BQ Magazine

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£4.95 Business Quarter Magazine

Celebrating and inspiring entrepreneurship

BUSINESS QUARTER Spring 2017

ON A WING AND A PREYER

Layla Bennett’s falcons allow her business to soar

WORKING FOR PEANUTS

Kathryn Franklin is making peanut butter into a great Yorkshire brand

SPECTACULAR SUCCESS How Asad Hamir is making an optician’s practice sexy

Brewdog’s a

Spring 2017

millionaire How a microbrewery has grown to be a global multi-million pound business while remaining true to its roots

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“This is the strongest line-up of business writers ever assembled in a national magazine and their knowledge and their skill have fuelled BQ’s expansion. I’m very proud to be working alongside them. ”

Business Quarter is part of BE Group, the UK’s market leading business improvement specialists. www.be-group.co.uk

Business Quarter, Spectrum 6, Spectrum Business Park, Seaham, SR7 7TT. www.bqlive.co.uk. As a dedicated supporter of entrepreneurship, BQ is making a real and tangible contribution to local, regional and national economic growth across the UK. We are unique in what we aim to achieve as a media brand, a brand that has established a loyal audience of high growth SMEs as well as leading business influencers. They wholeheartedly believe in BQ’s focus on people – those individuals that are challenging the traditional ways of doing things. They are our entrepreneurs. BQ reaches entrepreneurs and senior business executives across Scotland, the North East and Cumbria, the North West, Yorkshire, the Midlands, Wales, London and the South, in-print, online and through branded events. All contents copyright © 2017 Business Quarter. All rights reserved. While every effort is made to ensure accuracy, no responsibility can be accepted for inaccuracies, howsoever caused. No liability can be accepted for illustrations, photographs, artwork or advertising materials while in transmission or with the publisher or their agents. All content marked ‘Promotion’ and ‘Partner’ is paid for advertising. All information is correct at time of going to print, March 2017.

SPRING 2017

Welcome to the first issue of the new-look BQ magazine, which brings together stories of entrepreneurs from England, Scotland and Wales. BQ has embarked on an exciting expansion, combining the best of its former English regional titles to create this new national magazine. BQ began life in the North-East of England back in 2008 and has grown quickly to become a distinctive voice within the business community, celebrating and inspiring entrepreneurship by sharing the stories of men and women who have founded and grown their own companies. Having expanded into Yorkshire, Scotland, the West Midlands, and the North-West of England, this issue marks the magazine’s arrival in London, the South-East of England, and Wales. Our contributing editors – Steve Dyson, Mike Hughes, Maria McGeoghan and Paul Robertson – have brought together exciting and inspiring tales from entrepreneurs both emerging and established, running businesses in sectors throughout the economy, in both urban and rural settings. This is the strongest line-up of business writers ever assembled in a national magazine and their knowledge and their skill have fuelled BQ’s expansion. I’m very proud to be working alongside them. New ideas are the lifeblood of entrepreneurs. Spotting gaps in the market and filling them with innovative products and services is at the very heart of what sets entrepreneurs apart from the rest of the business community. In this first issue, we share stories of entrepreneurs who have put new ideas into practice and are reaping the benefits. James Watt reveals how BrewDog helped shape the craft beer revolution in the UK and how its firm finances underpin its often-controversial marketing, while Kathryn Franklin lifts the lid on Proper Nutty, Yorkshire’s first peanut butter brand, and James Shepherd explains how he drew on an ancient recipe to create the Aberffraw Biscuit Company. We find out what happens when the television cameras stop rolling, with Apprentice star Rebecca Jeffery explaining why she’s “not a tw*t”. Seven years on from securing funding on Dragons’ Den, Layla Bennett reveals how her Hawksdrift falconry business has spread its wings, while Amy Livingstone and Julie Wilson from Cheeky Chompers prove there’s life beyond the den if the dragons don’t invest. Innovative products and services are at the heart of so many entrepreneurs’ businesses. John Begley has created Elemental Cars, the company behind the stunning RP1 model, while Janan Leo is celebrating ten years of Cocorose London, whose shoes have revolutionised the daily commute. Ben Lawton explains how he grew Custom Controllers from a bedroom business through to a deal to supply Games’ stores. Serial entrepreneurs Asad Hamir and Kavita Parmar also share their stories: Hamir built O2 franchisee Telenomics into a successful business and is now revolutionising the world of opticians with his Kite eyewear boutique; and Parmar switched from fashion for the elderly into linguistics with Word 360. Experienced entrepreneurs are never afraid to draw on new ideas. Fred Story looks back on 30 years’ innovation in house building, Michael O’Hara reflects on bringing excavation systems to Britain, Vikki Jackson-Smith explains how she took her father’s coal merchant business and turned it into J&B Recycling, and Australian entrepreneur Alec Cameron offers some words of advice to Theresa May over Brexit. It’s also worth exploring the new ideas that have led to the launch of the newlook BQ Live website at www.bqlive.co.uk, which is bursting at the seams with exciting stories from entrepreneurs throughout England, Scotland and Wales. Plus, sign-up for the new BQ Weekly email newsletter, which brings together interviews written by the talented online journalists who work on the BQ Live website. Peter Ranscombe, editor


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CONTENTS SPRING 2017 08 A DOG’S TALE How Brewdog has grown from a microbrewer to setting up in the US

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‘I’M NOT A TW*T’

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IN THE FAST LANE

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DIGITAL OPPORTUNITIES

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REINVENTING PHILANTHROPY

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Rebecca Jeffery describes how she was fired from The Apprentice for being herself

UBS has developed new ways of giving

SPREADING HER WINGS Hawksdrift uses birds of prey to manage gulls

SUCCESS STORY Paul Robertson charts housebuilder Fred Story’s remarkable career

THE FUTURE IN FOCUS The entrepreneur turning the world of opticians into ‘eyewear boutiques’

Mike Hughes takes a trip with Elemental Cars

An interview with Teesside University’s Professor Jane Turner

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HEAD OVER HEELS

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BABY TALK

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BEACH DREAMS

Janan Leo is making great strides in the footwear trade

How starting families also led to the birth of a business

Kavita Parmar craves work/life balance after a string of entrepreneurial successes


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Celebrating and inspiring entrepreneurship 14 24

36

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52 76

CAPITAL IDEAS

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DIGGING DEEP

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SPREADING THE WORD

Steve Dyson reviews two London hotels

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Micheal O’Hara shares the secrets of his 35-year success

Peanut butter producer Kathryn Franklin is creating a

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great new Yorkshire brand

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HIGH SPEED GROWTH

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GENIE IN THE BOTTLES

HS2 is putting Birmingham Airport on track

J&B Recycling’s Vikki Jackson-Smith explains how waste is a growth industry

AN IMMIGRANT’S ADVICE Interview with Aston University’s new vice chancellor

GAME ON Ben Lawton turned an idea into a hobby and then a UK-wide business

TAKING THE BISCUIT How James Shepherd turned an ancient treat into a recipe for success

HIGH LIFE 67

Our luxury lifestyle guide mixes business with pleasure


CONTACTS MANAGING DIRECTOR Bryan Hoare

EDITOR Peter Ranscombe

bryan@bqlive.co.uk

peter@ranscombe.co.uk

CONTRIBUTING EDITORS NORTH EAST & CUMBRIA Paul Robertson

NORTH WEST & WALES Maria McGeoghan

YORKSHIRE & SOUTH EAST Mike Hughes

paul.robertson@bqlive.co.uk

maria.mcgeoghan@bqlive.co.uk

mikehughes@bqlive.co.uk

MIDLANDS & LONDON Steve Dyson

SUB EDITOR Peter Jackson

steve.dysonmedia@gmail.com

p.jackson77@btinternet.com

SALES ACCOUNT DIRECTOR Dave Townsley dave@bqlive.co.uk

BUSINESS DEVELOPMENT MANAGER Rachael Laschke

BUSINESS DEVELOPMENT MANAGER Helen Gowland

rachael@bqlive.co.uk

helenG@bqlive.co.uk

BUSINESS DEVELOPMENT MANAGER Hellen Murray

BUSINESS DEVELOPMENT MANAGER Mike Moloney

MEDIA SALES APPRENTICE Sam Yard

hellen@bqlive.co.uk

mike@bqlive.co.uk

sam@bqlive.co.uk

DESIGN & PRODUCTION PRODUCTION MANAGER Steve Jessop

DESIGNER Craig Hopson

DESIGNER Stephen Ford

steve@bqlive.co.uk

craig@bqlive.co.uk

stephen@bqlive.co.uk

DIGITAL HEAD OF DIGITAL Leanne Miller

SENIOR DIGITAL JOURNALIST Bryce Wilcock

SENIOR DIGITAL JOURNALIST Suzy Jackson

leanne@bqlive.co.uk

bryce@bqlive.co.uk

suzy@bqlive.co.uk

PHOTOGRAPHY KG Photography

Chris Auld

Nicky Rogerson

info@kgphotography.co.uk

chris@chrisauldphotography.com

info@kgphotography.co.uk

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dog’s t ale

BrewDog has grown from a microbrewer into one of the most dynamic drinks businesses in the UK. James Watt tells Peter Ranscombe how the brewer has managed to retain its punk ethos while employing more than 1,000 people.

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here can’t be many beer drinkers who haven’t heard of BrewDog: it’s the company that threw taxidermy cats out of a helicopter above the Bank of England; it’s the company that drove a tank through the Square Mile; it’s the company that satirised Russia’s ‘anti-gay’ laws by making a protest beer called ‘Hello, my name is Vladimir’. But away from the eye-catching publicity stunts, there’s another side to BrewDog: it’s the company that’s posted record-breaking growth to turn over £72m in 2016; it’s the company that’s a living wage employer and shares 10% of its profits with its staff; and it’s the company that teamed up with social entrepreneurs to create Brewgooder, a lager that funds clean water projects in developing countries. Nowhere are those two sides to the business more apparent than at its brewery in Ellon, to the north-east of Aberdeen. The

company was founded on an industrial estate in nearby Fraserburgh in 2007 and moved to its current base in 2012, growing rapidly to expand not once but twice, with the third incarnation of its brewery opening last summer. On one hand, the site is just what you’d expect from BrewDog – an attractive bar for visitors, the grooviest canteen in the world complete with pictures of every member of staff on the wall, and lots of exposed brick and polished metal fixtures and fittings that scream the word ‘cool’. Yet step inside the brewery itself and it’s the pinnacle of modern manufacturing; immaculately clean, with a quality control laboratory bristling with scientific apparatus and even a machine that taught itself how to make the packaging process more efficient. Cult film series Star Wars is clearly an important reference point for BrewDog. Stride along one of the metal walkways that connects phase two and phase three of the brewery and


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Darth Vader’s Imperial March starts to play, while reception has a giant Lego model of the site, complete with a Cantina-style bar room, and a version of the Episode VII: The Force Awakens poster is framed on one of the boss’ walls. While the appearance of the operation may draw comparisons with the evil Galactic Empire’s Death Star or the cutting-edge technology of the clone makers on Kamino, the company and its staff would probably prefer to think of themselves as the Rebel Alliance. That’s because one word has epitomised BrewDog right from the very start: ‘punk’. The firm’s flagship India pale ale, which accounts for some 60% of production at the new £20m brewery, is called Punk IPA, its crowdfunding scheme was Christened ‘Equity for Punks’ and at its very core is its punk rocker-style mission to break the rules so it can make the public as enthusiastic about beer as its staff. But how do you retain that notion of being ‘punk’ when you’ve raised in excess of £30m from more than 50,000 shareholder-fans, featured in the Sunday Times’ Fast Track 100 listing five times in a row and employ 1,000 people, with the total expected to rise to nearly 1,500 before the end of the year? “We focus on two things – beer and people,” says James Watt, who founded the brewery with his best friend, Martin Dickie, in 2007 and who has the rather unusual job title of ‘captain’, with Dickie acting as ‘beer pirate’. “Beer is our first, second, third and millionth priority. “We have a sensory lab that allows us to test every beer to make sure it’s as good as we can make it. We listen to the feedback we get from our customers. “The stand-out highlight for me of running the business came in 2014 when we had 4,000 shareholders in Aberdeen for our annual general meeting (AGM). We announced that we had become a living wage employer and we got a standing ovation from the audience – no other company’s investors would applaud when they’ve increased their costs, but our investors share our point-of-view that we need to look after our staff to retain the best people.” As well as being an early-adopter of the living wage, BrewDog also puts 10% of its profits into a ‘unicorn’ fund, which shares the surplus out equally among each and every

“BrewDog also puts 10% of its profits into a ‘unicorn’ fund, which shares the surplus out equally among each and every member of its staff, regardless of their job title”

member of its staff, regardless of their job title. The profit-sharing fund paid out around £1,500 per employee last year and is projected to award £4,000 to each employee this year. Cash isn’t the only incentive for workers, who each receive a free case of beer every month and a four-week sabbatical after five years’ service. They also get the chance to study for Cicerone qualifications, the beer industry’s equivalent of the Master of Wine scheme, with only 11 people globally holding the highest ‘Master Cicerone’ level, including Watt and his head of product marketing, Rob MacKay. Those who pass the exams get an automatic pay rise. Members of staff share in the responsibility of running the business too – the company practises ‘open book management’ by giving a copy of its full profit and loss account to every member of staff each month so they can see how their role fits into the profitability of the wider operation and can suggest improvements to increase efficiency. That punk ethos is about to be tested to the limit. The company is opening a brewery at Columbus in Ohio, so it can supply fresh beer to the United States faster than it can from its existing operations in Ellon and cut both its transport costs and its carbon dioxide emissions. Building a brewery on the other side of the Atlantic has involved raising US$3.5m (£2.8m) through an ‘Equity for Punks USA’ crowdfunding scheme, along with £10m through a mini-bond on the Crowdcube platform in just 24 days, setting a fresh record

and adding to BrewDog’s total of raising £40m directly from investors. Watt’s punk attitude was alive and well when choosing the site for the firm’s American adventure. “Whenever I land in a city, I send out a tweet asking for recommendations of where to go to have a beer,” he explains. “When I landed in Columbus and sent that tweet my phone exploded with replies. That’s how I knew that our brand was known in Columbus. “When I got back and met with Martin and Neil Simpson, our finance director, I told them ‘Look guys, I know I was only there for 24 hours and I know we haven’t done our in-depth market research, but Columbus is where we should open our brewery’ and they said ‘Yeah, ok’.” While taking risks and trusting your gut is all part of being an entrepreneur, you need firm foundations in order to make those choices. While BrewDog is known for its punk ethos and for wanting to break the rules, Watt is very clear that you need to know the rules – and especially the financial rules – before you even begin to think about breaking them. His book, Business for Punks: Break All the Rules, was published in 2015 and gives an insight into how Watt and Dickie wanted to create a new category of beer in the UK, away from ‘real ale’ or mass-produced lager. But it’s also filled with solid business advice about knowing your customers, listening to them and, above all, how cash is king. Watt’s wife, Johanna Basford, is an illustrator who’s best known for producing Secret Garden in 2013, one of the first colouring books for adults, which led to a bit of friendly rivalry when their work hit the shelves. “My book was published at the same time as Johanna’s second book and so we had a bet that whoever sold the least books on Amazon that week would have to take the bins out for a month – Johanna sold so many more books than me that I think I’ll be taking the bins out for the rest of the millennium,” he laughs. Watt wrote the book while on paternity leave with his first child. Reaching into one of the cupboards below the windows in his corner office in phase three of the brewery, he produces the hand-written first draft in a ring-binder. With paternity leave for baby number two looming, perhaps there’s a sequel in the making.

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That firm grasp of the financial figures behind the business has allowed BrewDog to grow its revenues from £29.6m in 2014 to £44.7m in 2015, with earnings before interest, tax, depreciation and amortisation (EBITDA) holding steady at £4.9m despite major expansion, according to accounts filed at Companies House. Watt reveals that turnover soared to £72m last year, with EBITDA remaining at around 10% of sales. It’s a long way from where BrewDog started. Dickie and Watt had been making homebrew when they got the chance to go to London; after tasting their tipples, beer writer Michael Jackson told them to quit their day jobs and open a brewery, which they duly did. Dickie was working in brewers and distilleries after training at Heriot-Watt University in Edinburgh, while Watt had studied law but quit his first job after just a few weeks when he realised all he would be doing was “glorified admin”. Instead, he became a deepsea fisherman, sailing from Fraserburgh and becoming a fully-qualified captain. In the early days, they moved back in with their parents to save money, often sleeping on malt sacks at the brewery and turning their hand to everything from digging trenches to fixing machinery. Despite the phenomenal growth, the division of labour remains roughly the same, with Dickie responsible for the making of the beer, while Watt runs the business side; perhaps those job titles aren’t so weird after all. Growth is forecast to continue in each part of the business. As well as producing beer in Ellon and Columbus, the company also sells its wares through its 31 craft beers bars in the UK and 19 overseas, including Copenhagen, Sao Paulo and Tokyo. Building work continues in Ellon, where the company is constructing a sour beer brewery next to its existing facilities. Also on the horizon is a distillery, with test batches of its LoneWolf gin and vodka having gone on sale just before Christmas and its first spirit being laid down in casks to make whisky. “We’ve bought that site and that site, and that land over there for expansion,” says Watt, pointing out of the windows behind him. “We’re not setting up a distillery for the sake of it, we’re in it for real.” The marketing stunts haven’t been the only time that BrewDog has hit the headlines over the years. The brewery has been criticised on several occasions by the Portman Group, the body set up in 1989 by the alcohol industry to promote responsible drinking.

BrewDog has produced a series of highstrength beers, from Tokyo at the original ABV of 18.2% and Tactical Nuclear Penguin at 32% through to Sink the Bismark at 41% and The End of History at 55%. It responded to the criticisms with Nanny State, a 0.5% brew that’s become a mainstay of the low-alcohol supermarket shelves. Yet each of the strong beers has been made in small batches, not as session ales designed to be drunk every night. Watt highlights that each of the marketing stunts wasn’t done simply for the sake of it but had a purpose behind it, like ‘Hello, my name is Vladimir’, half of the profits from which were “donated directly to charities that represent oppressed minorities around the world”. Last year some commentators took to Twitter to ask why two punks were accepting awards from the establishment after Watt and Dickie were made Members of the Order of the British Empire (MBEs) in the Queen’s birthday honour list for ‘services to the brewing industry’ - at the same time that Basford, Watt’s wife, became an Officer of the Order of the British Empire (OBE) for her ‘services to art and entrepreneurship’. “I think the people who made those comparisons forget who the godmother of punk was in the UK,” Watt counters with a

“I think my Gran was the most excited about the MBE. When the envelope arrived, my wife thought it was just going to be another speeding fine.”

smile. “Most of them will have been a lot less punk than her.” In a world where even Vivienne Westwood is a dame, there’s no arguing against the tremendous boost BrewDog has given not just to Scottish brewing but also to exports. With more and more of the new generation of craft brewers tipping their hats to Dickie and Watt, their services to the industry are clear. “I think my Gran was the most excited about the MBE,” Watt laughs. “When the envelope arrived, my wife thought it was just going to be another speeding fine.” n


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‘I’m not a tw t’

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Maria McGeoghan meets Rebecca Jeffery, the contestant who thinks she was fired from BBC One’s The Apprentice for not being ‘enough of a tw*t’.

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pprentice candidates come and go – but you’ll remember Rebecca Jeffery. As she departed Lord Sugar’s HQ in a taxi after being fired in week six of the BBC reality show, her musings on why her adventure was at an end were frank and funny. “At the end, I think I went because I’m not a tw*t,” she told the camera in the taxi. “I think that’s my downfall. Haven’t been enough of a tw*t.” “I don’t even remember saying it,” admits Jeffery, 32, one half of Fi & Becs, a successful copywriting and design company she runs with her sister, Fiona. “It was just one of those throwaway remarks that I never, ever thought would be used.” Warm, friendly and fizzing with energy, Jeffery applied for one of the toughest TV challenges on a whim. “I always used to shout at the telly when


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“I think when they asked me about my party piece, I said I could put my whole fist in my mouth.”

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The Apprentice was on – I love it,” she explains. “My brother-in-law is a brain surgeon and one New Year’s Eve we were egging each other on to apply – ‘You do it’, ‘No, you do it’. “The application was relatively easy and then I went to the first lot of auditions in Manchester with around 3,000 other people. It was fun but exhausting. You have one minute to sell yourself and I think I said nice people get on in business. “I think when they asked me about my party piece, I said I could put my whole fist in my mouth. Then you do screen tests. I think that first day was about 10 hours long. “Amazingly I then got through to the auditions in London. It’s a real investment with the cost of trains and hotels, which you have to pay yourself. “I didn’t think I was the standard Apprentice sort of person. I realised I kept getting through and getting through. It was exciting.” Then came crunch time last March and Jeffery was told to wait for a make or break call from the BBC. “The phone went and I put my

son on the sofa with an apple and a DVD and said ‘Don’t talk’. They told me I was in. I got it. I danced around the room.” Then the GCHQ-style secrecy that surrounds each series of The Apprentice kicked in. “I could only tell my sister, my husband and my dad,” she says. “I had to tell everyone else that I was going to be away in China with no access to phones, texts or emails.” The hoops Apprentice candidates have to jump through to ensure absolute secrecy are surprisingly tough, with no access to phones or the internet apart from a precious 10-minute Skype call with your family once a week. The toll this took on Jeffery is still plain to see and she gets a little bit teary recalling a particularly tough moment with her three-year-old son. “One week on the call he wouldn’t look at me and my husband said that he always got upset when he looked at me,” she remembers. “It was hurting my heart. I thought ‘What am I doing here?’ I felt like I didn’t want to play anymore but I would never, ever quit.” And what was life like in the luxury London

“What am I doing here? I felt like I didn’t want to play anymore but I would never, ever quit.”

mansion shared by the candidates? “I’m one of four kids, so I’m used to a lot going on around me,” she explains. “I took a lot of books and was always reading. “When the cameras weren’t rolling, we had to sit in a room and not talk about the task. The cameras couldn’t miss a key point. I just read my book instead of staring into space. “You can be good at business and not good at The Apprentice process. Your normal skills can’t be used. “It’s a completely different relationship. You haven’t chosen to work with these people, but I liked them all. It’s difficult to work out how to be.” After a particularly entertaining episode where the candidates have to collect a list of items with only the Yellow Pages as research, and a mix-up over soup and soap, Jeffery was fired and sent on her way back to her family. “They had to film me leaving the boardroom a few times because I was grinning so much,” she reveals. “The whole boardroom thing takes about five hours to film but I really enjoyed it. “I enjoyed being with Lord Sugar. He’s the voice of reason. I just wish I had impressed him more. I was sad that I didn’t have a brilliant moment. I lost every week, which is quite a


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record. Watching it back is like seeing your memories from another angle.” Without realising it, Jeffery’s brilliant moment was that rare bit of honesty in the cab on the way home – sometimes referred to as ‘Tw*tgate’. “I was doing my hair in the house one morning and I thought: ‘Do I have to be a tw*t?’,” she says. “That’s just not me and it’s not my business. I’m not playing. I decided to see how far I could get by just being me. That’s the best thing I could do for my business. “You need to know who you are. You can’t have a facade. You can’t keep it up. Everyone talks about your personal brand after The Apprentice, but mine already existed. It’s just being a human.” And that stance has paid off, with hundreds of new contacts and clients she would never have dreamed of pre-Apprentice. Jeffery has come a long way since she took the leap to set up her business. One of four kids, she was born and brought up in Cumbria, went to Keswick School and then on to the University of Nottingham to do American and Canadian studies. “I loved it but I wondered how this was going to translate into a job,” she says. “I did a lot of research and writing and realised that I just loved writing.” She worked in human resources for 18 months for a telecoms company, running recruitment assessment centres and was then seconded to the marketing team, which she loved. Then in 2008 she applied for the Cooperative’s graduate scheme in Manchester and worked in food and legal services before settling in the funeral service division. “It’s a really good company,” she says. “They do 100,000 funerals a year and a lot of them have been funeral directors and you just won’t find nicer people. “I got involved in copywriting and looking at new trends and niche areas in funerals. I loved the writing and the website development. “I suppose people remembered this blonde nerdy girl who loved this role. It just suited me.” Jeffery worked in Co-op funerals for five years and then got pregnant in 2013, surprising friends with a christening that was also a secret wedding. When the time came to go back to work, she decided to join forces with her sister Fi

“I decided to see how far I could get by just being me. That’s the best thing I could do for my business.”

– a product designer working in the nursery industry – and launch their own business offering branding, design, copywriting and websites for businesses of all sizes. “We thought we’d give it six months to try it out,” says Jeffery. “My husband said if we could cover the costs of childcare and another £600 a month then it might work. So off we went.” It was a good decision. They built a website, set up Twitter and Instagram accounts and started to grow, Jeffery working from her home at Altrincham in Greater Manchester and her sister from Halifax in West Yorkshire. “We got some lovely, interesting clients straight away and we now have over 120 clients from bookshops to farm shops,” Jeffery says. Clients range from start-ups to mediumsized companies and what Jeffery calls “crazy big brands” like Matalan. “I like to think we can create magic out of nothing,” she says proudly. She loves the power of words and demonstrated this beautifully in the final Apprentice episode when she was brought back to help eventual winner Alana launch her

bakery business. “I just listened to her talking about the things she made and loved it when she said ‘ridiculously rich’,” explains Jeffery. And a brand was born. “I’m quite proud of that,” she says. “They were Alana’s words but they just sounded right.” Flexibility in her business is key. She always collects her son at 3pm and then continues work in the evening from 7.30pm to 10pm. “We’ve found that clients really like being able to contact us later,” she says. The business plan she would have presented to Lord Sugar if she had got to the final was to expand her business with completely flexible working. Undaunted, she is ploughing on with her plan and recently recruited an account manager. The job description on Twitter stated: “We don’t give a monkey’s where you work”. And her advice to anyone setting up a business? “Don’t think about it for six months – just do it. Don’t use all your energy up on planning. Start it and see what happens.” n


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EDUCATE GIRLS

MORE than 90% of UBS clients are now active philanthropists. Having worked with hundreds in his UBS career and before, Tom Hall has been watching the rise of the sector for years and sums it up with great clarity: “The focus of this new breed of philanthropists is to solve the social and environmental problems they are passionate about. They are willing to take big risks, including no financial return, in pursuit of those goals.” Thankfully, the desire of high net worth individuals to direct some of their wealth to good causes is growing, with around US $1trn already placed with foundations or funds worldwide. UBS is very much the innovator here, setting new benchmarks for the scope of its carefullytargeted impact across the world, and for the span of its network of leading experts who place money where it will have the longestlasting effects. Tom is part of a team of 40 philanthropy, academic and social investment experts working at UBS to help in what is becoming one of the financial world’s most influential areas. One of the issues UBS is tackling is that for decades it has been fashionable for philanthropists to attempt to address global problems on a small scale, perhaps building their own schools or hospitals in developing

UBS and the new philanthropy Tom Hall, executive director and head of philanthropy services in the UK for UBS, tells Mike Hughes about the innovative ways in which the company is reinventing philanthropy. economies, often with very little chance of reaching scale or sustainability. UBS guides and redirects that ethical mission to make it more innovative and able to sustain more risk, a strategy backed by the pioneering Bill Gates who said philanthropists need to find more effective ways of solving problems by collaborating extensively with other philanthropists and governments to explore the scale necessary to achieve significant results. “It’s an exciting time to be working in philanthropy. The industry is being led by ‘new wealth’. Spearheaded by hero philanthropists such as Bill Gates and Mark Zuckerberg,

those who have made their money through entrepreneurialism are not satisfied to rest on their laurels but are instead seeking new, better ways to create social impact,” said Tom. “As the biggest wealth manager in the world, we have taken the time to ask ourselves what the purpose of wealth is once the family is taken care of and there is more than enough left to spend. Increasingly, philanthropy is placed high on the priority list. In the next 30 years, there will be around US $2trn ring-fenced for social purpose. Philanthropy has grown to become a fundamental part of wealth management, but one insight we gained a


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few years ago was that only about 20% of our clients thought their giving was effective. So on the one hand there is a huge amount of money, but on the other, a sense that it is not delivering the right results.” UBS recognises the important role of purpose and fulfilment in philanthropy. It is no longer enough to only give large amounts away to good causes: clients are now looking to achieve societal impact first and foremost, with financial considerations secondary for many. With its ‘band of brokers’ around the world, UBS is in a position to deeply analyse data and target the money where it can be the most life-changing. “If you are a client service business, you try to solve clients’ problems. We have found that clients welcome as much support and advice in how to ‘give’ effectively as they do in how to invest,” Tom told me. “The philanthropy industry is less regulated so it is quite easy to end up making mistakes and wasting your money, and at UBS we know that poorly thought out funding can actually make problems worse. In Malawi I saw malaria nets just hanging up outside fishermen’s huts because, although there had been wellmeaning funds, no one had invested in a distribution strategy. And because the nets were impregnated to treat the malaria, they poisoned the fish. As a result, thousands of people got sick and many died.” This unique level of hands-on experience and insight is a powerful weapon for UBS clients as the role of the financial adviser grows to become an essential link in the philanthropy chain: accumulate the wealth; decide that philanthropy is a priority; focus on an area you want to help; seek advice from the experts; see the life-changing benefits. Tom said: “For some philanthropists, just giving is enough, but for us that is just the start of the process. We need to be innovating all the time, and products like our Donor-Advised Foundation shows how that innovation leads to practical solutions. “People who have the wealth have in the past often been encouraged to set up a foundation, which has a lot of costs attached in creating and running it. DAFs are innovative because they can give people the same functionality as their own foundation at a fraction of the cost – or in our case, zero cost. “Instead of spending £30,000 a year running the structure, that money becomes another grant. When put into context alongside the national budget being spent on education,

“With just $200,000 and a nurse employed to mentor the women, a 76% reduction in infant and child mortality was achieved.” LAST MILE HEALTH

healthcare and infrastructure, philanthropy won’t go very far if it isn’t spent well, so it’s important that giving is done in the most efficient way. “From our perspective as wealth managers we are now hearing the right question – ‘how do I get the best risk-adjusted social return on my investment?’. “I see it as being all about sustainability and layering up what you are aiming to do to possibly change a whole economy. Through our Optimus Foundation we talked to our clients who really wanted to address health issues and knew we needed to look at ways of scaling the impact they could have. “We looked at places in the world where people had the least access to healthcare and we came to Liberia, where funding doctors and nurses was pointless because the economy couldn’t sustain them. So we funded a small organisation to train women, who have never had a job, to diagnose and treat the top ten killer diseases. With just US $200,000 and a nurse employed to mentor the women, a 76% reduction in infant and child mortality was achieved. “Then, when Ebola hit, we invested a couple of million dollars and worked with our partner Last Mile Health to scale it up to cover half of the country. Within six months, the spread of Ebola had been contained. By reducing mortality rates in places like this, you offer the chance of increasing educational attainment and growing the GDP.” The Liberian government has now made the women key advisers on their health policy, which underlines to a remarkable extent the value of philanthropy being painstakingly targeted and the far-reaching effects it can have when the usual routes are side-stepped in

favour of innovation and imagination. This makes you think what Tom and his team will achieve with US $100m or US $1bn – and all starting with the first knock on the door from a UBS customer wanting to start a new financial journey. Tom explained: “The really exciting thing for us is that, at the macro level, UBS manages about US $2trn of wealth and about 1% goes in to philanthropy already. This amounts to around US $20bn - more than all the major US foundations put together. But our analysis would be that, while a lot of that is projectfocused and having a direct impact, it is not having what we would call a market-level impact creating new ways of doing things. “So we will tell those clients that we want to support them on their journey wherever they are. At the front end of that, they need to think how much they want to give and then we can help them plan how to give that efficiently. “This is where the DAF might come in. If you were giving £20m of your £40m fortune and yet you only had an annual income of £500,000, then giving it all in one go might not be as efficient a route as giving that £20m over 20 years and effectively doubling your giving capacity. Products like the UBS Donor-Advised Foundation can help with that because it allows you to take advantage of current potential tax benefits of giving to charity and gives you the option of making grants now or building a longterm fund to create a lasting legacy. “We would also advise clients not to be too concerned in the early stages about where to direct the money; trust that we will help work that out. Then we will look at the areas our clients are passionate about and where we can maximise its effect; you can’t separate passion and philanthropy. We want our clients

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LAST MILE HEALTH

to see that passion alone or good intentions alone are absolutely not enough – you need to give with your head and your heart. We offer this as a high-level consultancy, but where we differ from other banks is that we then also have the Optimus Foundation where we can do extensive due diligence to organisations and programmes and find that really scalable, system-changing impact that can be sustained. “Optimus can connect clients with inspiring entrepreneurs, new technologies, and models that have proven effect. “That very fine targeting or strategic philanthropy that we have been doing in many forms since 1999 is achieved by leveraging a global database of research. In that time, there has been a proliferation of data. We have hired an expert team in-house, who have a keen sense of both what is going on in their clients’ universe and what the very latest research is. “Our clients can then build on that knowledge base. We have a clear process whereby whenever we do something new, we need to create feedback and learn from it. This ensures we never pile money into something that people are passionate about but which is not going to be successful. “To help that, we also pay for a team of academic experts to audit the recommendations and assess them to add yet another level of credibility and rigour.” UBS is pioneering a new freedom in the way their clients look at their philanthropy, and Tom has innovative ideas about any future regulation of the sector. “I think we are better off educating rather

than regulating,” he says. “And if people are better educated about what ‘good’ looks like then at a very simple level they come to know about the core elements around what creates impact: input - when the money goes in; output – what is done with the money; and the crucial third one which is outcome – you have to be able to see a change. “Our message is that philanthropy is a great thing and more and more people want to do it. We can help you maximise the impact - but it is not simple. People who understand UBS understand that having the resources to invest does not make you an expert in investing. We are the experts and working so closely with our clients gives both sides the very best chance of significant success.” One of the most innovative areas of philanthropy in which UBS is a market leader is the idea of outcome purchasing. This means that you are spending money with the expectation of a particular result, as Tom explains. “In our view governments could spend their money more effectively to get the outcome they want to achieve. In education, for example, directly commissioning things is an inefficient way of spending public money and it would be better to buy results, like a young person being educated and therefore staying out of prison or a child being adopted and being able to come out of the care system. “These outcomes have good impact for the individual and good social impact in terms of costs saved or long-term productivity being

increased, so we see an outcome-purchasing market developing which is already worth about £120m worldwide. “One way of doing this is through social impact bonds, where private capital takes the risk based on an outcome that government or foundations are paying for. We really like these concepts because you are taking capital and using it in a much more effective and cyclical way.” UBS is, of course, putting its money where its mouth is. The Optimus Foundation has put up the initial investment to launch the world’s first Development Impact Bond (DIB). Focused on closing the gender gap in enrolment and improving children’s learning levels in Rajasthan, India, the DIB is already on track to meet ambitious three-year targets for increasing the numbers of girls enrolled into primary education and furthering students’ progress in English, Hindi and maths. UBS has always been an innovator closer to home as well, developing a network of local funds making smaller loans (less than £250,000) using Social Investment Tax Relief, introduced by the government to encourage private investors to fund social services and community projects. Working with impact investment specialist Resonance, UBS became a mainstream pioneer of this type of social investment in the UK, starting with a number of enterprises in Bristol. The agility on show here is both essential and admirable. Philanthropy is fast-moving and growing in importance all the time. The combination of individuals like Tom Hall, his team of advisers and experts and the reach of UBS itself is what is keeping it at the top of the sector. It has grown to become an instinctive innovator and influencer in every sector, working with its clients to help make the world a better place by tackling the most pressing economic, social and environmental problems. “I love my work and always feel immensely privileged to do what I do,” says Tom. “I will probably always be a little bit impatient to do more because we now pretty much know how to ensure a billion people have access to healthcare – it is now just a function of time and capital. We must continue to get the message out there that people can give in such a compelling way.” n

www.ubs.com/philanthropy-uk


Passing on my values. How will I be remembered? You’ve always wanted to make a real difference. But if you don’t know where to start, we can offer our expertise. With a dedicated Philanthropy Advisory team to support, advise and guide you when implementing social investments. For some of life’s questions, you’re not alone. Together we can find an answer. The value of investments can fall as well as rise. You may not get back the amount originally invested.

UBS Wealth Management Tom Hall, Head of Philanthropy Services UK tom-za.hall@ubs.com Tel: 0207 568 4558 ubs.com/philanthropy-uk

© UBS 2017. All rights reserved.

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“I always loved animals. My mum tells this story of me being three looking up and saying ‘There’s a red kite’. I was only just about able to walk and talk.”

SPRE ADING HER

W I N G S Watching a sparrow hawk on her bird table as a child inspired Layla Bennett to launch Hawksdrift, which uses birds of prey to manage gulls. Maria McGeoghan finds out more about her plans to grow the business.

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ayla Bennett’s face lights up at the mere mention of birds of prey. It’s a love affair that goes back to when she was just three, and has been a big part of her life ever since. She’s now a successful business woman with a growing company and a team of 39 falcons trained to deter gulls from buildings up and down the UK. Based in Powys, Hawksdrift offers a wide range of bird scaring, proofing and cleaning techniques and it all started with just one falcon – and a lot of ambition. After leaving home at 16 to make her way in the world, Bennett’s story is one of triumph over adversity, sheer determination and unshakable belief in herself. She was born and brought up in the Dernol Valley in Mid Wales with her elder sister. “I always loved animals,” admits Bennett, 32. “My mum tells this story of me being three looking up and saying ‘There’s a red kite’. I was only just about able to walk and talk.” When she was 11 or 12 she built a bird table with her dad and used to look out of the front window to see who was flying in and feeding while she was waiting for the school bus. “I made a note of every bird,” she

remembers. “I think I once saw a green woodpecker. “Every now and then one particular bird would come to the table from behind the house. It was a sparrow hawk and I always thought ‘She’s here’. “Sometimes she would get another bird and sometimes she wouldn’t. I once saw her tear a sparrow apart. “She was brutal but beautiful. She had bright orange eyes, which means she was an older bird. They start out yellow. “I suppose she became a role model for me. She was brutal, efficient, successful, powerful and feared by the other birds. Everyone else had the Spice Girls. “She came for two years and then stopped, and by then I was beginning to think that boys were a bit more interesting.” After a falling out with her parents, Bennett quit school at 16 and left home. “I ran away from home and stayed away for ten years,” she says reflectively. “We’re talking again now. I got a falconry job in the summer holidays and loved it so much I realised I wanted to be a falconer.

“My parents wanted me to be vet. I worked as a barmaid, a waitress, cleaning, shearing and lambing just to get by.” She got her first gull job using one hawk at a British steel plant. “Everyone wanted to see the bird, and I was a young girl, so people remembered me,” she recalls. Growing in confidence and experience, Bennett was just 17 when she applied for a contract at a BP plant even though she was too young. “I should have been 18, and I looked 12,” she says. “I got the contract even though I wasn’t old enough to be on the site. Those were the days when photo ID wasn’t that important.” The contract lasted for a year before the site was shut down and she carried on doing shows with her falcon, children’s parties and was still waitressing and working as a barmaid to make ends meet. Bennett then started to make enough money to call it a ‘proper job’ and her best friend, Mike Brown, came up with the name ‘Hawksdrift’ for her company as a nod to the Welsh involvement in the famous battle of Rorke’s Drift featured in the film Zulu.


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“You don’t need money to start a business. I’m lucky that I didn’t have money. It would have gone on posh vans, uniforms and business cards.”

“I wanted the name to have a Welsh element that was more than a red dragon,” she says. “I love the name.” Slowly but surely her business grew by word of mouth and in 2009 she had two employees – one based in North Wales. And then, out of the blue, Bennett was nominated for, and won, the Powys Young Entrepreneurship Award. “I was 25 and I really didn’t expect it,” she says. “I had a lot of competition because Mid Wales is very diverse. There are a lot of entrepreneurs here. I think it’s something to do with the space and beauty.” To enjoy that rural beauty to the full, Bennett decided to buy a field in Powys where she was allowed to pitch a caravan and run her business. “Remember when banks used to lend money?” she laughs. “The deposit was £4,500 – I used my credit card to pay it – and the land was £40,000. I’ll never forget that it was £479 a month that I just had to find. I was allowed to live there in a caravan. Powys County Council has always been really supportive of business.” But living in a caravan with no water,

electricity, or phone brought its own special kind of problems. “Everything was miles away,” she says. “I went to bed in all my clothes as I couldn’t afford gas bottles at first and the cost of installing electricity was thousands and thousands. I used to take my toothpaste to bed to stop it freezing.” She’s still there 10 years on – even though it now features a flat screen telly and a log burner – while she is having a house built on her own patch of land. She shows me a picture of it on her phone, proud and excited that she will soon be living under a proper roof. “It’s all watertight now and I can’t wait to get in,” she grins. “I wander around it and I still can’t believe that it’s all going to be mine.” Another out-of-the-blue incident helped Bennett on the road to success when she was called by production staff on the BBC Dragons’ Den show and invited to appear. “I was working on a job at BAE Systems in Wharton when I got the call,” she recalls. “I didn’t believe it was the BBC at first. “I didn’t think I was doing anything unique.


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Birds have been used in this way since 2,000BC. I thought it might be a competitor trying to find out more about my business numbers so I asked them to email me back.” Auditions in Manchester followed and a few months later she found herself in front of the imposing row of Dragons with her mantra “Don’t argue and don’t cry” running around in her head. “It was tough,” Bennett admits. “I thought they would be all smiles until the cameras started rolling but they were really serious. “It’s not really an old warehouse, it’s a studio. And the stairs you come up are different to the ones you go down “I didn’t think for one minute that I would get any investment.” But that determination to succeed must have shone through and Bennett was one of the few entrepreneurs to get a cash award when Duncan Bannatyne offered her £50,000 for a 25% stake in her company. “He was really charming,” she says. “We bought some new vehicles with the money, and got an accountant, but it didn’t go that far really. I paid it back two-and-a-half years later.”

Bennett is passionate about looking after working animals and part of her profits go to the Brooke Foundation, a charity for working horses, donkeys and mules in some of the poorest communities in the world. “I want to have an effect on working animals’ welfare,” she explains. “Animals that work for us deserve a great deal of respect. “People have tried to replicate what a hawk can do but none of the methods work. You can’t kid a gull. And whatever you read, birds of prey are exceptionally hard to look after. “I think it is appropriate that my working animals can help working animals around the world. It makes me happy. Any bird that comes to me has a home for life.” And what a home it is. Her 39 birds – soon to be 40 – live in the lap of luxury with a colour TV for company and a penchant for watching David Attenborough wildlife programmes. “They live for 20 to 25 years,” Bennett explains. “They all have names and I’ve just got a new one who is called Tom after Tom Jones. He’s gorgeous, just like Tom Jones.” Hawksdrift now has a forecast annual

turnover of £500,000, and eight employees around the UK, from Somerset to North Wales, with more plans for growth. The company has expanded its services to include bird proofing, netting, abseiling and cleaning up bird fouling as well as the traditional hawk business. More awards have followed for Bennett, including a young entrepreneur award and woman of achievement prize, and she started the new year being named ‘Business Wales Mentee of the Year’ working with her mentor Adrian May who was named ‘Business Mentor of the Year’. Bennett’s advice for anyone wanting to start their own business is typically down to earth and borne of experience. “You don’t need money to start a business,” she says. “I’m lucky that I didn’t have money. It would have gone on posh vans, uniforms and business cards. “A penny makes a pound. Be as honest as the day is long and you’ll have very long days. “And always answer the phone with a happy voice. No-one wants to work with a misery.” And the future? “Well, I’ve got a new boyfriend,” she says. “He’s called Falconer…” n

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Grant Thornton tax partner Neil Sengupta introduces Mike Hughes to three of his clients – Alex Gutteridge, Hannah Longbottom and their six-month old daughter Sophie

We are family It seems that nothing fazes Neil Sengupta and his team at Grant Thornton. Can we meet at your office on our way back from a weekend break? Of course. If we could grab some lunch as well, that would be great. No problem. Is it OK if our baby Sophie is with us? Sure – looking forward to seeing you all again. Grant Thornton’s expanded ‘family’ is a key part of their own philosophy. With 40,000 people in more than 130 countries worldwide (including 185 partners and 4,500 people in the UK alone), it knows all about relationships, so the way Alex Gutteridge and Hannah Longbottom look after Sophie as well as running Innovate Orthopaedics really chimed with their way of doing business. The business is run from the 3M Buckley Innovation Centre in Huddersfield and utilises the clinical expertise of some of the world’s leading surgeons to design products that address their surgical needs. The example on Neil’s desk in front of us at Grant Thornton’s Whitehall Riverside offices in Leeds is a small screw that re-attaches ligament to bone. Working with surgeons who had identified the need for improvement, Innovate Orthopaedics came up with a new design to make the screw insert more easily and with less force. The device has already

been used in the knees of patients who range from Premier League footballers to prima ballerinas to weekend warriors. Surgeons who use the screw say it makes their operations simpler and safer. Alex has spent 12 years working in orthopaedics with leading ‘sports med’ providers Smith & Nephew and has built up some powerful relationships and an awful lot of knowledge, so much so he is considered a reliable source of problem-solving by the surgeons. When he was in his early 30s someone asked him what he was planning to do ‘with the second half of your life’. That startling question was the starting point for a new challenge. Explaining the importance of collaborations to success in that challenge, Alex said: “Shortly after Hannah and I started the company we got involved with two eminent UK surgeons because we wanted to be a different kind of businesses supplying the medical device market. “We sell products that surgeons actually want as opposed to selling them an iterative design made more cheaply or something dreamt up in an R&D lab. We found that surgeons are getting tired of being told what products they should use. Collaborating with surgeons is key and we have found that if we engage our customers right at


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the beginning we can take them through the complete process of analysing the problem through to design and prototype creation. The benefit then is that you have a pre-prepared market that trusts you and your product.” The business only started in 2015, so why turn to Grant Thornton at the outset? “I used to be in banking and knew all the big firms,” said Hannah. “I always thought Grant Thornton was a more holistic firm and when we were setting up I was very keen to get the right people on board. The wrong partners at such a critical stage can really affect your journey and how you operate, so the relationship is important. It’s about getting on with the people and having trust rather than just advisers who would charge you by the minute every time you wanted something, because as a start-up you just can’t afford that.” The recognisably high quality of their whole operation is critical for Innovate Orthopaedics, from the surgeons working on the world’s most valuable elite sports stars, to the designers, the suppliers, the manufacturers and on to the advisers. If one element of that network slips, all the hard work and the reputation is put at risk. Alex and Hannah are not the sort of people who will settle for second best. From Neil Sengupta’s point of view, the company was a perfect fit for two reasons. “Firstly, in our early meetings, Hannah did a great job in conveying her vision of what the business was all about. I saw the excitement of the journey right from the outset and that means I am fundamentally and emotionally engaged with them – that’s just human nature,” he says. “But also, I think one of the great things about Grant Thornton is that we take a pragmatic and flexible approach to get the relationship where we all want it to be. We are in this for the long haul and we are already excited by the progress Alex and Hannah have made in only 18 months. I can’t wait to find out what the next 18 months and then the next 18 years have in store.” Because of the model Alex and Hannah have adopted for their company, that future will be driven by the relationship with their surgeons, who have identified, at last, a partnership that can directly sort out issues they have in the operating theatre. Now that trust has to be converted into delivery of a range of solutions to keep all sides happy. “Surgeons are the engineers and carpenters of the human body, and they see things they want

to improve” says Alex. “We sat down and plotted all the issues on a sort of Boston Matrix and we had 30 or 40 things on it. Lots of ideas, but which do we start to work on first? We have a good idea of what will come next, but we don’t want to rush and force something into the market. The old marketing mantra of charging as much as a customer will pay doesn’t sit well with me. We want to provide a cost benefit to the buyer as well as a benefit to the surgeon and make a business out of it - we don’t see why you can’t get those three things lined up.” Such strong principles are admirable, and are mirrored by Grant Thornton’s own approach, but that final requirement - to make a business out of it all - is what unites these three people, as Neil explains. “When I heard what Alex and Hannah were saying, I found myself thinking ‘yes, that’s what I would do as well’. We love to back entrepreneurs and as well as respecting their business vision we want them to succeed. We will always be supportive of that, even if it is just for an hour’s chat to discuss export duties to a particular territory. “We want to give them the right platform from which to operate. For instance, we offer an online accounting platform called ‘Geniac’ which Alex and Hannah use. This has recently become an important part of our holistic service because we recognise that our core strength is owner-managed businesses and Geniac offers clients the opportunity to look after payroll, tax returns, accounts and other compliance matters for a very competitive fee, alongside our own day-to-day contact

where we can concentrate on value added conversations. That mix is very important to us and is a key part of how we can work with dynamic start-ups, and younger and growing businesses.” Alex and Hannah both intend that after the new screw is accepted and use established across the UK market, growth in the near term will come from the Australasian region, away from Brexit concerns and building on existing relationships, and a great tradition of fellowship based training between Britain, Australia and New Zealand. The funds will then build to support further work in the UK, so that the company can keep leading its sector for innovation and stay as a sustainable and ethically sound organisation. Hannah says: “There is no point in us or any entrepreneur starting a business to fail and make no profit. For us it is about sustainability, keeping an eye on the numbers whilst designing better products. There is great fulfillment for us in that and it is a huge help to know that Neil and Grant Thornton share those views.” Through all of our conversation, the backdrop is provided by the chatting, gurgling and exclamations of the most important person in the room. Sophie has clearly changed the lives of Alex and Hannah and has already been to meet most of their business partners. New company, new baby, new products and new relationships make a formidable combination. As Neil says: “Modern life is all about families getting involved in their dreams and projects together, where that might not have been the norm in decades gone by” n

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Thirty years ago, Fred Story built his first house. Since then he has expanded his businesses, owned a football club, won countless awards and given thousands of pounds back to communities. Paul Robertson charts his remarkable career.

s Fred Story reflects on being one of Northern England’s most successful entrepreneurs, he says: “I strongly believe that ‘doing the right thing’ – whatever that means – is the most effective and successful way to do business.” We are sitting in the head office of Story Homes and Story Contracting in his beloved Carlisle, a converted RAF complex made as good as new by the contracting arm of his business, just a few miles from where it all began. “My dad was a small farmer and market gardener with cattle and sheep,” says Story. “I grew up there learning practical skills with my brothers, Billy and David. We all had a bullock to look after and then sell it to make money. We also grew vegetables and sold produce at the door so I was making good money at 12. “When I went to Nottingham polytechnic, I dabbled in the stock market and made quite a bit of money investing what I made from the farm. I never gave it a thought until recent years, but it was all a great grounding as far as running a business is concerned.” On graduating, Story had no interest in taking on the family farm – “I wanted to be an architect but wasn’t clever enough, so became an engineer.” He had watched his brother, Billy, a plumber, buying houses, doing them up with the help of improvement grants and selling them on. Having married childhood sweetheart Vivien and while working for John Laing construction,

then Thomas Armstrong, in Cumbria for eight years, he spent his spare hours following Billy’s example. By the time he was 30, Story had bought a small farmstead and set about converting the barn into a family home, with four plots of land behind it – all mortgage-free, such had been the success of his investments. “My wife insisted that this project was finished before we moved in,” he says. “Previously we had lived in caravans while conversions took place and one time a mouse jumped out of the Cornflakes packet during my daughter’s breakfast time – that was the last straw.” It was also to be the catalyst for a business that 30 years later is about to see the number of employees pass the 1,000 mark and turnover hit £290m. He was hands-on, labouring on site, as the small plot became the first four Story Homes – the very first of which is still occupied by the family who bought it. “My passion was civil engineering but housebuilding was a route to get there while I got on tender lists,” says Story. “In the first year, we made £130,000 profit and Vivien was teaching in the local junior school. We were selling people houses in our back garden and their children were going to that school so it made us very accountable. That accountability has been a real driver for the business to deliver a quality product. “Our motto is ‘Do it right’ – sounds very straightforward, but it means all the decisions

Success

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“I have given real responsibility to people I have confidence in rather than me thinking I know best on everything.”

people make. We only employ sub-contractors who go above and beyond to provide a high-quality finish using the best materials. We pay them on time and they do a great job. It is important the people who work for and with us have the right culture and values as well as the skills.” Story Homes now has 30 schemes in Cumbria, the North East and the North West of England, as well as Southern Scotland, with regional offices in Newcastle-upon-Tyne and Chorley in Lancashire. It is aiming to build more than 800 homes this year and sell 1,000, with its sights firmly set on becoming the best quality house builder in the UK. The past six years have seen the biggest growth and Story is refreshingly honest as to the reasons – the business had outgrown his capacity, while owning Carlisle United became a huge distraction. “Like many family businesses we had a flat structure,” says Story. “Business had plateaued at £60m turnover over seven years, coinciding with the fact I had bought Carlisle. I was making every decision and the business had reached my capacity.” Story brought in non-executive director Peter Stybelski, who put a structure in place, improving the recruitment process and leading to the appointment of Steve Errington as Story Homes’ financial director in 2012 then chief executive in 2014, with the owner becoming chairman. He was keen the transition maintained the traditional strengths of a family business while encompassing the best parts of the corporate world – without what he sees as the

madness displayed by many highly-profitable companies that damage the business by driving profit to reward shareholders rather than deal with making a little less money in tough times. “I have given real responsibility to people I have confidence in rather than me thinking I know best on everything,” says Story. “When Steve came, there was a massive land bank because I had always invested in the business, we saw explosive growth, we had the brand and then a facility with Lloyds Bank for the first time, which has also been invested. “We demerged Homes and Contracting. Story Homes’ model is about family houses at the quality end on a volume basis. I am an entrepreneur and always thought I could buy the land, get planning, build, make profit and reinvest but we had six or seven sites that didn’t fit the new model. “We tried to dispose of them but three quarters of housebuilders got wiped out after 2008 due to the difficulty of getting finance and the domination of the big builders – there was nobody to buy the sites. So, we set up another company – Reiver Homes – to develop them. “We are totally committed to creating a quality product and to the satisfaction of our customers. We are all proud of the homes we create and we attract staff that share a sense of pride in what they do, something that can’t always be found easily in the industry. I am very proud of the fact houses are still advertised for sale in local papers as Story-built houses 15 years after they were built and that we were recently awarded five-star builder status for the third year running.”


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Fred on the site of the first house he built and sold Story Contracting is also experiencing rapid growth. The business has three areas of operation: construction, rail and plant. The plant division provides diggers and machinery to the business as well as the wider rail industry from bases in Edinburgh, Cumbria and Yorkshire and is growing by approximately 25% every year. The construction division carries out works in Cumbria and South-West Scotland. Projects vary from factory extensions to bridge and road works, infrastructure and maintenance of industrial and commercial properties. The rail division has grown rapidly to £35m of revenues, with projected growth of 25% a year. The company has a five-year framework agreement with Network Rail, providing secured workstreams in North-West England and Scotland, facilitated by delivery teams based in Glasgow and Cumbria. All employees will be invited to a 30th anniversary family fun day at Carlisle racecourse in September, which will include Story in the stocks. The company is also setting up a special anniversary fund planning to give £1,000 to 30 charities, on top of an existing fund where organisations in the communities in which Story operates can apply for sponsorship. At six-foot eight, Story is an imposing figure, having honed his talents and competitive spirit on the rugby field, but family is the most important thing in his life. Having been married to Vivien for 36 years, they have three children. The eldest, Emma, is head of operations in his construction division, currently on maternity leave expecting their fifth grandchild, while Ruth runs a holiday lettings business and son John celebrates his 30th birthday in this anniversary year and is currently financial director in the contracting unit. Story is delighted that two of his children have followed him into the business but says there is no pressure on any of them. “As for me, I am just learning to be chairman and the company likes the fact I put all the profits back into the business. We all want a business that grows and to be proud of.” What of the future? “There has never been a masterplan, it’s a case of we do that well so let’s do more of that,” says Story. “It is about continually pushing that flywheel and making it go faster. There are landmarks along the way but they are not the difference between success and failure – it’s about focusing on driving the business forward, making all the sacrifices and ensuring our customers are happy. I wouldn’t do anything else.” n

A funny old game In 2004, Fred Story took ownership of his local football club, Carlisle United, in its “hour of need” after being relegated from the football league for the first time in its 100-year history. He oversaw the club’s most successful four-year period, taking it from the Conference League to the Division One play offs, and transformed it from a loss-making business to a stable profit-making entity before passing the club on to fellow directors in 2008. Yet it is something that brought him little pleasure and caused a short-term dip in what until then had been a stellar growth. “We had been in The Times Fast Track 100 for three years running having gone from £2m to £8m,” explains Story. “The last entry said we had just bought the local football club – and my son said there would be no more entries after that. “I watched Carlisle United as a fan when Michael Knighton owned it – he was very successful for the first five years then it turned sour. I went to see him and effectively said I would give him some money if he cleared off. “Then an Irishman, John Courtney, who was a great guy, became owner and I sent him a cheque because he had saved me money by buying it. Of course, he then spent a year trying to get me on the board.” Eventually he agreed, along with other new directors, and began the task of putting structures in place to run it as a business but the club was in dire straits and went bust before plans could be implemented. “I should have let it go into administration but my ego took over,” he says. “I did one important thing in paying off the debts as it had daft loans that were draining the blood out of the club. I kept out of the football side, made sure my job was the same as it is in business – provide people with the right environment – in this case manager Paul Simpson. “I focused on getting the commercial department right and improving the fans’ experience. We did really well and made profit, but I hated owning it – I was just two thinskinned. It doesn’t matter how well you are doing there was always abuse. People told me not to buy it. You learn from mistakes and I learned to listen to other people. I don’t regret anything but football is a tough gig.” It made Story an even bigger name in Cumbria and there are not many fans who wouldn’t welcome him back as owner – but the chapter in that particular story is complete.

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Other winners on the night included: E-commerce exporter of the year Quality Bearings Online Entrepreneurial exporter of the year sponsored by BQ: The Big Word Micro exporter of the year sponsored by Chamber International Pollite Small exporter of the year supported by UK Export Finance Brandon Medical Large exporter of the year sponsored by Ward Hadaway JDR Cables Export team of the year sponsored by BE Group Suma Foods High growth exporter of the year, sponsored by the Department for International Trade Vernacare PD Ports Northern Powerhouse Exporter of the year in association with Department for International Trade JDR Cables

JDR CABLES CROWNED EXPORTER OF THE YEAR Leading cable manufacturer JDR Cables was crowned exporter of the year at the inaugural PD Ports Northern Powerhouse Export Awards ceremony. The Hartlepool-headquartered firm, which was shortlisted for both the team of the year and large exporter of the year awards, was crowned the overall winner at the glittering event attended by over 250 people in Leeds. JDR was commended for the way it has used a combination of innovation, entrepreneurialism and team spirit to achieve export excellence. The company operates in markets spanning the entire globe. The highly-anticipated PD Ports Northern Powerhouse Export Awards highlighted the achievements of individuals and companies across the North of England and brought together peers in mutual celebration of the North’s leading position on the global stage. BQ managing director Bryan Hoare praised JDR for its entrepreneurial exporting achievements. He said: “JDR is just one of a whole bunch of entrepreneurial exporters from the North of England that we have seen enter the awards.

“We’ve been surprised by the depth and breadth of the entries and in JDR we have found a real first class exporter that the North can hold high in its regard amongst many other businesses trading successfully overseas. These awards are all about inspiration - saying to businesses across the North, you can do it too.” David Robinson, CEO of PD Ports, added: “JDR Cables is a prime example of what can be achieved by businesses broadening their horizons and exploiting new market opportunities. “The standard of entries were of such a high standard that JDR Cables have done remarkably well to be named the first PD Ports Northern Powerhouse exporter of the year. “We would also like to say a huge well done to all of our winners and all of those shortlisted on the night. The event has really helped showcase just how powerful the Northern Powerhouse is.” n


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Bringing the future

into

focus

Steve Dyson meets Asad Hamir, an entrepreneur who is turning the dreary world of the opticians’ practice into customer-friendly ‘eyewear boutiques’.

W

hen Asad Hamir bounces into the room, he’s wearing the trendiest glasses I’ve ever seen since, well, since Elton John went ‘spectacles crazy’ on Top of the Pops in the 1980s. I wear glasses myself, and am having a big lack-of-confidence moment as my small, dark and out-dated pair face up to the huge, gold and silver Kite specs mounted on Hamir’s nose. But then as the man behind Kite, the UK’s first ‘eyewear boutique’ that opened in London’s Stratford Westfield shopping mall in 2014, Hamir’s got to walk the talk. And for him, the ‘talk’ is all about changing the world of opticians: making glasses as fashionable a purchase as shoes or handbags, and turning what was a clinical experience into something

more like a trip to your favourite café. Hamir grew up in ‘eyewear’: he comes from a family of optometrists, and recalls selling his first pair of glasses at the age of 14. He also has entrepreneurship in his blood: his mum’s family came to the UK as Ugandan refugees in the 1970s, and the need to put food on the table for eight siblings drove her to start an opticians’ business. That’s now called the Eye Emporium, with 13 stores across London and the SouthEast of England. “Having always been in optometry you get a love for the industry,” Hamir says. “But what I really enjoyed was design. When I was a teenager working in the family opticians, I used to try to persuade the reps to give me free

pairs of the latest glasses, and I built up quite a collection of samples.” Hamir studied optometry at City, University of London, and after graduating worked as a locum optometrist to save some cash towards his first business – which had nothing to do with eyewear. He launched Telenomics aged just 22 in 2008, working with business partners Amar and Adarsh Radia. The company began as an O2 franchise store but was soon designing and selling its own mobile phone accessories – everything from cases to power packs and cables. Telenomics is now O2’s largest franchisee, and by developing its own product range it’s grown to employ 230 staff, serving some

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“UK opticians just don’t get fashion. This was the entry point, the opportunity to try to disrupt and attack, because I know the public want the latest stuff to decorate themselves.”

130,000 customers and bringing in annual revenues of £46m. For many entrepreneurs, that success would be busy enough. But for Hamir, having a strong management team at Telenomics gave him the freedom to move into the industry he really wanted to conquer – eyewear. He again partnered up with the Radia brothers to launch Kite, where he’s the majority shareholder. And this time it was no franchise: Kite was a start-up, with its own designs, its own manufacturing and supply contracts, and its own brand and sales premises. Hamir says the idea behind Kite is remarkably simple: “As a customer, eyewear is quite an assisted sale, and a very personal one. From the frame, which is how someone looks, to the lenses, which are all about taking individual measurements. “And yet the industry is so stuck in the past. I go to shows and see all the new trends coming through, but because the eyewear market is so safe in the UK, and because opticians control it, no-one wants to stock the ‘risky’ stuff. “The trend only six years ago was rimless glasses. Then it moved to more modern acetate frames. Now it’s all about making a statement, and vintage is in, shapes from the 1980s. All the frames you weren’t able to sell are now the trendiest. But UK opticians just don’t get fashion. This was the entry point, the opportunity to try to disrupt and attack, because I know the public want the latest stuff to decorate themselves.” Hamir also sees traditional opticians’ stores as “sterile and

cumbersome”, where customers are placed on a conveyor belt to first choose frames, then get their eyes tested, and finally sitting down with staff who try to upsell them bespoke lenses – thinner, tinted, protected and various other options. “Kite is the start of a journey to challenge the way things are currently done,” Hamir says. “At Kite, you walk in and immediately the store looks different – more fashionable. There’s a scent [Kite gently infuses the air with Molton Brown products], and background music tailored to our values: fresh and new. “From the minute customers walk in, they’re offered a drink – coffee, tea, healthy juices, or water. And they’re greeted in a different way. Everything about Kite is attention to detail, from the music to the cleaning cloth, and this gives the customer another experience. Then comes the range of frames. In traditional opticians, there are so many. We’ve tried to be more minimal and so there’s not the same volume. “Most opticians display frames in price groups, from low to high, but Kite started with a flat price of £150 – and that’s for everything. We focus on shapes and sizes. Once a customer finds the shape, they can then deep-dive into colours. There might be a single frame but two or three different colours. When they have their eyes tested, our opticians use the very best, latest equipment – such as the optomap for deep retinal screening. “And when it comes to lenses, traditional opticians price the various options of thickness and coating, which can be


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confusing and something customers don’t like. At Kite, you know: you’ll always get the thinnest lenses for the same price. This is easier for the customer to understand.” This “customer experience” is critical for Hamir, and a big part of that experience is customers instantly understanding the all-in approach to price; given that Kite only uses highquality Carl Zeiss lenses, this took some negotiation, taking around 100 lens prices down to just five at the supplier stage, and then making this just one price for the customer. Hamir gets up to draw a graph on a whiteboard to show me: the more extreme the prescription, the costlier the lense, but the majority of customers are not extreme, and so their lenses are cheaper. By building extremes into an average, Kite picked a price that covered everyone. But how was the German lense expert persuaded to play ball? “This was a stale industry,” Hamir points out. “So, when you want to do something different, people are willing to hear you out. Carl Zeiss wanted to test growth, and wanted to work with innovative companies. They were open to that conversation. We caught them at the right time, and they were the right company. “Kite is now on the same production lines as the likes of Cartier. The end product sells itself. People love the quality. The experience is great. And that’s then self-perpetuating. News spreads quickly through social media. And the brand grows – because loyal customers are telling other people. It’s a fashion brand, so it’s a long game, but people get to like the brand as well as the glasses.”

After nearly three years, Kite has a £1m-plus annual turnover and employs 27 staff. It plans to double in size by the end of 2017, opening stores in Shoreditch and Soho, and what Hamir says will be the UK’s first eyewear design studio. As the brand evolves, Kite’s investing more in in-house designs, producing what Hamir says will be “really cool stuff” that “pushes the boundaries”. As a result, the company’s original all-in price of £150 will increase, but he says this will be done carefully in tiers – with customers still knowing the all-in price they are choosing. “It was always the various lense prices that confused customers,” he says. “But by clearly giving different prices within a range of frames that has a mix of models and colours, people will always know what they’re about to spend. Traditional opticians relied on lenses to make the money, rather than the frame. We’re the other way around. Our lenses will all cost the same. It’s the frame that makes the money.” Hamir also highlights how crucial people have been to making the business a success. For him, the key is working out how to recruit “awesome” teams, how to motivate them, how to keep them, and how to make sure they deliver what’s needed. “You start off with recruitment,” says Hamir, who lives in Harrow with his wife, Sayyada, also an optician, and his two young children. “Manage it yourself, not through some recruitment agency. It’s about selling the role yourself. “Then, when you get the right candidate, make sure they’re

“Kite is now on the same production lines as the likes of Cartier. The end product sells itself. People love the quality.”

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Hamir’s top tips for entrepreneurs FIND YOUR HIGHER PURPOSE “This needs to be almost out of reach, like the changes that Kite wants to make. That’s your north star. Everything comes off the back of that. Don’t deviate.”

QUALITY “Have an extremely high attention to detail for the end user. Don’t accept anything but the best, such as the quality of finish on our frames. In the future, artificial intelligence will help, controlling the manufacturing process by software. This will be quicker, and more reliable.”

CASH FLOW “Make sure you have enough cash, and a budget you don’t deviate from. I’m a big believer in financial models. Check them, hold people accountable, and celebrate when you’ve done well. Cash is king.”

the right fit. It’s very easy to make the wrong choice, so regardless of how senior the role is we do trial days, or trial weeks, to see whether they’re the right fit for the team. “Then comes motivation and leadership. We have a weekly stand up – where everyone talks about what they’re working on, and what their ‘blockers’ might be, so everyone’s aware of what everyone else is doing. And we have ‘pizza Thursdays’ for bonding, which is so important. “Finally, it’s about aligning incentives and targets. Everyone has the same: revenue and customer experience. We send emails to every customer asking them to rate their experience. And twice a week we have mystery shoppers, and staff get to watch what they say.” As well as Kite’s plans to double in size, the company’s developing the use of three-dimensional (3D) selective laser printers, where nylon powders can be instantly melted, shaped and printed out as spectacle frames. This will be another dramatic change for eyewear, moving what’s mainly an Italian manufacturing process to the UK. That’s some years away, although a prototype of Kite’s 3D printed glasses will arrive in the next few months. Hamir’s strategy is to bring eyewear fashion directly to the UK, helping to create a home-grown eyewear design industry, expanding the volume of different models and ultimately leading consumers to buy more glasses. “That’s what drives me – changing something,” says Hamir. “For me it’s not commercial, it’s about changing the industry, changing the way people perceive eyewear in the market, changing customers’ behaviour. That’s our purpose at Kite – to be at the forefront of bringing about that change and to create a new culture in eyewear.” n


Promotion

Is it a case of ‘no competition’ after Brexit? LEGAL BRIEFING

With the UK set to leave the EU, what will happen to competition law and how will that affect companies here? Dean Murray, competition partner at law firm Ward Hadaway, takes a look.

For more information on the issue raised by this article, please contact Dean Murray at dean.murray@wardhadaway.com or on 0191 204 4201.

Competition law in the UK has been heavily influenced by EU competition law. Accordingly, the UK’s decision to leave the EU, added to the Prime Minister’s announcement that the UK does not wish to remain part of the Single Market, suggests the possibility of a change in this area of law postBrexit. This has the potential to create a marked effect on how companies here do business. Currently, when competing on a European level, British businesses are governed by Articles 101 and 102 of the Treaty on the Functioning of the European Union. These provisions prevent the making of unduly restrictive agreements (including cartels), as well as preventing dominant businesses abusing their market power. These are mirrored on a UK level by the Competition Act 1998 which, for the time being, must be interpreted in light of European competition case law, although this is likely to cease following Brexit. Therefore, although in the short-term it is unlikely that UK and European anti-trust policies will differ substantially, in the longer term there is likely to be more general divergence. As such, there is the potential for increased costs and bureaucracy with businesses potentially needing different measures in place for situations where they compete in both the European and UK markets. The responsibility for competition law enforcement will also alter. Under the current arrangement, where a business’s practices have an ‘effect on trade between Member States’ the European Commission will investigate. Where the anticompetitive activity is limited to the UK, the Competition and Markets Authority (CMA) will consider the matter. Post-Brexit there will be a real possibility of parallel investigations with both authorities investigating the same matter. This would increase the workload of the CMA, stretching its resources as well as increasing the burden and costs for UK businesses under investigation. At the moment, company mergers are dealt with on a ‘one stop shop’ principle, whereby a merger with a ‘Community Dimension’, i.e. affecting other EU member states, is dealt with by the Commission and all others are dealt with by the relevant national authority. However, post-Brexit it is likely that many deals will fall under the remit of both EU and national

regimes – meaning purchasers may be obliged to make two merger filings. This is undesirable for a number of reasons including the fact that the UK merger process is lengthier than the EU process, and that the CMA charges a filing fee of £160,000 whereas there is no such fee for reporting mergers to the Commission. This arrangement could also lead to a situation where the two authorities reach a different conclusion as to the permissibility of a proposed acquisition. Therefore companies should be sure to reconsider their existing merger filing approaches as well as reviewing the commerciality of proposed deals more generally. State Aid is another key area for competition law. Currently, it is dealt with solely on a European level and there are no equivalent provisions under UK law. State Aid requirements are also only applicable to Member States, meaning that, post-Brexit, the UK will be allowed to provide aid to businesses without fear of European action. However, the UK will be bound by the World Trade Organisation Agreement on Subsidies and Countervailing Measures which controls a country’s use of financial subsidies in addition to providing remedies to counter any adverse effects. Nonetheless, the effects of this are less stringent than the current European requirements. The loss of such restrictions does not mean the Government will automatically look to exploit its new-found freedom. Further, it is possible Government will seek to impose new national laws to restrict the ability of other state bodies to assist businesses. State aid provisions have helped the UK by curtailing the financial support granted to businesses in other Member States. Such influence will be lost following Brexit, resulting in the potential for European growth that may be undesirable for UK business. Whilst much of the rhetoric surrounding the EU referendum was about lightening the regulatory load, the burden when it comes to competition issues could actually become greater for UK businesses post-Brexit. This is perhaps another illustration that the most significant legal issue in the context of Brexit is the application of the law of unintended consequences. n

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Elemental Cars is fast making a name for itself on both the track and the road. Mike Hughes compares cars with founder John Begley and loses – quite badly.

I

recently bought a new Vauxhall Astra, with a very nippy turbo diesel engine, automatic headlights and wipers, four doors, a roof and a windscreen. That puts John Begley’s new car in the shade because his has no roof, doors or windscreen – but it does do nought to 60 in 2.8 seconds and will top 100 miles per hour after less than 11 seconds, which is about the same speed with which your jaw will hit the floor when you see it. The Elemental RP1 is a stunning supercar with a ‘feet-up’ driving position that helps give it phenomenal downforce – it has achieved more than one ton at 150mph in tests, and offers the driver a Formula One experience possibly unlike any other road car. The RP1 is Begley’s dream car in many ways. As a former designer of race chassis

e h t n i Life


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e n a l fast

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“The first buyer is in London and he seems to be quite mind-bogglingly chuffed with it, and even goes and sits in it in his garage if it is too cold to take it out.”

and aerodynamics for both British Touring Car Championship (BTCC) and Formula 1-winning cars, he has one of the strongest CVs in the business, but took the leap into production because he just couldn’t find a track-day car that excited him enough. “Cars have always been a big thing in my life – restoring a Volkswagen Beetle and Karmann Ghia and a Porsche 914 is just what you do, isn’t it?” Begley grins. “I went off to the University of Hertfordshire to do a degree in vehicle design and then worked for Nissan touring cars, Vauxhall and on to McLaren Formula One. Yes – it’s mostly cars with me, and predominantly racing cars.” Reassuring then to note that, away from the office, his version of jeans and slippers is to nip off in his Mondeo estate or Rover 25. “That’s what happens if you invest all your time and money into a company,” he explains. I imagine my father-in-law would have got on well with Begley. Both quiet gentlemen with a passion for engineering, components

and tinkering, liking nothing better than a quiet Sunday that included time with the bonnet up on the driveway or in the garage. But at Elemental, Begley is the steel chassis that everything else hangs off – and the warmest applause and nods of appreciation were reserved for him at the very end of last year when the first production model was handed over at the company’s Hambledon headquarters in Waterlooville, complete with a custom colour scheme of pearlescent white, matte black and lacquered carbon. “The first buyer is in London and he seems to be quite mind-bogglingly chuffed with it, and even goes and sits in it in his garage if it is too cold to take it out,” admits Begley. “It was a great moment for us all and – with another three in build – it is all very exciting.” It was a key turning point on a long and challenging drive. Like pulling off the A28 for lunch at Saint-Saturnin just a few miles before you reach the beloved and aspirational Le Mans track; you know you are within touching

distance, but it is good to pause and build up the anticipation. Earlier on the journey, the headlight-bulb moment came when he and a friend were racing with the famous 750 Motor Club and were driving Locosts, an enthusiast’s car modelled on the Lotus Seven. Trying everything to squeeze more performance out of the 1300cc Ford Crossflow engine, Begley realised he could do better. “There was only so much I could do with it and I wondered about modifying this, that and the other almost just as a home project,” he remembers. “We made an aluminium tub for it and the whole gist right from the beginning was to get the feet up, so we looked at that and it started to get really interesting. “It simply evolved from there and there started to be interest from people, so we thought we would take it a step further and it became more serious as time went on and we started to assemble a team and I became the founder of Elemental Cars in 2012.


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“They are a really strong group of people – you couldn’t ask for better, quite frankly. Everyone knows a bit about everyone else’s field, but then specialises in their own areas, so we don’t end up working in isolation.” The ‘feet-up’ position Begley mentions is a trademark of the RP1 and unique among roadgoing vehicles. It replicates a Formula One driving position, and means the seat is tilted back nearly 30 degrees, bringing the pedal box up higher than your hips. As well as creating the closest possible connection between driver, car and road, the advantage is that it creates a gap under the feet where the Elemental team can use radical front diffuser aerodynamics to control the airflow and create the astonishing downforce at the front of the car that is dazzling drivers and was described by one reviewer as “serious mechanical grip augmented by the hand of God”. Another added that “above 60mph it feels like Nellie the invisible elephant has parked her behind on the bonnet”. Begley sees it very simply. With your feet in the normal flat position there is a good ten inches of wasted space from your legs to the underside of the dash. That does not appeal to the supercar designer in him, so he moved the feet up into that space and worked on the gap they left behind. The performance that results was highlighted at another key stop-off on the Elemental journey – the Goodwood Festival of Speed, where the car posted strong times on the famous hill-climb, despite weather that went from very wet to damp to sunny and back again. “The weather could certainly have been better, but it was an interesting week,” laughs

Begley. “It is an exciting place with a real buzz and the whole design of the car was running through my head while we were there and watching the RP1 going up the hill. “It was wet and the thing is quite a beast, so caution was the better part of valour, but it did well and, on our stand, we put a chassis at a rather ‘jaunty’ angle so we could display those aerodynamics that make such a difference to the performance.” There is a pride in that jaunty angle, mixed with a comradery with motoring enthusiasts keen to see the next great supercar and then mixed again with the commercial side of the operation. Explain to this appreciative and highly-knowledgeable audience how the car does what it does and you will inevitably attract attention and sales. And for their £82,250 – plus VAT – that audience will get more than just a copy of the car that buyer number one is enjoying so much. Each vehicle can be tailored to suit individual driving requirements, and pushed as far as the customer would like, from unique paintwork or engine tuning to bespoke race development, tuition and support. “It was always intended to be used on the track,” said Begley. “And – holy moly – when I first put my foot down in it, I didn’t do it for too long. It is hard to describe, but certainly a unique experience, which also gave me a good idea of the few things I wanted to change on it, like a throttle spring that was a bit stiff.

“When I first put my foot down in it, I didn’t do it for too long.”

“But how it is driven is another thing and is completely up to the individual. I probably won’t potter about too much on the track in it, I’m more likely to pop out and see some friends at the weekend. “There is more than 200 litres of luggage space because the rear frame comes to a pyramid shape, so on the rear quarters you are left with big areas of nothing where we have attached bins. “The idea of that is that if you want to go to Waitrose, you can get a lot of stuff in there, including your helmet if you are driving with one, or your tent and your pants if you are away for the weekend – and a 50-litre fuel tank to help you get there. The car is pretty light, so if you don’t drive it insanely you can get pretty reasonable miles to the gallon.” The next step, he reveals, is an unexpected one. Adding a windscreen to “bring it more in line with a normal car rather than an extreme device”. He adds: “The windscreen will make a world of difference for comfort and ease and then we will look at doors and a roof later on. “Things like doors – and hinges – are exceptionally hard because of the sealing you need to do, which is an art in itself. Then we will be looking at engine upgrades, or downgrades if we use the one-litre engine more – which is a lot more manageable.” Building a racetrack supercar that can also be manageable enough to do the weekly shop is a stunning achievement, and the whole SouthEast of England is now being picked out by RP1 headlights on full beam. There is outstanding potential here for Begley’s project to create a cluster of businesses, a cutting-edge supply chain and a queue of investors. They’ll all be racing down here. n


Promotion

Business, the law and the value of advice Aziz Rahman’s law firm, Rahman Ravelli, is expanding thanks to its growing reputation and successful track record in the fields of corporate crime, civil fraud and asset recovery. Here he explains why it is more important than ever that businesses do all they can to prevent wrongdoing in the workplace.

London Office: 1 Fetter Lane, London EC4A 1BR. Phone: +44 (0)203 440 5515 Birmingham Office: 3 Brindley Place, Birmingham, West Midlands B1 2JB. Phone: +44 (0)121 231 7025 Halifax Office: Roma House, 59 Pellon Lane, Halifax, West Yorkshire HX1 5BE. Phone: +44 (0)1422 346 666

Aziz Rahman is busy. He is in the process of sorting out the finer details of the planned expansion of Rahman Ravelli’s London base while mulling over proposals to increase the firm’s capacity at its centres in the Midlands and Yorkshire. The expansion is a welcome headache. Since its founding in 2001, Rahman Ravelli’s progress has been steady and impressive. It has racked up consistent top rankings in the national and legal guides this decade – with Rahman himself highlighted as one of the UK’s elite solicitors – and a succession of awards. Then there is the series of high-profile successes that has helped propel Rahman Ravelli into the top strata of legal firms that specialise in white-collar crime and commercial litigation. Yet Rahman himself sees other forces as part of the reason for Rahman Ravelli’s continued increase in size and profile. In particular, he cites the changing legal landscape for creating a greater need among companies, senior business figures, professionals and high net worth individuals for expert legal advice. A need for firms, like his, with expertise in cases that cross borders and involve a number of jurisdictions, with experience of resolving disputes where corporate wrongdoing is alleged. He explained: “Many aspects of the law on business crime have changed significantly in the past decade or so. There is also an increased determination among the law enforcement agencies, both here and abroad, to enforce this law. “This has led to more companies and individuals coming under investigation. It has also meant that they now have to do more to ensure nothing is being done that will attract the authorities’ attention. “Firms of all shapes and sizes and many individuals are seeking legal advice as they are being investigated – or believe they are about to be investigated – or because they want to know what to do to make sure they are complying with the law. “A reactive approach to an investigation and a proactive approach to preventing the need for one both require the help of a business crime expert: someone who can assess the situation swiftly and

accurately, decide the most appropriate course of action and, if necessary, use their experience in challenging or negotiating with the authorities. “Only then can companies and individuals ensure they do not suffer the harshest penalties under business crime legislation.’’ Last year saw the first conviction of a company under the Bribery Act, for failure to prevent bribery. The Serious Fraud Office (SFO) has gained extra funding to investigate and prosecute similar cases, which means UK companies will find themselves under greater scrutiny; wherever in the world they trade. There is also the authorities’ heightened focus on tax evasion in the wake of last year’s Panama Papers scandal; with the Criminal Finances Bill set to make companies criminally liable if they fail to stop their employees facilitating tax evasion. Issues such as VAT and tax fraud are also coming under closer examination, while banks and financial institutions are facing increasing obligations to prevent money laundering. Aziz Rahman added: “In recent times, some of the most famous names in British business have come under intense scrutiny. Tesco, BHS and Rolls-Royce, to name a few, have all been the subject of major investigations and unwanted headlines. “But anyone in business is now more likely to be investigated than ever before – no matter how low profile they are. That means that more people are requiring advice on business crime matters. “And they need to recognise that if they are to achieve the best possible outcome then they must seek out the best possible people to represent them: the people who have the most expertise and the strongest track record of success.’’ n

“Firms of all shapes and sizes and many individuals are seeking legal advice as they are being investigated – or believe they are about to be investigated.”

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Our region of unrivalled digital opportunities Professor Jane Turner, pro vice-chancellor, enterprise and business engagement, at Teesside University tells Mike Hughes how its five-part digital blueprint for the region is becoming an essential catalyst for growth.

CHANGE is one of the necessary and unavoidable elements of running a successful business, from keeping ahead of a fast-moving marketplace to expansion plans and taking on board seismic developments in rules and regulations, changing Government policy and, of course, new technology. A key element in the next industrial revolution, digital defines the way we do business today, and Teesside University is pioneering a strategy that is uniting every corner of the sector to ensure the people who work in the Tees Valley have the skills the region needs for the future, so it can grow employment through creating new businesses and high value digitally-focused jobs. As pro vice-chancellor for enterprise and business engagement, Professor Jane Turner is developing the University’s reputation as one of the UK’s leading business-facing educational establishments and an essential engine of innovation for her region – with digital at its heart. “For traditional industries, the extent to which they adapt to digital change is a major factor in deciding whether they succeed, stall or fail in the future,” she told me. “Digital is now the driving force powering the growth of new businesses and new sectors and at Teesside we see the role that digital plays in our lives as an opportunity for the Tees Valley to put real power behind its ambitious plans for the economy. “If we support businesses in building their digital capability, we can help them evolve so they can support the growth of the existing and emerging sectors we need for a strong and productive future.” The region is already leading the way here, creating the opportunity to secure a national and international reputation for a digital cluster with cutting edge skills, attracting more businesses to come here and work in the supply chain that is linking so many digitally-focused industries. To fully achieve the region’s depth of ambition, the University will be working with businesses to share knowledge, support innovation and develop skills, inspiring individuals and businesses to see the University and DigitalCity as a partner in a long-term strategy. Turner says: “If the region is really to make the most of what Teesside University can offer as a driver for growth, we need our partners to engage more closely with us on three key levels.


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“At Government level we will strive to ensure that politicians and policymakers recognise the strategic role we play in the future of the Northern Powerhouse. We have the capability to help deliver the Industrial Strategy and we must be seen as integral to the Government’s investment strategy. “Regionally, we will influence and support the economic transformation of Tees Valley and the region. We will be at the heart of new economic strategy development, and act as the bridge between business and academia – all backed with investment and a commitment from all partners to promote and champion our strengths. “And in business itself we will work with groups, networks and individual organisations who will see that Teesside University is a partner who can support their growth and help fulfil the potential we see for the whole of the region.” At the core of this seemingly unstoppable drive to spot and develop opportunities and capitalise on the breakneck speed with which

technology is changing, is the University’s flagship DigitalCity operation, a project which has already helped to create hundreds of new companies and jobs. Towards the top of its extensive ‘to do’ list are supporting and enabling the digitisation of the manufacturing sector and healthcare; working to build the digital high-street to improve the quality of people’s lives, and leading the way in digital inclusion, particularly for women in technology. “We’re bridging that gap by encouraging more women to come on our courses and to actively consider a career in digital, so that ultimately half of digital businesses in the Tees Valley have female leaders, explains Prof Turner. “DigitalCity will bring together all of the digital knowledge and support at Teesside University in one place and then connect businesses with the knowledge, skills and expertise they need. We’re here to support digital start-ups, help small and medium-sized businesses who want to use digital to grow, and

work with bigger companies to help put digital at the heart of their business.” Defining the University’s wider digital goals are five key targets, which will form the foundations for sustainable success. 1 - Creating a new generation of digital businesses by nurturing digital start-ups and providing hubs where they can grow. 2 - Supporting the growth of businesses by unlocking growth potential through digital innovation. 3 - Transforming sectors with digital knowledge and providing businesses with the research and expertise they need to improve their competitiveness. 4 - Preparing businesses for Industry 4.0 and the influence of automation and digital supply chains. 5 - Growing digital skills and talent and giving people and businesses the digital know-how they need for the future. Prof Turner’s enthusiasm for these aims is clear, and she is keen to make sure a wider audience realise how the region can be transformed if it

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works together as a single digital machine. “The continuous creation of new businesses is the lifeblood of any region,” she tells me. “They help underpin our strength in new sectors and drive innovation and competitiveness in our existing industries, while a vibrant start-up economy will keep valuable talent and skills in the region. “Tees Valley’s target of increasing start-ups by 25% by 2025 is so important – and we are confident that it is achievable, particularly after a study by our LEP, Tees Valley Unlimited, showed that in recent years we have consistently had the highest business birth rate in the UK. “We also have to give this thriving start-up community the opportunity to convert new ideas into new businesses. Teesside University has a critical role to play here: supporting our own students and alumni and ensuring the right resources are there to help individuals from our wider community. “Within the University, we have opened the doors of the Teesside Launchpad – a space to share, test and develop new ideas and provide an environment to thrive. But our influence goes far beyond the campus. At Boho One in the town’s new digital district and at

Fusion Hive in Stockton there are spaces for technology companies to connect directly with the knowledge and support available at the university and have a clear path to scale up.” When those new entrepreneurs have been draw here by the dream of being an integral part of one of the most comprehensive digital strategies in the country, they will see that their ambitions are going to be understood and supported. But when success comes, they need to know that there is a long-term structure to support them. “ Getting more of our growing businesses to scale up and push even further ahead of the competition is just as important as being the birthplace of start-ups – if not more so,” says Turner. “For this to happen, businesses in our region need to apply technology and digital thinking to make their products more attractive to their markets. Providing businesses with the people who can identify and deliver those gamechanging improvements is a major focus for DigitalCity and the university. “There are outstanding examples here of how our partnerships are working, like Applied Integration, whose automated control systems are critical to the petrochemical, oil

and gas, and nuclear sectors. It is working with our academics to radically redesign its project development framework and create new software, which will reduce costs and development time for critical systems. “Teleware, a business based in Thirsk that helps improve customer service operations, is another. It is using our expertise in big data and machine learning to help develop a product which can tap into increasing demand for more sophisticated insight into customer experience to identify short and long-term problems, which could cost businesses money. It’s a piece of work that will play a major role in helping to double revenues over the next two years.” “Examples like these - and there are many, many more - show that the availability of a digital knowledge base is key to ensuring existing and new businesses see our region as a place to grow. Our pledge as a university is to make it easy for businesses to find people with those higher skills and know-how which can help them become more productive.” The UK Government’s own analysis shows that the Tees Valley leads the UK in the level of innovation funding that it attracts, which is helping transform the region and make it fit for the future. In its ambition to embrace the whole area and identify and build on its full potential, the university has seized the opportunity to cross different sectors and help them work together. “Solving competitive problems faced by entire sectors is something that individual businesses are typically ill-equipped to do,” explained Turner. “The blend of investment, fresh knowledge and capacity is rarely available within an individual business. By using research to apply cutting-edge digital thinking to real-world problems, our work is helping build the sustainability of a range of industries from power generation, where we are increasing the efficiency of coal-fired power stations, to energy supply, where we are helping businesses use resources more sustainably. In the construction industry, our experts will reduce costs by an order of millions of pounds through the elimination of structural inefficiencies. “These aren’t just ideas and principles - we are creating practical ways that businesses can grow. The National Horizons Centre is a ground-breaking multi-disciplinary skills and innovation facility helping with the application of digital technologies to the emerging bioindustries as well as to the wider advanced


Partner

“The ability for Tees Valley to develop digital skills in its workforce is, without doubt, the defining factor in our ability to build a successful future economy”

manufacturing sector, while our Technology Futures Institute is partnering with businesses now to find solutions to any issues that might be holding back their efficiency.” This University-led digital revolution is the perfect partner for the national Industry 4.0 strategy – also known as the fourth industrial revolution – which focuses on increasing automation and data sharing across manufacturing supply chains. There are many businesses who understand what is happening and see its importance, but crucially only a minority have the knowledge and capability to implement the changes they need. The university’s vast experience is an important factor in making that minority an influential majority, as Turner points out. “In our experience, some manufacturing businesses believe that achieving this kind of transformation requires huge investment in enterprise resource planning software and that extensive resources or costly management consultants are required to implement it. “But we know that needn’t be the case. We can help make that change happen, often through knowledge transfer partnerships which are a formal arrangement between businesses and the university. Through this work we eliminate disjointed or labour intensive processes by putting new digital ways of working at the heart of their operations. “We are working with small- and medium-

sized manufacturers to identify and capitalise on digitised processes, while our academic experts have consultancy strengths that are identifying the priorities for digital working and providing undergraduates with the right knowledge to work within business. “These are, once again, practical steps rather than only ideas and advice. We are working with business people every day to meet their needs and are committed to making a real difference to how Tees Valley businesses operate and view their future markets. “We know that one of those real differences is making sure the skills are in place to make the most of those future markets, because a digital skills gap costs the UK economy £63bn a year in lost GDP, which is both a national challenge for the UK and a regional opportunity for Tees Valley. “By developing more specialist digital skills here we can build the reputation of the region as a destination for businesses seeking this kind of expertise. We can also capture our place in national and international supply chains. At Teesside University our strength in specialist graduate degrees in digital and computing provides the talent that traditional businesses need in order to grow. “In turn, those acquired skills will underpin the growth of our digital cluster by fuelling start-ups and providing them with the employees they need. Importantly, this

includes addressing the lack of female leaders in the digital and technology sector. We can help grow female representation in the Tees Valley industry to 50% by explicitly promoting the role of women in tech companies.” From classroom to shopfloor and into the boardroom, the trackable success of Turner’s team at Teesside University and DigitalCity is exactly what is needed in a region where there is a sense of urgency to build on its industrial firepower we have and implement the newest ideas and brightest thinking. That start at student level is reflected in a digital and technology solutions professional degree apprenticeship which is being brought in, and already more than 200 people have improved their digital skills through a digital management MA, delivered in partnership with global business Hyper Island. And all that work is being noticed by the people who matter to the regions economy – the employers. The skills on show are attracting businesses from outside the region to come and do business, like Amplience, a Londonbased retail ecommerce business, which chose to locate its development centre at DigitalCity’s Boho One because of the access it has to excellent digital skills. It now employs 45 people, including a number of Teesside University graduates. Nifco Group, a major Japanese automotive component manufacturer, has worked closely with Teesside University on skills, R&D and innovation. This has helped the Stockton facility grow its order book and Nifco has recently chosen Tees Valley for its first R&D centre outside of South East Asia – global recognition of a massive team effort in the very best tradition of the renowned Tees Valley business spirit. As Turner says: “The ability for Tees Valley to develop digital skills in its workforce is, without doubt, the defining factor in our ability to build a successful future economy. “Every aspect of business growth depends on it and Teesside University makes it a key priority to provide businesses with those skills, supporting those preparing to enter the workforce and providing ways for those already in the workforce to develop digital skills.” n

Theforge@tees.ac.uk tees.ac.uk/theforge 01642 384068

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Head over

heels J

anan Leo was both furious and pleased when the issue of women being forced to wear high heels at work hit the news again earlier this year. “It’s disgraceful that she was told that,” says Leo, referring to how secretary Nicola Thorp was sent home from work at accountancy firm PwC after refusing to wear stilettos. “As long as you look smart that should be acceptable. It’s really hard to accept in today’s world that any boss can demand ‘your shoe heels should be this high’ or ‘you must wear make-up’. “I mean, really – I don’t wear any make up. So, it’s quite belittling in a way. We’re all grown women, and I’d have thought that at PwC, where you have to have brains to work, people just wouldn’t have had that attitude.” But anger aside, Leo also has her business head screwed on: in 2007 she created the concept of the foldable but fashionable shoe for women to wear while commuting, enabling them to slip into high heels at work without the crippling pain of wearing them all day. Or

because they were so stylish, they could just wear the flexible shoes all day – and still look good. The footwear was launched under the brand Cocorose London and ten years later the company is selling tens of thousands of pairs a year to more than 30 countries, with annual revenues topping £1m. And so back to the high heels debate: “Yes, of course this news is a great opportunity for us – because the subject is exactly what we’re about. Cocorose London is about giving women flexibility and freedom of choice over what shoes they’re going to wear and how they’re going to wear them. “We offer women the opportunity to say ‘I am going to wear heels to that meeting, but not all day, and I still look good and feel great’. It’s about comfortable luxury, because it’s important to have that inner confidence and emotional stability in this commercial world.” Leo was born in Chiang Mai, northern Thailand, in 1980, the daughter of a British mum and a Thai dad who’d met at the University of Leeds, before they set up a jewellery factory back in Thailand. This meant Leo grew up and

Ten years ago, Janan Leo’s high heels were so painful that she made prototype ‘bendy shoes’ using thick socks and rubber. Today, her foldable footwear sales exceed £1m a year, as Steve Dyson finds out. was educated at an international school in Chiang Mai until the age of 18, when she came to the UK to study food science, also at Leeds. She studied hard and graduated with firstclass honours, before moving to London for a job with luxury sandwich-maker Hazelwood Breadwinner, which supplied everyone from Asda to Concorde flights. Then she moved to Pret a Manger to work in new product development (NPD), where she picked up many of her business skills. “It was so different at Pret,” Leo recalls. “I went from what was essentially manufacturing to understanding more about retail where the consumer’s always at the heart of it. I remember when lots of cafés started offering the hot panini, but Julian Metcalfe [founder of Pret a Manger] said ‘We’re not doing that’ because he didn’t like the smell or the sound of the panini machine pinging, and he didn’t think his customers would. “That was quite deep for me. He was always thinking about the end consumer and said ‘It doesn’t matter what anyone else does as long as you do what’s right for you’. I still go into Pret a lot and I think today they have

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hot sandwiches, but technology’s moved on. It wasn’t right at the time, and that was very influential to me.” Leo spent nearly three years working at Pret, part of a team responsible for everything to do with new products, from the recipe to training staff, and from introducing concepts to rolling the idea out and seeing it on the shelves. Then she joined Oldfields, another sandwich maker, as NPD manager for its Starbucks account. “It was great experience,” she says. “Working with two big retailers and for such an entrepreneurial company like Oldfields subtly makes you realise ‘maybe one day I can go out on my own’. Meeting those people and seeing the way the high street was going, I realised there was something more than a nine-to-five job for me.” After a few years at Oldfields, where she met her partner Gareth Austin-Jones, the company was taken over, leading to a restructure, and the new couple took redundancy and went travelling together to South America. When they returned, Leo took what was supposed to be a short-term role at Virgin Trains covering maternity leave, but ended up staying for three years. Once again, she worked in NPD, introducing what were then new services like wi-fi on trains, and mobile phone charging in first-class

“Women instantly got it because it’s about our everyday lifestyles.”

lounges. Leo had to dress smartly for her role, which was when she started to feel the pain of high heels on the tube every day. “It’s not possible to wear heels all the time,” she explains. “But in flats, I felt really frumpy, because they didn’t give me the confidence of wearing high heels. This feeling built and built and I thought ‘I bet it’s not just me’, and I wanted to find a solution, thinking ‘How can I create one that no-one else needs to make for me?’” Leo began experimenting, and before long had stitched a pair of Footsie socks to some thin rubber from the cover of a notebook. And that was it – her prototype foldable shoe, and one she believed could be a success if only she could get it made properly. “I approached so many factories, but they were all saying ‘No’. You have to have confidence in both your product and yourself, and by having that prototype – even though it was basic – it helped. It took a long time trying to develop it, breaking it down and going back

to the ‘concept to launch’ process I’d followed at Pret. Eventually, someone said ‘Yes, I’ll help’.” Even then, Leo was cautious. The whole idea of her bendy shoe was that it was a fashion accessory, one that folded into a smart and trendy purse. This potentially meant a patent, so she didn’t want to tell the factory exactly what it was in case they just made it for themselves. She went the long way around – getting one factory to make the shoes, and another to make the travel purse. But the product worked. “Women instantly got it because it’s about our everyday lifestyles,” she says. “Women today are busier than ever before. They’re multitasking jobs, families, and goodness knows what else. As a young professional, you’re out first thing in the morning, then back late at night, so you’re constantly thinking: ‘What is my outfit, how is that going to work, and what can I do to make my life easier?’ “When I started, I launched online and straightaway, day one, I had sales. One customer said ‘This is really cool’, another said ‘I definitely need these, I’ll buy two’. It was striking a chord with the customer, because that was me, and there were a lot more out there like me.” Back in 2007, the digital world was nothing like it is today, so Leo built her brand physically.


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“There are some very loyal people out there. We’ve made something that makes their lives easier, and they’re coming back again and again.”

She carried on working for Virgin Trains for three years to help fund it, spending weekends on a stand at London’s Brick Lane market in front of her customers. Meanwhile Gareth, her partner, helped drive operations by going fulltime immediately. In year one, total revenues barely reached £50,000. Now in its tenth year, Cocorose London’s sales are 20 times that level and still growing, with about 70% in exports. The company only has the equivalent of five fulltime members of staff because it out-sources most of its operations, with its products manufactured in China and Italy. Cocorose London has scores of models in its range – from trainers to boots and slip-ons to sandals – and Leo and her team are constantly developing new designs. The brand not only sells well online, but is also stocked by highend fashion stores across the country, at prices from £50 to £120. Big names like Dame Helen Mirren and Pippa Middleton wear the shoes, and the brand has trend-setting partnerships with the likes of The Royal Ballet and the BAFTA film awards. It’s not all been simple though, says Leo: “We started in a recession and so business was

a tough old road. We’re big exporters, and so then faced the recession in other countries where we have big markets. Then there’s the brand itself. How do you build it up? That was a challenge.” The potential patent never materialised, which annoyed Leo. The process was long and drawn out, but her bid to protect the concept and packaging of the foldable shoe was rejected. “They could have said that at the beginning rather than leading us down what was an expensive track,” she laments. Instead, she trademarked Cocorose London, and says this is crucial for any new brand wanting to export, as some countries and distributors won’t accept non-trademarked products. Leo has just launched a new, bigger website to handle global sales 24-hours a day, and is continually linking up with key customers on social media. “Social media takes time to build up conversations, but it’s also fun, because you instantly know that someone’s really seen them [the shoes],” she says. “There are some very loyal people out there. We’ve made something that makes their lives easier, and they’re coming back again and again.” Back in 2007 there were no competitors,

but today several similar products are on the market. Yet Leo’s relaxed about competition: “It’s healthy and keeps us on our toes,” she says. “And it just goes to show it’s a great idea. In this world, there’s space for us, and we just need to focus on our product and make it the best – like the lesson I first learned at Pret – and not worry too much about what others do. “Trying to remember that is important for me. Otherwise it’s so easy to get caught up in everything. Instead it’s better to come back to your core – this is what we’re about and that’s why people come back to us. And it’s about pushing our boundaries. We were always unconventional, and we’re constantly bending the rules of what shoes can be like.” Getting up to go, Leo shows me her twoyear-old foldable boots, and adds: “Because I’m wearing them all the time, I can say ‘This is what’s good’ in developing our products. For example, we’ve added pillowed heels for ultimate comfort, and concealed wedge heels in some designs to give a little height.” And with that, she heads back into a tube station for another tortuous journey – but one she’s made easier for herself and tens of thousands of other women. n


Promotion

Educating work-ready graduates needs a ‘whole person’ approach Shaping the workforce of the future

As higher education becomes increasingly market driven, universities face the challenge of balancing quality and integrity, as research and learning institutions, with responding to the changing needs and expectations of employers and students.

For information on industry relevant education, contact: Bob Gammie, Dean of York Business School: b.gammie@yorksj.ac.uk

Building on over 175 years of heritage at the heart of one of the UK’s most historic cities, York St John University takes a ‘whole person’ approach to developing the student experience as part of its strategy for integrating the requirements of an effective, modern university. Following the biggest growth across all English universities in acceptances onto its courses, York St John is well placed to meet the demands facing higher education institutions. By adopting more agile course development, focusing on projects and research that make a real social impact and building on a long history of strong community collaboration, the university is enhancing its reputation for producing work-ready graduates who combine imagination and ideas with practical skills and experience. Vice chancellor Professor Karen Stanton emphasises the University’s commitment to responding to the needs of industry: “We’re constantly in conversation with employers about their needs and experiences when it comes to graduates. We know that whilst the quality of the degree is important, what also matters is the attitude and aptitude of the individual.” These things can come through in taught learning, but they must also be cultivated through the opportunities, ethos and behaviours that surround a student during their time on a course. At York Business School, the value of realworld experience is at the heart of many academic courses, providing students with a critical understanding of the management of organisations. Developing a deeper understanding of business management in a holistic way provides a solid foundation for entry into a wide range of employment opportunities. Stanton adds: “We believe our values and approach align with features that increasingly shape successful organisations. We promote creativity, whatever the discipline. We encourage big picture thinking and a global outlook, forging links with partners in growing economies like India. We actively promote personal wellbeing and

social responsibility and of course, being based in Yorkshire we believe in hard work and getting things done” These qualities are evident in many of York St John’s flagship education initiatives, such as its ground-breaking Converge project, a partnership between the university and the local NHS Foundation Trust, which sees mental health service users from the community invited into the university to receive free access to courses from right across the institution’s portfolio. Whilst overseen by university staff, these courses are designed and delivered by students, bringing the mutual benefits of a social learning experience for people with mental health challenges and leadership and decision making opportunities for the students. So far over 1,000 people from the local area have benefitted. “Converge is a great example of how universities can do things differently”, says Professor Stanton. “It uses our institutional assets to deliver a public benefit and do so in a way that increases the empathy, confidence, credibility and ultimately the employability of our students”. The effect of this “whole person” approach is evidenced by data. As well as the growing popularity of its courses, York St John ranks seventh amongst all English universities for the long-term employability of its students. With employers increasingly asking for social and emotional skills from graduates, this is one institution actively rising to the challenge. n

“We’re constantly in conversation with employers about their needs. We know that whilst the quality of the degree is important, what also matters is the attitude and aptitude of the individual.”

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Baby talk Amy Livingstone and Julie Wilson explain how starting their families also led to them launching their Cheeky Chompers business, writes Peter Ranscombe.

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ntrepreneurs can meet their business partners in the most unusual of places. For Julie Wilson and Amy Livingstone, the founders of baby products brand Cheeky Chompers, that unusual place was an antenatal class when they were each eight-months pregnant with their first children. When their babies were teething, they were frustrated at constantly picking up or losing teethers. Livingstone and Wilson hit on the idea for the ‘Neckerchew’, their debut product, a dribble bib that both attaches to the baby


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and has a built-in teether. “We thought that someone else must have come up with an idea like that before because it was so simple but, as we did our research, we got more and more excited because we realised that no-one else had,” explains Livingstone. “The more we looked, the more we realised that we’d hit on a gap in the market.” “Both of us have always been entrepreneurial,” Wilson says. “I’ve had a number of small businesses over the years and Amy has always had plans to run her own business.

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“Babies throw their teethers and comforters around, so we want our Neckerchew and Comfortchew to be attachable to buggies or car seats. We sell the two of them together in a ‘chew-pack’.”

“When you have a baby and you’re taken a long way out of your normality there’s something in you that changes and makes you reflect. There’s always been a fire in our bellies, independently, to go and do our own thing and so when we saw this gap in the market we decided to fill it.” “So many mothers say ‘I wish I had this’ or ‘I wish I had that’, but we said, rather than just talk about it, let’s go out there and do it,” adds Livingstone. “We decided to take it a month at a time to begin with, because neither of us had been involved in manufacturing or retail or textile design, but nothing held us back.” Wilson was on maternity leave from Scottish Enterprise, where she’d spent 20 years as first an account manager and then tourism innovation manager, but had also explored her creative side as an artist, exhibiting in her native Edinburgh and even collaborating with Michelin-starred chef Martin Wishart for the ‘Art on a Plate’ exhibition. Livingstone was working in sales and marketing at Hotel du Vin when her first child was born. The pair raised money from their families to start the business in 2012 and launched the Neckerchew in February 2013. Both had returned to work in the second half of 2012 and

were initially running the business part-time, but then Livingstone was made redundant from her job, which allowed her to spend more time on the start-up, while also having her second baby. Wilson carried on working at Scottish Enterprise until 2014, but then left to focus on Cheeky Chompers full-time. “Both of us felt it was much more exciting to run our own business than to be doing our normal day jobs,” explains Wilson. “The business became our baby and why would we want to give our baby away to someone else to run?” The company won a £50,000 Scottish Edge Award in 2013 and Livingstone and Wilson quickly set about extending their product range of blankets, comforters and teething products, with the ‘Comfortchew’ – which combines a comforter and a teether – following in 2014. A whole family of brand extensions has since been added to the range, from the ‘Neckerbib’ – a dribble bib without the teether, ‘for the days your little one dribbles but doesn’t chew’ – through to the most recent additions: the ‘Cheeky Blanket’, which includes straps for attaching it to a buggy or car seat; and ‘Chewy’, a ‘sensory’ hippopotamus-shaped teether with a strap.

“All the products have features in common,” Livingstone explains. “They are all attachable, helpful, stylish and high-quality. “Being mums ourselves, we really understand it’s the little things that can make the biggest difference in design and practicality for busy parents. Our products are all designed with an intuitive twist to help make parents lives that little bit easier. “Babies throw their teethers and comforters around, so we want our Neckerchew and Comfortchew to be attachable to buggies or car seats. We sell the two of them together in a ‘chew-pack’,” she adds with a groan at the play-on-words. “We wanted to make the most out of what was innovative about our product,” says Wilson. “We protected the intellectual property (IP) very early on and we knew we had to be the first to market in each country because other people would try to copy us. “There were lots of dribble bibs on the market, so we made ours reversible, we gave it an absorbent middle layer, we made it out of softer cotton and we created a teether that was made from silicon instead of plastic and had a design that allowed it to get to the back teeth, not just the front teeth, and massage the


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gums. The innovative part wasn’t just adding a teether to a dribble bib but making it the best in the market. To start with, we thought we’d just do the UK for the first year and then start to export, but it caught on overseas really quickly.” By the end of its first year in business, Cheeky Chompers was selling the Neckerchew in eight overseas markets. The company now has distributors in 35 countries, including the United States, and also sells its products to other countries via its website. Exports now account for nearly 70% of the firm’s £1.5m sales, with the company launching a big push into China this spring after signing up two distributors. “We didn’t just want to trickle into China, we wanted to go in all guns blazing,” says Wilson. “These two distributors give us great coverage. We’ve had perhaps 15 distributors approach us in China, but they’ve not been at the premium level or had the right coverage.” Taiwan is the firm’s second largest overseas market after the US and its distributor on the island got in touch after reading about the business in an article on a UK newspaper’s website. “She became one of our first distributors and she managed to get a big Taiwanese pop star and television presenter – who’s married to an equally big Japanese pop star – to use our products,” Wilson says. “Whatever design their children wear or use sells out straight away.” Success in overseas markets led to Cheeky Chompers being crowned ‘Emerging Start-Up Exporter of the Year’ at the 2016 HSBC Scottish Export Award, run by BQ in association with Scottish Enterprise. The award was the latest in a series of prizes to be added to the company’s trophy cabinet: Livingstone and Wilson had been crowned ‘Emerging Entrepreneur of the Year’ at membership body Entrepreneurial Scotland’s 2015 awards and were winners in the Scottish finals of the 2016 EY Entrepreneur of the Year competition. “The product awards are great, especially when parents and buyers both get a say in who wins,” says Wilson. “They give the product credibility and give parents reassurance when they’re looking to buy them. “The business awards are really good too because they open up lots of opportunities for networking. You get to meet a lot of people and I’m always amazed by how generous they are with their time and advice.” An early appearance on BBC2 programme

Dragons’ Den, which was first aired in March 2014, also gave the entrepreneurs a boost. Although none of the dragons invested in their company – with their targets branded as ‘delusional’ – the publicity led to a spike in sales and the pair smashed through the targets presented on the show. “An innovative way to expand our brand was through partnership and one of the brands we’d identified was Joules,” says Wilson. “After we were on Dragons’ Den, Tom Joules called us.” The company has gone on to form a partnership with the Tiny Tatty Teddy brand and has grown by building relationships with retailers including Boots, John Lewis, JoJo Maman Bébé, Marks & Spencer, Ocado and Toys R Us. Protecting the firm’s IP has been an important part of the process, especially in overseas markets. “We’ve had a lot of success in having copycat products taken down off the internet in China, Europe and the US,” Wilson notes. “If we had our time again then we’d reflect on the amount we’ve spent protecting and

defending our IP and probably pick our fights a little more carefully. But being the first to market and protecting your IP is definitely a winning combination.” The company works with SnapDragon, a fellow Edinburgh-based firm founded by Rachel Jones, the entrepreneur behind the Totseat chair harness. Jones spent so much time defending her IP that she created SnapDragon as a spin-out company to monitor e-commerce sites on behalf of clients for copycat products and then have them removed. Cheeky Chompers has grown to employ ten staff, with all its fabric products made in Glasgow by reusable nappy manufacturer TotsBots. “TotsBots has been brilliant – it’s grown with us at each step of the journey,” says Livingstone. “It’s gone from having about 26 staff to about 46 now.” As well as breaking into China, the company is preparing to launch a new range of products. Given the strength of their partnership – they’re like an old married couple, even finishing each other’s sentences – Livingstone and Wilson look set to bring Cheeky Chompers to an even wider audience. n

“An innovative way to expand our brand was through partnership and one of the brands we’d identified was Joules,” says Wilson. “After we were on Dragons’ Den, Tom Joules called us.”

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h c a Be ms a e r d

e d a m are of this

Not much connects optometry, fashion for the elderly and linguistics, but Kavita Parmar has done them all. Now the award-winning entrepreneur tells Steve Dyson why she wants a six-month holiday.

K

avita Parmar’s dream is to have what she calls a “flip-flop” lifestyle – spending half the year working, and the other half on a beach. But having taken just five days’ holiday last year, she admits she’s a long way from living that dream. And when the 39-year-old entrepreneur sits down to talk, it’s soon obvious why: her mind is always on the next challenge, working out how she can continue what she’s doing but also launch something completely different. Parmar’s busy approach to life started as a teenager back in her home town of Leicester, when she was first thinking about careers. Her mum was a banker, her dad an accountant, and so her first idea was to become an architect. But as she watched the global property slump, she quickly changed her mind and decided to become an optician instead.

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“I designed a range of clothing that promoted independence, enabling them to dress themselves.”

She studied at City, University of London and started work in optometry in 2001, but before long came up with her first business idea. She’d been running regular clinics in residential nursing homes for the elderly, often those suffering from dementia. She noticed how these residents were often given scruffy clothes to wear, because of their physical and memory problems. “All these old people were wearing things like tracksuit bottoms and T-shirts, and I saw how distressed they were,” recalls Parmar. “They talked about the loss of independence, and how they had previously been so proud of how they looked. One old chap told me: ‘I used to love wearing a shirt and tie, but now I can’t because of my arthritis’. “I designed a range of clothing that promoted independence, enabling them to dress themselves but still feel proud of how they looked. Things like shirts and bras with magnetic fastenings, open-backed clothing that was still smart.” The elderly residents loved the new clothing, and before long Parmar was designing, producing and supplying her Adaptawear range across the UK. By this stage, she was living in Birmingham with her husband, Tiku Chauhan, and so based her design studio and warehouse in the inner-city suburb of Tyseley, outsourcing manufacturing to Bulgaria and China. She ran the company from 2004 to 2009, reaching annual revenues of more than £500,000 and employing three staff, before one of her suppliers said “I love your clothing – if you want to sell, I’ll buy it”. Parmar was nearly nine-months pregnant at the time and was looking for some work-life balance as a new parent, so she cheekily told the supplier “Make me an offer”. It did, and she sold both Adaptawear and the warehouse property for six-figure sums.

She returned to optometry, working as a locum while her daughter, Lana, now aged seven, and her son, Sai, now six, were very young. But she still had that entrepreneurial flair bubbling away inside her, and was soon on the look-out for another business of her own. Parmar’s desires matched those of her husband: he was working in finance at Pendragon but “wanted to get out of the rat race”. They put their thinking together and, in 2013, bought a company called Express Interpreting from a family friend who was retiring. Within a year, they’d rebranded the company as Word 360, and expanded its expertise from what was mainly interpreting for courts and hospitals to a full translation service for the business and education sectors. They relocated from Handsworth to Five Ways near the city centre, and saw revenues steadily rise from around £500,000 in 2013 to more than £1.2m in 2016, with staffing growing from two to ten. “The backbone of the original business was public sector,” says Parmar, “as the previous owners had recognised the need for interpreting for courts, hospitals and councils. We thought this was pretty good as a basis, and that we just needed to sort out the sales and marketing to make it a winner. “We began with a tendering approach in the public sector across the UK, which had around a 20% hit rate for contracts worth anything between £100,000 and £500,000. But this national approach didn’t really work, so we focused on the West Midlands where we were already a well-known interpreting agency.” Parmar joined the Asian Business Chamber of Commerce in Birmingham to help her networking, and started to build “really good relationships”. She also studied on the Goldman Sachs’ small business leaders programme at

Aston Business School, which she said was crucial for developing a direction for the company. “We recognised that our offering of wider translation services to the higher education and business sectors could become our unique selling point, and so we grew our sales and marketing to focus on those areas,” she explains. “We hired dedicated project managers who could deliver translation services for all sorts of projects, from e-learning materials to contracts, from websites to marketing and public relations agencies. “We still do almost all the hospitals in Birmingham and other public sector work, but whereas this was 70% of the old business, it’s now just 30%. The other 70% is now businesses and third-sector organisations.” Parmar herself speaks “pretty fluent” Gujarati as well as English, but insists that she’s “no linguist”. Instead, Word 360 can call on the skills of more than 5,000 freelance linguists in its network, between them speaking more than 250 languages and dialects. It sounds like a lot of people to deal with, but she explains that the business promises the very best for all sectors, which not only means getting the right linguist but also one who knows the relevant sector. “It might be someone who speaks Thai in the legal sector,” she explains. “Or French in the marketing world, or Japanese in the car industry. We need that repertoire so that we can respond quickly and accurately. “We’re a recruitment company if you like, offering a full range of experts to translate and interpret. Or sometimes a client will need voice-over artists, or transcribers. While they’re freelance, we’re very much a people company, and we even have our own language school, providing bespoke training for our interpreters – always seeking to upskill them.”


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“We’re a recruitment company if you like, offering a full range of experts to translate and interpret.”

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While Word 360’s linguists are subcontracted, its staff look after the finance, scheduling, project management, sales and marketing, and all the other operational needs that come from having around 150 clients. As well as the hospitals, courts and colleges, other clients range from a tiny giftware company manufacturing in a back street of Bearwood but exporting to 20 countries through to giants such as engineering firm Arup, make-up brand Charlotte Tilbury, distributors Parcelforce and DPD, and other big names like Biffa, Sertec and Yale. Word 360 even handled the languages behind the recent takeover of Wolverhampton Wanderers football club. “The range of clients provide the challenges that drive me,” says Parmar. “And I think any entrepreneur constantly needs to challenge themselves, to be out of their comfort zone. That’s the arena I enjoy. I’ve been an optician, a fashion designer and a linguist, all of which require very different skills.

“But, in other respects, it’s the same. It’s about leading a business. Being determined. Growing a business. And the success is down to personal focus, determination and teamwork.” That word “teamwork” brings Parmar onto the role of her husband, Tiku Chauhan, aged 45. The pair, who now live in Moseley, Birmingham, are both Hindus from families of Indian backgrounds. “It’s Tiku and me in the business together,” she says. “That brings its own challenges, of course. But as a business, our ‘rock’ and ‘whirlwind’ combination works. Tiku is the management side, the organisation, operations and finance. He’s the rock. Whereas I’m the sales, development, blue-sky thinking, what we need to drive it forward. I’m the whirlwind.” Looking ahead, Parmar claims to want to be able to step out of the business in five years’ time, and to have the right management team in place to accomplish that. “A work-life balance is so important,” she says. “As an entrepreneur, your business is your

baby. It becomes an addiction, because you are the primary force, driving it forward. Ideally, I want to try to develop the right person and team for me to get that work-life balance. “As a start-up, it’s not so easy to get that. But taking over a business like we’ve done is a lot easier than starting one, and if you don’t look after yourself it doesn’t matter how much you earn. So, my life goal by 2022 is a flip-flop lifestyle – that’s half the year on a beach. I’m not there yet and only had five days off in the whole of 2016. But that’s my aim.” But then, within seconds of talking about six-month holidays, Parmar’s at it again – planning her next ventures: “I want to focus on internationalising the business – taking it to the Middle East, and possibly the United States. Back in 2014, I created my own software with a Romanian partner to automate the delivery of language services in the public sector. I want to commercialise that next.” It seems that turning the flip-flop dream into reality will be Parmar’s hardest challenge. n


HIGH LIFE SPRING 2017 MOTORING

TRAVEL

EQUIPMENT

DRINKS


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BENTAYGA adds luxury to utility I

n the future there will be only two kinds of car. For those who like languorous lines and driving hard, there will be sports cars. Much as horses used to plough fields and pull carts, but are now ridden for pleasure, so sports cars, redundant on congested streets, will be driven on tracks, these toys then put away until the next time. And all other cars will be SUVs – comfortable, practical and functional, the workhorses of the road. We live more active lives. We sometimes really just need a van. An SUV is the answer, with – let’s face it – more emphasis for most of us on the U rather than the S. If this dismays those who love their cars – SUVs have something of a reputation for being just a little bit dull – then two words might change their mind: Bentley and Bentayga. If the top-end car marques have, over recent years, dabbled with producing


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“The Bentayga is right on time. It shows just what’s possible if you’re prepared to spend £200,000-plus.”

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something SUVish, and certainly outside of their comfort zones – the likes of the Porsche Cayenne and Macan spring to mind – few of the results have seemed truly committed to the idea so successfully championed by the likes of Volvo, BMW and Land Rover. Launches new and in the pipeline may yet rectify this – the Maserati Levante, Jaguar’s planned CX17, even SUVs from Aston Martin and Lamborghini, with its Urus. And then there’s Rolls-Royce’s Project Culcullen, an SUV due for launch in 2018. And small wonder even the least SUVish of brands are set to enter the market – in the US they’re already the dominant car type, accounting for roughly a third of the

market, SUV sales (qualms over diesel pollution notwithstanding) are expected to surge 30% by 2020, while in China and India rough road conditions make the SUV an obvious choice over any low-slung sports car. Add in the fact that in many emerging economies the very wealthy have chauffeurs and don’t actually know how to handle an out-and-out performance car, and such new SUVs give them the opportunity to buy into these motoring super brands. Perhaps SUVs even offer the chance for a kind of guilt-free driving in austerity economies - if a sports car seems frivolous, an SUV is multi-tasking. Value is inherent. It’s one argument - maybe.

But before all that has come the Bentayga, doing now what Lamborghini didn’t quite pull off with its preemptive LM002, the four-wheel drive “Rambo Lambo” it launched way back in 1986. As they say, it’s as bad to be too soon as too late – and the Bentayga is right on time. It shows just what’s possible if you’re prepared to spend £200,000-plus on something that diehard speed freaks might dismiss as looking like a well-appointed London taxi – at least until they depress the accelerator to discover quite what this kind of London taxi is capable of. Well, all hail the Bentayga: this car takes the SUV rulebook and rips it up by effectively cramming everything one might expect from


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one of those big Bentley tourers into a shorter, higher body. It still looks like a Bentley too – losing brand identity being precisely the fear that has put so many car manufacturers off trying to make their own for so long. Indeed, if a Bentley might typically have been a second car – blissfully free of the clutter and bits of stale crisp liberally scattered over the more everyday well-heeled family car – then now it seems to have accepted its parental responsibility, right down to offering the chance for spiking blood pressure and in-car screaming matches as one gets to grips with playing the aptly-named “Frozen” on the initially impenetrable tablet-based entertainment system. When it comes, enjoy that song, yet again, from - count ‘em - no fewer than 20 speakers. Yet if so many other markets – clothing, cellphones – have embraced the fact that utility and high style need not be uneasy bedfellows, Bentley reveals that it can be done in a car too. It’s clear why the Crewe-based

company has called this car its most significant launch in a decade. More than that, in defining a new market, it is one of the wider industry’s most significant launches too. Almost everything on the Bentayga is new: the body is made from a lightweight but rigid aluminium/steel mix; the engine is a new 12-cylinder petrol one, offering, the company claims, the best power, torque and economy combination of any SUV. And then, amid the quilted leatherwork – more creases in which to catch that small person detritus – there’s all the gadgetry: night vision, head-up display, driver assistance... Certainly the dashboard’s pick ‘n’ mix of buttons can be bewildering and would have benefited from being more tidied away as a page on the touchscreen. And there are other touches that, while they may have sounded luxurious in the management meeting, are frustrating in reality. The centre console, for example, has what one can only assume is a beautifully-crafted spectacles case – which

only speaks to the likely age of the Bentayga’s myopic driver, or to the fact that they’re the kind who always wears sunglasses. It’s a nice idea, until you want to put your coffee down, when it’s revealed that the cup holders are under the glasses case, a home for which now has to be found before you can put your drink down, by which time it’s likely scalding your lap. But this is a minor quibble in an otherwise excellent all-rounder with luxuriousness to spare. And luxury, as much as practicality, is what this is about. Refreshingly, Bentley makes no claims to off-road capabilities, an honest assessment perhaps that a Bentayga is unlikely ever to go where no mega-bucks car has gone before, and is more likely to be found in just the same gridlock as the next, rather less well-appointed vehicle. Indeed, the Bentayga’s traffic assist system means that, up to speeds of 3km per hour, the car can progress completely autonomously - leaving you with the chance to wipe spilled yoghurt from the buttery upholstery one more time. n

“The Crewe, UK-based company has called this car it’s most significant launch in a decade.”

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Ones to

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t’s a diving watch – but then not quite a diving watch of the familiar kind. MB&F’s HM7 Aquapod is an almost entirely transparent glass case suspended in a “floating” bezel, with a winding rotor said to echo the tentacles of some undersea creature. Like a jellyfish, the makers note, it glows in the dark. But then this kind of watch – detailed, dynamic and, above all, different – set the tenor for this year’s recent Salon International de la Haute Horlogerie in Geneva, the watch trade show that, given the multimillion pound stands and rivers of champagne, is nothing like a trade show. Here is where the watch world first unveils its new ideas – and if there is one over-arching idea for 2017, and, many have suggested, going forward, it’s that disruption is the new normal. Rather than follow trends, each brand is seeking to make ever more distinctive watches, either in aesthetics, mechanics, materials or all three. The result is a refreshing challenge to notions of refinement, taste and even what a watch should be. Here is the most striking pick of the bold crop. ROMAINE JEROME DONKEY KONG LE To a younger generation, the reference this watch makes to the classic video game may well be lost. Those older folk who remember it, however, may well be nostalgic about it. Whether you’re so nostalgic you’d want to wear a take on Donkey Kong on your wrist is another matter. Romain Jerome has won a deserved reputation for leading the way in the bold use of graphics and unusual materials alike in its watches: and this piece, made in collaboration with Nintendo, is no exception. The video game saw the Japanese tech giant sell 696m units worldwide. There are only 81 of these watches, marking the year that Donkey Kong was released. MONTBLANC HERITAGE CHRONOMETRIE EXO TOURBILLON RATTRAPANTE Just what do all those fancy foreign words mean? As far as it goes for Montblanc – a company that shows that, with the right impetus, you can move from pens to very serious watches, and get taken very seriously for them, in just a few years – it means the company’s first watch to combine two complications notoriously hard to combine. Here find the exo tourbillon - which means the balance

“Rather than follow trends, each brand is seeking to make ever more distinctive watches.”

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wheel is positioned outside the tourbillon’s cage - together with a monopusher splitsecond chronograph. Any the wiser? Trust us. That is not easy. URWERK UR-T8 Marking the 20th anniversary of this boutique brand – and it says much that Urwerk is one of a small clutch of well-established progressive watch brands that most people will never have heard of – is the launch of its first transformable watch. With a carousel configuration for the time display (it’s read of a rotating ring of three discs of numerals, each of these discs also rotating), the whole case can be flipped over to reveal a titanium shield, thus protecting the dial. It’s a nod to Jaeger LeCoultre’s legendary Reverso, of course, and then some. IWC DAVINCI AUTOMATIC A glance at the IWC Davinci hardly suggests anything radical is afoot. But, given the general move to distinction, if not outright outlandishness, the Davinci’s pared back styling – something akin to how a child might draw a watch - is something of a statement. At 40mm is it positively dainty too – at least relative to the often outsized pieces around – and deliberately so: IWC sees this as being a unisex model, an idea that could well catch on for

future products. The gold plated numbers and hour and minute hands are nicely contrasted with that blue seconds hand.

also guarantees for 50 years.

ZENITH HERITAGE 146 Digging in the crates, as DJs call going back through their forgotten records, has become something of a knee-jerk action among watchmakers: when in doubt, re-issue. So when it happens it has got to be good: and Zenith’s 60s watch is that. With its dial in a “tropical” brown or blue, the piece is not only 38mm – suggesting a shift towards smaller watches better suited to the all important Far Eastern market – but it comes with that historic El Primero movement too.

HUBLOT BIG BANG UNICO MAGIC SAPPHIRE The Big Bang may long have been a staple product for Hublot but the company keeps finding new ways to reinvent it. At first this edition looks to be all black, until you realise that you are looking through it directly on to the black skeleton movement, and that everything else about the watch – the bezel, middle, back, 45mm case - is made of transparent crystal. That might not be magic – though making fully crystal cases remains hugely complex, and thus expensive – but it does at least make the watch virtually scratch-proof.

PANERAI LAB-ID The use of carbon in watchmaking isn’t new: for years more advanced companies have used it for their cases, for example, benefiting from the material’s strength and scratchresistance while also taking advantage of it being relatively lightweight. But now Panerai has used it to get a step closer to a holy grail of watchmaking: the lubricant-free movement. Lubricant is vital to keep a watch running accurately - the lack of it is also why it needs regular servicing. The LAB-ID replaces this oil with carbon nano-tubes – providing an alternative greasing of the wheels the company

BAUME & MERCIER CLIFTON CLUB SHELBY COBRA 10344 There are collaborations and then there are collaborations – indeed, if you’re designing a watch to commemorate the classic car that is the Shelby Daytona Coupe, it would be impressive to actually get the car’s designer involved. Hence Peter Brock – who also designed the legendary Corvette Stingray – bringing touches from the car to the watch, such as the shape of its foot pedals, here re-worked as the watch’s push buttons, or the colour arranagement on the tail of the car, here clearly in the half blue, half white dial. n


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“The result is a refreshing challenge to notions of refinement, taste and even what a watch should be.”

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Feeling a little bit like royalty Steve Dyson follows in the footsteps of Noël Coward, Frank Sinatra and Oscar Wilde by staying at The Savoy hotel in London.

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here’s something special about phoning down to reception when you’re staying at The Savoy, and politely asking them to invite your wife up for a cup of tea when she arrives. And when Mrs D did arrive, slightly suspecting that I was playing tricks, there was even more joy to watch her face become one of awe as she was shown into the little vestibule of our junior suite, with three interior doors ahead of her. I lorded it as I took her first into the plush lounge, with deep-piled carpet, Edwardianstyle sofa and chair, vintage writing desk and art deco-esque furnishings. Then I revealed the luxury bathroom with huge, solid sink, bath and separate walk-in shower, and enough posh toiletries to last a week. Even the loo roll came wrapped in a parcel. Rarely do you feel as if you’re at home in

any hotel, but at The Savoy we rather thought we were staying in the home of someone very special, a touch of royalty perhaps. We sipped tea in china cups while soaking up the views of the River Thames through one of our four windows. We dined out in nearby Covent Garden, and on our return I showed Mrs D inside the third door, leading to our sumptuous bedroom, with a bed you literally had to climb onto before sinking into. Our only tiny moan was that the duvet could have been thicker as the night got colder, but blankets were available to warm us up. It ended up as the deepest sleep you could dream of, the blinds and heavy curtains shutting out the light and noise of central London. But I must admit my slumber was assisted by the absinthe-infused cocktail I

enjoyed after slipping down to the Beaufort Bar while Mrs D enjoyed a read before lightsout. Framed pictures around the hotel reminded us of The Savoy’s famous guests: George Gershwin, Frank Sinatra, Noël Coward, Oscar Wilde, Charlie Chaplin, Joan Crawford, Judy Garland, Marilyn Monroe and Elizabeth Taylor, to name but a few. It’s even said that Winston Churchill regularly brought his cabinet to lunch here. As those faces swam into our imagination, we took breakfast in Kaspar’s restaurant, and both veered away from the usual plates to select house specials. Mrs D started with a seasonal fruit salad with berries and candied ginger, then warmed up with scrambled eggs and smoked salmon. My entrée was Bircher muesli with bananas and blueberries, followed by omelette Arnold Bennett – a thick portion filled with smoked haddock and cheese sauce. What a delicious start to the day. The Savoy is not inexpensive, but it you’re in London for a special treat or to celebrate business success, you’ll not regret investing in one of its 267 rooms and suites. n The Savoy is at the Strand, London, WC2R 0EU. Stays at the Fairmont-managed hotel start from £450 per night, based on two sharing a deluxe double room. For more information or to book, visit www.fairmont.com/savoy-london or call 0207 836 4343.


HIGH LIFE

Oasis of peace in the city A hotel in the heart of London is a well-kept secret for the traveller seeking a quiet haven, writes Steve Dyson

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he fact that the nearest underground stations are 10 minutes’ walk away from The Bermondsey Square Hotel makes it one of London’s secret venues. And it’s more than worth the exercise to arrive in a place that’s away from the hustle and bustle of the central city but still sits amid the quieter buzz of its own community The hotel is situated at the southern end of Bermondsey Street, home to a thriving scene of restaurants, bars, cafés, art galleries, design studios and boutique shops, which means there’s plenty around to visit. This 90-room boutique venue is a new-build on seven floors, with big picture windows, and stunning black-and-white photos of London life livening up the walls and landings. The square the hotel sits on also contains an arthouse cinema, and on Saturday mornings the Bermondsey antiques market is well worth a visit. The bedrooms come with floor-to-ceiling windows and weighty, electriccontrolled black-out blinds. I stayed in a terrace room that had an exciting rooftop garden and chairs from where you could look out over Bermondsey Square, the Shard and the City on warmer nights. The interior was cleverly designed to make the most of its space, with the bed angled to fit into the back of a huge work desk. The bathroom boasted what’s become the must-have of all decent hotels in 2017 – a walk-in drenching shower. The GB Grill is a friendly place to grab a lunch or evening meal, and while the menu’s not the largest it offers plenty of comforting plates like smoked haddock chowder, fish and chips, lamb shank and crème brûlée. Intriguingly, the hotel does not serve alcohol, but there are some great bars nearby, and a Sainsbury’s sits opposite if you want to take something back to your room. And if you’ve got time to spare and friends to entertain, there are some solid Atari-style computer games in the lounge, along with a full-sized table football. Another highlight was the corner library, perfect for a quiet read on comfy sofas. Breakfast was very decent, although another quirk was the absence of pork. Instead there was turkey bacon or chicken sausages, which don’t have quite the tang of a full English but are obviously important offerings for the wider community the Bermondsey serves. Overall, the informal but friendly service, sensibly-priced rooms and surprisingly good food make The Bermondsey Square Hotel a worthwhile place to stay. The best tube stations to use are Borough or London Bridge, and if it’s raining then an Uber to either will only set you back £3.50. n

The Bermondsey Square Hotel is at Bermondsey Square, Tower Bridge Road, London SE1 3UN. Stays at the Bespoke Hotels venue start at £119 per night on a B&B basis. For more information or to book visit bermondseysquarehotel. co.uk or call 020 7378 2450.

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HIGH LIFE 2014 Bolney Estate Pinot Noir. £14.50, Justerini & Brooks

Hush Heath Estate’s 2015 Skye’s English Chardonnay. £16.50, Hush heath.com

Lamberhurst Estate Bacchus Reserve. £14, Marks & Spencer

2014 Lyme Bay Bacchus, £13.50, Oddbins

The Limes Home Grown English Dry White. £8.99, Waitrose

Stopham Estate Pinot Blanc. £15, M&S

Beyond bubbles England has a growing reputation for its sparkling wines, but what about its other offerings? Drinks writer Peter Ranscombe explores how English still wine is developing.

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EW drinkers can argue with the quality of England’s sparkling wine. Having started out as something of an oddity and the butt of many jokes, English fizz has won a trophy cabinet full of awards and earned its place among the world’s best sparklers. Yet not all of England’s tipples are effervescent and if you look beyond the bubbles then you may be surprised by the rising quality of the country’s still wines. As the climate warms, the same soils that produce world-beating sparkling wines are also turning out credible still tipples too. England is on the northern cusp of the wine-producing belt that encircles the equator and so less-familiar specialist varieties have been the mainstay of the country’s vineyards for many years. Black grape varieties such as Dornfelder and the hybrid Rondo – along with whites like Ortega and Müller-Thurgau – may not have the same brand-recognition as best-selling international varieties like Cabernet Sauvignon, Pinot Grigio and Shiraz, but they’re better suited to England’s cooler temperatures. Bacchus is one variety that’s really come into its own. The 2014 Lyme Bay Bacchus (£13.50, Oddbins) from Devon has plenty of lemon and lime citrusy notes on the nose, along with an elderflower aroma that reminds me of

Sauvignon Blanc. On the palate, it’s off-dry, with the slight roundness from the residual sugar helping to balance to refreshing acidity. Elderflower and grassy aromas are even further to the fore with the Lamberhurst Estate Bacchus Reserve (£14, M&S), made by Chapel Down in Kent. It’s drier on the palate, with the lemon and grapefruit flavours giving way to richer lime curd notes. Another stand-out white is the Stopham Estate Pinot Blanc (£15, M&S) from Sussex, an organic wine that performs an excellent balancing act between its rounder ripe pear and guava flavours and its fresher lemon and grapefruit notes. Given the success of English fizz, it’s perhaps not surprising that the same varieties used to make sparkling wines are also shining as still wines. Chardonnay and Pinot Noir form the backbone of sparkling wine production and together account for nearly half of all the vines planted in England. Hush Heath Estate’s 2015 Skye’s English Chardonnay (£16.50, Hushheath. com) from Kent may look pale and water-white, but it packs a stone-fruit punch, with apricot and nectarine aromas on the nose giving way to peach and lemon flavours on the tongue. It’s dry, yet strikes a fine balance between its acidity and its long fruity finish. On the red side, the 2014 Bolney Estate Pinot Noir (£14.50, Justerini & Brooks) can hold its

own against any similarly-priced cool climate pinot. Its crunchy cranberry and fresh raspberry flavours are paired with well-integrated vanilla from its ageing in oak, producing a rounded feeling in the mouth. English still wine remains a minority sport and so its prices reflect its niche production. A top tip is to look for bottles labelled as “English regional wine” – these wines are the equivalent of the old French “vin de pays” country wines, both falling under the current “protected geographical indication” (PGI) or “indication géographique protégée” (IGP) designation. English regional wines have different rules to the protected designation of origin (PDO) regulations covering “English quality wines” – the equivalent of France’s appellation d’origine controlee (AOC) or Spain’s denominación de origen (DOC) – and allow the use of easier-togrow hybrid vines, which is usually reflected in the bottle price. Waitrose has been a champion of English sparklers and so it’s natural that the chain stocks a wide range of still wines too. Its 2014 The Limes Home Grown English Dry White (£8.99, Waitrose) is a great introduction to Blighty’s bottles without breaking the bank. Made by Denbies in Surrey, it has warmer lemon aromas on the nose, leading into concentrated lemon and lime flavours on the palate. n



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“ MGF supplies the support systems that allow construction companies to dig their excavations. Founder Michael O’Hara shares the secrets of his 35-year success with Maria McGeoghan.

“I always wanted a go at my own business”

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sk Michael O’Hara for the best advice to anyone setting up their own business and he doesn’t miss a beat with his reply: “Find work, price it right, do it right, and get paid for it. If you don’t do all these things right then it won’t be a good business. You always have to look to being cheaper, quicker, lighter, faster, better.” And he should know. As the founder and owner of MGF, now celebrating its 35th anniversary, 71-year-old O’Hara has seen more success than failure. MGF works on projects large and small throughout the UK. From housing to highprofile and complex basement excavations, MGF is there at the very start, shoring up trenches with its wide range of products, which it also designs and manufactures. It’s a very successful business model that O’Hara talks about with real passion, humour and fondness. Growing up in Oldham as part of a big Irish family, making the move into the construction business was almost pre-ordained. “I always wanted a go at my own business,” says O’Hara. “In the late 60s and 70s, construction was an Irish industry. “You’d see all the men lined up after 11 o’clock mass. It was a job market as well as a social thing. I grew up surrounded by it all.” He went to school in Greenacres in Oldham and grew up in a happy 100-yard triangle between home, church and school before being summoned to the head teacher’s office in 1957 and told he would be a grammar school boy. A long daily bus and train journey to De La Salle Grammar meant very early starts but an introduction to a new world. “It was a bit strange at first but as soon as got some mates I loved it,” he remembers. “I

loved the camaraderie of it all. “If it was a foggy day and someone was late we would all wait for them at Victoria station so we could all say the weather had made us late. We stuck together and this year it will be 60 years since we all first met.” He’s still in touch with those same friends now and every other year they meet up to swap stories and find out how life is treating them all. They’ve all done De La Salle proud, with old boys succeeding in everything from writing plays to running the Bodleian Library in Oxford. It’s a theme that runs through the whole MGF story: fierce loyalty and building and keeping long-term relationships. O’Hara went on to study maths, physics and chemistry at A-level, completed a civil engineering degree at the University of Manchester and got married as soon as he graduated. “People talk about being the first in their family to go to university – I was the first one with a pen,” he jokes. “It was my escape hatch.” Every summer holiday he worked for George Dew construction in Oldham doing just about anything, and he then started a job with GHL clean water engineers. But the urge to go out on his own was always there. “I wanted to make some money,” he says. “I wanted something better. The Irish call it the ‘great hunger’. It’s more than just about what happened in the potato famine, it’s about working towards security. Making your life better.” So, in 1971, he left his job and set up a contracting company with two other directors and it started to do well. “We all worked really


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“I didn’t take a holiday in seven years, but we were lucky and made some good money.”

hard,” he explains. “I didn’t take a holiday in seven years, but we were lucky and made some good money.” A natural storyteller, O’Hara’s hilarious account of a dalliance with construction explosives is the stuff of legend. While working on a huge water main project in Hebden Bridge, his team came across massive boulders that could only be broken up by gelignite. “Remember, Belfast was in flames at this time and here was I looking for jelly,” he laughs. He went to the local police station where a young bobby issued him with the three licences required to purchase, store and fire the explosives and set off to buy the gelignite from a central store.

“I loaded up 25 pounds of jelly and 400 detonators into the back of my little green van and set off for the site,” he says. “On the way, I phoned home and my wife told me that the police had phoned and I had to take it straight back. “So, I went home with it and put the gelignite under the stairs and the detonators in the kitchen. When she found out what it was she went mad. We had two babies asleep upstairs.” During the night, he had visits from the police and an angry chief fire officer but they didn’t want to take the gelignite off him so the following morning he set off for the Hebden Bridge site and “started blowing stuff up”.

He shakes his head and laughs, remembering the adventure and the innocence and folly of youth. Good luck played a big part in their success and even the weather was on their side during the long, hot summer of 1976 when they undertook a big drainage job. “The water table was a lot lower than normal,” he recalls. “It was like a seam of gold. The job should have taken 18 months to two years but we started at Easter and finished in October. We made a ball of money out of that job.” As the business grew, O’Hara realised that he needed to recruit more expertise, but his directors were reluctant to change so in the end they bought him out. He then invested


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New managing director has vision for business As the new managing director of MGF Excavation Solutions, Simon Littlewood has an impressive “to do” list in front of him. After a sixmonth project getting to know every corner of the business, he is in the process of setting out his plans for the future. Construction and excavation is a world he knows very well. Littlewood graduated with a civil engineering degree from Loughborough University in 1993 and worked in contracting for a few years before joining Vibroplant Groundforce as a design engineer in 1997. Over the next 19 years, he worked his way up through engineering, sales and management to become managing director of the company in 2008. “I had a fantastic 19 years at Groundforce, working with some amazing people but felt it was the right time for a change,” he says. “The opportunity to experience working for a privately-owned business was appealing as it will broaden my experience in business management. “I knew that MGF had an ambitious outlook for the future and have a strong presence in the market. There’s already an experienced, longserving senior team here and we’ve got a very robust business model.” Littlewood’s appointment signals a new era for MGF. “My vision is to take the core business as it is with all its strength, efficiencies and customer focus and expand the geographical footprint in the UK,” he says. “We also feel there are opportunities for horizontal growth by developing other associated specialist product lines that our customers use every day.” He adds that plans to trade overseas are still very much “on paper” but the company is always looking for new opportunities to grow. People development is also a big part of MGF’s future. “We need to build on what we already do well and do it even better,” says Littlewood. “This business is all about people and if we invest wisely in this area it can only benefit everyone, particularly our customers.” Developing information technology and new technology are also key priorities, with plans in place to integrate the key systems, which will in turn improve efficiencies and management of stock. But right at the top of Littlewood’s list is the alignment, structuring and up-skilling of the company’s sales and marketing teams. He says: “We’ve got real potential to develop our customer base. “We want to keep the local drive but build a national team. As well as our desire to grow, we are always focussed on looking after our existing customers. It’s an exciting time to be at MGF and I’m delighted to be here.”

in another construction company but it got caught up in a complex legal claim, which coincided with a major recession. “I had to be at the banks at 6am every day to see what I could spend,” he remembers. “I was working 100 hours a week and losing money. I had been the golden boy but all that had changed.” Then, in 1981, he’d had enough of contracting and decided to investigate trench boxes, which had been developed in Germany. He bought the equipment from a company called MGF – translated as “Machines and Appliances of the Ground from Fernthal” – and called the company the same name to save on branding. “I decided I didn’t want to work with any partners,” he says. “I thought that if I go under then it’s just my fault.” He bought the trench boxes from Germany, rented them out to UK construction companies and calculated that the business would be financially independent in seven years. Thanks to some very lucky encounters with banks, he managed to get through the seven years and the rest is history. MGF started to make trench boxes itself, which suited the increasingly safety-conscious building industry, and moved from doing 20 designs a year to 5,000. The company now employs 375 people, with a proud record of sponsoring and hiring local engineering graduates, has 11 depots around the UK from Dartford to Durham and revenues of £34m last year. “You do what you have to do,” adds O’Hara. “You need luck, opportunities and good people. We are not the finished article as a business and now it’s my turn to stand back and let our new managing director, Simon Littlewood, and the team get on with it. “Success is a strong brew and it needs to be handled carefully. Good people make a business great. I want to leave a good footprint, but I wish I was 36 again.” n


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Five reasons to use specialist finance Daniel Owen-Parr, commercial sales director at specialist lender Together, explains when SMEs can benefit from using specialist finance.

The use of alternative finance for SMEs has been becoming more mainstream for quite some time. In fact, the country’s largest banks are now referring clients that they can’t help directly to alternative lenders, under the Government’s new bank referral scheme, which is expected to fuel growth in Britain’s SMEs. This scheme, which we’re proud to be a part of, highlights how attitudes are shifting. Previously many businesses thought the major high street banks were their only option when it came to accessing funding, but the bank referral scheme has raised awareness of how many other options exist. At Together, we have over 40 years’ experience in providing finance to suit a wide range of needs and often help businesses and entrepreneurs that require funding which may not fit with the more rigid criteria of the mainstream lenders. To help you to understand how alternative finance could boost your business plans, here are the five most common reasons businesses use our specialist lending services: TO PURCHASE PROPERTY Often we are able to provide finance in situations where mainstream lenders are unable to meet the necessary timescales. When a property purchase requires a quick completion, for example, we can provide fast and flexible funding. TO SEIZE AN INVESTMENT OPPORTUNITY Likewise, whether businesses are looking to seize an investment opportunity, to purchase equipment or stock, extend operations, or to acquire retail or office space, our flexible approach means that we are able to work with businesses of all sizes and across multiple sectors in order to secure the funding they need.

For more information visit www.togethermoney.com

TO REFINANCE EXISTING DEBTS Refinancing existing debts can help small businesses by consolidating debts into one, making them easier to manage and enabling them to plan ahead. Being able to refinance when necessary can also help businesses improve cash flow, whilst paying

off creditors and maintaining relationships with key suppliers can be crucial in securing the reputation of the business. TO CLEAR A TAX BILL Although the business may have an intended outlook of how to structure finance, sometimes it can be difficult to forecast a shortfall. So when it comes to clearing a tax bill, more often than not, finance is required quickly and can be vital in maintaining operations. TO RELEASE EQUITY Another reason businesses may need to use a specialist lender is to release equity, which allows the client to raise money against the value of a residential property. So, whether it’s a matter of short-term cash flow or businesses looking to expand, specialist lenders can act as a crucial facilitator. At Together we are able to deliver funds quickly and to work to tight timescales, which is one of the reasons why our network of financial advisors, accountants, solicitors and banks refer clients to us, knowing that we can offer quality service and a swift decision.

“At Together, we have over 40 years’ experience in providing finance to suit a wide range of needs and often help businesses and entrepreneurs that require funding which may not fit with the more rigid criteria of the mainstream lenders.”


Supporting the professional sector

Long-established experts... in short-term lending As a principal lender, with over 40 years’ experience, we’re dedicated to working closely with our professional sector partners. Our expert team is here to support you and your clients in a range of shortterm property funding requirements. Taking a common-sense approach, we aim to put your clients in the best possible position to complete.

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Call our team on 0333 987 3172 or visit togethermoney.com

This advertisement is intended for professional intermediary use only and must not be distributed to potential clients.


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S P R E A D I N G T H E W O R D Mike Hughes plans his next sandwich, while talking to peanut butter producer Kathryn Franklin.

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o you fancy some soft white bread, piled so deeply with peanut butter that each sandwich looks like an over-stuffed pillow? Or how about hot-buttered toast with the peanut butter drizzling out so that you can almost form a “toast funnel” and just pour the stuff straight in…? Sorry about that – peanut butter does strange things to me. It is one of life’s great treats and was enough to bring Kathryn Franklin and her husband, Stuart, back here from New Zealand to make their own at Dewsbury. Proper Nutty’s product is made with specially-sourced peanuts and slow roasted to bring out an intense flavour, before being

ground into its unique texture that is a combination of smooth and crunchy known, of course, as “smunchy”. This enterprising couple have already launched one food revolution on the other side of the world and are making the same waves at the Bretton Street Enterprise Centre. “I think I was always going to do something around food, perhaps in the catering industry,” says Franklin. “I ended up doing a degree looking at nutrition, but I didn’t fancy being a dietician so moved into the industry, working in the technology side of product development. “We lived in New Zealand for eight years and did corporate jobs for a little while, but

then moved to the South Island and became the first people in the country to make handcooked crisps. New Zealand is a good place to start a new business because there is a good mentality of people having a go at things, in an artisan culture. “We were contributing to the local economy in a rural area and created a few jobs, so they were very accepting of us there and we made heaps of friends. That business went like a train and grew really quickly to the point where it needed a lot of capital for the third phase of equipment and so we sold it. “Then on a visit back to the UK for Christmas in 2011 we both felt that we missed


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“So, when we were looking for that next move, it seemed a very natural progression to grow.”


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quite a lot about Yorkshire and decided to move back. After we had uprooted our lives and moved halfway around the world, the entrepreneurial spirit was alive and kicking and starting our own business here was always going to be less scary because we had faced risk before. “Because we are a pair of foodies, we had seen a peanut butter out there that was all natural and made on quite a small scale, and that wasn’t happening in this country, so we figured that might be our opportunity.” While Franklin’s background is in food science, Stuart’s is in marketing, which gave the project a harder edge – it is all very well following your dreams, but at an early stage you have to ask “Will anyone else want this?”. New ideas, however great, still need their unique selling points (USPs) and, at that stage, the quality of a home-made product and the control it gave the producers appealed to the market. And everyone loves a David versus Goliath business story. “We started making one in the kitchen just for ourselves,” said Franklin. “So, when we were looking for that next move, it seemed a very natural progression to grow what we were doing in our own home and move to a little factory in Dewsbury. “We wanted to really bring out the full flavour of the peanut, so we roast ours and, as

with a good coffee bean, there are different degrees of roast to bring out just the right flavour. We then crush them and mill them to a very natural coarse texture – what we called ‘smunchy’.” Around the product itself, Stuart has built a strong marketing package to position Proper Nutty as a brand. It uses only glass jars to reduce landfill and to encourage recycling and re-use. But glass jars are also better for the product, with its “barrier” qualities regarded as being better at keeping flavour in and external contaminants out. For the brand to move beyond a very niche product, the company also had to overcome the image of peanut butter as perhaps not the healthiest product out there. As with goods like butter, cooking oils, wine and cheese, it is a matter of quality and quantity: two bottles of £3.99 ‘Merlot de Glugger’ and some individually-wrapped cheese slices will do some damage, but a couple of glasses of a good Châteauneuf-du-Pape and some cubes of Comté Reserve are an experience. “Nutrition advice has changed,” explains Frankin. “It wasn’t so long ago that people were on low-fat diets and cutting down on all fats. “More recently, we are told there are good fats and bad fats and peanuts are in the first category and have fat-soluble vitamins and now carbohydrates are the enemy. There used

to be added oils and added sugar in some peanut butters, but now people know that a good-quality version can be a great thing to have in your diet, with protein and the fibre that can make you feel full.” Much like that decent bottle of red, peanut butter’s use as a single ingredient in recipes is growing rapidly. Take the words themselves out of the recipe title so that they don’t dominate and you have Franklin’s versions of African vegetable stews, billionaire’s shortbread, Asian coleslaw and aubergine dip. I’m also reliably informed that peanut butter and Marmite on a warm crumpet is, to quote Peter Kay, a “taste sensation”. The changing image means a changing market and, even though it is still just this enterprising couple doing it all themselves, interest is spreading from local shops to a listing from motorway service stations at Tebay and Gloucester, which were winning awards by changing perceptions and offering good food at good prices. “About 15 months ago, we were accepted by some of the Morrisons stores,” added Franklin. “That came about after the Manufactured Yorkshire event in Huddersfield, where there was a day put aside just for food and drink. “We were given a ‘meet the buyer’ slot and that’s where I met the Morrisons team. It almost didn’t happen because we were

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also booked for the Good Food Show in Birmingham, but thankfully my dad stepped in and went there with Stuart so that I could head for Huddersfield. “Booths then followed because they were promoting food and drink from ‘Booths’ country’. We learned early on that you have to put yourself out there, particularly with just the two of us, but the thing is that you never know how they will turn out.” Brussels, Kuwait and Italy are also going nutty for the Franklins. Up-market butcher Jack O’Shea took some for his Belgian store as well as the Primrose Hill one in London, and the prestigious Kuwait City branch of up-market New York Deli chain Dean & Deluca said “Yes” in November 2015. The Italian job came about after a slot was found for the butter in the shop at Oakwell Hall near the Franklins’ Dewsbury factory. Move on a few weeks and a Facebook post pops up

“If they know the people who are making their food then there is a trust there that is difficult to match”

showing a jar in a very smart Milan store after it was spotted by a visiting distributor. The future is looking buttery. The company produces about 1,000 jars a day but, with growing interest from the supermarkets, a new factory is being planned with some hand-picked staff to help spread the load. With turnover already just dipping under the £100,000 mark, the brand is ready for a much bigger stage. “I think we know we have some really good

values around the Proper Nutty brand, and that has created a lot of mileage for the product,” says Franklin. “Now we want more of a market share and to continue educating people in why it is good and sufficiently different. “A lot of people are looking for provenance as part of a real movement towards genuine food from local producers. If they know the people who are making their food then there is a trust there that is difficult to match. “It also helps so much that the food and drink industry is so well supported in Yorkshire and is an important sector, with cheese and brewing providing such a strong base. We compare notes and challenges as often as possible.” So, the roasting and milling stays the same and the ethos and taste remain, but the operation has to grow because so many people like what the Franklins have created. That’s a recipe any entrepreneur would enjoy. n


WHERE YOU NEED TO BE. Put your business at the heart of the Northern Powerhouse, just minutes from the centre of Leeds, with 7 million people within a one hour drive. Situated at Junction 45 of the M1 and close to the M62, the Leeds City Region Enterprise Zone is 142ha of prime development land at the crossroads of the UK. Offering tax breaks, simplified planning and Assisted Area status, the Zone provides world class infrastructure and space for growth, and has consent for B1, B2 and B8 uses. Join businesses such as Amazon, John Lewis and Perspex Distribution in recognising the opportunity at one of the most progressive and exciting Enterprise Zones in the UK.

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With record passenger levels, a £450m investment and now high-speed rail confirmed, things are looking up for Birmingham Airport. Chief executive Paul Kehoe explains more to Steve Dyson.

High speed growth Birmingham Airport is the Midlands’ largest airport and the seventh busiest in the UK. It handles 12 million passengers annually and serves 150 direct global destinations, plus a further 340 one-stop long-haul routes, with 50 airlines. It’s not a bad profile for an organisation that was hit – like the rest of the world – by the global recession in 2008. That chilling moment is still clear in the mind of Paul Kehoe, chief executive of Birmingham Airport, as the banking crisis came just after he began his role nine years ago. “It’s been a long journey,” he says, sitting in his office overlooking the runway. “If I look back at my first few weeks in the job in 2008 it was all rosy, and then came the crash. Since then we’ve been rebuilding to where we are today. There’s lots more to come, but I’m really pleased with progress, and feel our investment has been well spent.” Kehoe’s referring to a £450m programme of infrastructure developments, culminating in the completion of a new hold-baggage screening system by the end of this year. This will mean a doubling of self-service check-in and bag drop desks, additional car parking with free drop-off and air traffic control upgrades. Other projects in recent years have included an extended runway to accommodate more and new long-haul airlines, a redeveloped terminal to handle wide-bodied aircraft including the A380

aircraft, plus enhancements to passenger experience through surface access, car parking and shopping opportunities. These investments, as well as the growth of the region’s economy and trends towards long-haul travel, have helped Birmingham Airport experience unprecedented growth. It’s now home to many of the world’s leading airlines including Aer Lingus, Air France, Air India, Brussels Airlines, Emirates, Iberia, Icelandair, KLM, Lufthansa, Qatar, SAS, Swiss, Turkish Airlines and United Airlines. These carriers serve frequent and important business and leisure hubs such as New York, Delhi, Istanbul, Doha, Madrid, Dubai, Paris, Amsterdam, Dublin, Brussels and Frankfurt. In 2016 alone, it saw a 14.2% increase in passengers, and has celebrated two years of consecutive monthly record growth. Long-haul traffic has seen the most significant growth, with a 21.3% year-onyear passenger rise due to the introduction of new global routes. Despite this boom, the airport managed to get more flights in and out on time than any other airport, becoming the world’s most punctual airport in 2016. And now with the confirmation of the HS2 high-speed rail project, there’s more expansion to come. Kehoe says: “The government has now recognised the need to exploit opportunities with the expanding


Promotion

rail network. Even Heathrow is now wanting its own railway station, whereas ours is definitely in the HS2 plan. Birmingham will be the prototype to really integrate road, rail and air, and it’s so exciting to be ahead. The economy currently is responding. There might well be future economic dips, but overall, with the West Midlands Combined Authority, the Midlands Engine and all that comes with it, greater Birmingham now faces a decade of growth. “No matter what the future brings, one thing’s for certain: while the government has made its decision on Runway Three at Heathrow, this will not happen until 2027 at the earliest. So what do business travellers do in the meantime? The opportunity is here for Birmingham.” Kehoe points to how Transport Secretary Chris Grayling, speaking at a West Midlands Combined Authority reception in Parliament in November, said that the Midlands and its airport will be among the best high-speed rail connected destinations on the map. To maximise this opportunity, the region is planning tram extensions, new Sprint buses, road upgrades and work is starting to develop the Midlands Rail hub proposal to deliver 10 extra train services an hour. With the UK leaving Europe, Kehoe believes the focus needs to also be on global connections – and he sees Birmingham Airport at the centre of this push. “British Airways’ decision to come back to Birmingham ten years after going could be big,” Kehoe says. “BA’s recognising it can’t fulfil the needs of customers via Heathrow alone. BA’s the most favoured brand in the world. And it’s a great vote of confidence that BA’s back on our runway. “It’s a small start. But if business travellers respond to that, I’m convinced BA will recognise and make more investment, and the opportunities will start aligning. Businesses in the region need to work together to recreate the magic that this area had when Birmingham was the powerhouse of the UK, where things were made. If business makes it happen for us, we’ll make it happen for business. “And the key thing is HS2. We now need to bask in the aftermath of that decision. The halo of HS2. Because we’re part of it, people will start to coalesce. We’re going to be a key HS2 hub, and as airlines, businesses and people see that reality they will say: ‘We need to invest here.’ HS2 is only nine years away, and by that time the airport could be a key part of the UK’s connectivity.” Over the past 16 months, Kehoe refers to how the airport has attracted a record number of

new airlines, including Qatar, Iberia Express, CSA, Wizz, Alba Star, Blue Air, Vueling, Cobalt, FlyOne and bmi regional. And before the summer season, the airport will welcome Jet2, as well as British Airways. “High Speed Rail has been at the core of our sales pitch to airlines,” Kehoe says. “It will bring Birmingham Airport ‘closer’ to London than Luton and Stansted. Journey times to and from London will be the same as Gatwick and only 15 minutes longer than Heathrow T5. The Midlands’ strong economy and our close proximity to London – now and even more so in the future – mean Birmingham is their next best option.” Kehoe’s eyes are firmly on the long-term future, with the airport’s ‘Master Plan’ due out later this year. This, he says, will develop options to not only maximise the existing site but also to introduce new facilities. “When passengers arrive here,” Kehoe says, “we don’t want them to have to think about having to go anywhere else. We want a seamless process, and HS2 and all the other transport infrastructure work gives us a huge chance to do this, and to do it right. The ‘Master Plan’ needs to think about these longer term prospects, after 2030. Once Heathrow’s expanded, who’s next? Birmingham has to be a candidate, with even more growth and exciting possibilities. We need to make sure our plan opens us up to that future.” The word ‘connectivity’ keeps coming up in Kehoe’s vision. He refers to a recent book called Connectography: Mapping the Future of Global Civilization by Parag Khanna, and gives this quote from it: ‘The more connections you make, the greater your business will do.’ “I buy into that,” says Kehoe. “Our place in the future world and its scale is changing. City regions and city states are going to trade with each other more than ever before. Connections bring people, and people do business. Despite the anti-global tendencies with Trump and so on, people are still doing business across the world. “The airport brings that connectivity. Post-Brexit, that’s the opportunity. The key is promoting Birmingham, the Midlands, the Midlands Engine and the economy beyond that. This region not only has the car industry. We have the creativity sector, the chemical industry, all the medical trials and more. We’re well-placed, and if we get our act together we should be able to move mountains. In the decade ahead, I sniff real success. Not just for the airport but for the region. This is our time.” n

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Genie

in the bottles Vikki Jackson-Smith turns rubbish into profits as managing director of J&B Recycling. She tells Liz Hands why waste is a growth industry.

V

ikki Jackson-Smith claims that she isn’t Wonder Woman. But I beg to differ. She’s been up since 5.30am to take her daughter to swimming practice, before dashing around on site visits at J&B Recycling, the family firm she heads up, and then sitting down to talk to me. When she was a child, Jackson-Smith wanted to be a nursery school teacher, but it soon became obvious where she was meant to be. From being a Saturday girl, she now runs the family company, which – to use a cliché – turns “trash into cash”. At the age of 13, she worked on the weighbridge in her father Alan Jackson’s coal business during school holidays. “I’ve always been surrounded by dirty industry and mucky wagons,” she says. Her father’s firm, Jackson’s Fuel Company, in Hartlepool was one of the country’s biggest importers and exporters of solid fuel. He held contracts for major power stations in the North of England, bringing in tens of thousands of tonnes of coal every year for business and domestic markets. There was a fleet of 30 tipper trucks making deliveries, and Jackson-Smith began to take an interest in logistics. While she was waiting for GCSE results, her father asked if she would help-out, and she began to seriously think about making a career for herself in the family business. “When I was offered a full-time position with

the company, I decided to prove myself; to show I wasn’t just there because I was the boss’ daughter, so I started looking at the qualifications needed to be able to give the drivers their instructions,” says Jackson-Smith. At 17, she gained a certificate of professional competence in road haulage. “I did an Open University course and didn’t tell anyone what I was doing until I finished. Dad was proud and I got my first company car. I’d been driving around in a classic Morris Minor that I bought myself from my wages. It cost me £500 and it got me noticed everywhere I went, particularly when I had to be pushed on Stockton High Street.” With the right qualifications, Jackson-Smith became transport manager and the operator’s license was put into her name; a big responsibility at the age of 18. The business was thriving, but it changed overnight once Britain’s power stations were privatised. “No contracts were being renewed because the power stations could import cheaper directly,” says Jackson-Smith. “We had to close one of our sites. We were still bringing in coal for the domestic market, but we went from having 60 employees to 20. Letting people go is one of the hardest things we ever had to do. “Not only did we stop supplying the power stations, but we had competition with gas coming

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“The evidence was there; we either closed the business or we had to diversify.”

into the area, meaning we had to go further afield with our domestic deliveries. We were losing 20% in sales year-on-year. So, the evidence was there; we either closed the business or we had to diversify.” In 1998, her father was getting to an age when he was thinking about retiring. “He asked if I would like to take it on,” she says. “We owned the site as a family and we had an infrastructure in terms of logistics, processing and moving tonnages around. So, it was a question of what we did with that.” When Jackson-Smith was just 27, she took on the business that was to become J&B Recycling. In 2000, landfill tax was introduced, meaning companies were charged depending on how heavy their bins were, and she saw an opportunity. “We did a lot of research and everything we were looking at needed a lot of investment,” she says. “While everything in the coal industry could be processed outside, everything in the waste industry needs to be inside. So, we had the site, the weighbridge and the skills, but we needed to invest a lot of money.” It was at the point that local authorities were starting to recycle. However, because it was all very new to councils, they were nervous about dealing with firms without experience, so the biggest hurdle was to find a way to get

experience without being awarded a contract. “Landfill tax came in when alcopops became fashionable – Lemon Hooch and Bacardi Breezers – and all those bottles were nonreturnable,” she explains. “They were all going into the waste bins, making bins heavier, and the bars were being charged higher disposal costs.” With her in-laws running a pub in Hartlepool, Jackson-Smith asked them to collect their bottles so she could see the amount of glass she could potentially pick up from busy pubs and clubs in the town. From there, the service was rolled out across Hartlepool, with a free collection for mixed glass bottles. “I’d just got married and had my son. I used to put him to bed and then phone all the pubs in the Yellow Pages to ask if they were interested in glass recycling and, because it was free, they pricked their ears up. “That gave me something to talk about,” she says. “Now we had experience, we were collecting waste, we were a recycling company. I went to every recycling forum going that I knew local authorities would be at so I could push our services.” The firm got its first kerbside contract in 2003 and was well established as a recycling business within three years. When JacksonSmith first set up the recycling arm, it was

to safeguard the jobs of the remaining 20 employees and the coal side of the business was still running. However, that stopped in 2005 when J&B got its first co-mingled recycling contract, where material came in together and needed to be sorted over picking lines. Investment was made in the vehicle fleet, changing from flatbed lorries to glass and skip vehicles. Always on the lookout for what J&B could do differently in the area, it also started recycling plastic, which wasn’t being done by anyone else at that time, building up contacts and contracts for all materials from Scotland down to North Yorkshire. Now, J&B has taken material from London and Ireland, with 21 vehicles, 195 full-time staff and 25 agency staff. It recycles 170,000 tonnes of material across its three sites in Hartlepool and Middlesbrough every year with turnover having increased by 41% in the past financial year to £13.5m. In 2014, J&B received Business Growth Fund (BGF) cash, which allowed it to invest. At the Hartlepool site where we meet, Jackson-Smith estimates £7-8m has been ploughed into new machinery. The funding slightly changed the ownership, with the BGF coming in as a minority shareholder. But the firm is still very much a family affair. With Jackson-Smith at the helm, her husband, Stephen, heads up operations, while her father is still hands-on. The firm has gone from hand sorting to using up-to-the-minute machines that can recognise plastic bottles and use jets to flick


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“There’s nothing here I wouldn’t do myself, and people respect that. But i’m not Wonder Woman.”

them off conveyor belts. Steel is sorted into ferrous and non-ferrous for different markets. Material comes in mixed, and J&B gets it to a point where it is a commodity. Paper, for example, heads off to a mill in North Wales. Plastics are reprocessed, washed and flaked so they can be transformed into garden furniture, pipes, or back into packaging. In short, J&B finds an outlet for every type of material it brings in. Across the sites, myriad materials are reprocessed, including rigid plastics, scrap metal, wood, mattresses, rubble, waste electrical appliances and plasterboard. It also works with a partner to provide food waste handling. Jackson-Smith isn’t stopping there. She has already gone through an 18-month efficiency programme, looking at processes, and monitoring downtime. That downtime – the time machinery isn’t operating – has reduced from 12% to less than 4% on average, although currently the firm is running at 2.5%. Clean downs are more efficient and more preventative maintenance is carried out. The entrepreneur believes there is still more she could do with material without additional tonnages. “There are already projects we’ve identified within the business to add value to the materials we separate,” she says. “For example, we supply a mixed bottle grade of plastics to reprocessors but we could sort into different polymers, which would

attract a higher value. With a little more investment, we could take that to the next level.” She also has her eye on expansion on a wider scale. “There are things we can do here but we’re also looking to push out into other sites,” she explains. “We’ve got our model right, and we’re confident we’re at the optimum performance for processing, so it’s about duplicating and expanding.” It’s no surprise talk turns to Brexit. But Jackson-Smith isn’t worried. “We’re not going to suddenly start putting everything back into the ground again,” she says. “The public is on board with recycling and companies want to be seen to be doing the right thing, and getting the cost benefits. “Not everything we’ve done in the past 17 years had been enforced on us. We’ve been looking at opportunities and taking them. But there’s still more which could be done, like in Scotland, where there is a zero-waste plan.” Now, the firm has turned full circle. While Jackson-Smith was once the one working there during the summer, her father is now the one with the summer job. “He’s retired but he loves to be here and the staff have huge respect for him,” she smiles. “He’s always told me that you can’t put your head in the sand, that you have to face things head-on, and that you must communicate well with people so they are on-board with what

you’re trying to do.” When Jackson-Smith has an idea, she runs with it. “I’ve been fortunate because, although I’ve never worked anywhere else, it’s never been boring. There’s been many a time I’ve come in and done a trial myself, sorting stuff out on the floor to see what can be done. And then it gets exciting because you can implement your plan. There’s nothing here I wouldn’t do myself, and people respect that. “But I’m not Wonder Woman and I can’t do everything singlehandedly. I’ve got a really good team and a great management structure.” That team includes Stephen, who came on-board after a career in the Royal Navy when JacksonSmith needed someone to run the operations side of the business while she concentrated on financials, networking, marketing and sales. “Within three years, we met, were engaged, married, we had our first child and I was starting a business,” she says. “I’m an all-ornothing type of person. I often think there must be more than 24 hours in every day for what I fit in.” And, with that, she’s off, squeezing as much as possible into the working day, before walking the dog, standing freezing on the sidelines while her son plays rugby, then sweltering by the swimming pool with her daughter, all the time catching up on emails and reading about goings on in the waste industry and the business world. n


Promotion

A planned approach to travel risk Exporting & entering new markets presents many opportunities to businesses however, it also creates new risks that require identification, analysis and management says Sally Swann head of Midlands UK retail, JLT Specialty.

For more information on managing your risk and insurance programme please email: sally_swann@jltgroup.com www.jltspecialty.com

Business travellers face a wide variety of risks and dangers, including terrorism, riots, extreme weather events, traffic accidents, petty crime, illness and disease. Failure to ensure the safety of employees on business trips and have risk management strategies in place, which detail the actions required in each circumstance, exposes businesses to a range of risks. These include reputational damage, business interruption and legal liabilities. Firms face civil and contractual obligations, and occupational health and safety laws, which vary by country. Often, a serious incident results in legal claims irrespective of the steps an employer has taken, because when things go awry, people look to blame someone. A carefully considered risk management strategy will minimise the chances of an incident to begin with, reassure staff of the employer’s concern, and provide a defence should the worst happen. The precise strategy will vary with the risks and with the nature, destination and duration of travel. Businesses must address four key areas to meet their responsibilities: 1 Pre-travel risk assessment 2 Mitigation of identified risks 3 Monitoring of people while away 4 Incident response Insurance, in the form of traditional and specialist policies, not only covers losses/costs, it also offers access to consultancy and response services. This can range from advice, relocation in the case of civil commotion, to air ambulance and evacuation services for illness or injury.

Lloyd’s Broker. Authorised and regulated by the Financial Conduct Authority. A member of the Jardine Lloyd Thompson Group. Registered Office: The St Botolph Building, 138 Houndsditch, London EC3A 7AW. Registered in England No. 01536540. VAT No. 244 2321 96.

“Business travellers face a wide variety of risks and dangers”

“Often, a serious incident results in legal claims irrespective of the steps an employer has taken because when things go awry, people look to blame someone”

Part of the challenge when managing travel risks is determining the insurance required. Businesses can cover many standard ‘people’ risks through a combined personal accident (PA) and corporate travel (CT) policy. This will provide unlimited cover for the medical expenses, emergency travel and repatriation costs for injury or illness. It also provides access to services and support from a third-party travel assistance company. In other respects, however, cover is more limited – particularly for security threats in higher risk territories. Most PA/CT policies have small limits of indemnity and restrictions (including exclusions of certain territories) for risks such as terrorism, hijacking, kidnapping and political violence. This is where specialist kidnap and ransom (K&R) policies come in. Despite the name, these policies respond to a much wider range of perils and a comprehensive K&R policy will overlap and complement an underlying PA/CT policy. Companies who have employees working abroad should be working closely with their travel manager, as well as their insurance broker, to fully understand their risks and ensure they have appropriate insurance protection. n If you would like to learn how we can help your business protect your employees when travelling abroad please email sally_swann@jltgroup.com

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Crowne Plaza at the Stephenson Quarter

Access the loan funding you need through the North East Investment Fund.

Apply for the North East Investment Fund. More details on the North East Investment Fund, including an online eligibility checker and an initial expression of interest submission form, are available on the North East LEP website at www.northeastlep.co.uk.

Ready to grow your business and create more and better jobs for the North East? If the answer is yes, you could access the loan funding you need through the North East Investment Fund. North East companies looking to grow their business are encouraged to look at the North East Investment Fund as a source of finance. The North East Investment Fund, (NEIF), administered by the North East Local Enterprise Partnership (LEP), is a capital loan fund, available to support projects in the North East LEP area, which will deliver local economic growth and create more jobs for the region. The North East LEP area covers Durham, Gateshead, Newcastle, Northumberland, North Tyneside, South Tyneside and Sunderland local authority areas.

The Fund was established to support projects that help maintain or improve an asset, which could be a new construction, expansion, renovation, or replacement for an existing facility or facilities. The projects must show how they provide an improvement, new feature or benefit, for example: expanding capacity, or purchasing new equipment. To date, more than £58million has been invested into the North East economy thanks to the Fund. David Land, Chair of the North East LEP’s Investment Panel, said: “The North East Investment Fund exists to provide finance to projects that will result in a real boost to the region’s economy, whether that is via the creation of new jobs or through benefits to transport, connectivity and infrastructure.


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Blyth Workspace

With loans starting at £200,000, the flexibility of the fund means it’s been able to support a wide range of projects in both the public and private sector. One of the first developments to be allocated money was the Stephenson Quarter development in Newcastle which was awarded loan funding of £1.7m. When fully completed, the project is expected to create 2,000 jobs and a £100m yearly contribution to the region’s economy. The new Stellium data centre at Cobalt Business Park in North Tyneside aims to provide data storage facilities for regional, national and international companies and was supported by £2.5m from the North East Investment Fund. It is hoped that the data centre will attract new inward investment opportunities and encourage large companies to set up in the North East. The completion of West Chirton North Industrial Estate, which received a £460,000 loan, resulted in the creation and safeguarding of jobs while the site itself provided space for a range of growing companies including three start-ups. In Northumberland, Blyth Workspace transformed a vacant plot into first-class contemporary managed offices and is now home to a range of North East companies which have moved into the 21,000 square feet of new office space. . n

“The North East Investment Fund exists to provide finance to projects that will result in a real boost to the region’s economy.”

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The North East Investment Fund Some key facts: The North East Investment Fund is an evergreen fund. Once funded projects are completed and their loans repaid, the money is re-invested and made available to support new projects. Loans can vary in duration and are there to help support companies who may not be able to access the finance needed to complete a project from other traditional lenders. Applications are evaluated against a number of key criteria: n Strategic economic fit – will the project help to strengthen the local economy or will it benefit transport, connectivity or infrastructure? Will the project provide an improvement, new feature or benefit, for example: expanding capacity, reducing costs of producing new components? n Will projects be completed on time to repay the loan and are the goals achievable? n Will the project help to create or safeguard jobs, leverage private sector investment or develop brownfield land in the North East? The North East Investment Fund is made up of monies from the Regional Growth Fund and Growing Places Fund.


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An immigrant’s

ADVICE

to Theresa May I

mmigration and Brexit are hot topics in the UK, but they’re not subjects that Alec Cameron wants to duck. The business-focused academic, who became vice-chancellor at Aston University last September, wants Theresa May and her cabinet to understand what’s at stake as Britain considers how tightly to control its borders. “The UK is one of the top two countries in the world for higher education,” he says, as we look out across Birmingham from the floortoceiling windows of the Marco Pierre White Steakhouse, on floor 25 of The Cube, the city’s landmark building. “That means that this country is one of the destinations of choice for the best academics in the world. “But if the UK closes the door too tightly, it won’t continue be among the world’s leaders And that would be a huge loss, because one of the pulls of the UK is the great universities here. Whatever the disputes about Brexit and immigration, I don’t want to see universities cut off, because we want the best academics – wherever they come from. “And that principle is the same for British business – it needs the freedom to recruit the expertise and skills it needs to help

drive industry, the economy and services for the benefit of all. I’d like to think that the government would be very open to wanting that.” The words “universities” and “businesses” are mentioned together throughout my lunch with Cameron, whose high-level entrepreneurial reputation comes from making a commercial success out of academics’ research and inventions. He was born in Sydney 54 years ago, and was the first in his family to study at the city’s main university, graduating with a degree in pure mathematics and physics, and a firstclass honours degree in electrical engineering. The star pupil then came to the UK to take a doctorate in robotics at the University of Oxford before getting his first job leading research staff at technology giant Philips in New York. He worked there for four years, registering patents on various products including route-planning algorithms and robotic control systems. This period also saw him taking another post-graduate qualification in the management of technology, at what was then the Polytechnic Institute of New York University. Cameron moved back to Sydney in 1996

The right kind of immigration can benefit the UK according to Alec Cameron, the new vice-chancellor of Aston University in Birmingham, who was recruited from Australia for his entrepreneurial skills. Steve Dyson reports.

as the programme director for an advanced engineering centre, where he concentrated on what he calls “engineering innovation” – basically taking original technology into the commercial world. He moved up the ranks doing this over the next seven years with COMindico, Telstra and then Sun Microsystems before a “call out of the blue” to take on a senior role in higher education. First, he was a deputy vicechancellor at the University of New South Wales for three years, then he spent six years as the inaugural dean of that institution’s new Australian School of Business, before nearly five years as deputy vice-chancellor at the University of Western Australia. As well as the strategic management that goes with such roles, Cameron again saw his main focus as the commercialisation of intellectual property (IP), which he says is not only about registering patents. “What you find with technologists is that all they see is technical problems,” says Cameron. “Instead, we look at research and opportunities from a better understanding and ask: ‘What is required to turn this into successful products?’ Essentially, we’re looking for commercial

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“The Aston Business School is one of our stars, with its specialism in SMEs and the Goldman Sachs programme.”

partners with the scale and resources to make things happen in the industrial world. “I’m talking production lines, developing markets and sales channels. What we sometimes find in universities is a desire by individuals not to let go of their technology. But if they’re going to be successful, they need to quickly identify which partner can run with their research or invention. “Then they can develop licensing and royalties in return for investment in the manufacturing infrastructure that’s needed. The sooner they find that partner, the greater the opportunity. But holding things too close for too long means the window of opportunity closes, as someone else comes up with the same thing. Speed to market is critical.” Cameron believes that universities and their academics are often too scared to lose out on what he terms “the product gold at the end of the rainbow” by giving their IP away too early. “Universities are not known for being fleet of foot,” he says. “But hold on too long, negotiate too long, you’ll end up with 100% of nothing. I’d prefer a small percentage of something big. My philosophy is that when innovation is receiving public funds, there’s a research responsibility to maximise the opportunity for a commercial outcome. We have to focus on finding a potential way to market, rather than maximising our share of the IP.” This was the commercial background and entrepreneurial philosophy that attracted Aston University to travel 9,000-miles to poach Cameron as its new vice-chancellor, replacing the outgoing Dame Julia King last year. Aston is renowned as one the UK’s most business-orientated universities, with a growing reputation for working with small and medium-sized enterprises (SMEs), innovators and entrepreneurs, and it didn’t care where its new leader came from – as long as he or she was ready to grow its commercial edge. “Yes, I think my mixture of a business and academic background was a good match,” admits Cameron. “Plus the fact I’d spent time

working and studying in the US, Australia and the UK meant I had some level of international experience, and I’d studied in both engineering and business.” Cameron and his wife, Elizabeth, a physiotherapist, live in the vice-chancellor’s flat on Aston’s campus, while their two children – Hugh, aged 22, and Molly, 24 – are following their own careers back in Australia. Cameron’s now six months into his role at Aston University, an institution that’s impressed him because of its “success in the competitive market in student recruitment”, its research quality, its thorough engagement with the business world, and the resulting “employability” of its graduates. “The Aston Business School is one of our stars, with its specialism in SMEs and the Goldman Sachs programme,” he says. “There are other developments in store, such as the rise of degree apprenticeships. We have been one of the first universities to embrace this, and this summer will see the graduation of our first cohort.” The UK Government’s new apprenticeship project means that, from April 2017, any employer with a wage bill of more than £3m a year will have to pay a 0.5% levy. They can then use their ‘levy account’ to help fund approved training or retraining for any employee, regardless of age or career stage, resulting in degree-level qualifications, with different arrangements in Scotland. “We really are at the leading edge of this,” says Cameron, “with businesses like Capgemini among the first [sponsors of Aston’s degree apprentices]. It’s all about how do we bring together Aston’s model – work experience and learning – to produce work-ready graduates.” But many SMEs that fall under the £3m wage bill level will not have to pay the

“We explicitly teach entrepreneurship in the curriculum.”

apprenticeships levy, and Cameron believes universities like Aston have a role to persuade those employers to take part. “For businesses that will soon have to pay the apprenticeship levy, it’s a case of ‘use it or lose it’,” he says. “But for the many SMEs that fall under the levy, we need to make sure they see a value and benefit in taking part. And in many cases, SMEs will need this more desperately than large corporations. “Because for SMEs, speed is critical. Our students graduate with one year of work placement, and we explicitly teach entrepreneurship in the curriculum. We also offer start-up funding and support opportunities for students, and so this focus makes it natural for us to occupy a leading place in creating degree apprenticeships for the SME sector. “At Aston, rather than the university deciding the programmes, we put businesses at the front of the process, partnering with them to meet their needs. We meet them before to consult and engineer our programmes, so that we can then specifically deliver what they need.” While Cameron’s impressed with much of what he’s found at Aston, he’s also open and direct about what he sees as the university’s weaknesses. “The opportunity is online,” he says, “and we need a suite of online teaching offers, especially in the post-graduate taught area where students need access at their own times and in their own locations. We’ve got to grow the deregulated, post-graduate part of the business, where the UK as a whole is slower than Australia and the Untied States. “Another weakness is Aston’s international strategy. What sets Aston apart is its focused strategy with business, its consistent offerings with things like its placement year for students. But it’s not in the international space [enough], and it’s too reliant on an opportunistic response.” Cameron explains that Australian universities have been much better at penetrating foreign


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markets, with some 25% of their students being international, as opposed to around 15% in the UK. This, of course, is where we came in – the unknown future for the UK in the international sphere. “There’s obviously going to be a challenge around the whole immigration debate surrounding Brexit,” Cameron admits. “But I don’t think the government is driven by that sort [students and academics] of immigration. It’s more concerned with unskilled immigrants taking low-level jobs, which is increasing unemployment. “Any legislative change will have its risks for us. But I’d like to think the government will look at students very differently, and that it would be very open to want young, mobile people over the age of 22 seeking to spend their money on our education. “The same goes for academic staff who bring their knowledge and expertise to academic institutions. I think Brexit provides the government with the opportunity to focus on the type of immigration, rather that where immigrants come from.” Cameron’s on a roll now, but pauses to comment on the “decent” MPW fillet steak he’s eating, and to express pleasure at the “grand view” of Birmingham as the sun gleams down onto the cityscape beneath The Cube. He’s obviously happy with his new home in the UK. Then he’s off talking about recruiting from abroad again. He says that if a university is currently offered a choice between a German or Canadian academic, the German would often win because of the UK’s European Union membership. But once the UK is outside the EU, he says he looks forward to choosing the best academic, even if that means the one from Canada instead of Germany, because Aston and the UK will only benefit. Cameron ends with what sounds like gentle but firm advice for the UK Government as it prepares to depart Europe: “I don’t hold that EU prejudice. Like any business, it’s in our interests to bring in the best talent from wherever it can be found. That seems logical and is also addressing public concern. “This sort of approach will benefit the economy and is highly politically sellable. That would be a good outcome of Brexit: the ability to employ highly-skilled people.” n

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Apprenticeship Levy - a tax or an opportunity? Gerwyn House

With the new tax year looming, the introduction of the Apprenticeship Levy is just around the corner. Gerwyn House, the skills director for Intraining, offers insight on the changes ahead…

T R A I N I N G

For a free consultation call today on 0330 123 1300 or email businesspartnerships@intraining.co.uk

The Government is committed to creating three million apprenticeships by 2020. It sees the introduction of the Apprenticeship Levy and new apprenticeship standards as the way to achieving this, by putting employers in control of apprenticeship funding and design. The way in which apprenticeships are funded from May 2017 is changing, with almost all employers contributing something towards the cost of apprenticeships. This is dependent on the size of the employer and age of the apprentice: • Levy employers will pay the full cost. • SMEs will pay 10% (with government paying the remaining 90%). • Small employers with fewer than 50 staff will be the only exception for a fully funded 16 to 18 year old. The apprenticeship levy will be paid by employers who have a pay bill in excess of £3m (which is approximately 2% of UK employers). They will pay 0.5% of their payroll through the PAYE system to HMRC. Each employer paying the levy will have an allowance of £15,000 to offset against their levy payments. Developing and growing employers with a payroll of £2.8m will also be expected to register, on the basis that HMRC expects employers to grow, and that during the tax year 2017/18 they may reach the £3m threshold. The money paid through the levy will be deposited into the Digital Apprenticeship System (DAS) which employers will be able to use, to pay for apprenticeship training, but not assessment. Apprenticeship standards and frameworks have all been re-categorised into 15 funding bands. Employers will be able to negotiate the price for apprenticeships, taking into account any training they offer in-house and which qualifications they want included as part of the apprenticeship.

There is a 10% top-up that the government will put into levy paying employers’ accounts. So however much you have to pay, the government will add an extra 10% funds into employers’ accounts each month. For large public sector bodies there has been a recent consultation on a new duty for the public sector to have 2.3% of its workforce comprised of apprenticeships. Each organisation, as well as paying the levy, will now have to aim for this target and report back to government on progress and its intentions if the target is not met. One of the biggest facts about the apprenticeship levy that many employers are still unaware of is that levy funds can be used to train existing staff members, if they require up-skilling or development. You don’t always need to recruit new apprentices. However, there are incentives for recruiting 16 to 18 year olds, to help develop and support them. The DAS is only applicable to England, so despite employers paying the levy for all employees (even those that don’t live in England), the money deposited into the DAS will only be for employees who live in England. Funding for apprentices in Scotland and Wales will be as per the current system. There are already many stories about the “Race to the Bottom”, where employers are arranging prices with training providers at cut price rates. But employers need to ask themselves what they want for their money? What does improved productivity, efficiency and bottom line look like? What level

“Employers need to ask themselves what they want for their money?”


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TalkTalk Business is a major national employer that recently received two awards from Intraining for their commitment to Apprenticeships during National Apprenticeship Week

“The apprenticeship levy provides an opportunity to train and develop new and existing staff.”

of quality would they compromise for a cheaper deal? What training and support can be added to the apprenticeship programme? It is important to consider all of these factors when discussing and agreeing the price for apprenticeship training. The apprenticeship levy provides an opportunity to train and develop new and existing staff. When selecting new standards employers are ensuring that employees have the job competencies they need to perform that job role effectively. The introduction of the levy provides employers with a chance to review their learning and development budgets, how they are spent, how graduate programmes are built and delivered, especially with the introduction of higher apprenticeships. The 10% top-up from government provides the opportunity for employers to get more

out than they put in. Employers need to make the most of that fund, or lose it and watch competitors benefit from the money that they have paid. Intraining is part of NCG, one of the UK’s leading education and training providers, which aims to support its clients to unlock potential through learning. Intraining has a team of Corporate Account staff to help employers understand how to maximise their levy funds, improve their businesses and increase staff productivity. Some of the national employers who currently engage with Intraining’s services include npower Business, TalkTalk Business and AJ Bell. “Having come through Intraining myself in a junior role and working my way through the company over a period of ten years, I have really seen the benefit of working with them on a very personal level,” said Lauren Morgan,

Benefits and Transfer Out Manager for AJ Bell. “Training provides employees with the tools to carry out their day to day tasks. They are the people who process the work that drives the business forward and are a huge contributor to the reputation of the company. An engaged and well trained work force ensures that we provide a good service to our customers whilst also helping the business to grow. “Intraining’s success is really driven by their focus to provide great training and development to individuals and place them with companies who are really engaged with providing good training to their employees. Having personally benefited from their support I would highly recommend them to other employers.” Across the UK Intraining works with over 10,000 employers across all industries and last year developed and trained over 10,000 apprentices. n

Intraining is an Ofsted Grade 2 Provider and provide 12 Apprenticeship courses, which range from health and social care to digital media.

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“Me and my friends always wanted these designer controllers but you could only order them from America, so I made some myself and started to sell them.”

Ben Lawton tells Mike Hughes how he turned an idea into a hobby and then into a business that’s now the biggest of its kind in Europe and has just landed a deal with a retail giant.

C

ast your mind back to your childhood and the need to cover notebooks, walls, sports bags and desks in cut-out pictures of your musical heroes or TV idols. Nowadays, computer gaming is the preferred gateway into addictive adulation, where you can immerse yourself in any time or place with the click of a mouse. Ben Lawton’s smartest move was to recognise the scope of that fan base and see the basis of a powerful business. His company – Custom Controllers, based on Armley Road in Leeds – buys Xbox and PlayStation games controllers in bulk, strips them down and then customises them with designs to match a particular game or with freestyle artwork such as ‘Dark Knight’, ‘Red Velvet’ or ‘Massacre’. Buyers can also log on and design their own. “It started off very much as a bedroom

hobby, doing just one or two controllers a week and selling them on eBay,” Lawton explains. “Me and my friends always wanted these designer controllers but you could only order them from America, so I made some myself and started to sell them. “I would put what profits I had back into buying more controllers and started to put a bit of a range together. When I started to spray-paint the controllers I just expanded into the garden shed, which was certainly very makeshift. “But the product was getting a lot of attention because the controllers were usually just black and no one had seen anything like these before and the fan base started to build up. There was no-one else out there doing it on a serious level, so I decided to put some time, effort and money into it myself and bring quite a few people on board to build a tightlyknit team.”


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A move to hydro-dipping – where the controllers are immersed in a tank of liquid on top of which floats a thin film of the design, which then wraps itself around the intricate parts – was a big time-saver and opened out the number of options. Then a ‘grown-up’ website was built and the hobby had become a business. For those not similarly immersed in the gaming world, the market might seem almost niche. But recent estimates of around 20 million regular players in the UK alone means Custom Controllers is a genuine game-changer. For instance, more than five million of those players will have Grand Theft Auto on their shelves and if Lawton and his team bring out a new design for the game then even a 1% slice of that fan base means there is a potential £3m market waiting for their release date. That’s just because he had the deep interest in his product from day one, the intuition to see a new market for it and then the business sense to be able to grow with it from bedroom to garden shed to Armley Road. “Our reach started to grow and I managed to get a boost from some well-known Youtubers after I sent them a controller and they posted about it, which made our social media pages rocket ahead from about 10,000 followers to 70,000 in the space of about three months,” he says. “We saw the obvious benefits of that and teamed up with other Youtubers and have continued to bring out new designs. There are no issues with the original manufacturers because at the end of the day we buy the controllers from Microsoft and it is then ours and we can do what we want with it. “They are OK with that because of the amount of items we buy from them and Sony, and the promotion they get from them. Microsoft are actually one of our customers now, which means they might ask for a small run of a few hundred designs.” The core sales area in the earlier days – and still now to an extent – is the individual buyer with a strong loyalty to a particular game or franchise and who is part of a gaming network keen to compete with each other for kit just as eagerly as they compete with Michael De Santa, Franklin Clinton or Master Chief. Gaming used to be a solitary challenge of boy versus machine, but the internet turned that around completely; the social aspect of

“Microsoft are actually one of our customers now, which means they might ask for a small run of a few hundred designs.”

being part of a team and meeting online to tackle Tom Clancy’s Ghost Recon: Wildlands together revolutionised the market. Now there is even a professional sector, with the world’s best players competing for US$1m prizes. So, as with any expanding company, the retail outlets are vital to bulk up the sales figures – and Lawton has just landed one of the biggest, with Game shops around the country deciding they need Custom Controllers on their shelves. “We will roll out into 120 stores across the UK in the next few weeks, which will significantly increase the size of the business,” he says. “We are turning over £700,000 now, but this could more than treble that and take the company to a different level. “We had some meetings and did a trial with them in 13 stores, which allowed customers to

pick up the controllers and have a really good look around them. They pretty much sold out of our stock and they asked us back in to talk about what we could do. “A lot of our customer base is from retail now with many taking us on board and just reselling the stock themselves. We have already started looking at potentially moving into more of the accessories and equipment alongside the controllers and have just started an online United States outlet and will be opening up more stores in Europe through this year and delve into those markets to see what the reaction is.” As well as a clear mastery of merchandising, one of the most basic skills Lawton has had to build up is design. It is not enough for the dedicated player to have the name of his top game stamped on the controller,


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“We all put our heads together to strategise everything quite carefully and see what the best way forward might be.”

the presentation has to be cool – and so customised you can’t wait to post a picture of the kit you’re using. “We tend to design everything in-house and will look really carefully at colour schemes and combinations and we will come to a group decision about what is going to sell well. We will then introduce it through social media to see what reaction it gets and then get them on the website for sale. “We take great pride in what our designs can do for games, but we have also just released a feature called ‘Create Your Own’ where you can change the shell and the button colours, and we did that just because of the sheer number of people who had asked for it.” That is all part of the learning process for this 22-year-old entrepreneur who is now

the controller of his people’s livelihoods. But he seems like he has his finger on the right buttons, and regards his young age as a plus because he has no ties – yet – and can choose to work the sort of crazy hours he needs to build the business. “I found it quite easy to move into that area or responsibility, and it helps so much when you have a strong team around you that always does more than you ask,” he says. “We all put our heads together to strategise everything quite carefully and see what the best way forward might be. “We know things like working with Game is a massive deal that could break us if we don’t do it right and get the cashflow just right. At the moment, we put out about 1,000 units each week and to get Custom Controllers into 100 Game

stores will cost us £500,000, which can be a frightening figure when you are a young company and struggling to get funding because you don’t have a house you can put up as a guarantee.” But Lawton’s ingenuity is about to change that as well. The teamwork at his company is clearly important to him, so he is investing in a house that his staff will share with him during the week – and which he can potentially use as leverage for that vital funding. “Half of my team are from Manchester and are travelling up all the time, so we are buying a place in Leeds and four of us will live there while we are working on a project.” That’s smart thinking but, for a young man who was facing Sephiroth and Deathclaws when he was a teenager, a mortgage probably isn’t much of a challenge. n


Enterprise & Innovation Supporting Business, Driving Growth The Enterprise & Innovation team is your gateway to accessing services from the award-winning, businessfocused Coventry University Group. We support businesses in a number of ways, from start-up support for entrepreneurs and training and research support for small organisations to partnerships with multinational giants of industry. We can help you with: • Commercial research to help solve everyday business problems, drive new technology and processes, or identify and refine new products and services • Support for skills development, helping you increase productivity, retain and motivate your staff and make the best use of new government initiatives including Higher Level Apprenticeships • Accessing grants for the innovation and commercialisation of new products and services • Our pool of highly skilled and work-ready graduates • Fully serviced professional venue options for team away days, conferences, awards ceremonies or meetings

Contact us to find out more about how we could work together – we’re looking forward to hearing from you: T: +44 (0)24 7615 8258 E: ei@coventry.ac.uk www.coventry.ac.uk/business @CovUni_business Coventry University


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Creating better futures through enterprise and innovation

Paul Fairburn, director of enterprise and innovation at Coventry University, explains how his team are forging, encouraging and developing relationships with companies from across the UK and beyond.

Paul Noon, Pro Vice-Chancellor, Enterprise & Innovation Tel: 02476 158258 email: p.noon@coventry.ac.uk Paul Fairburn, Director, Enterprise & Innovation Tel: 02476 158258 email: p.fairburn@coventry.ac.uk Enterprise & Innovation - Coventry University The Techno Centre Coventry University Technology Park Puma Way, Coventry CV1 2TT website: www.coventry.ac.uk/business

Coventry University has forged an international reputation for its close and collaborative working with industry – and its presence now stretches from its doorstep to the other side of the world. It has a dedicated Enterprise & Innovation (E&I) team that works throughout the organisation, building, encouraging and developing relationships with companies from across the UK and beyond. The E&I team responds to business challenges, supporting companies to grow, develop and adapt to the rapidly changing demands on industry, helping to increase productivity as well as employee knowledge. It helps organisations with staff development, delivering traditional and robust industry-relevant academic courses as well as short interventions that focus on updated skills. Research is a big part of what it does with nearly 500 researchers delivering impact in business and society as a whole. It also supports an increasing number of people from within business to undertake sustained research projects at the masters and doctoral level, looking at issues directly related to the needs of their workplace. Its approach results in collaborations with local, national and international companies with our reach recently extending to Asia and Latin America as well as many other parts of the world. Paul Fairburn, who has more than 20 years’ experience in industry including spells in the engineering, utilities, and pharmaceutical/ healthcare sectors, is director of enterprise and innovation at the university, he said: “There is a massive drive here to build strong and lasting relationships with industry and it is genuinely for two-way benefit. We believe that we have a great deal to offer industry, but that is equally true in reverse and our students and researchers can really benefit from our close links with business. “Our team has extensive business knowledge and expertise and we know what it is like to run a business. We focus on helping organisations, whatever their size, to find the right support to help them to grow and develop. “We will often be the first point of contact for any business, we will meet and identify how we can best assist and then introduce the specialists or academics who can be of help.

“We are here to provide a gateway to all that the university has to offer and we have a reputation for being approachable and efficient in sourcing and procuring the help you need for your business. “Many of our academics have worked in industry and are therefore well placed to support businesses with both technical expertise and practical knowledge. They are embedded right across the university and that has made a crucial difference when it comes to responding to industry needs. “Our level of business engagement ranges from light touch advice through to the development of robust strategic business partnerships such as our Institute for Advanced Manufacturing and Engineering (AME) which is a collaboration between Coventry University and Unipart Manufacturing Group.” AME brings together the best in academia, industry and R&D in a real manufacturing environment with the curriculum drawn-up equally by Unipart and the university. The hands-on approach is not just limited to the UK. The university has full time staff based in South East Asia and South America. Fairburn adds: “Traditionally, a university’s international presence is all about student recruitment, but our strategy places equal importance on forging links with industry in those countries. We have expertise and experience in automotive engineering, advanced manufacturing, aviation management, and maritime security – considerable growth sectors in our target international territories. “We have recently partnered with the Department for International Trade to take companies to Indo Aerospace – Indonesia’s official aviation, aircraft and airport technology show, to allow them to access what is a huge market. “We are up for any challenge – if you have one – get in touch” n

“There is a massive drive here to build strong and lasting relationships with industry.”


Promotion

Coventry University driving towards the future

“Innovation – exploring and experimenting, and uncovering new and better ways of doing things – is pretty much what research specifically, and education as a whole, is all about.” Paul Noon, Pro Vice-Chancellor, Enterprise & Innovation, Coventry University Quite a crowd will be expected when Coventry University’s Sparrowhawk car takes to track for the very first time after it is completed in the next two years. The Faculty of Engineering, Environment & Computing at the university has set its students a project to design and create a roadworthy, two-seater sports car with commercial potential. Funded by the University’s Higher Education Innovation Fund (HEIF), students have been tasked with creating a road-worthy vehicle which meets both performance and legal requirements. More than 100 students have worked on various aspects of the Sparrowhawk vehicle, drawing expertise from a number of faculties as well as receiving support from companies from across the region. The project is being run by Mike Dickison, associate dean of enterprise & commercial, who joined the university after a career in the automotive sector. He has been running vehicle development programmes which have seen students design light-weight chassis, aerodynamic bodies, electric powertrains and hybrid powertrains. He created the project two and a half years

ago to harness his research while also giving students experience working at industry standard and increasing their employability skills. Just as in industry, students have had to follow guidelines for each aspect of the Sparrowhawk. Dickison said: “I wanted the car to look really attractive in terms of the styling and shape and not be too simplistic. It also has to keep up with the latest technology internally. It must be practical too and not have any fundamental drawbacks for customers. “It must drive well, be lightweight and low carbon in terms of its powertrain as well as meeting all of the legal requirements to make it roadworthy. “It is a real challenge for the students – but they are up for it”. With the body built and painted, the finished vehicle is expected to be on the track in around two years when the powertrain

“Innovation - exploring and experimenting... is what education as a whole is all about.”

and other components have been finally developed. He added: “The whole idea with this project is that each new year group takes over the development of the car and they can carry on and develop new concepts while having had the bulk of the work done for them by their predecessors.” When it’s ready the university wants to create a spinout company and produce low quantities of the Sparrowhawk. A business case is currently being created with assistance from the business school at the university and work is also being done to optimise the price of the vehicle. Paul Noon, who as pro-vice Chancellor, enterprise and innovation, heads up the team responsible for nurturing and marketing creative business ideas, said: “This is a shining example of not only how our students work on real-life, real-time projects which have industry relevance, but also how we approach this work in a business-like way from concept through development to commercial realisation. “Innovation – exploring and experimenting, and uncovering new and better ways of doing things – is pretty much what research specifically, and education as a whole, is all about.” n

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Savage named Entrepreneur of the Year John Savage, the man behind rapidly growing heating and plumbing merchant Flame Heating Spares, has been named BQ’s Emerging Entrepreneur of the Year for 2017.

John Savage faced tough competition from across the UK and was presented with his award at the glistening BQ Emerging Entrepreneur of the year Awards on 22 February. Hosted by BQ and powered by Atom Bank, the awards bring together established entrepreneurs from across the UK with the challenge of identifying individuals who in their view are a next generation entrepreneur. Savage quit his management job in the fallout following the banking crisis to launch Flame Heating Spares despite having a mortgage to

pay and a third son, Jack, on the way. Today, the company boasts an annual turnover of £6.4m and employs 45 members of staff across its several North East centres. Speaking shortly after being named entrepreneur of the year, Savage said: “I’m overwhelmed, it feels amazing to win such a prestigious award, I’m very, very happy, we’re looking to kick on from here and open more branches across the North East and Scotland.” Bryan Hoare, managing director of BQ, added: “We are delighted to crown John BQ’s national emerging entrepreneur of the year for 2017.


There were also five regional and national winners announced on the night and a People’s Choice Award winner, which included: Scottish Entrepreneur of the Year David Hunter, founder of Shotscope

“We’ve had so many fantastic entries from across the UK this year and John is a real example to follow for budding entrepreneurs. “We will continue to cover John’s journey in BQ and wish him all the best for the future.” Speaking at the event, Craig Iley, managing director of Atom Bank, added: “It has been a wonderful event and we’re very proud and privileged to have been involved. “Just to be involved in the entrepreneurial buzz that surrounds this campaign gives you a really good feeling. I’d also like to say a huge well done to John Savage of Flame Heating Spares and also to congratulate all of the other companies involved. “You have all helped make this great campaign happen and have done yourselves and your businesses proud.” n

North East Entrepreneur of the Year in partnership with Gateshead College John Savage of Flame Heating Spares Yorkshire Entrepreneur of the Year James Howard of Yorkshire Payments North West Entrepreneur of the Year Laura Earnshaw of My Happy Mind London & the South Entrepreneur of the Year Bruce Gray, founder of the Left Handed Giant Brewing Company People’s Choice Award powered by Atom Bank Laura Earnshaw of My Happy Mind


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Swift turnaround for Beamish Transport

Transport expert Beamish Transport is reaping the benefits after new logistics software boosted the drive towards efficiency.

www.cliveowenit.co.uk Tel : 01325 349686

IT specialists at Clive Owen Technology Services developed a bespoke package, including a mobile app, to replace Beamish Transport’s labour-intensive office systems. The Chester-le-Street-based firm, which specialises in moving new and used cars, vans, motor homes and mobile caravans throughout the UK, has seen a 12% growth in business with the help of the logistics software. Called Swift, it has allowed the transport company to handle around 250,000 vehicle movements, a huge increase compared to the old paper-based system. The computer system monitors every aspect of the firm’s 52-strong fleet and its workload, including when vehicles are off the road for servicing. Operators can track vehicles from collection to their final destination, while drivers are kept abreast of any changes to delivery addresses and can log vehicle conditions, including any possible damage, via the mobile app. Clive Owen Technology Services is a division of chartered accountants and business advisers Clive Owen, which has offices in Darlington, Durham and York. Clive Owen Technology Services became part of the business in 2008 to meet the logistical needs of modern small and medium-sized enterprises to help speed up their processes.. Director of technology services Lee Huck, who founded the original technical services initiative in 2003, said: “The idea came from a casual conversation, a throwaway line, when Beamish

Transport mentioned the challenges of running their business and managing the complexities of their operations manually using a paper based system. “Swift was the result and now all vehicle movements and invoicing is done on computer saving them hours of time, boosting efficiency and contributing to a 12% growth in business.” Clive Owen Technology Services software designer Scott Vieira said: “The old system was based on manual, labour-intensive processes involving pieces of paper in pigeonholes and didn’t take account of sickness, holidays or whether a vehicle was off the road. Invoicing could take two staff, two days a week. “Now every element of the process is recorded on the computer system, drivers are sent the collection and delivery information via the mobile app and billing and administration time is reduced to minutes. All accounts are archived and can be accessed immediately with a name or a vehicle registration number. For the driver the process is paperless and much more efficient.” Beamish Transport managing director Darrin Pickering said: “To grow the company steadily we need systems in place to enable us to be cost effective, remain competitive and offer the best possible service to our customers. “We are delighted with Swift and will continue to develop our systems with Clive Owen Technology Services. We see our partnership with Clive Owen Technology Services as an integral part of our longer term growth strategy.” n


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THAT TAKES THE

biscuit Baker James Shepherd stumbled across the story of Aberffraw biscuits by accident, but has turned the ancient treat into a recipe for success by supplying hotels, national grocers and now international customers, writes Maria McGeoghan.

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here is no finer aroma in the world than the whiff of cooling shortbread. And, for James Shepherd, it’s also the smell of success – thanks to a chance encounter one night when he was watching TV. Born and brought up in North Wales, James always considered himself a decent home cook, and he and his wife Natasha enjoyed watching the nation’s favourite food show, The

Great British Bake Off. During an episode in October 2012, one of presenters Mel and Sue’s short information films on the history of food grabbed his attention. The film mentioned that the oldest biscuit in Britain was called the “Aberffraw biscuit” – or sometimes the “Aberffraw cake” or “Teisen Berffro” – and was said to originate from 13thcentury Anglesey. Shaped like a scallop shell,

legend has it that a Welsh king was holding court in Aberffraw and while his wife was walking on the beach she spotted a pretty scallop shell and asked for a cake to be baked in the same form. The Aberffraw biscuit was born. “Me and my wife turned to each other and said ‘That can’t be right’,” says Shepherd, 38, who spent ten years working as a journalist in


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North Wales before heading up e-commerce at a cookware company. “I’d never heard of them, but the film showed a woman in a mill in Anglesey making shell-shaped biscuits. “I suppose I spotted that it was a great story and I knew what the marketing potential would be. We started to look into it and I thought I might try and make a few.” The father-of-two set about trying to replicate the ancient Aberffraw biscuit recipe with mixed results. “I’ve always been a keen cook and I do all the cooking at home,” he explains. “I’ve always enjoyed cooking for friends and family. “I found a 19th-century recipe that called for loaf sugar, which I’d never heard of. I tried to replicate it but it just looked like sludge so I updated the recipe as best I could. There are just three ingredients – flour, butter and sugar – and I created a special stamp to make it look like a shell.” Shepherd was still working full-time and honing his recipe for the biscuits in his own kitchen at the weekend. Then, in May 2013,

he was happy with his product and the couple decided to launch their biscuits at the Llangollen Food Festival. The revival of the ancient Aberffraw biscuit was, as Shepherd foresaw, a good story and was covered in the Daily Post, on Radio Wales and in the Sunday Times, before The Great British Bake Off reappeared to play another hand in their success. “I got a call from The One Show,” recalls Shepherd with a grin. “They had seen the story and wanted me to send some biscuits up so Paul Hollywood could taste them. I had to tell my boss I had to leave work and dash home and make some biscuits. He wasn’t very happy.” Biscuits baked and despatched, Shepherd once again found himself on the same sofa with his wife waiting for a verdict on his efforts from the most famous baker in the country. “We just held our breath,” he says. “Then when he tasted one he said that it was a nice biscuit with good flavour. Phew. Yes, it was a big risk and we breathed a sigh of relief. “That was my first commercial sale because I

had to invoice the BBC. If he hadn’t liked them then it could have been the first and the last. Come to think of it, I don’t think they ever paid that couple of quid.” That high-risk gamble paid off almost immediately when the Imperial Hotel in Llandudno got in touch to ask Shepherd to supply his biscuits and it is still a customer now. Shepherd had been working his notice and reducing his hours at the cookware company so that he had time to set about designing the logo and packaging for his biscuits. “I’d sat in traffic on the A55 for two-and-ahalf years commuting to the Wirral and that was enough,” he says. “We have never thought about moving. We love the space and the clean air of North Wales. “I never thought I would set up my own business, but I love being my own boss, being able to drop the kids at school and having time to think about what I do next. “I was never one of those people who knew what I wanted to do. I remember a physiotherapist came to school to talk about


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their career and I thought I might give it a try.” He spent a year studying at Cardiff University before realising that it wasn’t for him and then tried engineering at Leicester where he met his future wife – also from North Wales – on his first night out in the city. Engineering wasn’t for him either and, after a spell on the Hotpoint production line putting screws into washing machines, he spotted an advert for an apprentice journalist. “They took a real punt on me, but I was smitten by journalism and spent the next ten years loving it,” he says. “There was a lot of sitting in Abergele Town Council listening to them debating park benches, but I also interviewed both Tony Blair and Gordon Brown.” As he made those first steps towards setting

up his business, he is full of praise for the business mentor assigned to him by the Welsh Assembly to help him grow and succeed. “It was fantastic,” Shepherd says. “I’d had no exposure to the food trade and I’d never run a business. The mentor told me to simplify the products and get a nice box done. We wouldn’t be where we are today if we hadn’t taken his advice.” With a clam shell logo, the classy-looking box holds nine biscuits and retails at £4. “It’s not an everyday biscuit,” Shepherd explains. “But it seems to suit everyone with its Welsh tradition, and tourists coming to Wales seem to like it.” He outgrew his home kitchen and found a bakery unit in Llanrwst to work from and has now bought the unit next door to give the growing business some extra space. The smell

“Always follow your gut instinct. Whenever I haven’t done that I always get bitten.”

of rows and rows of cooling shortbread is delightful, and Paul Hollywood was right: it’s a lovely, buttery biscuit. In 2015, Shepherd launched biscuits flavoured with chocolate, lemon and ‘Bara Brith’ – a Welsh fruit loaf – and he is now looking at developing a gingerbread recipe. Earlier that same year, he did a deal to supply Marks & Spencer, which was launching a series of 25 artisan products from around the UK to be sold in 180 stores. “It was fantastic news and we celebrated when we got the deal,” says Shepherd. “Then the order came in to do six pallets of biscuits in six weeks so I took on two staff to help me.” That same year, Shepherd was named Welsh food and drink entrepreneur of the year and the Aberffraw Biscuit Company won the ambient food manufacturer of the year prize in the Food Awards Wales. Its traditional shortbread also won a 2015 Great Taste Award. Shepherd has just completed a deal with the Co-operative to stock his biscuits in 60 stores and is looking at launching a new range

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– Shepherd’s Welsh Biscuits – with a major retailer. He’s also producing individual biscuit packets for hotels, has completed a “tiny” deal in the United States and is proud to be on the shelves in Kuwait after signing a contract with high-end stockist Dean & DeLuca. With a total of four employees, turnover at the Aberffraw Biscuit Company has gone from £70,000 to £113,000, with further growth forecast. Shepherd is interested in talking to investors to look at funding a flow wrapping machine for the individual packets of biscuits for hotels, which have proved to be very successful. When we meet on a beautiful sunny

“Be super organised – I suppose I always have. I used to be the only journalist in the office with a neat desk.”

morning in Llanrwst, the only cloud on his horizon is the price of butter, which has doubled since the Brexit vote last June. “The 25-kilo block price is crippling,” admits Shepherd. “It would be cheaper to go in to supermarkets and buy the small packets, but

I use too much. All the experts seem to be saying that the price will come down again and it can’t come soon enough.” Shepherd doesn’t hold back when it comes to sharing his secrets for running a successful business. “Always follow your gut instinct,” he says. “Whenever I haven’t done that I always get bitten. “Be super organised – I suppose I always have. I used to be the only journalist in the office with a neat desk. And don’t be afraid to ask for help.” And does he still like eating shortbread now that he lives and breathes it? “I have one biscuit a day – just to make sure it’s right,” he grins. n


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