauds that have been perpetrated against academies, whether by internal methods or external, and key areas where these are most likely to be perpetrated. ›› Tax issues, including corporation tax, particularly in respect of trading subsidiaries and VAT, which is a complex area especially when considering both business and non-business together with schemes and partial exemption. ›› Regular EFA/ESFA feedback and changes to government policy, including full academisation, the increasing push towards multi-academy trusts and the National Funding Formula’s move to the Fair Funding Formula. ›› Governance, which has become a key focus for the ESFA and many failures identified within academies are placed at the door of poor
governance. We provide guidance and updates to try and ensure that, for our academies, good governance is not a myth.
Our ‘invited experts’ updates have included: ›› Reactive needs, planned preventative maintenance and longer term planning and prioritisation of school properties, all against the backdrop of competition for funds. ›› Issues around admissions and exclusions from a legal perspective together with the additional complications of special educational needs. ›› Schools’ procurement and achieving value for money, also against the backdrop of competition for funds. Using a strategy to apply across procurement and the measurement of success, together with some tips on countering supplier tactics in the purchasing process. ›› Managing staff costs, as the single biggest cost to an academy. ›› Pensions, an explanation on the process and complicated funding arrangements and the different reporting that is provided to academies for year-end accounting and cash flow perspectives.
This forum allows the sharing of experiences across a variety of academies and should be something your auditor should offer you. If you are finding the process of converting to an academy confusing and more of a challenge than you expected, or find every year a struggle to meet the government’s reporting expectations, please feel free to contact us for a no-obligation discussion. Contact Rob Stokes for more information by emailing rob.stokes@randall-payne.co.uk or call 01242 776000.
Bite-Sized Thinking ›› Senior leadership teams and governors must be appropriately trained. ›› Good governance should be part of the academies culture. ›› Financial efficiency in a wide context is key with tight budgets. To find out more about any of the topics discussed in this article, visit randall-payne.co.uk
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CORPORATE FINANCE
Reams of opportunity for Officeworx Ollie Newbold | Partner
Sometimes, an opportunity presents itself to you when you least expect it. For Officeworx, an unforeseen acquisition became a gateway to new markets.
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Initial meeting with Randall & Payne and Officeworx to discuss opportunity
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Officeworx meet with Knights & Hyde to discuss proposed transaction
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Heads of Terms agreed
Officeworx Ltd are a Cheltenham-based company, offering complete office solutions to Gloucestershire businesses and beyond. While the prospect of future expansion was on the horizon, it wasn’t something the company was actively engaging in.
of Corporate Finance, to assess the viability of the proposed transaction.
However, Rob and Paul, Directors of Officeworx, were intrigued when they received a company sale notification for Knights & Hyde, another stationer based in Corby. Not only did it appear to be a near carbon copy of Officeworx in terms of business activities and operations, but it was an ideal location to enable Officeworx to expand their geographical presence – an opportunity not to be missed.
›› Benchmarking Knights & Hyde against Officeworx
After requesting further information from the sale agent, Rob and Paul then met with Ollie, our Head
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This review process included: ›› Reviewing the financials of both companies ›› Assessing product portfolios and their compatibility ›› Understanding the benefits and risks of the geographic location ›› Considering post-completion management and handover requirements to ensure a smooth transition In preparation for the acquisition, we ensured that any key issues that came from the early discussion were adequately dealt with in the Heads of Terms agreement.
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Financing offer letter received
Having agreed that the project was feasible, both financially and operationally, we helped Officeworx with the construction of a letter that outlined the offer details and the reasons why they would represent an ideal fit. This was subsequently accepted – a key aspect of its success was to not just to focus on the financial aspect of the transaction, but also on Officeworx’s operational ability. After discussions with our clients, we then carried out a due diligence assessment, establishing the matters of greatest concern to them and carrying out a full investigation of these areas. Following this, we accompanied them to an all-party meeting and subsequent conference call, working collaboratively with Knights & Hyde’s financial and legal advisers to agree an Asset Purchase Agreement.
CORPORATE FINANCE
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Due diligence (DD) begins
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All-party meeting to discuss any DD queries and talk through Asset Purchase Agreement (APA)
We recognise that the acquisition process can seem complex, which was the case for both Rob and Paul when they approached us. We made things as clear as possible for Officeworx, from aiding their understanding of both the technical and legal language used in transactions, to explaining the bigger concern of the operational and financial risks associated with the transaction. We explain
The whole team are friendly and are never out of reach
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All-party conference call to agree final version of APA
every step of the process in detail, answer all of your questions and stand at your side as much or as little as you need. Reflecting on the acquisition process, Paul said: “Without the assistance of Ollie and Aimee at Randall & Payne, we would not have been in a position to make an offer or complete the acquisition and expansion of our business. The whole team are friendly and are never out of reach, working beside us the whole time from responding to the initial offer letter to exchanging contracts and completing the deal. “We would highly recommend Randall & Payne to anyone looking to sell or acquire a business, and you can be sure they will do what is right for you as the client.”
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Completion
Bite-Sized Thinking ›› Don’t underestimate the importance of a good cultural fit. ›› Be realistic about what synergies may be achieved. ›› Use the results of your due diligence report to best effect – do not simply see it as a stage in the process. ›› Set aside time for deal management and post-integration issues. To find out more about any of the topics discussed in this article, visit randall-payne.co.uk
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ACCOUNTANCY
Vicky Link | Partner
The importance of maintaining good records All businesses know that they have to maintain their accounting records for the tax man no matter what their turnover, but what is the best format to do this in? We see many different ways of clients maintaining their accounting records, from cardboard boxes stuffed full of envelopes and carrier bags of crumpled up invoices, through to the beautifully filed and cross-referenced invoices that have been meticulously posted to an accounts package. Each business will have different requirements from their accounting information and so the way in which they keep the information will vary. Records must be retained for six years in the case of a limited company and five years from the tax year submission deadline for sole traders, partnerships and rental businesses.
HMRC undertake a number of random investigations so there is no knowing when your business may be picked 12
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Investigations by HM Revenue & Customs (HMRC) are undertaken when they have reason to believe one is necessary, but HMRC also undertake random investigations so there is no knowing when your business may be picked. We usually need to get involved in an investigation and, due to their length and complexity, this can mean our fees are more than expected. We offer a tax enquiry service to cover our fees in the event of an HMRC inspection – speak to us for details.
invoices so the originals don’t have to be stored.
This service will also cover our costs to you should your business, or you individually, be subjected to investigations such as PAYE, VAT, or an employment status dispute. If your business pays for this service, it can also cover business partners and all directors. Costs can quickly escalate depending on the amount of information HMRC request. It includes dealing with any correspondence and attending meetings with HMRC.
To make the switch over now and take advantage of the benefits that digital accounting has to offer, speak to us to find out about the varying levels of support we can offer.
The more efficiently records are kept, the less time is spent to resolve an investigation, which means a quicker resolution with as little disruption to your business as possible. Many businesses have already switched to digital accounting. The various packages allow direct feeds from internet banking, saving time not having to manually enter it. You can upload PDFs of
We have direct access into your information to enable us to advise you efficiently throughout the year and can help with any entries if you get stuck. We can point you in the right direction if we think everything is not going to plan. Making Tax Digital (MTD) will mean your business will have to keep digital records and submit these on a timely basis to HMRC.
Bite-Sized Thinking The key benefits of digital accounting: ›› More efficient storage of records ›› Up-to-date information at your fingertips ›› Less concern if selected for enquiry
To find out more about any of the topics discussed in this article, visit randall-payne.co.uk
AUDIT
Audit shouldn’t be a curse word For businesses undergoing any sort of audit or assurance review, we understand the run-up to our visit can be a period of dread, panic and stress. Chris Baldwin Audit and Assurance Manager Auditing is a regulated service whereby we need to ensure our review meets the standards set out in law. At Randall & Payne, we offer a bespoke service to you, the client, and look at how we can make the audit process advantageous to your business rather than simply a ‘tick box’ exercise in order to report our findings and form an opinion on the financial statements. Working closely with our clients, we have identified that reviewing systems and controls is a key area for everyone – from finance assistants all the way through to the directors. We also look at ways to make them more efficient for all staff, while still maintaining the segregation of duties, responsibilities and review levels that are required to ensure good corporate governance. We ask for feedback on ways to improve going forward and discuss the processes with finance staff and trustees alike. We understand that staff are unable to ‘down tools’ during our audit fieldwork to assist us in answering queries, finding documentation and paperwork. We balance the requirements of the audit with our clients’ needs to ensure that it causes as little disruption as possible.
We discuss the audit timings with our clients to understand what will work best for them. For some clients, we find that it is best to discuss the systems and controls separately to the main audit as this involves various members of an organisation. We plan our payroll timing to avoid the pay runs that typically occur around month end, but for some we avoid the start of the month in order to avoid the processing of the monthly management accounts. In a nutshell, we will tailor our services to work around you, not the other way around.
We will tailor our services to work around you, not the other way around
We do our best to make the audit process as smooth as possible. We utilise the most up-to-date software to complete a paperless audit. All of our findings are recorded in a single document, presented at board level, and we work through any findings with you in a collaborative, helpful manner. Contact Chris Baldwin for more information by emailing chris.baldwin@randall-payne.co.uk or call 01242 776000.
Bite-Sized Thinking ›› Our bespoke service makes the process advantageous to your business.
When on site, we are often faced with questions such as ‘why do you always select the one missing invoice’ or ‘that staff member has the most complicated payslip’. We assure you this is coincidence. It is not our aim to find the problems, but to work with yourselves to identify risk areas and work with you to minimise their likelihood and effect, which in turn reduces the risk of fraud.
›› Timings are agreed to work best for our clients. ›› We identify risk areas to work on, reducing the risk of fraud. To find out more about any of the topics discussed in this article, visit randall-payne.co.uk
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BUSINESS ADVISORY
Build the potential, productivity and profitability of your business
GAINS business advisory funding is now available GAINS, a new subsidised business coaching programme for Gloucestershire SMEs, is now open for applications – could you qualify?
Richard Gray Business Advisory Manager
The Gloucestershire Accelerated Impact Network Support (GAINS) programme is a newly launched package of support, specifically created for local small and medium enterprises (SMEs) with the potential and ambition to grow their business sustainably and achieve their goals. We are delighted to announce that our business advisory team are approved coaches on the programme. To be accepted onto the GAINS scheme, your business must meet certain criteria, which includes being based within the area covered by GFirst LEP, reflecting the definition of ‘high growth’, and being able to complete the course within six months. Once on the programme, your management teams will receive access to four days of high-quality coaching, an in-depth business plan, a series of masterclasses that tackle local high-growth SME needs, and inclusion within a Gloucestershirespecific, high-growth networking group. Richard Gray, Business Advisory Manager, will lead our involvement with the GAINS programme, and is joined by Partner Will Abbott. With over 21 years’ experience in various business development roles, Richard is a qualified mBIT coach and well known
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across the Gloucestershire business scene due to his past role as county lead on the successful Growth Accelerator scheme.
Having access to a programme like this could literally transform a company’s fortunes We know Gloucestershire is full of businesses that have the capability to grow but perhaps don’t have the experience or guidance internally to help them realise their full potential. Having access to a programme like this, the support it offers, and the approved coaches involved, could literally transform a company’s fortunes in a matter of months. And, if you feel that you require further support after the GAINS programme ends, our in-depth business advisory programmes will be ready and waiting for you. Businesses that sign up to the GAINS programme will receive a subsidy of 40% towards the overall cost. Funding will run until December 2019, but is limited to just 220 Gloucestershire businesses, so we
encourage businesses to apply as soon as possible to ensure that they benefit from the six-month long programme. Contact Richard for more information by emailing richard.gray@randall-payne.co.uk, or call 01242 776000.
IN THE COMMUNITY
Skylight9 win for Hollie Gazzard Trust
Trish runs for Pied Piper Appeal
The 2017 Local Business Charity Awards were held at the National Star College on 7 September – an event organised to recognise contributions made by Gloucestershire businesses and their staff to Gloucestershirebased charities, who were responsible for nominations.
Congratulations to Trish Clements for completing the Cheltenham Half Marathon on 1 October.
This year, judges came in the calibre of Matt Holmes, Dame Janet Trotter DBE, Dr Diane Savory OBE, MP for Cheltenham Alex Chalk, and representatives from sponsors Jelf and Ageas. Our client Skylight9 were secretly nominated for the Ageas Award by Nick Gazzard of the Hollie Gazzard Trust for their ongoing work raising awareness of the trust and the work they do supporting domestic abuse and stalking victims. The Ageas Award is open to charities of income less than £100,000.
Being her first half marathon and completing it in 2hrs 24mins and 25secs, Trish can honestly say she has achieved her personal best half marathon time! “When I told my running club I was competing in a half marathon they were surprised I hadn’t completed a 5K or 10K race first,” said Trish. “This was something I hadn’t even considered, so completing my first ever race as a half marathon is a real personal achievement.” Trish has raised £440 for The Pied Piper Appeal, which is Randall & Payne’s corporate charity. We are fundraising for a new playground for Belmont School in Cheltenham.
We are happy to say Skylight9 won the award, meaning a generous £1,000 donation to the Hollie Gazzard Trust. Congratulations and well done!
Let them have cake and eat it
Alex and Adrian tackled the Five Valleys Walk
On 29 September, Randall & Payne staff and visitors enjoyed taking part in Macmillan’s World’s Biggest Coffee Morning. Staff kindly donated cakes which were sold throughout the morning and helped raise a fantastic £150.
The Five Valleys Walk on 24 September was completed by Alex Rolfe and Adrian Stokes in aid of Meningitis Now. We are pleased to support this important local charity that has developed and introduced meningitis vaccines, saved lives through awareness and helped people rebuild their lives after meningitis with their free specialised support.
Macmillan’s Coffee Morning is all about getting together for a nibble and a natter for a great cause. The money raised helps to achieve their ambition to reach and improve the lives of everyone living with cancer and inspire others to do the same. We were inspired to support this great cause and, as previous cake sales have identified some bakers worthy of being on “Bake Off”, we thought what a great way to give to such a worthwhile cause and employ some of the non-vocational skills of our staff!
Alex and Adrian did the full 21 miles, a circuit that saw them rambling through Stroud’s five valleys; Painswick, Slad, Toadsmoor, Chalford and Nailsworth. The walk is always a highlight, especially this year, which saw the 30th anniversary of the event. Adrian has taken part in the event ten times, including the very first in 1987. They raised over £100, which was greatly appreciated and would like to thank those who supported them.
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RANDALL & PAYNE NEWS
A day in the life of an audit trainee Nathan and Hannah are audit trainees, but at different stages. Having joined post-A levels, Nathan is recently ACA qualified after five years with us, while Hannah started this year after completing her Accounting and Finance degree.
Nathan Smith Recently qualified ACA (Five years)
Hannah Churches Graduate studying ACCA (Nine months) Despite their length of service and entry level to the firm being poles apart, both Nathan and Hannah are proud to work within the team shortlisted for a British Accountancy Award for Audit Team of the Year and enjoy the team dynamic with its competitive spirit and constant desire to raise the bar, coupled with the sense of comradery and banter! Through Hannah’s research before applying, she realised Randall & Payne invest heavily in both the professional and personal development of their trainees. She recognised that she would gain more experience in a shorter space of time as a result of working within a bigger firm because trainees get to see all the parts that make up the audit process, unlike larger firms where exposure may be limited to certain sections.
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Both were made to feel at ease during the interview process. Hannah comments, “While there was a skill and technical element to the interview process, emphasis was on getting to know one another as Russ was not only interested in whether I was a good candidate, he wanted to identify if I was a good fit for his team”. Working in practice appealed to both trainees due to the diverse nature of the work across different industries, sectors and company sizes. Nathan commented on the lack of team atmosphere within a purchase ledger team in a larger industry-based firm he did work experience with. When asked about how Randall & Payne support study and progression, Hannah explained that her study is postponed until January to enable her time to settle in before experiencing her first ‘academy season’ with its high volume of work from September to December. Other firms had wanted the exams to be completed as soon as possible despite the workload, so she felt teed up for success with her work and study commitments being considered simultaneously here. Nathan explained that trainees are provided with both college-based teaching and revision courses, which allows a real focus on learning with feedback after practicing mock questions. He added that
colleagues are happy to help and his regular meetings with his allocated ACA mentor to update his training file kept him on track. When asked how he balanced work and study, Nathan’s tip is to study little and often to maintain knowledge and allow yourself time to relax. He found it easier to stay on at work for an hour or two to revise. Hannah recalls her shock in her first week when asked by a partner whether she wanted a cup of tea! She soon realised that this is part of the firm’s culture and the senior team sit among everyone else in the open-plan office. It is clear that the stereotypical accountant is nowhere to be seen here!
Bite-Sized Thinking ›› We employ 12 trainees who have a can-do attitude and are willing and able to embrace change. We are committed to fully training and developing our trainees so that they are able to make a positive difference to our clients. To find out more about any of the topics discussed in this article, visit randall-payne.co.uk
RANDALL & PAYNE NEWS
A celebration of success at the British Accountancy Awards Randall & Payne celebrate a fantastic win at the British Accountancy Awards, a recognition of success for UK accountants. Seen by many in the industry as ‘The Oscars of the accountancy world’, the British Accountancy Awards shortlisted Randall & Payne for two awards alongside the cream of UK accountancy practices, including teams in the Top 50 UK firms for 2016 (by turnover). Over 800 guests attended the glamourous event held at the London Hilton on Park Lane on 13 October. The highlight of the evening was when Randall & Payne were announced as the winners for the Best Client Project award for our successful project with WHC Hire Services. The Tewkesbury-based plant hire company initially turned to our business advisory team to develop a strategic plan to drive sustainable and profitable growth. But to ensure that the strategy became a reality, we developed a partner programme that utilised a range of experts from across the business. This win delighted Will Abbott, Head of Business Advisory. “It was very pleasing to have reached the final in this particular category but, for Randall & Payne, winning demonstrates our clear focus on the client. This recognition illustrates how effective we have been in helping our client grow and successfully deliver their strategic plans,” stated Will. We were also shortlisted for ‘Audit Team of the Year’, recognising an area of the business that has doubled in size in the last three years. Although we missed out on the award, being shortlisted is such an achievement for the team, led by Partner Russ Byrd, who, earlier this year, was co-opted to sit on the respected ICAEW Audit Registration Committee. “I am really proud of the team. This recognition is testament to the strength and thinking of our staff and how hard we work to deliver a first-class product to our clients,” said Russ.
Business improvement seminars are back We have set a new schedule of dates for our Improve Invest Grow Exit (IIGE) seminars, which are free to attend. The IIGE process will increase the value of your business through examination of four key stages of the business life cycle. The focus is on improving profit, driving growth, managing people and planning succession. This seminar has resulted in some marvellous success stories for our clients, but too often we are approached by businesses who wish to sell but we can see that they would have benefitted from the insights shared at the IIGE seminar to improve their value and saleability earlier on. Even if you are not thinking about exit now, this seminar will arm you with great ideas and top tips to add value to your business straight away. The intimate seminar starts at 8am and finishes at 11am to minimise disruption to your day. See the Events page for details.
A new ‘Case’ for Rob We are excited to announce that Rob Case, Partner, is now a proud father for the second time. His son Walter Charles George Case was born Sunday 24 September at 00.24am at Gloucester Royal. Congratulations from all of us here at Randall & Payne.
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Staying on top of Environmental, Health & Safety compliance management Are you doing enough to protect your business, customers and staff while fulfilling your legal compliance obligations? Compliance is critical, so a systemised approach to managing your world is the only answer. Most managing directors have an understanding of their requirement to meet regulatory Environmental and Health & Safety (EHS) compliance and believe they take the necessary steps to comply with relevant laws and regulations. However, from working with businesses, it is clear that the weakness in remaining compliant lies with not having a system in place to monitor and effectively manage their compliance process. Too many are vigorously focused on everyday business that they overlook the need for continuous compliance review, and this is not a defence in a court of law should things go wrong. The most obvious consequences to ineffectual compliance is that it increases the risk of harm, fines, penalties, work stoppages, lawsuits or even a shutdown of the organisation.
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Failing to meet your legal obligations can also be very costly and a recent survey showed nearly 50% of the organisations surveyed said they were not aware of the cost of compliance to their organisations.
3. Let the management system do the work, receive advanced notifications of expiring certificates, implement legislative changes promptly and give yourself the peace of mind that you are fully compliant.
This survey also found that the use of an integrated management software solution improved compliance management and allowed business owners to get on with their day job.
Organisations that adopt a regulatory change management system are better able to realise a range of benefits, including reduced risk and maximum EHS compliance.
Once the need for a regulatory change is identified, many organisations struggle to implement the change process completely and it’s often handled on a project basis using spreadsheets and other manual tools. Such an approach is fraught with risk – things can slip through the cracks, leaving you non-compliant.
Company Directors Dave and Mark have 45 years’ experience of environmental, quality health and safety between them. They provide an allin-one service to ensure organisations of all sizes fulfil their legal obligations. icetsolutions.co.uk
An effective way to ensure you are compliant can be as simple as a three-step process: 1. Take stock of your compliance regulations. Reviewing where your areas of risk are and where the firm would struggle to realistically change and implement. 2. Working with an expert in the field of EHS, design an integrated management system to record all your data and operational compliance requirements. With the introduction of cloud-based products, these can be bespoke and do not need a specific server on site.
Bite-Sized Thinking ›› Why wait? Make life easier on yourself and take the worry and hassle out of EHS compliance and sleep safe in the knowledge you are fulfilling all your legal requirements. To find out more about any of the topics discussed in this article, visit randall-payne.co.uk
Mark Boughton, Director | icetsolutions
Dave Middlemiss, Director | icetsolutions
GUEST ARTICLE
EVENTS
Key Events
KEY DEADLINES NOVEMBER you or your business. This networking event allows you to listen to the views of other business leaders in the room and for you to give your own! To join us at this event, please call Jo Kline on 01242 776000.
IIGE (Improve Invest Grow Exit) 28 November
NOVEMBER Advice Clinic Every Monday, 1:30pm – 4:30pm Got a tricky business question or need advice to move forward? Whether you want to raise finance, tackle your profit and growth issues or get some tips on saving tax or investing wealth, our expert team can provide the right professional guidance at our next Advice Clinic. Give us a call to book your free onehour slot with the relevant expert on 01242 776000.
GDPR Made Easy (with Circle2Success) 16 November, 9am-11am Learn about the changes in legislation that are coming into force from May 2018, how they are likely to affect you, and simple steps you can take to ensure you are compliant. To book your ticket, visit the Events section of our website.
Make your business more valuable with our free Improve Invest Grow Exit seminars. Planning well ahead is the key to making a success of your business so that it is the most profitable at time of exit. Join our experts Will Abbott, Richard Gray and Ollie Newbold as they lead you through the four key stages of the business life cycle. To book your ticket, visit the Events section of our website.
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21 November, 9am–1pm Our EPIC business leaders workshops are run by our business advisers and provide the opportunity to tackle your growth issues head on with the support, experience and guidance of other successful business leaders. To join this workshop, contact Will Abbott or Richard Gray on 01242 776000.
Budget Day Lunch 22 November, 11:30am –3pm Over 100 business leaders are invited to a free networking lunch to watch the Chancellor deliver his budget speech live at the largest event in the county. Whatever the Chancellor’s Budget Day announcement includes, there are experts in the room to help dissect the information and explain how it may have a positive or negative impact on
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Give us a call to book your free one-hour slot with the relevant expert on 01242 776000.
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Every Monday, 1:30pm – 4:30pm
Advice Clinic Every Monday, 1:30pm – 4:30pm
Corporation Tax return deadline to HMRC – periods to 31/12/17
Give us a call to book your free one-hour slot with
EPIC Business Leaders Workshop
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the relevant expert on 01242 776000.
IIGE (Improve Invest Grow Exit) 28 January Make your business more valuable with our free Improve Invest Grow Exit seminars. Planning well ahead is the key to making a success of your business so that it is the most profitable at time of exit. Join our experts Will Abbott, Richard Gray and Ollie Newbold as they lead you through the four key stages of the business life cycle. To book your ticket, visit the Events section of our website.
To find out more about our latest events or book a place, visit randall-payne.co.uk
JANUARY
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The Generation Game In a family-run company, business success doesn’t always equal business succession. Differing views, approaches and attitudes can often take on a greater prominence due to the family dynamic. That’s where Randall & Payne can help to navigate a smooth transition, which focuses on the issues rather than people. Simply put, we understand family matters.
If you’re looking to keep it in the family, call our succession planning experts on 01242 776000 or visit randall-payne.co.uk