BUSINESS QUARTER
BUSINESS QUARTER
Yorkshire: Winter 2016
Pedal power Celebrating and inspiring entrepreneurship
Sir Gary Verity talks about promoting Yorkshire
Strong defence Hesco boss rebuilt a company shattered by tragedy
Working from (a stately) home Chris Legard runs a historic building and a clothing firm
ÂŁ4.95 Business Quarter Magazine
Yorkshire: Winter 2016
Light bulb moment Dean Towers MD of BCS Electrics describes how the penny dropped
031
E N T R E P R EN EU R I NT E R V I E W S
B U SIN ESS U P DAT E
IN SIGHT
LIFES T YLE
E VE NT S
BUSINESS UPDATE bqlive.co.uk
EDITOR’S VIEW YORKSHIRE ISSUE 31 As I drive around this beautiful region collecting the very best stories of entrepreneurial inspiration and business brilliance for BQ, it always strikes me how Yorkshire itself reflects its remarkable people. The rugged nature of much of it is a match for any force of nature and the challenge of getting from one edge to the other is typical of an entrepreneur’s journey. There are the easy bits, with the window wound down and the sun shining, freewheeling down a Dales hill, but then round the next corner there are just as likely to be storm clouds and a terrifying cart track of a road to navigate, with its usual regular deposits of dry stone wall dotted along it. Then more freewheeling, then another hill, then a straight bit as you head towards a good market, only to get caught up in red tape and traffic jams within sight of your destination. But we all carry on in Yorkshire because we love the journey and the places it can take us to. My entrepreneurs on the following pages are certainly enjoying the county – and once again they are a varied bunch! We have the honour of the Bank of England’s company within the first few pages, in the shape of its Yorkshire agent Juliette Healey who writes about the resilience and versatility of business leaders. And talking of banks, we also talk to Craig Iley, one of the founders of Atom Bank, which is challenging the sector and making a huge impression already. Juliette’s “resilience and versatility” is reflected well in Bethan Vincent, who has worked on four businesses by the age of 25 and seems to be in no mood to stop, Dean Towers, who has gone from apprentice to owner at BCS Electrics, and Chris Legard, who has to look after his online clothing business as well as his magnificent 18th century Regency home Scampston Hall. Then we have another mix - of experience and mentoring - with WGN legend Colin Glass passing on some tips from his 42 years in Leeds and then over at Hesco a few miles away from Colin, the inspiringly-named Mike Hughes (honestly!) turning round Hesco - a company devastated by personal tragedy. Those are just some of the headlines – hope you enjoy reading them as much as I did writing them, and that you also find some helpful views and strategies that might be a guide to your own business journey. Mike Hughes, editor
READ ONLINE BQ Magazine is available to read online at bqlive.co.uk for when you are on the move
BQ LIVE
@BQLIVE
Associate Sponsors:
A law firm which offers more In life and in business
Expect More www.clarionsolicitors.com 7053_20x175_Clarion_BQ_Magazine_AW01.indd 1
06/06/2014 15:00
03
04
XY TXCRXYX bqlive.co.uk
CONTACT S BUSINESS QUARTER Bryan Hoare Managing director e: bryan@bqlive.co.uk @BQBryanH
EDITORIAL Mike Hughes Editor e: mikehughes@bqlive.co.uk @mikehughes
SALES Hellen Murray Business Development Manager e: hellen@bqlive.co.uk t: 07551 173 428 @HellenMurray Alan Dickinson Associate Publisher e: alan@bqlive.co.uk t: 07917 733 047 @AlanDickinsonBQ
ONLINE BQ Breakfast is your FREE digital bulletin providing the latest from the world of business. Sign up for free at www.bqlive.co.uk/bq-breakfast
DESIGN & PRODUCTION Steve Jessop Production manager e: steve@bqlive.co.uk Sarah MacNeil Head of design e: sarah@bqlive.co.uk Craig Hopson Designer e: craig@bqlive.co.uk
DIGITAL Leanne Elliott Head of digital e: leanne@bqlive.co.uk Bryce Wilcock, Suzy Jackson Senior online business journalists e: press@bqlive.co.uk Aimee Robinson, Ellen McGann Online business journalists e: press@bqlive.co.uk or call 0191 389 8468
IN PRINT Subscribe now at bqlive.co.uk/subscribe or by calling 0191 389 8468
PHOTOGRAPHY KG Photography e: info@kgphotography.co.uk Chris Auld e:chris@chrisauldphotography.com Nicky Rogerson www.kgphotography.co.uk
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. Business Quarter (BQ) is a leading national business brand recognised for celebrating and inspiring entrepreneurship. The multi-platform brand currently reaches entrepreneurs and senior business executives across Scotland, the North East and Cumbria, the North West, Yorkshire, the West Midlands and London and the South. BQ has established a UK wide regional approach to business engagement reaching a highly targeted audience of entrepreneurs and senior executives in high growth businesses both in-print, online and through branded events. All contents copyright © 2016 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 ‘Profile’ and ‘Special Feature’ is paid for advertising. All information is correct at time of going to print, December 2016.
Our clients… “We wanted to develop ourselves and our business with a fresh approach – going in with an open mind, we have quickly gained a different perspective and we have started to change. There is a fascinating blend of gradual, slow, ‘wait and see’ adjustment and some decisive, quick, ‘take the plunge’ change… it’s exciting to be working with a team helping us move to a new way of thinking, building on all the good things we have and leaving some of the not so good things behind”. …Our teams are focused on the performance of your business, understanding every part of your operation, your people, processes, current situation and future goals. Visit www.armstrongwatson.co.uk for more information.
XY TXCRXYX
06
bqlive.co.uk
CONTENTS
Winter 16 36
48
R E PA I R A N D R E B U I L D Hesco boss rebuilt a company shattered by tragedy
THE NON-STOP ENTREPRENEUR
There’s no holding back Bethan Vincent
XX
18
TOWERING INFLUENCE
Dean Towers stepped in and helped save the company
76
WORKING FROM (A E LY ) R X Y X C T X U C U C Y XSTTUACT U HOME Xyxtrc tytxrc xyc cytxr cyrxytcr xtycr ycrytxrc xytcr xc Chris Legard runs a historic building and a clothing firm
XYXTCRZXX bqlive.co.uk
Celebrating and inspir ing entrepreneurship
REGULARS
66 FEATURES 18
HARD WIRED FOR SUCCESS Mike Hughes talks to Dean Towers, MD of BCS Electrics
24
PEDAL POWER Sir Gary Verity talks about selling Yorkshire
28
POWER OF DATA Joel Albyn of cap hpi on the importance of data
30
VENTUREFEST - THE BEST A tour of one of Yorkshire’s biggest business events
36
STRONG DEFENCE Hesco boss rebuilt a company shattered by tragedy
48
BETHAN - ROCKET POWERED ENTREPRENEUR Bethan Vincent has started no fewer than four businesses
76
W O R K I N G F R O M ( A S T A T E LY ) H O M E Chris Legard runs a historic building and a clothing firm
MAKING MONEY WORK
Finance and wealth management special feature
08
BUSINESS UPDATE Business news from around the region
16
AS I SEE IT Bank of England’s Juliette Healey on the Yorkshire economy
44
COMMERCIAL PROPERT Y Who’s building what, where and when
66
BUSINESS LUNCH Peter Box, Wakefield Council leader opens up
70
MOTORING Maserati Ghibili - powerful and practical
72
WINE Craig Burton MD of The Works Recruitment samples a white and a red
82
LESSONS I’VE LEARNED Colin Glass shares his lifetime of business experience
70
07
BUSINESS UPDATE From Melbourne to Wetherby Business leaders have backed a unique support programme brought over from Australia. The Business Improvement Program event was created by Alec Blacklaw in Melbourne where it was specifically designed to help owner managed businesses improve their performance. Now it has just made its British debut at Wetherby, with Yorkshire accountancy firm Armstrong Watson bridging the 10,494-mile gap to bring Alec and his global reputation to the region’s businesses. Armstrong Watson’s business development director Dave Clarkson said: “The event was a great success. For us it was a natural extension of Blue, our own support programme, so we were all hugely enthused and will definitely be bringing BIP back next year and then as a regular event.” As media partners for the UK launch, BQ is giving our entrepreneurs the chance to beat the rush and win two tickets to the next UK event
in 2017. All you need to do is send no more than 200 words to mikehughes@bqlive.co.uk, profiling your company and telling him why you deserve your place. BQ and Armstrong Watson will then choose the best candidate.
Royal honour for Lhasa
His Royal Highness the Duke of Kent paid a special visit to an innovative Leeds-based charity, after it was awarded a Queen’s Award for Enterprise. Lhasa Limited, which is based at Granary Wharf, creates software that supports the
BIP founder Alec Blacklaw, Steve Cram CBE, Armstrong Watson Managing Partner Paul Dickson
pharmaceutical industry in bringing medicines to market earlier. Lhasa was recognised by the Queen’s Awards in the Innovation category, in acknowledgement of its work, with 350 of its members which include the world’s leading pharmaceutical companies, such as AstraZeneca, GlaxoSmithKline and Pfizer. Founded in 1983, Lhasa was initially based within the Chemistry department at the University of Leeds and employed only a handful of scientists. Today it is a fast-growing global organisation employing more than 130 people, with operations in Leeds, Poland and the USA. CEO David Watson said: “Winning the Queen’s Award for Enterprise will not only boost awareness of the work Lhasa Limited does in improving the development of safer drugs, but it will also highlight an important wider industry that is innovating all the time. We are constantly developing new computer-based approaches that keep the UK at the forefront of drug development.”
PROFILE York Business School
09
Social Responsibility in Action Ignoring social responsibility is no longer an option for many businesses as savvy consumers increasingly demand environmental transparency and genuine community engagement. Making a commitment to social responsibility, however, comes more naturally to some businesses than others, who need motivation, support and recognition for dedicating resources to doing the right thing, whilst focusing on the bottom line. York Business School at York St John University knows from experience that modern leaders and managers need to be supported to act responsibly, ethically and sensitively in ways that are businessrelevant and sustainable. As a signatory of UN Global Compact Initiative ‘Principles for Responsible Management Education’ and a member of the Prince of Wales Charity ‘Business in the Community’, the Business School recognises that responsible business and the role of business in society needs to be at the heart of all business activity. The University reinforced its support for responsible business as sponsors of a new category at this year’s York Press Business Awards for Socially Responsible Business of the Year. Presenting vehicle hire firm Autohorn with the award, Noel Dennis from York Business School said judges were impressed with the York-based company’s commitment to supporting charities, its care for the environment through its use and promotion of electric vehicles and its support for the local economy through its supply chain. The judges also heard about future plans that include a move to a new site that is completely sustainable and eco-friendly. Scott Jenkins, sales and operations director at Autohorn, said that winning the award was hugely important for the firm’s 65-stong workforce. “We have been around for a long time and to get recognition for what we put into our community and our area is very important to us.” This year, the company sponsored the inaugural Micklegate Run Soapbox Challenge for charity and its community efforts include fundraising £5,500 for Macmillan Cancer support in 2015 and raising an even bigger target for York Against Cancer this year. “Part of our goal is staff retention so we listen to
York St John University presents Autohorn with the Socially Responsible Business of the Year award
“Public commitment to social responsibility can play a huge part in creating positive brands and appealing to socially conscious consumers” staff and say ‘yes’ to their community initiatives,” says Jenkins, acknowledging that pride in the team, as well as responsible relationships with suppliers and customers, is what motivates the company to champion good causes. Autohorn has also joined Government initiative Go Ultra Low by pledging to make 5% of its fleet electric vehicles by 2020. Such public commitment to social responsibility can play a huge part in creating positive brands and appealing to socially conscious consumers, and there are increasing opportunities for businesses of all sizes and across all sectors to align themselves to social, environmental or charitable campaigns. Businesses like Autohorn who make significant
contributions to the communities they serve do more than just tick a social responsibility box. They foster a culture within their organisations that encourages staff to lead beyond authority and engage in activities that positively help to shape better communities. As an outcome of a commitment to responsible business, it is an achievement that should motivate any business to put social responsibility high up on the strategic agenda and make a genuine difference to the communities they serve.
For more information on responsible business management contact: Noel Dennis, Associate Dean of York Business School: N.dennis@yorksj.ac.uk
10
BUSINESS UPDATE www.bqlive.co.uk/bq-breakfast
A double first for twins
Pharmaceuticals tonic for city
Twin brothers James and Daniel Wormley are celebrating after achieving identical first-class honours degrees from Sheffield Hallam. The 22-year-olds from Swinton, near Doncaster, both graduated with top marks after studying Accounting and Finance at the University’s Business School. Daniel said: “We have always done a lot together and had the same group of friends growing up. We’re both good with numbers and people are always going to need accountants so we chose to study the same degree subject.” Prof Kevin Kerrigan, Pro Vice-Chancellor and Dean of Sheffield Business School, added: “James and Daniel epitomise the kind of student we nurture at Sheffield Business School. They have the knowledge and skills to succeed at the highest level and I am sure they will thrive. A double first is an astonishing thing. Their family was rightly proud of their achievements.”
A global pharmaceutical firm is opening an office in Leeds to support its expansion in the UK, Europe and the Middle East. Headquartered in South Africa, Ashkan develops and manufactures nutritional supplements for animal health. The company’s new office in Leeds will handle the sourcing of raw materials and sales ahead of the launch of a manufacturing base in the UK. Founder Eddy Mehta said: “Leeds is a vibrant city with excellent connectivity to Europe and beyond. Britain is a strong brand that conveys quality in markets around the World. I believe the positives outweigh any concerns around recent developments in the EU. If you have a good product and skilled people, companies, wherever they are, will want to trade with you.” Ashkan, which has developed a rehydration block for day old chickens which helps their wellbeing during transport, turned to accountancy and advisory firm Hentons to set up the UK operation. Simon Gray, a partner of Hentons, said: “It is a testament to the skill base in Leeds and Britain that we can attract leading global innovators like Ashkan. This is a company with innovation at its heart that is well placed to grow profitably from its new UK base.”
Azzure keeps flag flying Sheffield-based Azzure IT is the only Yorkshire company to make the Deloitte UK Technology Fast 50, coming in at number 29. The awards, now in their nineteenth year, recognise and rank the 50 fastest growing technology companies in the UK, based on the last four years of revenue growth. Deloitte said the 50 fastest growing technology companies in the UK generated £884m in total annual revenues in the year 2015/16, employed more than 7,100 people and recorded an average four-year growth rate of 1,240%.
FACT OF THE QUARTER Tourism in Yorkshire is now worth £7 bn every year.
TOP TWEETS ZITHER is Yorkshire for ‘look here’, according to The Complete Uxbridge English Dictionary – @GraemeGarden1 People going on about this mannequin thing being new. Until this season the Leeds defence had been doing it for years – @VitalLeeds We’re thrilled to have brought King Kong to Leeds as part of our #CitySculptureProjects exhibition - @HMILeeds We no longer go online. We live online. - @Netpremacy I think we need more #Sheffield hashtags #sheffieldissuper #sheffield_uk #sheffieldhub #sheffieldbizhour #sheffieldbusiness #ilovesheffield - @william_shu The chance to inspire and uplift young people is at the heart of 2017 - @Rosiemillard, Chair of #Hull2017 For sale: Yorkshire Dales pub & waterfall where Costner bathed naked. Yorkshire business of international importance - @Blenkinandco Well done on your degree @ jamesmartinchef. When people talk about Yorkshire, they think of you! – @68piglet
ONLINE AT BQLIVE.CO.UK
For frequen t business chat at your fingertips on demand FOLLOW @BQLIV
FOLLOW @BQLIVE
SEDBERGH SCHOOL
Co-Educational Boarding School in Cumbria
FOUNDED 1525
WWW.SEDBERGHSCHOOL.ORG
PROFILE Clarion
11
Sound Leisure signs new partnership with TouchTunes Leeds electronics and manufacturing specialist Sound Leisure has teamed up with US-based TouchTunes, the largest in-venue interactive music and entertainment platform, with jukeboxes in over 65,000 bars and restaurants across North America. The partnership sees the second generation Yorkshire family business becoming the sole distributor in the UK of TouchTunes digital jukeboxes for pubs and restaurants as well as providing a full after sales service.
Chris Black (foreground) of Sound Leisure with his brother Michael (left) and Matthew Hattersley of Clarion In 1978, Sound Leisure started out as a jukebox repair company with the ambition to manufacture in the UK. Over the last 38 years, it has grown into a £6m turnover business, employing 100 people and has sold over 50,000 jukeboxes around the world. By teaming up with TouchTunes, Sound Leisure will be able to increase sales within its own commercial jukebox division as well as enabling TouchTunes to expand into Europe. Leeds law firm Clarion, which has worked with Sound Leisure for six years, advised the company on the commercial agreement, drafting a number of distribution and operational contracts. Fiona Marr, senior associate in Clarion’s commercial team, said: “This partnership is of huge strategic importance for Sound Leisure, not only is it expected to significantly increase revenue for the company’s commercial jukebox division, it will also allow Sound Leisure to develop markets at home and overseas for its famous classic jukeboxes as well as growing some of its smaller divisions such as SL Kids which provides ‘distraction areas’ for children; and its interactive sound and lighting operation that is used in many
visitor attractions throughout the UK. “For a Yorkshire business to have established a global reputation for manufacturing classic jukeboxes with 75% of its production exported, is an amazing achievement. It is testament to the company’s electronics and manufacturing expertise, skilled engineers and innovation.” In November 2016, after a two year development programme, Sound Leisure started production of the Vinyl Rocket Jukebox, the first vinyl jukebox to be manufactured by the company in 25 years and the only vinyl jukebox being manufactured anywhere in the world. Based at its 80,000sq ft manufacturing facility in Crossgates, the new vinyl jukebox operation employs five people and marks a £250,000 investment. “Previously, our customers tended to be those that remembered the heyday of jukeboxes in the 1940s and ‘50s, but over the last ten years, we’ve seen growing interest from younger people. This, together with the fact that vinyl is fashionable once again, led to us starting to develop a vinyl playing jukebox,” explains Chris Black, managing director of Sound Leisure. “These are really lifestyle products, which
can appreciate in value – our customers realise that they’re buying quality in these hand built British machines, it’s a little bit of our heritage which they’ll have forever and pass down to the next generation. “Already, before we have really started marketing the vinyl jukeboxes, we have a six month waiting list and we expect the revenue from our classic jukeboxes to generate around £2m of revenue within the next 18 months. It’s fantastic not only for Yorkshire, creating additional jobs here and helping to build the region’s worldwide reputation for craftsmanship, but also for our many suppliers as, wherever possible, we try to source components from other local businesses.” Chris continues: “The Clarion team was instrumental in enabling us to reach an agreement with TouchTunes which everyone is happy with. In a complex industry, Fiona really got under the skin of our business, making sure that all concerns were addressed and seeing things from all perspectives – by teaming up with TouchTunes, we’re now in an even stronger position to move the business forward. “Clarion is a great team to work with, fair at all times to both parties, and we’d recommend them to anyone. As well as advising on commercial agreements and helping to protect our IP rights, they always go that extra mile, for example, by using their networks to put clients in touch with the right people.”
Can we help you? Call Fiona Marr on 0113 336 3324 or email fiona.marr@clarionsolicitors.com. Please visit www.clarionsolicitors.com for more information.
12
BUSINESS UPDATE www.bqlive.co.uk/bq-breakfast
Gazelles get Connected On its 15th anniversary, the high-profile Connect Gazelles organisation has relaunched itself and reverted to the name of Connect Yorkshire, adopting an entirely new brand and a new website - www.connectyorkshire.org. The organisation is a membership group with around 80 of Yorkshire’s most successful entrepreneurs who give free time to the 270 members in the form of mentoring and a monthly Masterclass.
IoD sets up home at Cloth Hall Court
Fancy a (very) green holiday? Legendary biologist Prof David Bellamy has named Hollicarrs Holiday Park near York as one of the UK’s greenest places to own a holiday home and awarded it the special accolade for the 11th year running. Set in 25 acres of Yorkshire countryside, Hollicarrs is home to 160 luxury privately-owned holiday homes. Over the past 11 years, owners Charlie Forbes Adam, a recent BQ entreprenuer, and his wife Rosalind have nurtured the park to provide a sheltered haven in existing ancient oaks and mature pines, as well as adding hundreds of indigenous trees and shrubs to provide extra privacy and landscaping. Roe and fallow deer are often seen in the woodlands, together with badgers, hares and rabbits. Dawn Buck, manager of Hollicarrs said: “A carefully-managed fishing lake and separate wildlife pond is the focus for many birds, animals and amphibians. The recent addition of the moorhen house on the wildlife pond has produced its first moorhen family this year and a newly created ‘bee hotel’ is situated underneath the ancient oaks.”
Homes come with food offer An up-market development of new homes in Helmsley has teamed up with a gastro eatery to provide a unique ‘café-to-room’ service to residents. Black Swan Yard, a development of 17 new homes under construction in the centre of the market town, has signed a deal with York-based Mannion & Co café-bistro, deli and bakery, which launched its new Helmsley branch this summer. Residents of Black Swan Yard’s two and threebedroomed, stone-built, cottage-style houses and apartments – of which the first phase of five are already complete – will be able to order snacks, meals or privately catered parties from the acclaimed bistro at a special rate.
Toby Cockcroft, director of York agency, Croft Residential, which is marketing the development, said: “Mannions is something of a culinary legend in this part of Yorkshire, so this is a really special service - not surprisingly the development is provoking a great deal of interest. We’ve had enquiries about these properties from as far afield as Dubai, Singapore and Australia, as well as from all over the UK.”
With the doors set to open in summer 2017, the historic Cloth Hall Court has already received around £500,000 worth of venue enquiries. The historic venue is preparing to re-open as a dynamic conferencing space for Well Met Conferencing - the conference office for Leeds Beckett University - and will also be shared with the Institute of Directors, as their flagship venue. Natalie Sykes, regional director of the Institute of Directors in Yorkshire and the North East, said: “At a time when we are transforming the way that the IoD interacts with its members, our new regional home provides first class business facilities in a location right in the heart of the dynamic city of Leeds, just footsteps from Leeds station.” Cloth Hall Court has four floors of conference space for up to 300 delegates. In order to keep the building’s cloth selling heritage alive, the rooms are creatively named after a variety of materials, from the ‘Tweed Suite’ to the ‘Denim Room’.
QUOTE OF THE QUARTER “The spirit of resilience and versatility that has seen Yorkshire businesses through the tough times of the last decade or so remains firmly in evidence” – Juliette Healey, Yorkshire & Humber agent for the Bank of England
PROFILE Doncaster Racecourse
13
Winning Venue in the Hospitality Stakes Ensuring delegates, members and work colleagues are relaxed and comfortable is key to any successful corporate event. In addition, parking, wifi and ample space are all important considerations when choosing the right venue. Doncaster Racecourse is renowned for hosting a vast array of events from small, intimate meetings through to AGM’s and exhibitions. Organisers, trainers and speakers are assured that each and every corporate event is fully catered for, meaning the environment and facilities will support their requirements and objectives. SPECTACULAR VENUE Doncaster Racecourse, home to the world’s oldest classic horse race, St Leger, is one of the regions most spectacular corporate venues attracting businesses from SMEs to large multi nationals. In the last 12 months it has enjoyed a notable increase in corporate events as more businesses discover the benefits of using a third party to facilitate business objectives whether they be team building, training or annual company updates. To this end, Doncaster Racecourse can support meetings, conference and corporate events from two to 3,000 people in its comfortable modern grandstand facilities. Large restaurants, private boxes and even the Royal box are available, of which all have fantastic views over the course and parkland beyond, as does the Mallard Restaurant, which commands views from its third floor vantage point and can accommodate up to 250 guests. During the St Leger Festival the 1776 marquee situated in the heart of the action provides the option for up to 500 guests and was used by Potter Logistics to celebrate their 50 year anniversary with all their employees. Breakfast meetings or theatre style conferences can be arranged with ease and professionalism and the main hall is simply perfect for exhibitions, launch events and award ceremonies.
“Doncaster Racecourse can support meetings, conference and corporate events from 2 to 3,000 people”
On a practical level, superfast broadband, free wi-fi and extensive free parking are also offered to support business visitors. HOSPITALITY AND HORSES The team are also masters at delivering corporate hospitality at its popular race meetings which take place throughout the year encompassing both National Hunt and the Flat Racing seasons. And, as one of the most popular racing and social venues in the North of England, it presents the perfect opportunity to reward staff or thank clients. Jane Bembridge from Bembo Events speaking on behalf of her client npower and, who chose Doncaster Racecourse as a venue said: “Everyone has been fantastic and a pleasure to work with. Npower is very pleased with the results of the conference – both the venue, surroundings and the conference itself.” Other clients who have utilised Doncaster Racecourse’s attractive venue for business events and corporate hospitality include, Next Plc, Welcome to Yorkshire, EDF Energy and Saint-Gobain Weber, to name a few.
MIX BUSINESS AND PLEASURE The venue, which is part of Arena Leisure Company (ARC) has also positioned itself as one of the most popular outdoor music venues in the UK and has attracted top class acts such as Sir Tom Jones, Madness, Will Young and many more. And, with a fine dining restaurant, The Old Weighing Room, on site with decked terrace commanding views over the ubiquitous Champagne Lawn, Doncaster Racecouse is a venue to be explored and enjoyed for a host of events throughout the year.
Further information can be found by visiting http://www.doncaster-racecourse.co.uk/events/ conferencesandmeetings/introduction
14
PROFILE Esh Group
Sustainable business builds communities and strong brands Construction innovator Esh Group has learned a thing or two about the reality of doing business sustainably and how to make it benefit your bottom line. Sustainability has been on the business agenda for many years. As the temperature is turned up on climate change, mainstream political parties talk environmental concerns, and consumers plump for eco-products, it seems many are simply following the tide of public opinion. The construction industry is at the sharp end of the impact on the natural world. Around half of all non-renewable resources are used in building. The construction industry needs real solutions. Simon Park, energy and environmental advisor at Esh Group, explains: “Being environmentally sound can, and should be, about a lot more than PR. In fact, it’s about a whole lot more besides responsibility. “The construction industry is so closely connected to the environment – whether it’s through design, raw materials or energy usage. And I think what we’ve learned, and what we’re doing, at Esh Group could be useful to other businesses.” The concept is simple. Commercial decisions drive companies, so Simon is putting the commercial case at the heart of Esh Group’s sustainability strategy. Simon explains: “There’s a concept called Greenwash – and it’s interesting for businesses. It’s a shorthand for the spin that is sometimes used to create the impression an organisation is ‘green’. It describes organisations that spend more time and resources on marketing their supposed green credentials than substantive environmentally friendly practices.” Businesses that greenwash are not only missing the point but also the commercial benefits. A typical day on-the-job for Simon sees him out on one of Esh Group’s construction sites, helping the site manager quantify how decisions that will save money also reduce environmental impacts. Simon explains: “Our team needed to install an attenuation tank next to a new housing development. The original design specified we’d have to dig up a stretch of road to accommodate it.
Simon Park - Energy and Environmental Advisor But, the Site Team did some thinking and worked up a plan with a new location for the build. The amended design led to a reduction in waste, energy and man hours – all of which meant a lower carbon footprint for the build and ultimately pounds saved.” That’s just one example. Back at Esh Group’s headquarters, a group of volunteer staff members are having their cars fitted with telemetry devices that will feedback on their driving behaviours. The idea is to identify those instances where staff are putting their foot down, then braking hard. It’s all bad for fuel economy, and in turn for the environment. And Esh Group’s finance director will tell you there’s another multi-million-pound reason to save fuel. Waste is perhaps the biggest environmental challenge for constructors like Esh Group. Getting
rid of it in a sustainable way is one thing, but what about making it pay. Esh Group’s answer is reusing as much waste as possible. Last year the firm put 93,910 tonnes of it to good use in other projects around the region – often on nearby sites to minimise transport. Some waste is sold to others in the market, and the rest ends up at the group’s new recycling centre. Overall it means fewer trips to landfill and less cost. Simon adds: “Doing business sustainably – with a commercial benefit – requires strategy. We’ve got plenty of individual examples, but they’re all tied to big goals. Recently we launched our ten-year sustainability campaign, ‘Summit 2026’, which contains some stretching medium and long term goals.” Esh Group is working on a £3.9m project to extend and improve recycling facilities in Leeds. The project, awarded by Leeds City Council, will see major improvements to the Kirkstall Road site that will boost capacity and enable better waste segregation. The works will be undertaken by Esh’s civil engineering division, Lumsden and Carroll. Due for completion in January 2017, Esh has handed over the first phase of the project. The improved recycling facility will serve the local area, including the 57-acre Kirkstall Forge development, where there are plans to build 1,050 new houses, 300,000 sq ft of offices and 100,000 sq ft of retail, leisure and community space. Commenting on the project, David Pratt divisional director - civils, at Esh Group, said: “The project will prove a benefit to the residents in the local area and create capacity for the future. The improved site will help Leeds Council achieve its waste reduction targets.” A long term campaign is ambitious but necessary to focus the minds of company divisions as they go about building, buying and maintaining. Getting staff, suppliers and customers reading from the
PROFILE Esh Group
15
Kirkstall Rd Recycling Centre
same page is a key part of the mission. Esh Group knows that making sustainability an innate part of the business will pay dividends. What better time to introduce these ideas than at the start of construction careers? Esh Group’s Carbon Coach scheme is a bid to capitalise on the sweet spot – when lifelong and career-long habits are formed. The group’s latest cohort of 50 apprentices is the first to embark on the tailor-made online programme designed to cement sustainability in the minds of the next generation of construction leaders. Rita Callender, business development manager at Esh Group, said: “The Carbon Coach Course is about two key things - tackling a skills shortage in the construction industry and meeting carbon reduction targets. We’re excited to be leading the field in this way, and, once we’ve proven the model via a pilot, we want to encourage other businesses to adopt it. “The construction industry not only faces more stringent carbon reduction targets in the coming years, but it also has a duty to lead the way in
“Esh Group knows that making sustainability an innate part of the business will pay dividends.” sustainable business practices. From a commercial perspective, this also makes sense as saving energy means reducing costs and making our business leaner and efficient.” Extending the strategy beyond Esh Group’s own four walls is also important. For a business so interconnected to its suppliers – whether that’s brick merchants, plumbers or timber stockists – the sustainability game is also played out off-site. Making mutually beneficial commercial and environmental gains from supplier relationships is the aim of that game. The group’s Supplier Relationship Management Programme aims to encourage the type of innovation that doesn’t happen naturally as part of the dayto-day buying process. It means efficiency and
sustainability are on the agenda – but all eyes are on the commercial benefits to be reaped from these practices. Simon adds: “We’re driven by the knowledge that sustainability and profitability are not mutually exclusive goals. One drives the other. Sure, our customers are keen to see our sustainability credentials, and as a company, we’re all about community support, but putting sustainability at the front of what we do is not an expense, and it’s not just a ‘nice to have’. It’s business sense.
17B Astley Way Industrial Estate, Swillington, Leeds, LS26 8XT Tel. 0113 3993030
16
AS I SEE IT bqlive.co.uk
Eyes and ears of Britain’s Bank Juliette Healey, Yorkshire & Humber agent for the Bank of England, writes for BQ Yorkshire on the resilience and versatility of Yorkshire businesses and the crucial role of the Bank’s Agents A lot has changed since the Bank of England opened its first outpost in Yorkshire nearly two centuries ago. The original purpose of the Bank’s first branch in Leeds was to provide a base for distributing bank notes around the county, a function that’s still carried out from the city’s cash centre. But it wasn’t long before local Agents were also appointed in the Bank’s regional outposts, whose job it was to liaise with local commerce and industry. Back then the Agents were described as “men of private means with influence in the local business community”, who were appointed by the Governor of the Bank. From the 1930s, part of their role was to send regular reports back to Threadneedle Street reflecting on the conversations they had undertaken with local businesses. I’m pleased to report that these days the Bank’s Agents are a rather more diverse bunch than our predecessors of the last century. And, although we still send regular reports to head office, our remit has got rather broader too. Just as the powers of the Bank of England have increased over recent years, with our new responsibilities for overseeing the stability of the UK’s financial system and for supervising banks
and some other financial institutions, so the job of the Agents has changed. In line with those new responsibilities, we’ve expanded our interest in access to finance for companies of all sizes to financial risk more generally. We’re also listening to a more diverse range of voices including charities and others in the third sector and, as ever, evolving our contacts to reflect new and changing sectors such as digital. And when we host visits from senior policymakers we’re not just taking them to meet our business contacts – although that remains an important part of any trip – but also organising visits to other organisations, including local schools. We’re also using a wider range of communication tools – for example, you can now follow the Yorkshire and the Humber Agency on Twitter. The need to engage more effectively with a broader range of stakeholders was a key message that emerged from the Bank’s Future Forum events that took place in the Midlands in October, which included a large public meeting in Birmingham involving the governor Mark Carney and the deputy governors covering all aspects of the Bank’s activities.
Above all, that means talking in more straightforward language that real people understand because, ultimately, the stuff we talk about really matters to their lives – be that the cost of filling up the car or how much interest they’ll be paying on their mortgage next month. That said, our conversations with members of the business community remain the bread and butter of the life of an Agent. Because it is those of you who run and work in companies across Yorkshire and the Humber who are the ones creating the wealth and jobs that are at the heart of our economy. It’s a real privilege of our job to hear about the challenges, opportunities and issues that companies face on a day-to-day basis – and we remain extremely grateful for the time that busy senior business leaders give us so that we can better understand what is happening in the
AS I SEE IT bqlive.co.uk
economy and the way the world is evolving. Rarely have their insights been more valuable than today. Since the referendum on Britain’s membership of the European Union there has been a lot of uncertainty about what the future holds and Agents can provide policymakers with insight into conditions today and firms’ expectations for the future. The Bank’s two policy making committees – the Monetary Policy Committee (MPC) who focus on delivering sustainable low inflation and the Financial Policy Committee who promote financial stability - have to make assessments based on data available at the time of their meetings. Understanding how the referendum might impact the economy has been challenging. The Bank’s network of contacts, including several hundred companies here in Yorkshire and the Humber, have helped to inform their thinking. This happens both via the intelligence fed to them via the Agents, the surveys we carry out, and through one-to-one conversations members of the committee have with our contacts during their visits. So what is our current view of the state of the economy here in our region and the UK more generally? As you’ll be aware, back in August the MPC announced a package of measures to
support the economy, including a cut in Bank Rate to 0.25%. Based on the data available at that time, the Committee judged that the UK economy was likely to see little growth in the second half of 2016. In light of the tendency for survey indicators to overreact to unexpected events, the committee expected some bounce-back in surveys of business and consumer sentiment following the sharp falls in the immediate aftermath of the vote to leave the European Union. Nevertheless, since the August Inflation Report, a number of indicators of near-term economic activity have been somewhat stronger than expected. The committee set out its latest thinking in November’s Inflation Report. Uncertainty remains high but the MPC’s growth forecast for next year is stronger than that set out back in August, reflecting the economy’s robust recent performance. Recent growth has been supported by the package of measures introduced in August, including the small cut in interest rates which reduced the cost of mortgages and finance. But the outlook for 2017 and 2018 is weaker, partly because the lower value of the pound will make imports more expensive which is expected to push up prices. Rising inflation is then likely to weigh on consumer spending growth. Also, the elevated level of uncertainty in the economy does appear to be weighing on companies’ investment plans, consistent with the MPC’s judgement in August that business spending would slow more sharply than consumer spending. That outlook is consistent with the evidence we hear from our contacts here in Yorkshire and the
17
Humber. For many, little has changed since the referendum at the end of June, whilst for others, particularly those exposed to international trade, the fall in the value of sterling has, or will, have an impact - be that positive or negative. Faced with a period of inflation above its 2% target, the Bank might be expected to increase interest rates. But that period will be temporary. And it is expected to happen alongside modest growth and rising unemployment. The Bank has therefore decided to leave its interest rate unchanged at 0.25%. But it has said that policy could respond in either direction, depending on how inflation and growth prospects develop. Economic forecasting is a tricky job at the best of times. When uncertainty rises, that job becomes even more difficult. In the short time between me writing this column and the magazine landing on the doormat of your office, the outlook will have changed again. So, as this story unfolds, the reports the MPC hear from our Agency contacts are vital. One thing we can say for certain is that the Yorkshire economy looks in good shape to tackle whatever lies ahead, with employment levels at record highs and an economy that feels increasingly diverse and vibrant. And the spirit of resilience and versatility that has seen businesses through the tough times of the last decade or so remains firmly in evidence. Whether your business is a stalwart of the region’s business community that’s been hosting visits from Bank of England Agents for many decades or an up-and-coming SME yet to receive our call, that resilience has to be a source of encouragement as you look to 2017 and beyond. n
18
ENTREPRENEUR bqlive.co.uk
Hard-wired for success It used to be a fountain pen and a Jag, now tattoos and a Harley are part of the new business branding – as Mike Hughes found out when he talked to Dean Towers, MD of BCS Electrics on the outskirts of Leeds
ENTREPRENEUR bqlive.co.uk
Getting to the BCS Electrics offices on Charlton Grove in East End Park is like finding Harry Potter’s Platform 9¾. I was basically banging my head against a brick wall the first few attempts before it was revealed. The Google Maps pin took me to a piece of grassland, and the local shop and the local ‘guy doing some painting’ had never heard of it. Then the magic happened and it was suddenly in front of me and, to be honest, it didn’t look too promising. It could....err.... certainly do with a coat of paint and ....err....four or five tons of Polyfilla. But then this is a place of wiring and plugs, not architectural awards and flags, and it all changes in the reception area. Sledge-hammered render is replaced with newly-painted midnight blue walls, an expensive-looking sofa and coffee table and gleaming bespoke lighting made from steel pipework – a recent addition to the BCS catalogue of skills. This is the Towers effect. From apprentice to MD at 36, Dean has been influencing BCS since he arrived more than 20 years ago. The outside doesn’t matter – it is when you get inside to do the business that you know you are in the right place. His company goes back a long way, to the day when local heroes Edwin Billington, Walter Carroll and John Skidmore returned home from the battlefield and founded BCS Electrics on 19 March 946. They took on their old mate Harry Furness, who regularly cycled from Leeds to Manchester to deliver wages, and the BCS ethos was established. “The Furness family have been friends of my family for years now,” Dean tells me in the small
boardroom, large-screen TV in the background running the newly designed company website. “It just sort of landed nicely that I started here with an apprenticeship when I was 16. My dad’s advice was always that when you leave school you get a trade, then do whatever you want because you have the trade to fall back on. I wanted to be a mechanic, but got talked out of it and followed in my granddad’s footsteps as an electrician. “I think when you are a young lad it is all about what is cool – and for me that was messing about with cars. But I sat and considered it and looked at how well the construction industry was doing and thought I would be better off linked with that, because my granddad had brought my mam and her sisters up and had a happy life and was doing quite nicely. “When I started it I found it really interesting and knew it was something I could stick to.” The value of talking to someone like Dean is that he is a good guide to how to build an entrepreneur and get him into the boardroom. He has all the parts already included, with the screws, nails and bolts to help put it together: Supportive family (tick), drive to succeed (tick), following his instincts (tick), business sense (tick), workforce backing him all the way (tick), good reputation (tick) and still under 40 (tick). His story is the set of instructions you need when you open the box and spread everything out on the workbench. “One thing I didn’t have at school was a very academic mind,” he admits. “It was a struggle for me and I found the work hard, but then I didn’t put 100% into it – I was just waiting for Fridays. I still see now that
19
it is very rare to find someone who is good academically and also good at manual labour. I could do the job, but couldn’t tell you the ‘how’ or ‘why’ of the job. “So the first two or three years at Leeds College of Technology was difficult, but then it just clicked that I had to knuckle down, stop being a ‘lad’ and think about the future. I’ve kept in touch with some of the lecturers even now, people like Phil Cunningham who told me I would never make owt of myself!” So the ‘build-your-own-entrepreneur’ kit was starting to be assembled, with a rebellious phase and the feeling that ‘normal’ work wasn’t going to be enough. But then along with that comes the realism that it can’t all be fun and games there has to be work as well. “I don’t know where that comes from, it just takes over and you know that you have to grow up in a very short space of time and look to the future. I knew that if I messed about for the next four years it would affect the next fifty years of my working life,” Dean says. “So I started as an apprentice, fetching and carrying, and then started to do a little more and it was a different generation back then so when you came to the third year of a fouryear apprenticeship they would say ’right, there’s a van, you’ve got your tools, here’s all these maintenance jobs I want doing – go and do them’. “It’s all different now with insurance and health & safety, but that’s what I loved back then.” Soon after college was finished and relationships – an absolute core of how BCS operates – started to build with his colleagues and the Towers character became fully formed. Ahead
“You know that you have to grow up in a very short space of time and look to the future. I knew that if I messed about for the next four years it would affect the next fifty years of my working life”
“The company was £98,000 into a £100,000 overdraft, and we had customers and suppliers screaming at us”
of more qualified staff, he found himself being asked to run bigger jobs, even though he was still struggling with the admin side of it all. Then fate intervened in a very painful way and Dean (brace yourself...) ripped apart the “gristle” that holds his leg to his pelvis, trying to drag a large section of cable into his van. Backache was the first sign that something was wrong and then his whole body started to arch backwards.... “It was just a bit of lad’s bravado trying to help someone with the loading, but I was out for six weeks,” says Dean. “I was told my body would never be the same again because I had put too much strain on the pelvis. So I went in to talk to my general manager and said I would rather do a project that I could get my teeth into, and could I run a health & safety programme at the company.” That unexpected twist (literally, in the case of his pelvis...) brought out the grown-up side of Dean once again and he forced himself back to academia, training up on H&S rules and regulations through various IOSH courses. He describes it as “nothing too severe”, but qualifications followed and after a rethink of company roles he was asked to also take on labour co-ordination as well so BCS could keep track of who was doing what, and where. The parts were slowly being assembled. “It all took off after that, as people moved about and generations came and went, I progressed upwards until about four years ago when BCS hit a really bad time. Myself as office manager and my business partner Tony Barnett were in a meeting in the insolvency practitioner’s office and they were going to wind it up on the Friday. “There was a lightbulb moment and I just said ‘I’m not doing it – we need to find out what we can do. The MD said he would relinquish all control to us, but I didn’t want to do that just yet, as we were putting a lot on the line, so I said ‘give us 12 months’. “Anything we did during that time couldn’t have a cost attached because the company was
£98,000 into a £100,000 overdraft, and we had customers and suppliers screaming at us.” It would be enough to put off many hardened Yorkshire sparks, but the Towers entrepreneur kit was now almost complete and those vital relationship skills were tested to the limits, firstly by anxious colleagues back at Charlton Grove and then to calm the cries of customers and suppliers. There were, as the saying goes, full and frank conversations across Yorkshire about limitations, goals and paying only what was urgently needed. And it worked. “We have had long relationships with many of the suppliers and all of them got on board with us and said they would give us a chance and got us to tell them on what days we could pay them certain amounts. We played our part by never missing any of those payments. “With the workforce there was some uncertainty about us, but that was a short-term thing and we sat them down and made a point of being completely open with them about what we were doing and making sure nothing was hidden from them – and we expected and got the same from them. That enabled us to really start the business again from scratch. “But it is important to us that we were still BCS and everything it stood for. Tony and I bought the company last year and we were asked if we would change the name and get our own initials up there, but I have grown up at this place, it has had credibility since 1946 and it represents everything the staff have worked for – why would I change that now?” So the name stayed, but other things did have to change, and Dean’s own take on the world was one of them. From ‘bit of a lad’ apprentice he now had two families who looked to him for support and income – the lads and lasses at BCS and his wife Claire and son Mason at home. However many lightbulbs went on – mentally and literally – it all came down to everyone having enough secure income. “I always thought when I was younger that I was carefree and things were always someone else’s problem,” he told me.
22
ENTREPRENEUR bqlive.co.uk
“But then you grow up and mature and I realised I had to look after these guys at East End Park. You become more susceptible to what is going on in their personal lives and helping out where you can. I won’t throw money at people because they won’t learn the lesson, but I’m quite happy to give them some help if they need it. I’m the boss, but they know they can come to me because that relationship is right. “It does change you – dramatically for me over the last two years – with things like spreadsheets and win ratios which I never used to bother with. But no matter what changes, I have always enjoyed coming to work and that has been a big advantage for me because I have more time for people. Social media has also changed to give a more up to date view of the company as has the people they work with, including heavyweight business advisers Armstrong Watson - all to keep pace with the growing workload of BCS itself and make the most out of its potential, with 28 staff and a steady flow of apprentices coming through its doors to build the next layer of Deans and Tonys. The family side of MDs like Dean will always be a vital part of the kit, with 15-year-old Mason
“ I won’t throw money at people because they won’t learn the lesson, but I’m quite happy to give them some help if they need it”
considering going into the Army with the REME and then working on vehicles like his dad once dreamt of, maybe also continuing that Towers entrepreneurial spirit and running his own garage looking after the BCS fleet. The mechanical DNA comes straight from his dad, who has a deep love of bikes and drives a Harley whenever possible. That started when he met his wife Claire, whose dad and brothers were already fans and will soon lead him to building his own custom bike to add to the three he already has. With the tattoos and the full beard he was very much at home during the recent Distinguished Gentleman’s Ride - an international charity event for classic and vintage styled motorcycles that raises awareness and funds for men’s health programmes. That’s why the building is a good metaphor, with its traditional ‘no frills’ exterior and
innovative interior. Number 40 Charlton Grove has changed just as much as the company and its boss have. “Personality-wise I am no different to what I was back then. I am still not the most academic person in the world, but I have managed to get by and take over the company because I know I don’t need to know everything, just a little about everything, because I can get people to help me.” A phrase that keeps cropping up in our conversation is ‘watch this space’. Dean uses it as an illustration that he is only just getting started with his vision for BCS. It was a job that paid the bills first, then one that he put his reputation and money on the line for when it was on the brink of crashing and now it is his to run and you can almost hear the Harley revving, ready for the open road and the next opportunity. n
Give yourself the gift of peace of mind this Christmas Our personalised service is second to none. We listen to where you’ve come from, and pay attention to what makes your business special, so that we can help you get to where you are going. Whether it’s business advisory, corporate finance, consulting or tax - our specialist teams are on hand to help you work out your next move.
Start the conversation today Call us on 0333 123 7171 or visit www.bhp.co.uk Sheffield \ Leeds \ Cleckheaton \ Chesterfield \ York
24
INTERVIEW bqlive.co.uk
The Verity factor – strong words, softly spoken Mike Hughes takes off his bike clips, threads a chain through the spokes of his Pashley Roadster and sits down with Sir Gary Verity, chief executive of Welcome to Yorkshire Gary Verity is, almost literally, the face of Yorkshire. As the head of Welcome to Yorkshire he embodies the spirit, optimism and hard graft that are the touchstones of the county. But mixed in with the pride and forthrightness for which he is known, there is also a modesty about him that would make him laugh off any efforts to put him – as we will – on a list of Yorkshire legends. But if his eight years in charge of the county’s marketing and brand organisation put him on a list or two, then the Grand Départ placed him at the top of the pile. Bringing the opening stages of the 2014 Tour de France to Yorkshire was an audacious and breathtaking success for him and his team, generating around £130m with a crowd of just under five million and led the race director Christian Prudhomme to name it “the grandest Grand Départ” in the event’s 111-year history. Its legacy is proud and active, with the county’s image changed forever and a nationwide cycling surge started that will not be stopped by any hill or dale. The Tour de Yorkshire was born and Gary became Sir Gary in the Queen’s birthday honours last year. Now the race to crown Yorkshire as a cycling essential is also won, with the county just being awarded the 2019 UCI Road World
Championships, marking its return to Britain after 37 years, with a £27m budget to include £15m towards the construction of 27 venues around the country. So when Sir Gary heads off for his own cycle rides from his sheep farm in Coverdale his mind can drift off to thoughts of Mark Cavendish, Peter Sagan and Tom Boonen taking to the hills alongside him. “We have been clear all along that we wanted to make Yorkshire the cycling capital of Europe and for that to happen we need the Grand Départ to be a success and then we have our Tour de Yorkshire and now over a week of cycling with the 2019 championships. It will cover a lot of the county and with the other events everyone will get a look in,” he told me in his organisation’s offices on Foundry Square in Leeds (beautiful building, great people, dreadful parking). “Cycling and Yorkshire are a very easy marriage because you need roads, accommodation, stunning scenery for those outstanding backdrops....and hills. Put that lot together and, well, it is pretty obvious where you should be. “But there is also a passion and a heritage for cycling going back to Brian Robinson (first Briton to finish the Tour de France), Barry Hoban (winner of eight stages of the Tour between 1967 and 1975) and Beryl Burton (won more
than 90 domestic championships and seven world titles). As a sport it is embedded into our DNA, not just as competitive cycling, but also recreational, with so many tales of people cycling to work at the docks in Hull. “Yorkshire can be a pretty tribal sort of place with all sorts of local rivalries between villages, towns and cities, but I have never known anything to unite it all as much as cycling has done.” You might not describe his style as effusive but it is completely compelling and his entirely confident way of telling his audiences that we are the best in the world at so many things, but perhaps they just hadn’t realised it yet, epitomises the county itself. His strong words, softly spoken, have won hearts and minds and made millions love Yorkshire. But it is, as he is quick to point out, a team game. “A lot of the credit for the success of the Grand Départ must go to the various agencies who worked in it. But also to the stunning people here at Welcome to Yorkshire – they are the ones doing the real work, putting in hours and hours and hours of work, with roadshow after roadshow explaining what would be happening for businesses and communities, Round Tables and WIs and explaining how they could get involved to make the most of it.
INTERVIEW bqlive.co.uk
“Cycling and Yorkshire are a very easy marriage because you need roads, accommodation, stunning scenery for those outstanding backdrops....”
25
26
INTERVIEW bqlive.co.uk
“The success of the Tour and the success we will have with the UCI championships is down to this teamwork, with local authorities, police and fire service and so many volunteers as well who make it possible.” The large part he plays himself is illustrated by a peek into the pages of the Verity diary – a formidable tome that pretty much seems to be full 24-7-365. “It can be wearing,” he admits, and this is why..... “Before BQ got here today I was delivering a lecture at the university and after this I am heading off to Newcastle, then back down to Yorkshire tonight. Tomorrow I am getting an honorary doctorate from Huddersfield University first thing, then meetings in Leeds in the afternoon and speaking at a school speech day at night. The next day there is a board meeting in the morning and then down to London in the afternoon to give evidence to a Parliamentary select committee... and so it goes on.” That is devoted service, well worthy of the knighthood. But it is working, he is working, his team is working and the region is working together. “I am very privileged to be able to do the job I do and I consider it to be a great honour to represent one of the finest places not only in the UK but in the world. So I too will do anything I can to help bring success to Yorkshire in whatever form that may be.” Maybe even in the form of a mayor then? “No, no, no,” he laughs. “There are better candidates for that than me.” Ah well, worth a try, I suppose, but his high profile means he is much in demand and would be on many people’s shortlist. “The biggest challenge we face in my office is trying to keep as many people as possible happy, but sometimes you have to let people down. Personally, I know that this comes with the territory and you have to take it in your stride. “But it is an unusual thing for me as a career chief executive to have a role that has anything like this level of profile and attention. It is slightly strange, but there is a genuine enjoyment of it because – and I know a lot of people will think the same – I really do think I have the best job in the world.” That job involves continuing to unlock the full power of a passionate and supportive people who hold great promise for a future
“I know a lot of people will think the same – I really do think I have the best job in the world” which needs cycling but doesn’t rely on it. The Welcome to Yorkshire blueprint will have vast assets in arts, culture, heritage, food and drink to draw on as well as the rugby and football that are often the glue bonding together a region’s people – even if they are split into such different camps. “We have different strategies for each challenge and it is a matter of how we can marry up some of those strategies to get the leverage we need,” he adds. “But we are helped hugely by the fact that innovation is in Yorkshire’s blood. The region is full of entrepreneurs and is constantly looking for opportunities and reinventing itself. We just get on and do things.” However, uneasy he may be about the focus so often being on him, his opinion matters and his view of the bright future for the county’s businesses is a valuable gauge.
“There is huge potential here and I get the feeling we are ready to move to yet another level. There are a number of really positive things happening around all four parts of the county region which, if you start to join the dots, means the future is really very exciting. “If companies are thinking of moving their businesses and are looking at the options, just think what this place has to offer – great accessibility by air, roads and ports and only two hours or less from London by train. Then three National Parks, three Areas of Outstanding Natural Beauty, a stunning coastline with all its possibilities in the renewables sector and a ready-made talent pool with tens of thousands of graduates every year. We have forwardlooking local authorities and great places to live in a city, just outside a city or in a small town or village in open countryside. “There are sixty castles or stately homes in
INTERVIEW bqlive.co.uk
Yorkshire – there are only 16 chateaux in the Loire Valley! “I am certainly sensing an air of optimism and positivity around for businesses across the whole of Yorkshire and that is really good to see because I genuinely believe that our best work is still ahead of us, not behind us – we just need to shout about it more. “Theresa May has been very complimentary and supportive of the Northern Powerhouse and what can be done for Yorkshire. Successive governments have tried and realised the need to rebalance the economy by getting it out of London and the South-East and letting other parts of the UK fulfil their potential. “We are naturally resourceful and resilient as Yorkshire businessfolk and we seize opportunities. Our history is littered with examples of people doing that and seeing a gap in the market and forging forward. “The talent pool we have across Yorkshire businesses, in many different industries and sectors, is as strong as I have ever seen it.” His earlier career was as a chief executive known for building high-performing teams. He spent 18 years with Royal Insurance and worked with various other businesses that he helped to turn around, honing the management skills he has put to such good use serving Queen and county. But his life was changed by a devastating blow when his wife Helen was diagnosed with terminal bone cancer in 2004 and he returned to Yorkshire to be with his family. Before she died, aged 42, at the farm in Coverdale, Helen and Gary had raised a sixfigure sum for cancer charities and a few weeks before her death he ran the New York Marathon with a team from Yorkshire to add to the funds. Family has always been vital for Gary and his home and its stunning surroundings became once again something to hold onto in his shattered life as he and six-year-old daughter Lily started to look to the future. “The one thing Helen’s death teaches you is a salutary lesson that having a long-term plan is fine, but it is a very good idea to think about the moment and live for that,” he says. “Look to what you can achieve in the immediacy without necessarily having an arrogance that you will still be here in 25 years’ time because you just don’t know what might be around the corner.” He describes Lily now as ‘on top form’.
“Having a long-term plan is fine, but it is a very good idea to think about the moment and live for that” “She is really great and doing very well and turning into her person, which is lovely to see,” he says. “It is a very special bond between us.” Away from home and back in the office, sport is a strong metaphor for Yorkshire businesses, from the teamwork he has already mentioned to the entrepreneurial underdog taking on the premier league firms and the heroes it creates, from the blood sweat and tears of local lads who always believe they belong in the big time. Sir Gary, now married to Anne, a school teacher, is a sports addict through and through and his admiration for what the human body is capable of means he has little time for those who question pure guts and honest endeavour. “We had a fantastic Olympics, not only for the cyclists, but for all our competitors,” he says, “with tremendous achievements for our Yorkshire sportsmen and women. “There have been mutterings about performance levels, and we have had this before when Sir Bradley Wiggins won the Tour de France and people were asking how Team Sky could have bikes that went that fast. The team’s
27
manager Dave Brailsford probably summed it up best when he said that the team’s wheels may have been ‘more round than anyone else’s.’ “It is just nonsense – let’s just embrace it and celebrate our achievements.” The wave of credibility we have now continues to pay dividends with high-level support for the 2019 championship. British Cycling President Bob Howden knows what Yorkshire can do for cycling, and said during the bidding campaigns: “Not only would Yorkshire deliver a cycling event to rival the scenes we saw in 2014 during the Tour de France Grand Depart, it promises to build on our fantastic legacy of getting more people to discover the joys of life on two wheels.” And Sir Gary is equally enthusiastic, sensing another milestone for Yorkshire, and it is fitting that he returns to teamwork for his final words before, briefcase in hand, he heads off down the stairs ahead of us on the journey to Newcastle. “There is an air of confidence around Yorkshire and around our businesses at the moment, which is at a level I can’t remember in recent times. That is brilliant to see and it is fantastic to be able to play a very small part in that. “The team around me that is looking after Yorkshire is particularly strong and I am really lucky to lead them.” It is, of course, his county – and his family – that are the lucky ones. n
Welcome to success Tourism in Yorkshire is now worth £7 billion annually. There are 216 million visits to the county each year. For every £1 invested Welcome to Yorkshire has delivered £40 into the Yorkshire economy. Domestic overnight trips to Yorkshire grew by 20% last year, one of the largest increases among the regions of England. As other regions struggle, spending in Yorkshire has soared by more than 11%.
28
INSIGHT bqlive.co.uk
The world is undergoing an explosion of data - and while entrepreneurs have adapted to big data and the Internet of Things, it can sometimes seem bewildering how best to take advantage of these advances in technology. At home in Yorkshire, cap hpi has thrived for more than 30 years and adapted to the increasing volumes of data and advances in the complexity of the industry. Initially used vehicle information was delivered in a printed ‘Black Book’, today they are served in realtime by apps, APIs and the web, which means
The power of data Joel Albyn, product and innovation director at cap hpi, which delivers data for the automotive industry, looks at how important data could be for new businesses
INSIGHT bqlive.co.uk
businesses can receive decision support data and software solutions spanning vehicle valuation, validation, collision, mechanical repair, and total cost of ownership. As we grow we hope that our investment will unlock opportunities for technology entrepreneurs in the region, because Leeds has a rich digital talent pool and the local universities and colleges also provide great access to the next generation of skills and thinking. Anyone thinking of growing a digitally focused business should get involved with the local tech and data communities. It is an important part of building a support network. I also see huge value in partnering more closely with the universities, which will help to retain talent in the city and ensure that graduates have the appropriate skills. In a recent study, Leeds outperformed Manchester, Birmingham and Edinburgh as a base for growing businesses. It found that central Leeds has 81 fast-growing firms with a combined turnover of £2.3bn. The findings are contained in a report into business scale-ups, which was compiled by research firm Duedil. A scale-up is classed as a company which has achieved three years of 20% growth in revenues or staff. According to the report, London & Westminster came top in the survey. It is home to 638 scale-ups that bring in £544 bn of combined revenues. Cambridge is the second biggest cluster with 86 fast-growing firms, and Leeds is third. There is a growing digital community in Yorkshire, and Leeds in particular, which has a buzz about it following a raft of high profile, and value acquisitions. This is supported by a mature finance and professional services community that gives entrepreneurs the support they need to grow in the UK and overseas. The market provides a sizeable opportunity for any business with European ambitions. The manufacturing sector in the European Union accounts for two million enterprises, 33 million jobs and 60% of productivity growth. The new industrial revolution driven by data
opens up new horizons for industry to become more adventurous and to develop innovative products and services. Recent studies estimate that digitisation of products and services can add more than c110 billion of annual revenue in Europe in the next five years. Back in Yorkshire, Leeds remained our business base as we joined forces with vehicle provenance experts, HPI, to become cap hpi. The city is now the global hub of a business that works with manufacturers, finance companies, retailers and technology innovators around the world. I believe that the availability of data and technology has simultaneously lowered the bar to market entry and enabled companies to grow rapidly. Servers can be hosted in the cloud and scaled quickly to provide a global reach, at a fraction of the cost of only a couple of years ago. Now growing a business has never been easier. At cap hpi, we work with a wide range of digitally enabled businesses that use our data to drive their products and unlock their businesses in a way that was impossible only a few years ago. We have now built a European data-set to support our growth plans and will underpin services with a new global coding system which will enable businesses in the automotive sector to take a unified view of global trends. We believe data is the new fuel for the motor industry and a single global code will help the industry drive innovation and growth throughout the vehicle lifecycle. Data-led businesses will be able to scale internationally in a fraction of the time and with much less cost. The new code is numeric-based and will provide a future-proofed platform that enables
29
a wide range of technology-based solutions. It will allow far greater levels of detail and accuracy when describing a model, chassis and powertrain. We have put technology at the centre of all data activities, from collection and processing, through to delivery and the development of new applications, launching our international business at this year’s Paris Motorshow and sponsoring the first Innovation Forum, which brought together start-ups, technology companies and motor manufacturers to look at how the industry will be shaped in the coming decade. We want to work with companies across automotive manufacturing, retailing, finance, insurance and fleet sectors to use the code to develop applications that help them work more efficiently and profitably. As the cost of entering a market comes down, it means that the best ideas from entrepreneurs can thrive. From my role at Walmart in California, where I led global product development in e-commerce, to my innovation-focused job at cap hpi, I see the businesses that thrive are the ones who build an ecosystem around them. Often this can be with competitors in the same space, because sharing data is mutually beneficial and the true engine of growth. Employing over 300 people in the city, Leeds is the springboard for cap hpi’s global operations, proof that Yorkshire is the perfect home for high-tech businesses. Whatever the requirements, new and growing companies recognise a key factor here – the gamechanging availability of data and digital skills in the city and surrounding region. n
“Anyone thinking of growing a digitally focused business should get involved with the local tech and data communities”
30
VENTUREFEST 2016 Media Partnership
Backing a winner at Venturefest Mike Hughes takes a tour of one of Yorkshire’s biggest business events – Venturefest Trying to stage a business event that reflects a place like Yorkshire with its cities, towns, villages and ports is quite a challenge – but this year’s Venturefest might just have pulled it off. Stepping in to run the event for the first time, destination organisation Make It York said around 1,000 visitors, more than 100 exhibitors and sixty guest speakers turned up at York Racecourse. The event was spread over four floors of the Knavesmere stand, split into zones such as Creative & Digital, Agri-food, Bio Synergy, Universities and even a Donut Den for one-toone networking. As well as the zones there was a long list of seminars and presentations to reflect that wide variety of businesses visiting from across the region. Andrew Sharp, head of business at Venturefest
organisers Make It York, said they are already making their plans for next year. “We were delighted with how things went,” he said. “Collectively, the speakers and the workshops provided some very good advice for the hundreds of people who turned up. I think it did what we thought it was going to, which was to showcase the very best of Yorkshire innovation. “The venue worked really well and allowed people to circulate and see as many exhibitors as possible and have those really important meetings to generate business. “This was the first Venturefest that Make it York has organised and we certainly want to see it continuing as a pivotal showcase for the region and a platform for business and we want to take it forward next year.
“We are here to help those innovators and entrepreneurs be successful and get them all in the same space for some networking and collaborative projects and to get the investment they are looking for. “We were really pleased with the calibre of the people we had at the event, particularly the speakers and the people who led the inspiring and informative workshops. One thing that really caught my eye was the fuller range of events going on to attract interest from right across the spectrum.” But with the presence of big hitters like Google Garage, Sky Agile Masterclasses, Tesla Cars and Barclays Eagle Labs, the event’s real power is in what it might be kickstarting. The ripple effect of a major gathering like this will spread around the county and can have
VENTUREFEST 2016 Media Partnership
“I think it did what we thought it was going to, which was to showcase the very best of Yorkshire innovation”
31
32
VENTUREFEST 2016 Media Partnership
long-term effects for many years. No selfrespecting Yorkshire entrepreneur will meet someone for the first time, realise there are synergies to be explored and then walk away and not contact them again. In a few years, there could be a noticeable addition to the local economy because of collaborations and support that began at Venturefest. “Certainly, there are relationships built here and started here that Make it York will be working with all year to help build investment and growth and strengthen the region’s businesses,” agreed Andrew. “The success of the event shows that there is really strong growth in York and the wider region. We are seeing strong investment coming in to help build a really positive picture of people all getting on and doing the business, whether they are start-ups or more established companies.” One company that falls somewhere in the middle is ClearSky Medical Diagnostics, which won the day’s main prize - £5,000 and 12 months of focused business support – in the Pitchfest competition. The company is based at The Catalyst on York University’s Heslington East campus and specialises in medical devices for the diagnosis and monitoring of Parkinson’s disease, Alzheimer’s disease and a range of other neurodegenerative conditions. Its founder, Dr Stephen Smith, told BQ: “It was quite a full-on day, but I recognise the importance of these regional events and one of the things I have learned about the enterprise scene in Yorkshire is that it is a really wellconnected community, with a lot of support for businesses. It’s a great environment for ClearSky. “Venturefest was an absolutely fantastic event, with two really big achievements. One is to bring together this network of people from throughout a very well-connected region. But also I think there is a way through events like VFY to demonstrate that there is so much going on up here and that is an important area of technological development. “We need events like this to shout about it a bit more, because at the moment I think we are a bit of a well-hidden secret. For my wife and I, coming to Yorkshire 22 years ago was the best move we have ever made. It is a wonderful place to live and the lifestyle is certainly better.
“There is a way through events like VFY to demonstrate that there is so much going on up here and that is an important area of technological development” You just feel that people look after each other here. “The company has been established for a couple of years now in a sector that can be very hard to get into, with a lot of regulatory issues and clinical studies. But we are at a very exciting stage where we have the regulatory approval and the IP protection and are really starting to get traction. “I have been an academic at York for 22 years, and then got a Royal Academy of Engineering fellowship which allowed me to really get going and set up a company. It has been a real breath of fresh air to me, and I am now always looking at my research to see what opportunities there are to work towards solving a problem and making a difference to people’s lives. The Venturefest win will really help us deliver that. “As we go further along in our journey the funding from Pitchfest will be very welcome, but one of the biggest challenges we have is learning how to penetrate the NHS and convincing the right people in the right places at the right time that what we have is going to be useful. So the help and mentoring from this very well connected network is particularly welcome. “For ClearSky these are very much the first few steps. We have developed a portfolio of four products. The first is already in the market and the second should be there before the end of this year. “But as with any good business idea, you start to see other opportunities develop as you go
along. In a very patient-centric environment we should be delivering healthcare to the patient rather than the patient coming to the hospital, and with the Internet and better connectivity we can think about how we could deliver our types of diagnostics facilities into homes. “That turns the whole thing round, because I think it is recognised by most people that we cannot sustain the current model of the NHS and we need to find more efficient ways to do it and make more of the resources we have.” The other Pitchfest finalists on the day were Supply Box, Desi High Street, Kwizzbit and Myroo Skincare. Supply Box is based at Entrepreneurial Spark on Park Cross Street in Leeds and is an online platform connecting schools with a community of supply teachers to supply fully vetted and qualified staff. Desi High Street is the UK’s first online marketplace bringing together a range of ethnic or ethnic inspired shops into one platform. Kwizzbit hosts an interactive quiz, combining the traditional format of a pub quiz with the excitement of interactive digital entertainment. And Myroo will be a familiar name for BQ readers, with owner Rachael Dunseath appearing as our cover star in our Autumn edition, where I spoke to her about her allergenfree skincare range. Rachael is still making remarkable progress with her business and won the People’s Prize after an audience vote at Venturefest. n
34
BUSINESS FOCUS Special Feature
Why training needs a fuller and richer conversation
The numbers for both businesses are impressive enough on their own: Intraining and Rathbone Training exist within NCG, which has four colleges, an annual turnover of £178 million and 3,000 staff across 61 locations. That huge scale enables them to work with more than 133,000 learners and 20,000 businesses each year. The influence that gives them in so many regions is magnified by the structure of the organisation. With Rathbone Training being a charity and Intraining a not-for-profit business, everything they make is invested back for the benefit of customers and communities alike – a central
As the Performance Director of two of the country’s largest training providers, Rathbone Training and Intraining, Gina Steele tells BQ Editor Mike Hughes about the impact they have on their communities and the plans for growth core of the way both businesses are run. “We made a decision last year to bring them together so that we can give the best value for what is essentially public money,” she explained. “It meant we were able to more easily share
key services and best practice, and from a business perspective our employer-facing staff and customer-facing staff would have a single conversation about a range of products and, probably more importantly, can have a single
BUSINESS FOCUS Special Feature
‘listen’ to what our employers need.” The logistics of bringing together two key players in the training sector are daunting, but the Vision 2021 programme being led by Rathbone Training and Intraining’s Senior Leadership Team will make sure the passion colleagues have for helping people get jobs remains undiminished. “Both organisations are centred on employability and increasing the offer to employers who will have a wider range of solutions because we are sharing the benefits of each other’s markets,” she told BQ.“But while we know we are a hugely influential operator on a large scale, for us it all comes down to the passion we have for simply helping people find work – for us it is all about levels of employability. “I was away with over 50 of our young people at our youth conference recently and they were telling me how much they understand that what we can do together will give them sustainability and purpose and enable them to have that flat or that family they have always wanted. “They are realistic, just as we are, about the area where they might find that employability and what first steps they will have to take to get there. We see our role as getting people to that first job and accepting that some people might need two years to get there, while others might make it in eight weeks. We will help them reach the skills level and personal development level to achieve whatever they are capable of. “We know from years of experience that people don’t move forwards on a nice neat linear path when it comes to fundamentally life-changing experiences, so we need to deliver highly-personalised journeys and have to have the staff in place who can handle such a wide range of sectors and types of people. It can’t be in a typical classroom environment, it has to be done in partnership with employers to give an experience of the workplace.” Fundamentally, Rathbone Training’s space is working with young people around 16-24 years old who have not, so far, successfully transitioned into employment because of predominantly socio-economic circumstances. It also delivers apprenticeships in some key areas like youth work and child care and in areas like volunteering, because as a charity it understands that audience. Intraining delivers apprenticeships to adults aged from 19 onwards in areas such as business management, business and health
35
“Whatever we do, we will always keep employability for jobs as our focus and the key to the trusted collaborations we have with employers and the community – people will always be at the heart of our business”
and social care and works closely with adults at JobCentres to deliver the Government’s work programme. “That is the framework in which we operate and it includes regular Ofsted inspections but within that there has to be uniqueness to what we can offer for individual people,” said Gina. It is important for us and the people we work with that we are externally tested on that information, advice and guidance and both our organisations have also been through the industry’s Matrix Standard programme to make sure we deliver the very best options to as many people as we can. “The sectors we work with are also hugely varied and the range of job opportunities within them is equally wide-ranging. This means that there are chances of progress for so many people, but also means our own intimate knowledge of those sectors and the regional situation covering them in each of our 61 locations needs to be impeccable – and we work very hard to make sure that is the case. “We work in a very competitive training market, but I believe we offer a wider range of solutions than many other organisations which enables us to have a fuller and richer conversation. There are skills specialists out there, and employability specialists and those who work with adults and those who work with young people, but we cover all those areas and have a really big kit-bag that we can delve into to find the right answers.” Despite its scale, there is a clarity about the two organisations that will be the envy of many smaller competitors. Rathbone Training and Intraining are about unlocking potential through learning and passing on strong values to as many people as possible. That work can start with a single phone call, or via the website or even via its Facebook or Instagram accounts. But no matter how successful, no training organisation can ever sit back and think they have the job covered – the work changes all the time and issues like the Apprenticeship Levy
underline that. Gina said: “We are confident and realistic enough about its implications to be in a strong position to offer guidance to our customers and clients, so I see it as an opportunity for them and for us rather than a negative – and one that only affects two per cent of employers. “The other 98 per cent are the SMEs that Rathbone Training works with while Intraining works more with levy-payers, so we have a full picture already forming within our own work. “We are positive in terms of engagement and working with new and existing customers to deliver what they need as the landscape around them changes – and if our two organisations can’t deliver exactly what they want then we have the experience and the contacts to help them find someone who can. That is a privileged position and we have worked hard to be confident enough to offer that level of service.” For Gina, not every conversation needs to lead to a transaction – as long as something happens that is of benefit to the customer, she and her colleagues will take pride in acting as a conduit to help make it happen. For the future, the Vision 2021 programme will encourage a ‘past, present, future’ dialogue about the unique values of the organisation and how they can take them forward and develop their offering. “Whatever we do,” said Gina, “we will always keep employability for jobs as our focus and the key to the trusted collaborations we have with employers and the community – people will always be at the heart of our business.” With so much experience across so many sectors and regions Intraining and Rathbone Training are already a trusted driving force in the training sector, influencing and directing policies and strategies that are changing the way young people are trained and apprenticeships delivered. It is a challenging job with a set of responsibilities that can literally be life-changing for its own staff as well as the people it works with. n
36
ENTREPRENEUR bqlive.co.uk
The boss of Hesco was brought in to repair and rebuild a company shattered by personal loss. BQ Yorkshire Editor Mike Hughes meets... Hesco MD Mike Hughes
Yorkshire mavericks To make this easier to follow, I’ll give my interviewee his Sunday name of Michael (for me it is only my mum who calls me that, for him it is his wife, so we’re both Mikes at heart). As well as sharing names, like me he is a freelance who has found his natural home – mine with BQ in Yorkshire and his with Hesco, the internationally recognised supplier of rapidly deployable perimeter protection which shields against hostile attacks at places like Camp Bastion - the largest operational camp built since the Second World War - and against rising floodwaters as Hurricane Katrina hit America. Known as a trusted and skilled turnaround
expert, he was brought in in 2010 after the heartbreaking death of the company’s founder, multi-millionaire businessman and philanthropist Jimi Heselden. Jimi had devised Hesco’s earthfilled barrier system, the Concertainer as a way of protecting his Yorkshire home from floods and had gone on many years later to buy the Segway scooter company in America. It was while he was manoeuvring one of those vehicles near his estate in Boston Spa that he toppled from cliffs into the River Wharfe. A broken company in need of personal and commercial help, the family asked Michael to give them the direction and stability they all needed.
“I knew no details about the company before I was brought in,” he explains in his office overlooking the Harrier jet parked permanently outside as a reminder of the company’s close military ties. “That can be a plus in that I had no preconceptions when I first met the family. They decided they wanted someone to be a bit of a bridge independent of the whole situation and I was one of two people put forward by the trustees. In a sense, it was what I did – I was a consultant out and about doing other bits and pieces and had just finished a long-term project for another business which was far more of
ENTREPRENEUR bqlive.co.uk
37
on the front line a turnaround. I have a history of going in for short-term projects and then staying because the project becomes bigger and, by nature, I like to see things through rather than just get things going and then leave. “I find I get on with the teams and the owners, and now I am permanently here at Hesco because it is a business I have come to be very attached to in terms of the quality of the business and the testimonials we get. We are either saving people from harm’s way in terms of bombs and ballistics or saving homes and infrastructure in flood areas. In that sense it is a feelgood business.”
The company website has been written with great emotion to reflect that close link to life and limb, telling visitors it is ‘protecting the protectors’ and adding: ‘....we maintain integrity and innovation in everything we create, preserving our humble origins; remembering that Hesco started on the need to protect a family home.’ “It is interesting when you meet employees that you realise this is a unique business, with a really interesting cross-section of mavericks, a number of who are ex-military,” says Michael. “When you take a map of the world marked with red spots for conflict zones to be avoided
– that’s where they are working. That takes a lot of training and understanding of these situations.” Michael is used to working on the front line of business. He trained and qualified as a chartered accountant with Binder Hamlyn, was a partner at Andersen and worked at board level for a number of companies before co-founding the WPA Associates consultancy in 2001. That level of experience has now been a key factor in one of Hesco’s biggest changes – its sale to another perimeter security specialist, Sheffield-based Betafence, a deal which was overseen locally by Richard Moran and Rachel
“It is about the package you get when you come to us and I don’t think anyone else is in a position to offer that with the history we have”
Dean from Clarion and Alison Starr from Eversheds. It is a positive move all round, with Hesco remaining a standalone subsidiary within its new owners, with Michael at the helm. “Betafence has been a supplier to us since the day the business started,” explains Michael. “One of the things we recognised is that we were very much at one end of the high security sector and we needed to start moving along it, so we developed this type of surface-mounted fencing, which still has certain test ratings against hostile vehicles. “At the same time Betafence was moving from panels and posts to becoming more about perimeter solutions, so there was a natural fit in the middle.” But more importantly to many at the firm is the blessing of Jimi Heselden’s family, who said of the sale: “We are all immensely proud of the success of Hesco and the lasting legacy that has been forged in Jimi’s name. We feel this deal is something that he would have been happy with and we know this was ultimately part of his strategy in order to move the business forward.” That firmly marked the start of a new era for all involved, and justified Michael’s feeling that
this might be the place he would stay. “We are a business geared up to producing these containers, so when the demand comes, nobody wants to wait six months for delivery. Our ability to ramp up and ramp down is a great asset, but then we have the technical knowledge and support - you can put a blast wall up, but exactly where you place it is important. “It is about the package you get when you come to us and I don’t think anyone else is in a position to offer that with the history we have. But even with that quality, when I first arrived I knew that the original patent was at its expiration and there was competition out there. “So my very rapid assessment was that the business was going to go into a very difficult situation with reduced volume once Obama had announced a change in mission in Afghanistan (his withdrawal schedule was hailed as proof the United States was ‘finishing the job’). “I remember having a meeting with the US Army service that deals with our contract where they told us things were going to change but there would be a ‘soft landing’. Well, it was a crash landing, because we never got another
order. The business was running at £120m turnover with all the volume that came with that and overnight went to £30m. “Ultimately, the business would not be sustainable just doing what it did, so it had to restructure and expand. Jimi was non-standard in his approach, with a company that he allowed to be run in London by someone else, looking after Hesco’s IT and IP and support in the field. So effectively the front-end services were done by another company, while another in the US, which he owned with some shareholders operated the flooding side of the business. “It was a large company being run like a very small company and, to a degree, I think that is a great principle because the balance is always to take the good things of being corporate but try to avoid being over process-driven. “Jimi had the intention of selling and was going through the process of setting that up and it was clear that in order to maximise value for everyone I needed to bring everything together. That took a fair amount of time.” Throughout this challenging period, it was that character of the company, its staff and the Heselden family behind it that paved the way
ENTREPRENEUR bqlive.co.uk
for change. Michael found that ideas brought up in a meeting would be instinctively developed by a workforce eager to play their part in the new Hesco. “It is a very can-do attitude, which makes us very responsive internally as well as externally to our customers. Internally, there was a very human side to what I was doing, which was difficult at first. Coming from outside, I wasn’t personally impacted by what had happened, but there were a lot of people who were. “There was also quite a lot of wariness about this new guy coming in, but maybe one of my skills is an ability to work well with management teams to get things moving in the right direction, because costs and structure had to change. When I first got here we had nearly 300 people over three sites, but we now have a core workforce of about 60, which we can flex up and down as required. “It has been difficult for them because many of them were unbelievably well-paid, but with all
of the loss of volume and margin erosion, that just wasn’t sustainable, so we had to cut it by more than 50% of what they were on – and in the marketplace we have today, I would still say we are at the top end. “But I had empathy with them because on my factory floor what you were doing before and what you are doing now is not very different, it is still hard work but they were getting less than their previous wage. Alongside that, some of the existing management couldn’t mentally adapt to the change so we had to go out and find some people. “We also invested in product development because Jimi’s biggest strength was his inventive streak and that had gone, so we had to use the people we had and look at ideas that we had patented but not really developed. There was no sales force as such because three customers accounted for 93% of the turnover, so we converted some of our guys out in the field. “This was the same process that entrepreneurs
39
usually go through when working on a startup – building a workforce and a market and putting a commercial front on the business. The core product hasn’t changed but after that there isn’t a single part of the business that has stayed the same and that includes finance, legal and the production process.” But the Hesco brand remained as strong as ever and was a big reason for Betafence’s move, with its CEO Michele Volpi saying: “Together we will provide comprehensive security know-how with trusted brands that have been tested to the limit and proven in the field across numerous key markets around the world.” Now the brand could be taken to a wider field with new defence and flood-related products. The need for acquisition became clear and a hard-armour business in Washington was bought and Hesco Armor was born, with the trademark passionate appeal to potential customers: “Whether at home or on the battlefield, these heroes put their life on the
40
ENTREPRENEUR bqlive.co.uk
line every day to protect those in need. They deserve to be protected by the best”, says the website, accompanied by impressive videos of Hesco products under fire. The business was fairly small when it was taken on, but the brand has moved the US-based business from $1m sales to $8m in two years. “The name translates across the world and a lot of the people who are buying our armour are from the military and have come home and gone into law enforcement, so they know Hesco’s reputation. That and some great technology opened doors which might take some time for smaller businesses. “But as I say to people in life, no matter how good you are, how good your product is and how good your strategy is, there is always an element of luck in everything we do. Do not kid yourself it is all your own hard work. It’s the same with me – yes, I am the conductor and I do some direction, but there is a lot of input from a lot of people that helps determine our direction.” Hesco is also working on the front line across the world battling floods although that business has been “a bit stuck in the mud” for the last few years because of less severe flood issues in the States. Michael explains: “In parts of the Mississippi we have walls holding back eight feet of water, but we knew weeks in advanced that it was coming. It starts up in Canada and you can almost tell from the weather conditions what is going to happen.” The market is different here in the UK because the problem is more flash-flooding and the Hesco barriers are at their peak performance when installed ahead of foreseeable problems, although its new Jackbox product has been bought by the Environment Agency. It is based on the same Concertainer principle, but is more lightweight, doing away with the wire mesh and relying on impermeable material cubes that can be folded out and filled. There is also a potential for gabians (the empty mesh basket used to contain earth and stones to make a barrier), as BQ readers may have seen along the widening sections of the A1. But the construction technique used is different and means Hesco containers are much more rigid and – thankfully for the troops behind them – will not be flexible so that they can settle into a resting point as is the case with retaining walls
“Hesco is also working on the front line across the world battling floods although that business has been “a bit stuck in the mud” for the last few years because of less severe flood issues in the States”
around civil engineering projects. Michael’s role as a turnaround specialist has its own inbuilt challenges, particularly around having a limited time at a company he might start to enjoy. As he has said, Hesco seems set to change that, but it is something he has encountered many times. “It is easier in certain circumstances, and I am quite good at detaching myself from certain aspects because you just can’t always be emotional about the people,” he admits. “You plan strategically what needs to be done and then you think about the people and slot them in. If they don’t slot in then you are there to take the hard decisions. The strength is in being able to cut yourself off and make the decisions and I suppose the weakness is that the longer you are in a business, the more attached you get to the people and a people-person might not be able to be hard enough on the other bits. “You always have to look at it from a positive aspect – yes, we have just halved a workforce, but by doing that we have saved half a workforce and are looking at expansion.” He has lived in Yorkshire since he was 18, and all three children were born at LGI so he is truly an adopted Yorkshireman, with his wife a GP in the county as well. “I think it is the best place in the world,” he says. “I can’t think of anywhere else to live. I go
away and travel a lot and I love coming home to Yorkshire and getting off in the Dales and places like Whitby – it’s a fantastic county and Leeds is a great city. “I went to university in Leeds when the region was all carpets and textiles and the city was a ghost town after 5pm, so I have seen complete change and now the restaurants are heaving.” Intriguingly, before his 18th he was a very mobile teenager because his dad was in the forces. “I suppose that gave me a bit of insight for the work we are doing at Hesco, but not hugely. It was probably more influential on how I am as a person and how I deal with things,” he says. His approach over the six years he has spent at Hesco shows that wide experience is no bar to being called an entrepreneur. The spirit is the same, as is the inventiveness and commitment to a product and unless you are going to try to force home the same model each time, each venture needs to be a start-up, with fresh ideas and a clear desk from Day One. Like his adopted city, there has had to be courage and foresight to break away from old traditions and reinvent the way things are done, and like Leeds, Hesco is so much the better for that. Like his namesake writing this today, Michael is a prime example of the 50+ entrepreneur. We’re a match for anyone half our age..n
SEDBERGH
EASTER COURSES FOR BOYS AND GIRLS AGED 10-15
CRICKET
RUGBY 7S
HORSE RIDING
WITH MARTIN SPEIGHT
WITH NICK ROYLE
WITH ALISON SIXSMITH
COURSE DATES 3RD – 6TH APRIL For more information or to book a place visit:
WWW.SEDBERGHSCHOOL.ORG/SUMMERCOURSES Quoting: BQ2017 e - eventsmanager@sedberghschool.org
t - 015396 22616
42
MADE 2016 Media Partnership
Jimmy Cregan, Jimmy’s Iced Coffee Penny Mallory, Event chair
POWERED BY
BQ reports on the success of MADE 2016, the UKs leading festival of entrepreneurship
Neil Costello – Atom Bank We all loved it, learnt a lot and got a lot through our brand association with the event. Anecdotally lots of leads for our business guys which is a great outcome as well. Fantastic line up of speakers and Jimmy even opened an Atom account. Look forward to seeing the feedback and well done again for hosting a great event.
Guy Hayler – Crowdfunder The crucible looked amazing, especially during the investors den and all the support from the staff throughout was top notch. We were very well looked after all the way from the train, the hotel and on the day! We left feeling very proud of the businesses that pitched. They did so well. We will be turning this into a story and shouting about it!
Penny Mallory – Event Chair Fabulous event, I thoroughly enjoyed it! Congratulations, I think it was big success.
Jonathan Straight - Angel Investor It was a pleasure to be involved. I was struck by the sheer energy around the place, so many animated conversations, many new contacts forged. I loved being part of this and hope to visit Sheffield again next time.
Jess Ratty – Crowdfunder It was one of the best events I’ve attended and it’s my job to attend a lot of events and I speak at about 20/25 a year. I left with a real sense of momentum - and feel that there is really something in supporting your businesses and making this story bigger.
Professor Vanessa Toulmin – Head of Engagement at University of Sheffield I really enjoyed the festival and the feedback I had was very positive both the venue and programme. It was great seeing some of our local talent as well.
Steve Bartlett, Social Chain
James Akrigg, Microsoft
MADE 2016 Media Partnership
AGE
TOP FIVE INDUSTRIES
18-25
1. BUSINESS & PROFESSIONAL SERVICES 2. CREATIVE & MEDIA 3. EDUCATION & TRAINING 4. ICT & COMMUNICATIONS 5. RETAIL & PERSONAL SERVICES
26-35
36-45
45-60
60+
17% 21% 27% 31% 4%
50%
TURNOVER
42%
14% 0%
21%
13%
NOT YET TRADING
£0 - £250k
10%
£250k - £1M
£1M - £10M
ROLE Owner
Executive
62%
10%
Manager
Other
19%
9%
£10M +
EMPLOYEES 50%
39%
12%
0%
NOT YET TRADING
11% 9%
0-4
5-9
10%
7%
10-19 20-49 50-99
5%
100249
7%
250+
Ryan Bates – Pryor Marking Technology The speakers were very inspirational and knew exactly what the needs of the audience were. I took something away from every speech.
Emma Taylor – BIPC Sheffield Warm, inviting and you knew where everything was - great to have all of the stalls, sessions and delegates in one easy to reach place.
Mark Sephton – marksephton.com A vast improvement on last year, Venue made it more intimate. More entrepreneurial speakers, lots of variety, more opportunity to interact with speakers through App etc.
(Prof) Dr R D Field OBE – Field Enterprise Magnificent... Speakers were all inspiring as were their stories, with lots of valuable practical learnings. Wouldn’t have missed it for the world!
BE PART OF MADE 2017 www.madefestival.com
43
COMMERCIAL PROPERTY Happy birthday from 1,500,000 visitors Beverley’s Flemingate centre celebrated its first birthday by announcing it had welcomed more than 1.5m visitors over the past 12 months. Hull-based regeneration company Wykeland Group, developer and owner of the centre, said it was delighted with how strongly Flemingate had grown in its first year, with a series of retailers, restaurants and cafés joining the founding operators. Property Director david Donkin said: “Flemingate has had an excellent first year in which the centre has developed strongly, with a series of leading retail and leisure brands coming on board to complement the opening line-up. “Flemingate took a decade to deliver and is now paying dividends for Beverley and the region, creating more than 700 jobs, attracting major brands that could not previously be accommodated in the town, and introducing so many much-needed new facilities.” Flemingate has a host of major high street names such as Debenhams, H&M, River Island, Peacocks, Superdrug, toy retailer The Entertainer and Wilko as well as the multi-brand retailer Outfit, which features fashion must-haves from the likes of Topshop, Topman, Dorothy Perkins, Wallis, Miss Selfridge and Burton. These are complemented by high-quality independents
– fashion store Bolo, jeweller Guest and Philips and homewares retailer Baytree Interiors. Food and drink outlets range from Costa Coffee, Gourmet Burger Kitchen, Greggs, Patisserie Valerie, Starbucks and Subway to locally owned and managed independents Deli No. 1 and Riva Lounge.
It pays to be speculative
The first speculative industrial development to be built in Bradford since the recession has secured its first letting. Newhall Business Park, constructed and developed by Bradford’s Frank Marshall Estates, will create 120 sustainable new jobs. Wilkies Floors, part of the MCD Group, are taking 3,250 sq ft of quality industrial and trade counter space in Unit 5 on the estate. Frank Marshall Estates bought the five-acre business park, part of Prologis Park, from
Beverley’s Flemingate centre celebrated its first birthday by announcing it had welcomed 1.5m visitors over the last year
Prologis for an undisclosed sum earlier last year. Outline planning for eight business units, totalling 38,000 sq ft, has been granted by Bradford City Council. The development has been built by Bradfordbased construction company Percy Pickard Contractors. Frank Marshall Estates is run by Edward and Jimmy Marshall and is a well-established real estate company with significant commercial assets in Yorkshire. Edward Marshall said: “We are tremendously excited at securing our first deal at Newhall Business Park, which rewards our faith in developing it speculatively. Newhall occupies an exceptional position at the top of the M606 to the south of Bradford city centre and is just minutes away from the hub of Yorkshire’s excellent motorway network. The location is superb, arguably the best for industrial property in Bradford.” Frank Marshall Estates themselves are moving their headquarters to the site from the nearby Link 606 Office Park next spring, occupying the 17th century Grade II listed building which fronts Rooley Lane and was formerly the club house of West Bowling Golf Club. The building is currently being extensively refurbished and will be split into two wings, The East Wing and the West Wing, allowing another occupier more than 2,400 sq ft of quality office space.
2017 RACEDAY FIXTURES JANUARY
JUNE
Monday 9 Opener
J
Friday 27 Sky Bet Chase
J
Saturday 28 Sky Bet Chase
J
FEBRUARY J Thursday 9 Eventmasters Raceday J Wednesday 22 The BetBright Festival
MARCH J Friday 3 The BetBright Festival
Friday 2 (E) Weston Park Cancer Charity Race Evening
F
Wednesday 13 St. Leger Festival Leger Legends
F
Saturday 3 Derby Day
F
Thursday 14 St. Leger Festival Ladies Day
F
Friday 15 St. Leger Festival Gentlemen’s Day
F
Saturday 16 St. Leger Festival St.Leger Day
F
F Sunday 18 Yorkshire Wildlife Park Familiy Fun Day F Friday 30 Summer Afternoon Racing
JULY F Saturday 1 (E) Sun Bets Music Live with Construction Index
Friday 7 Racing Welfare Charity Raceday
J Saturday 4 The BetBright Festival
APRIL Saturday 1 Betway Lincoln
F
Sunday 2 Family Fun Day
F
Friday 28 F Spring Afternoon Racing Saturday 29 (E) F Spring Evening Racing
MAY Saturday 6 (E) F Yorkshire Water Supports WaterAid Raceday Saturday 20 (E) Sun Bets Music Live
SEPTEMBER
F
Thursday 13 F Sheffield & Hallamshire Sporting Club Raceday Thursday 20 (E) Resident’s Evening
F
Thursday 27 (E) F GRIY Summer Festival
AUGUST F Saturday 5 DJ Live UNISON Raceday
Saturday 19 Sun Bets Music Live
F
OCTOBER F Friday 27 Autumn Afternoon Racing F Saturday 28 Autumn Afternoon Racing
NOVEMBER F Saturday 11 Betfred November Handicap
DECEMBER Friday 1 J Winter Afternoon Racing Saturday 2 J Winter Afternoon Racing Friday 15 J Festive Jumpers Raceday J Saturday 16 Festive Jumpers Raceday
Friday 29 Twixmas Raceday
F
(E) - EVENING
F FLAT
J JUMP
doncaster-racecourse.co.uk DoncasterRaces
J
01302 304200
DoncasterRaces
Terms & conditions apply. For full terms and conditions please visit our website. Doncaster Racecourse encourages responsible gambling. www.gambleaware.co.uk.
46
COMMERCIAL PROPERTY bqlive.co.uk
Ryden shops for Sainsbury’s
a
Ryden has purchased the newly developed Sainsbury’s Local store in Menston, Leeds on behalf of Kingston Unity Friendly Society. The retail unit was sold on a forward commitment basis for £1.44m, reflecting a net initial yield of 5.2%. AWS advised the seller, Leeds based developer Gregory Property Group. The investment comprises a 4,000 sq ft purpose built retail store in a very prominent location fronting the A65 from Leeds to Menston. The building was pre-let to Sainsbury’s Supermarkets Ltd on a 15 year lease, with rent reflecting
£19.05 per sq ft. Kevin Surplice of AWS said: “The scheme provides high-quality, convenience store facilities in a very popular residential location. The sale reflects the highly competitive investment market for high quality properties.” Matthew Edwards of Ryden added: “We are pleased to secure this new build investment which has good security of income and an attractive yield on behalf of our client.”
A degree of regeneration Representatives from housing and community regeneration specialist, Keepmoat and the Homes and Communities Agency (HCA) teamed up with Hull City Council and Leeds Beckett University for a Planning Network Masterclass aimed at showcasing the varied nature of a career in construction and the unique methods which are currently being used in the planning process. Alex Codd, city planning manager at Hull City Council, said: “The delivery of housing on brownfield sites is
New spaces in Sheffield Spaces Sheffield has welcomed Mackenzie Spencer and Grey and Green to their new home at G2, an office adjacent to the Olympic Legacy Park in Attercliffe, Sheffield. David Slater, owner and managing director of SPACES Sheffield, has long been championing the area of Attercliffe and the Lower Don Valley and said: “Mackenzie Spencer and Grey and Green have moved into the commercial heartland of the city. It’s an extremely exciting time and we’re pleased that they are here to be part of the continuing transformation of this area.” Chris Sellars, managing director of both corporate finance experts Mackenzie Spencer and accountancy practice Grey and Green, said: “We are thrilled that our new home is in this prime area of regeneration. Attercliffe has seen a huge amount of change, redevelopment and investment in the last few years and we believe that by moving here, we will open up both businesses to new opportunities.” The Olympic Legacy Park is set to be part of an internationally recognised Innovation District for health and wellbeing research and learning. Around 3,000 people will work, learn and improve their fitness at the multi-million pound 35 acre site with world-class sports, education, health and leisure facilities.
critical to meeting the country’s housing needs. Within Hull City Council over 60% of all new housing is proposed on brownfield sites and the authority, is a pilot authority for the brownfield register, and at the forefront of delivering on complex sites.” Dan Crew, head of land and partnerships at Keepmoat in West Yorkshire discussed the impending £142m Leeds Brownfield project which is being delivered in partnership with the HCA; and will see 13 new developments built across three different neighbourhoods. Naz Parkar, area director at the Homes and Communities Agency, also spoke at the event and discussed the need to increase build rates across the country and how the government’s £2 billion Accelerated Construction programme would make a significant difference.
More Mouchel Mouchel Consulting extended its highways and transportation professional services contract with Leeds City Council. Mouchel, recently acquired by WSP Parsons Brinckerhoff, has worked with Leeds City Council since 2003, and this new extension takes the contract to August 2018, its maximum length. Mouchel will continue to provide the council with a range of services across highways, structures, transport planning, urban design and environmental factors from inception, to feasibility and design, to construction. The Leeds team, alongside colleagues from the wider business, supports Leeds City Council in the delivery of high profile schemes such as its city centre strategy, Leeds Bradford Airport and the East Leeds orbital road. All of these schemes are enabled by the West Yorkshire Transport Fund and Mouchel’s work is helping to accelerate the council’s infrastructure regeneration plans, including significant housing allocations, employment zones and enabling works for HS2. The firm’s most recently completed project for Leeds City Council has been the Cycle Superhighway from East Leeds to Bradford Centre, the UK’s first attempt to develop a separate, long-distance cycle route.
ENTREPRENEUR bqlive.co.uk
The non-stop entrepreneur At just 25, Bethan Vincent has already tackled an impressive number of challenges, including working on four businesses. Mike Hughes asked her to slow down for a morning’s catch-up... in front of a decommissioned Soviet rocket I had to ask Bethan Vincent for some help when I came to write the standfirst above. She is so many things and has such a quicksilver mind, that it can be tricky to pin down a description. This blogger, vlogger, jazz singer and businesswoman may be as close to addicted to entrepreneurialism as I have seen so far. So many ideas and projects – all backed by a neverending passion – tumble from her very busy brain that I doubt she could stop even if she wanted to. Her swift ascent seems echoed by the setting for our interview as a full size former Soviet rocket from the Cold war, now part of former chairman Robert Hiscox’s art collection, takes its place in the dramatic foyer of the new Hiscox building in York where Bethan has a space with the company’s Business Club. So how do you make a Bethan Vincent? Apparently you start with university uncertainty and go on from there.... “I got to my third year at University of York and thought to myself ‘I have no idea what I want to do’ although I had always knew at the back of my mind that I would like to run my own business,” she told me. “The university has its own enterprise team and they had a few pitching competitions running so I did a couple and that got me thinking that there might be
something in it. Coffee was always my go-to drink and when I worked in the Netherlands you always went to independent coffee shops - never the big chains - because the Netherlands is a very ethical country with a moral robustness that appealed to me. “I had always worked during my time at university, so when I left I had a bit of seed capital to use and thought ‘what’s the worst that can happen?’ and I set up Vincent’s Coffee. “It taught me the basics of running my own business, things like cash flow, marketing and how to brand and ship a product. It wasn’t very successful for a number of reasons – wrong time, wrong place and maybe that branding wasn’t right. “The university had given me a lot of help and it was so crucial that they challenged my ideas, but I stopped doing it this year because margins are pretty tight on coffee and it just wasn’t worth the time I was putting into it.” Those early decisions are important for Bethan because the disappointment comes with a heavy dose of reality that all new businesses need. It won’t always work, you will make mistakes. But there is no reason why that means it was never meant to be. You have to be as resilient on the first day the ‘Open’ sign goes up as you will be after 25 years and be brave
49
50
ENTREPRENEUR bqlive.co.uk
enough to face it, deal with it and move on. “Eight out of ten businesses fail – and this one did,” she tells me as she takes sips from (of course) her mug of coffee. “You mustn’t get down about that, but must treat it as an experiment. Validate all your ideas and do as much testing as you can instead of just running into it with headlights on like I did. “Pause to think about the product and the USP it has and know how to articulate that to potential customers. Although I know I wouldn’t be where I am without it, I have moved on within myself, but it was sad at the time because that was like my first baby. I may revisit it because I have some ideas, but I have way too much on at the moment.” One other reason why this textbook entrepreneur stopped one business was that she was ready for the next one, a big idea that she had been working on for two years and which – here comes that rocket again - has reached the 3-2-1 of its launch countdown. Bright Ethics audits a company’s ethical approach to its work and certifies its authenticity after a full inspection, aiming to build a network of businesses ethically-minded customers can rely on, as well as making sure small businesses with proven commitments get the recognition they have worked hard for. Bethan has partnered with the Manchesterbased Centre For Assessment, which already works with the Cabinet Office and the Law Society, to carry out her inspections and give the project the Day One credibility it needs. “I used to be afraid to ask for help because I thought it was sign of weakness,” she says. “But now if I don’t know something I will go straight to someone who does. We have also done a lot of market research which has been a huge help as we start to sign up companies in York. “There are a lot of other ethical movements in the area, but no one is really targeting this kind of market, where we look at the whole of the business and not just the end product. So you might get great ethically-sourced coffee from one company, but is the person who served you on a zero-hours contract? Is he or she getting
the right breaks? And if not, is that really an ethical product? “You have to go beyond the supply chain and look at the people and the place. More and more people are concerned about these standards, with the ethical economy growing by 8% in 2013. People are looking at their bank balances and saying ‘I have less money in there, so I’m at least going to make sure I buy products I believe in’.” As many BQ entrepreneurs out there will know, money is tight in the first few years, and the £8,000 a year Bethan has often been living on is a testament to her commitment. Earlier this year the Joseph Rowntree Foundation said you needed £17,100 to live to an acceptable standard, so the stark test facing business startups is that you have to be ready to be officially classed as ‘poor’ before you take that first step. “Through all that, I have been determined not to buy crap coffee and to buy something where I know people have been treated right and have been paid for it. When you are poor, I think there is a bit of rebellion in there. “It is very difficult to be absolutist about it because you can’t flick through a guide every time you want to buy something, but there are companies I know of through my research that I wouldn’t buy from. For instance, we buy organic local vegetables, and we have met the farmer whose meat we use. I drive a car, which I know is not a very ethical thing, but I walk or cycle when I am in the city. “You can have 20% of people doing 100% reduction, but is that better than 80% of people doing 20% reduction? So when we do certification for Bright Ethics we are not being absolutist. We will be moving towards every company paying a living wage, but at first that is just not viable as new businesses try to make a profit but we would want that to be a ‘positive profit’. “It is about inspiring people to make some
changes and progress gradually. There may always be inequality, but we can all make thing less unequal.” She puts the genesis of all this passion down to ’working in crappy jobs’ but there is more to it than that. Her family has always voted Labour, so there has been a thread of doctrine running through her life, even though her background was quite comfortable, with good schools and supportive parents. Bethan has already submitted an application to stand as a Green MP in York, so the battle to explain and convert has only just started. “I feel quite guilty about my background because when I walk out of these offices I see ten homeless people before I have made it across the other side of the city, which shows there is something fundamentally wrong with the system in this country. I think I am really frustrated by the world but I know you are never going to get 100,000 people interested by preaching at them. You have to show actions and offer a way forward that they can appreciate.” The new business is now in a pilot phase and Bethan’s work is trying to get as many businesses as possible supporting the idea of York as an ethical city. Businesses like Hiscox will be on board because they are confidently-ethical already and will be able to use the Bright Ethics ‘heart’ badge as an outward sign of that. There is no percentage score for companies taking part – just a pass or fail based on four sections, each of which carries a number of points. So the CFA assessors will look at submitted documents from the company on
ENTREPRENEUR bqlive.co.uk
its environmental sustainability, community Involvement, sourcing with integrity and how it creates a positive and supportive workplace. “Then there will be an on-site assessment where they will go to look for evidence of that, which rates much higher than the documents,” Bethan explained. “No piece of paper can tell you these things. We need to interview people at random about their environment.” So why would a company subject itself to such scrutiny? Perhaps because when I do my online shopping for goods and services, I will almost always add a phrase such as ‘eco’ in the search window. That then brings up a stadium-full of local firms saying they offer a particularly ethical service - some don’t even go that far but jut add ‘green’ or ‘eco’ to their names in the hope that that will be enough. But it isn’t. So I want someone to turn to and ask ‘are they ethical or not’ which is where Bethan’s team will aim to
“It is about inspiring people to make some changes and progress gradually. There may always be inequality, but we can all make things less unequal.”
51
52
ENTREPRENEUR bqlive.co.uk
do the legwork which might persuade me to add ‘Bright Ethics’ into the search window instead. “The council has done some work on One Planet York, which is about 20 areas of the city that they want to look at from a sustainability angle. That shows there is a demand for this kind of thing and that people care about it – we just want to make sure people are doing it. “I have two business partners in it with me who provided the original capital and we all realise this is not going to make us rich, but I guess the way I see Bright Ethics for me is that I can drive forward the idea behind it which means so much to me. While I like having multiple projects – which can be a good and a bad thing – I want to whittle them down into a manageable amount.” The whittling has got Bethan to four ventures so far, the former Vincent’s Coffee, Bright Ethics, PR and marketing agency Coffee Yard Media and York’s Guild of Entrepreneurs, which she helped set up and where she is now Master. Just to fill in the gaps between that lot and the blogging, she also sings in a jazz band set up by her partner Des and his brother. There is a common thread of her love for the city and what it could do for itself, but this is a young woman who is only just starting to power up the spotlight she wants to turn on York to illuminate the potential of its businesses and people. Take Coffee Yard Media for instance that grew out of her work with the York on a Fork team, which promotes the city as a foodie heaven. “We then started getting people coming to us asking how we had gone about setting up our businesses because they wanted some tips, perhaps about a new website,” she explained. “I started giving advice for free and then looked at some of the charges for this sort of work in the city and knew there was a business model there because we had proof of concept: we could write, we can build a website and hold events and had already worked on some projects. “So a couple of months ago I set it up and we’ll see how it goes. As well as the food, we like to do heritage work, which goes back to the time I have spent working for the National Trust and English Heritage (she got a first class honours degree in History at University of York). “As far as the guild is concerned, there was probably a bit of frustration with York and its
support for small businesses, which is no one’s fault but just the result of so many cuts in different places. It seemed important to have that community where at least people could moan to each other and then cheer each other on and make it more than just a networking group.” Bethan puts up a convincing case for all of her business interests, with a level of commitment to each that proves this no ‘dip in and dip out’ operation. She is still a bundle of energy, exploring and discovering new possibilities. Which is what makes her next words so emotionally charged. “One of the reasons Vincent’s didn’t work is that part of my story is about severe depression, to the point where I was pretty much going to kill myself until someone stopped me.” If I had taken a mouthful of ethical coffee I would have sprayed it across the table at this point. What? This fascinating young lady with so much passion got to the point where she thought it was just better to die? She talks about it calmly, as a part of her life that she has faced and tackled like so many other projects. “At university I had read a lot of Nietzsche and it just made me think ‘what is the point to anything’ which can be a really liberating thing, which is what I find it is now, or really depressing. “All my university friends had left and I felt
really lonely and it is hard to run a business when you are severely depressed about the meaninglessness of life and can’t leave the house. It broke down my confidence. But now I know that the worst thing that could happen is that – boo-hoo – I have to go and get a real job. This 360 degree turnaround of a young life is remarkable. Just a few years between despair and success, yet a hair’s breadth sometimes separates the two. Self belief and self doubt probably still fight it out in Bethan’s mind, but she is the victor now, not the victim, and so the work goes on. “I have no long-term plan for what I am doing, but I trust that something will happen, which is what has happened all along in my life and it has worked out so far. And I am 25, so I have time to make mistakes, so I might as well try everything I can. “After watching my dad go to the same business for 20 years and then get made redundant twice, I don’t want to distil myself down into one thing. I have had so many people, from school onwards, telling me I can’t do things that I don’t listen anymore. If I can’t do something let me find out myself.” Bethan Vincent’s full-time job will always be running Bethan Vincent. She is her own start-up and her own USP, destined to be an influential force for good in the city she cares so much about. n
SPECIAL FEATURE
FINANCE AND WEALTH MANAGEMENT
Making money work Money makes the world go round and keeps business alive, so BQ focuses on the businesses managing it
54
SPECIAL FEATURE bqlive.co.uk
SPECIAL FEATURE: FINANCE AND WEALTH MANAGEMENT Entrepreneurs have unique financial needs, from a start-up planning their tax payments and their first financial year to established businesses dealing with wealth management and assets tied up in their businesses. And just as those entrepreneurs are skilled and driven professionals, the people who look after their money need to be the very best in their field to be able to build the financial support around a thriving business with outstanding potential. As our regional businesses grow and start paying back into their local economies the list of responsibilities for Yorkshire’s financiers and advisers also expands as a one-man operation becomes ten, a single product becomes a range and a domestic market becomes international. Those new staff need their own personal finances to be secure and invested just as wisely as the directors and the company’s investments and profits need to grow every quarter. To bring that matrix of financial care together, in this report we will look at how the individuals and companies that will be creating Yorkshire’s next wave of global success are putting finances at the top of their list of priorities. Centuries of growth and dominance in so many markets has taught the region many lessons about firm foundations and structured planning as wages rise and supplies change price. Bosses know that it is the people in a business that really count, and those employees will also be looking for secure and long-term earnings and the board will be keen to deliver that to secure the best workers and then help them to make the most of their own earnings to pump more money into those regional economies and help build homes and families and put down Yorkshire roots. The mix of personal and corporate financial needs in the region has never been more seamlessly blended – and on these pages BQ will turn its spotlight on those experts who are making the most impact on both sectors and playing their crucial part in the next generation of Yorkshire success. Mike Hughes Editor
Opportunities in Unprecedented Markets What does 2017 have in store for investors following an unexpectedly strong 2016 for the UK markets? The stock market, interest rates and even the Pound have all been tipped to fall as attention turns to Article 50, once the noise of the US election and the UK’s Autumn Statement subsides. Since June’s Referendum, rhetoric has focused on economic slowdown. The extension of monetary stimulus in the UK provided a boost to the stock market and many blue-chip shares now appear expensive. We, therefore, remain cautious, all too aware that Brexit discussions with the European Union have not yet begun with scope for plenty of disruption once talks commence. The bond market is also noteworthy, with bond prices reaching historic highs, whilst yields languish at all-time lows – not helpful for investors seeking income! There is a chance that UK interest rates could be forced lower and, in that situation, we would see little upside for bonds. We can assist in structuring investment portfolios against this unprecedented back drop. We are independent of thought, identifying areas and sectors that will add value within a well-balanced portfolio. Our professional investment expertise and personal service ensures we create the right portfolio to match attitude to risk.
Carolyn Black, Associate Director 0113 274 7700 carolyn.black@mcim.co.uk No. 1 Airport West Lancaster Way, Leeds LS19 7ZA
PROFILE Clarion
55
Your business – to sell or not to sell? If you’re a business owner then your business is not just a place to work or a means of generating income, it’s also potentially your biggest asset. So what are you going to do with it? If you can’t imagine parting with your business and intend to keep it for the rest of your days, then you need to consider what will happen to your business after you’re gone. If, on the other hand, you envisage one day handing over the keys to your business for some cash to spend, invest and/or retire in comfort, then a sale is on the cards at some point. TO SELL If you expect to leave your business within the next five years, then you should start planning now to maximise its sale price. A sale could involve selling to another business (a trade sale) or to your management team (a management buyout) which may include the next generation of your family. Deals can be structured in many different ways and could involve you keeping a reduced stake and playing a decreasing role. Some of the sale proceeds may be paid to you at a later date (deferred consideration) and this may depend on how the business performs, known as an earn out. A key part of your preparation should be conducting a full audit of your business to ensure there are no issues which could reduce its value in a sale process when the buyer undertakes its due diligence. The most common legal issues to look out for are: • Customer/supplier contracts – ensure all major customers/suppliers are subject to robust contracts with the business. Check these contracts for ‘change of control’ clauses which may allow the other party to terminate on a sale • Property – assess whether there are any potential liabilities such as dilapidations, asbestos, or environmental issues and consider what actions are available to you to mitigate those liabilities. Property issues are a very common cause of sale processes being delayed, sometimes for a number of months
• Intellectual property (IP) – ensure the business owns all the IP it needs to operate. If a consultant has created any IP, ensure they have correctly assigned it to the company. Where IP is particularly valuable to your business, it may be wise to protect it by registering it • Employees – ensure key staff are on proper contracts. A buyer will often want the comfort of knowing that when you leave the business, there is a management team in place which will continue to work in the business It is also important for you to take tax advice on the proposed structure of any sale. You may, for example, qualify for Entrepreneur’s Relief on the proceeds of the sale. This currently reduces the Capital Gains Tax rate down to 10% although it will only apply on proceeds up to a lifetime limit of £10m. NOT TO SELL If you don’t want to sell, consider whether your next of kin are willing to take up the mantle after your death. One advantage of passing your business to the next generation is that it may qualify for Business Property Relief (BPR) which provides up to 100% relief from Inheritance Tax (IHT) on the value of relevant business assets. If, however, you sell your business in your lifetime, then the cash you receive for it will not qualify for BPR so would be counted in the value of your estate for determining any IHT due. This effectively means the proceeds are taxed twice: once in your lifetime at Capital Gains Tax rates, and again in your estate at IHT rates. There are strict criteria for BPR to apply, so you should always take advice factoring this into your succession planning. If your business is not going to pass to your family, then who do you want it to go to? If you have business partners, then they are likely to be the natural choice, but you probably still want
your family to receive value for your share of the business. In these circumstances, you and your business partners may wish to have an agreement which includes taking out life insurance so that the surviving party/parties can afford to buy the deceased party’s share from their estate. If you would like any advice in relation to your business, you are welcome to get in touch with our senior partner Richard Moran. You can call Richard on 0113 222 3212 or email richard.moran@clarionsolicitors.com.
Please visit www.clarionsolicitors.com for more information.
56
INTERVIEW
e g a c i m o t a An n o i t u l o v re
bqlive.co.uk
ng and i g n a h c is Banking banks are driving er challeng t change. Peter tha one much of ks to Craig Iley, tal om Bank t Jackson A f o s r unde of the fo
INTERVIEW bqlive.co.uk
Banks have not enjoyed a good press in recent years, having been condemned as either villains or scapegoats. RBS still seems a long way from repaying the taxpayer and, at the time of writing, Germany’s troubled Deutsche Bank has seen its shares plunge to its lowest ever level. So, you might think it would call for a high degree of courage - or foolhardiness - to found a new bank in this environment, but there are plenty of shrewd operators who see opportunity amidst the challenges and have set up so-called challenger banks. Among these is Atom Bank, founded and headquartered in Durham, a city famous for its university and its miners’ gala, but not for financial services. And the bank, based in the city’s leafy outskirts, is way beyond the stage of being a twinkle in the eye. It was formally established in April 2014, swiftly raised £135m of capital, gained its banking licence and put in place its key technological infrastructure. Having been set up with just six people, it now has about 250 full time staff operating from two sites in Durham and a small London office. It is now in business and is developing a full retail and commercial banking service and will shortly be announcing a new mortgage product. The citizens of Durham, however, could be forgiven if they remain unaware of this new financial institution. When I pull up in the carpark at around 8.30am I could have arrived at one of the university’s newer colleges. The Atom staff turning for work look more like students than bankers – young, casually dressed, often riding bikes and sporting a high concentration
of hipster facial hair. It’s banking, but not as we know it. I met Craig Iley, Atom’s managing director of business banking and one of its founders. Iley, 52, has a background in traditional banking, having started at TSB in 1983 and reaching the position of regional director for Santander. Like most of the bank’s employees, he wears sweatshirt and casual trousers – it’s all much more Silicon Valley than Threadneedle Street. He is fully conscious of being part of a Brave New World and it’s something he has clearly thought long and hard about. He explains in a measured, almost academic way, the nature of the changes we are all seeing. “The world is in the middle of its third revolution and that revolution is a Digital Revolution. Unlike the Agricultural Revolution or the Industrial Revolution, the pace of change is significantly faster and as a population we will probably only get something like 20 years to adjust. This Digital Revolution will affect every aspect of life and it doesn’t really matter where you work, whether it’s in health, education, manufacturing or in banking. For banks in particular, this is going to mean a very painful adjustment.’’ He argues that banks are based on a 17th century model, designed to physically move paper around a local physical environment whereas banking in the 21st century will be a matter of moving data digitally and internationally. He cites a report by management consultancy McKinsey in February which highlighted that the worldwide trade in data is now estimated to be worth more than the economic value of all manufactured goods and associated trade. It has been against this backdrop that Iley and
h ting a hig r o p s d n es a e riding bik ing, but not as w n e t f o , d k ban dresse l hair. It’s casually , ia g c n a f u r o e Y t “ hips ation of concentr know it”
57
58
INTERVIEW bqlive.co.uk
his fellow founders analysed trends in financial behaviour, technological developments, the convergence of technological devices and the blurring of the distinction between work and home life. “We believe that people are more and more seeking to have a relationship with their money rather than a relationship with their bank,’’ he says. To satisfy that need, they set about creating a new type of bank and for this new model they identified three key elements: low cost; transparency; and innovation. Iley argues that the cost base of traditional banks is too high leading to the development of complex and expensive products which are often unsuited to their customers’ needs. “Transparency, I believe is the battleground for the future of banking over the next five to ten
years,’’ he says, adding that banks have been allowed to develop “very opaque’’ business models making it impossible for customers to understand exactly what they are paying for and whether it represents good value. Innovation is crucial in giving consumers greater power. “This is very much a journey and we have made significant strides in introducing things such as biometric security and access and a very interactive app which is based on gaming technology rather than simply transferring a website to a mobile platform,’’ he says. “We’re developing our systems to be more interactive and able to link with other interfaces and we’ve developed a very slick process to allow us to lend money to SMEs. There remains much to do but we’re excited by the possibilities.’’
to have a g in k e e s more with more and n a relationship e r a le p eo er tha ve that p oney rath m ir “We belie e h t hip with relations k” their ban
The app has been developed for Apple and Android devices and Atom has built a deposit product to provide the business’s liquidity and fund its business lending product and it will soon unveil its new mortgage product. It is also working on personal and business current accounts and debit and credit cards. “While these products will be recognisable as traditional banking products, we have some surprises that we believe will delight the market,’’ says Iley. For liquidity Atom Bank will rely on depositors and not the interbank market. “If you look back to the financial crash of 2008, some of the businesses that got caught up in that were actually solvent but because liquidity markets froze around the world they were unable to fund their ongoing business models,’’ he says. Atom’s deposit product has allowed it to reach the stage where it is now lending to support business growth. “At the moment we are lending to SMEs which have a requirement to borrow and we are looking to balance that with a sensible credit appetite and sensible security requirements,’’ he says. Atom will be willing to secure loans against assets other than bricks and mortar, such as an occupational lease or a debtor book. While the bank will be highly automated and technology driven, it will still place great importance on manual underwriting. “That is really important. Because of the variation we get in SMEs across the UK no bank has managed to successfully automate the lending process in the sense of the decision making,’’ says Iley. “But what you can do,’’ he adds, “is improve the process.’’ Traditionally that process would involve visits to the bank, supplying financial records, the relationship manager forwarding an application to Credit who would analyse it and ask their own questions – a process which could take six weeks. Iley says Atom Bank can complete the process in 72 hours. How? Iley explains that Atom uses its UK-wide network of intermediaries, made up of SMEs’ trusted advisors such as financial advisors and brokers and accountants.
INTERVIEW bqlive.co.uk
59
al ve region strong a h o t t n a “If you w ou have to have a y, y have to autonom e otherwise you e bas where th n o d financial n o L ually to d” go contin controlle e r a s g in purse str
“We work with a small group because we have to have confidence in the quality of the information that comes to us and we do extensive due diligence on these partners,’’ he says. Technology then comes into play with Atom’s Digital Bridge which links to the borrower’s accounting package allowing it to submit information electronically. “By giving them the opportunity to do it digitally, it takes away a lot of the hassle factor for them,’’ he says. “But it does much more than that behind the scenes, it also helps us understand how the accounts have been compiled and it means we don’t have to keep going back asking for information because the information they submit tends to be more complete.’’ The information can be fed directly into the
underwriter’s analysis tools giving them more information in a more streamlined way. Iley adds: “What it also allows us to do is to share information back with the client and their advisor who can use this information to help them improve the operation of their business,’’ “We are saying that as part of your banking you can have all this information back for free. In the past banks have taken information from SMEs and have used that to make sure the balance of power in that relationship sat with the bank.’’ He believes this anticipates far-reaching changes which are coming to business, with it becoming increasingly necessary for firms to digitise their accounting, as HMRC, for example, moves increasingly to online and digital processing. Atom’s ambition is to act as a thought leader and work with businesses in adapting to, and
adopting, the new technology. If Atom’s vision is realised then it could drive a banking revolution, which will not only be good for consumers but also for regional economies outside London. Iley says: “We’ve had a huge amount of support because we are creating something different and bringing high quality jobs to the area. “If you want to have regional autonomy, you have to have a strong financial base otherwise you have to go continually to London where the purse strings are controlled. The idea of having a financial centre isn’t just unique to the North East, it has planted a seed for other areas. The fact that we can do it here I hope will give confidence to businesses everywhere that in the digital world it’s possible to do things wherever you are.’’ n
Partners need trust and credibility In the second of our Grant Thornton interviews focusing on the importance of business relationships, BQ Yorkshire Editor Mike Hughes meets Martin Boddy, chief executive at data and marketing specialists Jaywing plc, and Rachel Engwell, tax partner at Grant Thornton UK LLP With 40,000 people working in more than 130 countries, including 4,500 in the UK alone, Grant Thornton has the scale and expertise to tackle pretty much any business issue an organisation may be faced with. However, perhaps one of the key factors that makes Grant Thornton the advisor of choice for dynamic, growing businesses, in a particularly competitive environment, is its ability to configure those vast resources to provide the best tailored support and advice. For various reasons, the firm’s relationship with Jaywing is an ideal example of this, a suggestion I discussed with its boss Martin Boddy and Grant Thornton partner Rachel Engwell over lunch at the Hilton City in Leeds. Headquartered in Sheffield and with offices in Leeds, London, Newbury, Swindon and Australia, Jaywing helps its clients navigate an increasingly complex and fragmented marketing and communications landscape. Of its 650 people worldwide, around half are based in Yorkshire and one in ten is a heavyweight data
scientist. Its specialists analyse and interpret the rising tide of data to provide insights its clients can act on, from understanding customers and business metrics to directing marketing communications and even assessing credit and fraud risks. Increasingly this is expanding into machine learning and artificial intelligence, which when combined with specialist skills in brand development and activation, digital and performance marketing make for a powerful offer to today’s CMOs. Martin turned to Grant Thornton soon after being appointed Jaywing’s CEO. He had ambitious plans for the business and knew he needed to partner with an organisation that was equally ambitious. “Jaywing has had a working relationship with Grant Thornton since 2000 when we were a much smaller business. We knew if we wanted to talk to some serious players in the market in order to grow our business we recognised it was critical to have a heavyweight partner alongside us,” he said. If you are a smaller company with
a smaller company representing you, then you can only punch at your weight and we knew we needed to be punching above our weight in the early days. “I set up the original Jaywing in 1999 when it was purely a data analytics consultancy. That got acquired in 2007, with Grant Thornton’s help, and the company as it is now is what I came back to lead in 2012 following a few years spent elsewhere. As this is my first plc experience, I was concerned about it now being a much larger and much more corporate organisation than that which I originally set up, but the reality I found is that you just need to find a way of being entrepreneurial within any structure and stay true to yourself.” Rachel added: “The individuals are the crucial element within any organisation rather than the business itself. The driving force for Grant Thornton is that we strive to work with dynamic businesses and their stakeholders. “Martin has always been very entrepreneurial. He had clear plans for his business and knew where it had the potential to go, but he coupled that with a sensible and grounded approach. He knew he couldn’t do it all on his own. He knew he needed to seek advice and support from the right sort of partner. “I had long admired Jaywing as an organisation since I first met Martin and got to know the business as part of the Ernst & Young Entrepreneur of the Year programme a couple of
SPECIAL FEATURE bqlive.co.uk
years ago. I was with Ernst & Young for over 16 years before I joined Grant Thornton earlier this year. I couldn’t pass up the opportunity to work with Jaywing, alongside Martin, and was excited to have the chance to move the relationship forward, taking it to a different level. This has happened dramatically in a short space of time.” “In my mind Grant Thornton had always been the home for entrepreneurial businesses and still is. Jaywing was a privately owned business originally, employing about 30 people when we first began our relationship. Now we are a plc with nearly 700 people and an international reach, so it is a completely different ball game. Yet, Grant Thornton’s approach is still fundamentally built on the relationship regardless that our needs have developed. Grant Thornton has made the journey with us, and their support and advice is as relevant and as commercial as it ever was” said Martin. “No more so has this been apparent since Rachel joined the team. She very quickly invested time in really getting to know us and understand our culture. There are now many different elements to the advice we receive for increasingly complex deals, the tax and commercial implications of these and the wave of new regulation coming in for companies like us. I know if I or any one of the team calls Rachel she will ensure we get the best answer, whether it is a tax question specifically for her team or, indeed, another business issue. Grant Thornton and Jaywing are both very people-centric businesses. “For me, a good working relationship is a mixture of how you get on and how effectively solutions and suggestions are made and discussed to drive the business forward. Rachel is a very proactive person and it feels different working with someone who not only provides quality, commercial advice, but also gets you and your team as individuals, and genuinely cares about your issues. And there has to be humour in the mix as we like to keep meetings lively and productive.” As well as being commercially instinctive, the close collaboration that has been built here had to be founded on results and performance levels – friendship and cordiality are a bonus, but they can only get you so far in business.
“There is certainly a comfort and ease in how we work together, and that naturally leads to a sharing of ideas and reciprocity on both sides,” said Rachel. “There is obviously a need for us to deliver quality, robust advice which adds value and I think our involvement with the recent acquisitions Jaywing has undertaken has allowed us to deliver a wide range of complex services across accounting, tax and transaction advisory, both in the UK and overseas. This has enabled us to demonstrate our depth of experience and further develop our relationship. Jaywing is mindful that whatever work we perform is likely to be subject to a certain level of scrutiny given they are a public company. We are mindful and committed to deliver a service that is completely robust, open and transparent and that will be signed off by all parties involved with confidence.” Martin and Jaywing also know how important trust is to such a relationship. He said: “Being a public company with investors means trust and confidentiality is important. For instance when asked who performed the due diligence on our recent deal, when we tell them we are working with Grant Thornton that meets with immediate approval. Where we are looking to acquire businesses that are privately owned this might be their first major transaction and the first time they have had to appoint transaction advisers, so they might not be quite sure how that relationship works. I have been there myself, so we often find ourselves, where appropriate, supporting them through the process. This is another area where Grant Thornton’s expertise and sensitive understanding of differing parties’ requirements are valuable.” That support is now global, with the recent deal in Australia adding search agency Digital Massive to the Jaywing family. With more than 1,200 people working in offices in Adelaide, Brisbane, Cairns, Melbourne, Perth and Sydney, Grant Thornton was perfectly positioned to help them with the acquisition. “Our acquisitions are all a part of a plan for the future of the business, including a desire to have a larger international footprint, said Martin. “Having now completed the deal in Australia, the local Grant Thornton team over there has been
“Grant Thornton has made the journey with us, and their support and advice is as relevant and as commercial as it ever was”
61
fantastically supportive beyond that in looking at how we can take our business offering to a broader market.” “We are an international firm and work very closely with counterparts in other jurisdictions who are as Grant Thornton through and through as we are”, said Rachel. “There is a clear awareness, even on the other side of the world, of how important our local relationships are. It is not just a matter of putting a Jaywing director in contact with someone at Grant Thornton in Australia, it is a matter of taking an interest and staying involved, making sure the client is happy with progress and that there are completely open lines of communication across all teams.” On the other side of the world, these two large and growing businesses know where their roots are and their drive to be a major influence on regional economies was another shared passion, as Martin explained: “Our regional impact is very important to us and I am very proud of the work we do across Yorkshire. We want the best people to come and work for us in a very competitive market, so our regional reputation is key and the fact that we are soon to be located in the centre of cities like Sheffield is a major pull to us attracting talent.” Rachel added: “There are so many great regional businesses in Yorkshire that offer us unique opportunities. Our strong Yorkshire team across our Leeds and Sheffield offices knows the region intimately and is ideally placed to help shape a vibrant economy. Our people in each of those offices can offer a wide breadth of knowledge whether it be through specialist Research & Development tax advice to Corporate M&A, to forensic accounting – the list goes on.” I was struck by the level of trust Martin and Rachel have in each other. This has become a cornerstone of the wider relationship between these two dynamic organisations. It is perhaps one of the biggest investments they will make, but is certainly one which has the potential to deliver the biggest returns. n We were talking in one of the private Brigante suites at the Hilton, which had typically pulled out all the stops for us, producing a table full of selected highlights from the chef’s menu. We happily ‘grazed’ throughout our conversation, enabling a very relaxed and productive couple of hours. Go to bit.ly/bqhilton for more details.
62
INTERNATIONAL TRADE bqlive.co.uk
NORTHERN POWERHOUSE
AND INTERNATIONAL TRADE CAMPAIGN 2017 BQ is delighted to announce the PD Ports Northern Powerhouse Export Awards and International Trade Campaign 2017 The PD Ports Northern Powerhouse Export Awards and International Trade Campaign brings together businesses from across the North to recognise and celebrate their entrepreneurial exporting achievements as well as encourage others to increase their export potential. Exporting and international trade remain central to the UK’s economic growth agenda and this campaign and export awards are about recognising those entrepreneurial,
“RECOGNISING EXCELLENCE IN INTERNATIONAL TRADE ACROSS THE NORTH”
wealth creating companies that are selling their products, services and expertise in scores of overseas markets. It is vital that we appreciate and recognise those exporters who have made the transition from great local companies to potentially world class exporting businesses based in the North of England. Exporting continues to present an opportunity for the North of England to bring immediate and sustainable growth to its economy and with this in mind we need to pass the baton to SMEs across the Northern Powerhouse to consider exporting as a realistic opportunity for growth. Geoff Lippitt, business development director at PD Ports, said: “As owners and operators of Teesport, one of the top five UK ports and a major export hub, we are delighted to sponsor the Northern Powerhouse Export Awards 2017 alongside BQ. “The awards reflect our firm commitment and investment in supporting further growth of exports and the associated value to drive economic prosperity across the North; exporting will undoubtedly be a major catalyst in delivering the Northern Powerhouse. “We look forward to joining our many existing customers and other
great exporting organisations at the ceremony to hear of continued export successes and to celebrate the strength and diversity of our northern exporters.” BQ is a national brand recognised for celebrating and inspiring entrepreneurship to help businesses succeed and grow. Encouraging businesses to explore exporting opportunities is central to BQ’s ethos and one which Bryan Hoare believes will really help stimulate economic growth. “Having successfully delivered the Scottish Export Awards for the past three years alongside Scottish Enterprise, the economic development arm of the Scottish Government, we’re delighted to bring to you the PD Ports Northern Powerhouse Export Awards,” said Hoare. “We would like to invite any business in the North actively trading overseas to get involved in the awards and export campaign to help us encourage others to increase their export potential. This is a vital time in the UK economy where we need to provide inspiration and stimulation. BQ is investing in this 12 month campaign across the North East & Cumbria, Yorkshire and the North West to help stimulate growth and profile some of the North’s top exporters.”
CATEGORIES The PD Ports Northern Powerhouse Export Awards are open to all businesses with a presence in the North of England. The award categories for 2017 include: MOST ENTREPRENEURIAL EXPORTER OF THE YEAR A company that has demonstrated entrepreneurial flair within their export strategy. This will be shown through an extraordinary approach to reaching new markets where creativity, innovation and tenacity has resulted in success.
MICRO EXPORTER OF THE YEAR Recognising outstanding achievements in export growth by a company in any industry with a turnover up to £2m. This success will be measured by growth in sales and market penetration together with the application of innovative market strategies to extend export potential.
SMALL EXPORTER OF THE YEAR Recognising outstanding achievements in export growth by a company in any industry with a turnover of £2m-£15m. This success will be measured by growth in sales and market penetration together with the application of innovative market strategies to extend export potential.
LARGE EXPORTER OF THE YEAR Recognising outstanding achievements by a company in any industry with a turnover greater than £15m. This success will be measured by growth in sales and market penetration together with the application of innovative market strategies to extend export potential.
EXPORT TEAM OF THE YEAR The export team of the year award will recognise a team who can demonstrate significant added value to their business through adopting innovative techniques, personnel development measures, and successful implementation of the company's export sales strategy. It should be clear how the company has developed a team-wide approach to exporting, which may well extend beyond the company to distributors, agents and other third parties who will have contributed to export success.
E-COMMERCE EXPORTER OF THE YEAR A company that through e-commerce has increased brand awareness and recognition, expanded into new markets, increased sales and efficiency and improved customer service. The winner of this category must be able to demonstrate how they have used e-commerce and trading online to significantly enhance their export growth or potential for growth.
PROFESSIONAL SERVICE ADVISER OF THE YEAR A business that does not export, but plays a key role in supporting exporters to trade overseas either directly or indirectly through providing associated services such as advice and consultancy. The professional service adviser of the year award will recognise a company that has demonstrated outstanding achievements in supporting businesses to achieve their exporting objectives. Success will be measured by the advice given and how it directly affected export growth in the companies supported.
LOGISTICS PARTNER OF THE YEAR Awarded to a company that provides outstanding customer service and innovation in supporting the export market with their delivery solutions. Success should be measured through their ability to support complex or innovative methods of distribution and delivery whilst adding value. Where possible nominees in this category should also be able to show how their business is focusing on support for new and emerging export markets.
HIGH GROWTH MARKET EXPORTER OF THE YEAR Awarded to a company demonstrating impressive export growth in high growth markets (including Brazil, China, Colombia, Egypt, India, Indonesia, Malaysia, Mexico, Qatar, Russia, Saudi Arabia, Singapore, South Africa, South Korea, Taiwan, Thailand, Turkey, UAE, Vietnam and Hong Kong). This success will be measured by growth in sales and high growth market penetration, together with the application of innovative market strategies to extend export potential.
PD PORTS NORTHERN POWERHOUSE EXPORTER OF THE YEAR This award will be presented to a company that has made an outstanding contribution to the North's export profile and success. Companies must have demonstrated how they have overcome their barriers when entering new markets. The winner of this award will be selected from the winners of the above award categories and announced on the evening of the awards.
ENTER NOW AT WWW.BQLIVE.CO.UK/ NORTHEXPORT AWARDS17
64
PROFILE BHP
It’s beginning to look a lot like Christmas Yorkshire’s largest firm of independent chartered accountants helped global retailer Käthe Wohlfahrt with its move into the medieval city of York earlier this year. The retailer, which designs, manufactures and sells traditional German Christmas products, has opened in the city centre on Stonegate, in a building formerly occupied by Mulberry Hall. BHP Chartered Accountants, which is based on Micklegate acted on behalf of the retailer providing a new to UK business package which includes accounting support, payroll and tax. Daniel Sowden, who is a partner at BHP and heads up the firm’s York office says: “We are absolutely delighted to have supported Käthe Wohlfahrt with its move into the heart of York. The previous tenants, Mulberry Hall, occupied the building for 60 years and it was essential that another prominent business with a unique appeal moved into the building.” Käthe Wohlfahrt was founded in Böblingen, Germany in 1964. The family business has outlets in a number of German and European cities in Belgium, Italy and Switzerland as well as Japan, the USA and Canada. It has over 400 employees worldwide and also sells its products online. The retailer attracts millions of tourists to its shops, and to the German Christmas Museum in Rothenburg, which it founded. Harald Wohlfahrt, owner of Käthe Wohlfahrt says: “After choosing the location for our first shop in the UK we were very happy to have the local knowledge and professional support of BHP Chartered Accountants. Since opening our doors in such an ideal location in the historic and popular City of York, we have been delighted with the footfall and success of the shop.” BHP, which employs over 300 staff across its five offices, works with many of the city’s most successful businesses, ranging from large organisations through to SMEs. The firm has sector specialists in York covering many of the city’s major industries
“After choosing the location for our first shop in the UK we were very happy to have the local knowledge and professional support of BHP Chartered Accountants”
Left to right: Rita Stroebel, Takuma Wohlfahrt, Harald Wohlfahrt, Daniel Sowden (BHP), Tim Cross (Langleys) such as leisure, tourism, agriculture, retail and the service sectors. Daniel adds: “It’s a hugely exciting time for ambitious businesses in York to grow and prosper. There has been much positivity throughout 2016 and the occupation of Mulberry Hall by a successful retailer has bolstered the mood on the high street. Visitor numbers are also at record levels and it is estimated they spend more than £600 million every year. “The recently adopted Business Improvement District (BID), which launched in April this year, has also been a real boost for businesses. With £800,000 of investment to spend each year, for the next five years, to improve the business environment in the city centre there are a number of well-received initiatives underway that are benefiting York businesses. “In addition, the York Central Enterprise Zone is progressing well, with a development framework for the site expected in 2017.” The Enterprise Zone status will help to unlock over £100m to help deliver development of the 72 hectare brownfield site in the heart of York. The status will also mean that 50% of business rates for the York Central site, which would have gone back to government, will be retained in the area. This will provide the funding to be able invest
in the infrastructure required to unlock the site and encourage business investment. Prospective businesses locating on York Central will also get business rate relief for the first five-years, providing an incentive for inward investment and business growth. Daniel adds: “Estimates suggest this could help to create up to 7,000 jobs in the city, and over £1.1bn billion value for the region’s economy. The jobs created would be high-value office based jobs, helping to grow York’s economy by an estimated 20%, and would increase average wages in the city. “All of this positive news combines to create a huge amount of potential for businesses that arm themselves with first-rate advice.”
For more details about the services on offer from BHP call 01904 628551 or visit www.bhp.co.uk
PROFILE Together Money
65
New Yorkshire appointment for specialist lender Specialist lender Together has expanded its operations across Yorkshire with the appointment of new regional development director, Barry Dillon, to help more businesses and entrepreneurs in the area gain vital access to funding. With over 12 years’ experience in commercial banking, Barry Dillon joins Together from Santander Corporate, where he spent over six years developing business and relationships for the bank across Yorkshire, and will cover key cities including York, Harrogate, Leeds, Doncaster and Sheffield. He will join regional development manager, Bob Stones, who will continue to focus on the North East, Lincolnshire and the Humber. The regional representatives will work across the area to deliver the essential funds for business growth - whether it’s for short-term cash flow or a major investment.
Barry said: “There is a general lack of awareness around the alternative options SMEs have to mainstream lenders, which ultimately means they could be missing out on opportunities. “We have greater flexibility than the mainstream lenders, and are able to act fast, allowing businesses to move quickly on a purchase or investment, and ensuring they don’t miss out because of tight deadlines. “We have a broad network of professional introducers including accountants, solicitors, banks and financial advisors, who will refer clients to us knowing that they can be assured of excellent service and a speedy decision.
Supporting the professional sector
Trusted partners... common-sense lending
“Our recent figures are testament to our success - we increased lending by nearly 40% in the 12 months to 30 June 2016, reaching over £1 billion, and have a loan book in excess of £1.8 billion.”
Supporting the professional sector
Trusted partners... common-sense lending
For more information on Together visit www.togethermoney.com
Join Bob Stones on the 19th October at Leeds Business Week for his seminar:
“When short-term funding yields long-term ga
Call Bob on 0113 451 0523 or sign up at www.Leedsbizweek.com/events/to
This advertisement is intended for professional intermediary use only and must not be distributed
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 short-term property funding requirements. Taking a common-sense approach, we aim to put your clients in the best possible position to complete.
For North East, Lincolnshire and Humber enquiries, please contact Bob Stones, Regional Development Manager on 07841 871 092 or visit on togethermoney.com/northeast For Yorkshire enquiries, please contact Barry Dillon, Regional Development Director on 07713 322 046 or visit on togethermoney.com/Yorkshire
This advertisement is intended for professional intermediary use only and must not be distributed to potential clients.
A Wakefield everyman Mike Hughes enjoys lunch with Peter Box, Wakefield Council Leader and chair of the West Yorkshire Combined Authority ‘Hello Peter – how are you?’ A usual greeting for a BQ lunch guest, but the reply is honest – ‘Not good’. Peter Box has trapped nerves in his back and rather than the throwaway line ‘Fine’ he tells it like it is, which is typical of the man himself. He has been in his council role for more than 18 years and regularly shows it with a passion for the area and its people that he serves. He is a plain speaker (most of which we can repeat here) and has led his town to many highlights, including the opening of the Hepworth Wakefield art gallery and City Fields, a 375 acre ‘urban extension’ with 2,500 new homes as well as leisure, retail and commercial sites. He’s a busy man, but you get the sense as we talk at
Rogerthorpe Manor out in the countryside just a few miles from Pontefract Castle that he is enjoying every moment in a place to which he has a deep attachment. “I see Wakefield as a city on a human scale,” he tells me, a glass of Diet Coke – which stays untouched for most of the meal – on his side of the table. “It is a very compact city and the district as a whole is very diverse, with several largish towns like Pontefract and Hemsworth and little villages like Badsworth. The challenge is that if you have one city at the centre then how do you make sure that everyone benefits and you don’t find all the resources going to the centre. “You have to make sure that the rivalries we
have always had with our distinct communities doesn’t undermine what we have to do and doesn’t become a weakness rather than a strength. “We are regarded as a post-industrial area and yet 60% of the district is green, which makes us a surprising place where our reputation as a strong mining area precedes us, but at the same time we have tried to show that is not just our only heritage, we also have Barbara Hepworth and Henry Moore - two of the greatest sculptors of the 20th Century. “We are proud of that so we now have the Hepworth Gallery, which is world-renowned. I like the fact that we have both ends of the spectrum represented in Wakefield.”
BUSINESS LUNCH bqlive.co.uk
The proud tributes roll off his tongue very comfortably. He knows it is his job to promote the area, but even if it wasn’t he would want to do it anyway, as if he only has your attention for a few moments and has to make sure you go away with as much positive feedback as possible. “We like to think we punch above our weight,” he continues. “We are a relatively small city, with the population of the borough as a whole at only about a third of a million and yet we have excellent GCSE results and outperform some of our bigger neighbours for economic growth, to name just a couple of things. “Both myself and our chief executive Joanne Roney – one of the best chief execs in local government – have a great relationship together and we try to show that we are not seen as insular. We are self-aware, not afraid of criticism or the challenges posed in terms of service delivery, and always wanting to improve.” That need to progress the fortunes of the area almost always means the challenge of unity between rival councils who must – sometimes – put deeply-rooted differences behind them and work for the greater good. The new local authorities are often more Forced than
Combined. The West Yorkshire Combined Authority of which he is chair brings together Bradford, Calderdale, Kirklees, Leeds, Wakefield and York as well as the Leeds City Region Enterprise Partnership. “The biggest rivalry we had to deal with was an industrial and sporting one between Leeds and Bradford, but we have got over that and the relationship is the best I have ever known in my 18 years. We are able to work together because we know we need to now, looking at shared services we can do jointly that we can’t do separately, and it is based on personal friendship – no doubt at all about that. “We have all been around a while and have matured together, so we know each other and have a lovely relationship, but at the same time we know we can do business together and got the biggest Growth Deal of all in 2014 and have said to Government that if they match our ambition we will consider any form of government including a mayor.” As well as the friendships and unity, there is a bite to this 69-year-old leader. Just mention HS2 where Transport Secretary Chris Grayling’s preferred route bypasses Wakefield and Barnsley - and take a step backwards.
“The biggest rivalry we had to deal with was an industrial and sporting one between Leeds and Bradford”
67
“We oppose it. But it is deeper than just the route it will take. We think that to spend £65bn on a railway that will cover 185 miles is simply not a good investment. If you take Wakefield as an example, at the moment we have two trains to London every hour and I can get to London in an hour and 55. It has been said that if HS2 were to go ahead that would be reduced to one train an hour, so we get a reduction. “To be able to use HS2 you have to drive to Leeds through the morning nightmare, then pay to park and walk across the city to catch a train to then go back down South again. So it would take longer to get to London than it does now. “No one ever thought a government would take it on because of the cost involved, but George Osborne is said to have a love of hi-vis jackets, which is true of many politicians who like the idea of these mega projects which get to a stage where it is impossible to pull out. “The Government would be far better advised to invest in East-West links connecting cities right across from Hull to Liverpool. There is also a migration of our best talent down to London so if there is a shorter journey time from some parts, then it is easier for people to move away from the North. “I do not accept that business people are going to wake up one morning and say it is now 20 minutes easier to get to Leeds... that’s the place to invest.” Being the sort of person he is with a blend of
68
BUSINESS LUNCH bqlive.co.uk
passion and pragmatism, he was never going to set fire to the HS2 plans and walk away, rather he will squeeze the absolute best deal out of it for Wakefield - every last sentence, sub-clause and diversion - rather than stay silent and be steamrollered into the newly-broken ground. There is a deadpan delivery for much of what he says, and one of the driest wits I have ever heard, but you quickly warm to Peter Box. If he was having more than that Diet Coke I would have enjoyed a few pints with him at the Rogerthorpe’s Jacobean Bar, to perhaps discuss more positive issues like City Fields. “It’s amazing, is that. I have been along the road, which is not yet completed, and it is unbelievable because I have to confess I did not realise how much land was going to be opened up and how apparent it is what a change this will make for our city in terms of jobs and homes in their thousands and businesses coming to us with their proposals. And it has the added benefit of taking traffic away from the centre of the city. “In one sense it is the biggest gamechanger in my time at the council in terms of those jobs and homes, but in terms of reputation I still suspect it is the Hepworth because it has put us on the map in the way other things don’t, with well over a million visitors here – each one bringing in an average of about £28 into the local economy. “We use the strapline ‘Invest in the Future’ because that is what this is all about. Joanne and I took a conscious decision during the recession that we were going to invest, rather than sit back and do nothing. Right opposite the Town Hall was the former police station, which we bought because we wanted to control what was happening and it was turned into apartments. We also acquired the wonderful court house next to us which was falling into disrepair. It has been renovated and will be put back into public use. “So when we spent £29m on a new council building we got no criticism during that recession because we explained to people that it would be their building with a library downstairs – opened by Jarvis Cocker – a museum opened by Sir David Attenborough and advice and business centres. That’s what Wakefield means by being proactive and business-friendly.” Faced with having to save more than £170m, the council uses an addictive consultation tool
“We use the strapline ‘Invest in the Future’ because that is what this is all about. Joanne and I took a conscious decision during the recession that we were going to invest, rather than sit back and do nothing”
BUSINESS LUNCH bqlive.co.uk
called YouChoose as part of its deliberations. It puts the spending power in the hands of the people by asking them to decide the budgets of council departments to save £24m – and then shows the consequences. Slide one spending bar sharply to the left for regeneration and culture, for instance, and find out that the income that delivers is now lost, so has to be made up somewhere else. It is an engager of opinion, an advisory tool for Peter and his team, but also an educator of how complex the job is. “When you are looking at social regeneration, always involve people. That is leadership that listens,” he advises. “If they are there from the beginning, they have ownership and they will look after it, like the Play Forest young people have designed at Cutsyke. It has never been vandalised once because the young people look after it – it’s theirs. Last time I went one of them complained to me and I said ‘what’s wrong?’ and he said ‘we need an extra litter bin!’ Unbelievable. “But as soon as one project is finished – even something as huge as the Hepworth, we have to immediately see what’s next. I want to see more buildings brought back into public use, like the huge Rutland Mills buildings opposite the gallery. We found that Mark Ronson wanted to invest in the North of England to help create something like the TileYard Studios, the creative hub in London where he is based. “He was looking at Manchester, so we brought him here instead for our stage of the Tour de Yorkshire, we wined and dined him and showed him this half-derelict mill and the group he was working with have now bought it from us. “It is deals like that where people realise we can deliver. I try to give businesses certainty, which is what they crave above everything. If we see someone with a business idea that we support, 99 times out of 100 it tends to happen.” One of the bigger ideas still waiting to happen is the long-term provision of the right skills to keep Wakefield at the top of the list of possible locations for new businesses. It has the good GCSEs, and yet the lowest number of people with high-level skills. The reasons includes the legacy of pit workers who went straight to work out of school, but also the lack of a university for a city of this size. It is an issue that needs addressing. “We know there are young people with
excellent A-levels who want to go to university, but sometimes it is the parents who don’t have the aspirations. So if you were to ask me what is the one thing I would like to do, it would be to achieve university status for the college, which is why it has been one of our asks during the devolution discussions. “We would develop one based on the creative industries, because of the likes of Tileyard Studios at the mill, and the Hepworth and companies like Lite Structures who stage a lot
69
of the big concerts. We want to use the fact that this is a technology-based industry to create something unique.” That’s a good word to end on. I hesitate to mash the two words together, but Peter Box is a unique everyman - someone the third of a million people he looks after can relate to as ‘one of us’ while at the same time being a oneoff in terms of character. I’ll just see if I can get him to the bar for an hour or two... n
“But as soon as one project is finished – even something as huge as the Hepworth, we have to immediately see what’s next. I want to see more buildings brought back into public use, like the huge Rutland Mills buildings opposite the gallery”
Rogerthorpe Manor Hotel We were guests of the splendid Rogerthorpe Manor Hotel in Badsworth. Built in 1610, it was a private home until 1955 when it became a country club and eventually a hotel owned by local farming family the Metcalfes. It is now a Best Western Plus (a well deserved suffix) and they offered Peter and I the whole of the panelled Oak Room for our conversation. My guest, a stickler for a light lunch, enjoyed a plate of seasonal vegetables while I chose a wild mushroom and truffle oil risotto with parmesan shavings. The Jacobean pub side of the hotel was busy for a Wednesday afternoon so we were grateful for the calm and polite service of the Oak Room. Why not try it for yourself? The hotel is holding an open event for businesses from 3pm to 6pm on Thursday 26 January, with networking, a tour of the conference facilities and refreshments. Email Kerry at creative_rogerthorpe@aol.co.uk for details.
70
MOTORING bqlive.co.uk
Barry Holder, Director at Fantastic Media test drives the Maserati Ghibli and discovers it is practical as well as epic
The Maserati Ghibli - perfect for an epic road trip (or a typical family weekend) Despite being immersed in the automotive industry with work and spending a lot of time visiting car dealerships with our clients DealTrak and Smart Insurance, family life over the past 10 years has meant I’ve always had to consider boot space over horsepower when choosing a new car. With this in mind, when the opportunity to test drive the new Maserati Ghibli came along it seemed like the perfect opportunity to embrace the world of luxury motoring. So on a crisp Friday afternoon I made my way to JCT600 in Leeds with a head filled with wild notions of an epic road trip; perhaps to visit friends in Scotland, or a day up to the North Yorkshire coast, or maybe even a weekend with the in-laws in Kent.
It was with these ambitions fresh in my mind that I arrived at the dealership, which is shared with Ferrari and Aston Martin. Gareth and Stuart looked after me while the Ghibli was brought through and after a quick run through of various buttons and dials I was off to hit the open road – which unfortunately for me was the M621 at rush hour. This slowdown in proceedings gave me time to play around with a couple of different settings, including the different drive modes. Hitting the Sport Mode switch had the dual effect of sharpening the car’s reaction times to so lightning fast Zeus would be proud, while at the same time engaging what I assumed was a multitude of sub-woofers in the exhaust system. The 3 litre diesel engine went from purring
along to emitting a deep, thunderous growl that was audible in the beautifully upholstered cabin, so goodness knows what it sounded like to the passers-by as I queued to get onto the motorway. Eventually I made it through the weekend traffic, arrived back home and began to plan out my blissful weekend of open-roads meandering through open Yorkshire countryside. Unfortunately, my plans of a Grand Tour around Britain evaporated as the reality of my kids’ social life kicked in. A series of sporting and social fixtures needed to be fulfilled. First up was a scoot over the hills to take the kids running at our local ParkRun. Not really a journey to open up the throttle, but as it turned out a bit of a light bulb moment for me.
MOTORING bqlive.co.uk
As well as prowess, panache and power, the car is also practical. My daughter (who broadly categorises all cars as Minis or Not Minis) stretched back in the spacious back seats and declared the Ghibli “epic”. Being aimed at professionals around my age, the ability to transform into Dad’s taxi - albeit a beautifully crafted one - is a must. The spacious boot, room in the back and decent fuel economy sit perfectly with the more playful elements of the car. Running done and dusted, we got the weekly shop in, followed by a birthday party drop off and finally an emergency trip to Ikea to pick up a couple of new chairs. Sunday afternoon brought a slightly more adventurous journey with a trip over to Manchester to attend a charity ball with some clients where the motorway miles were gobbled up effortlessly by the Ghibli. Coming back the next morning to return the car it dawned on me that, while the weekend wasn’t quite what I had in mind, it was probably exactly what Maserati had in theirs. A car that looks, feels and sounds great, yet is as perfectly at home ferrying children around as it is galloping down the motorway in total comfort. n The car Barry Holder, director at Fantastic Media, drove was a Maserati Ghibli, 2,987cc Diesel. Solid paint, parking sensors front and rear, Sat Nav, Bluetooth, air con individual climate control, 18” wheels. Priced at £49,860. Supplied by JCT Brooklands, Rind Road, Lower Wortley, Leeds LS12 6AA www.jct600.co.uk. 0113 292 6388.
71
72
BURTON ON WINE bqlive.co.uk
Here’s a welcoming story Craig Burton MD of The Works Recruitment shares his thoughts on a couple of wines from South West France As a recruiter and professional connecter of over 30 years, I often find the only respectful way to ‘Thank’ a client is a gift of good wine, not ostentatious, in my opinion it’s the best and most welcomed gesture of appreciation in my corporate circles. We love a wine with a story. Having lived in South West France for almost 11 years now and flitted back and forth, I have rarely been able to refuse a ‘Degustation’ with a cave awash in history of toil – and strife and cripes there are many stories whether fabricated or not – I’m a pushover. One thing I do find curious is the absolute passion and rivalry between the South West regions, that rarely anyone will drink a wine from another region and to be frank I’m a little bored of Madiran so the opportunity to try something different is a treat. Writing this I’m homesick and I can smell the autumnal vindage in my local town and all the shrivelled grapes of the Petit Menseng to produce that sweet honey golden nectar Pacheran. Chateau La Prade is one with a great story of restoration of a run-down vineyard and a small producer, so I was particularly curious to taste this popular, yet unknown (to me), producer. As I’ve been told and scalded time and time again I should decant, so I did. The colour of, well, Bordeaux proper, deep ruby red, lovely long legs, nose of leather kept in
a dark closet. First notes of dark complicated blend of fruits, typical of Bordeaux for me: Second a long blackcurrant wholesome Merlot Cab-Sauvignon blend with a long finish. This typifies to me a carefully, lovingly produced regional wine, but this with a character all of its own that has made me homesick already. Good Bordeaux Whites are not rare in my limited experience but it makes sense. Why not as whites make up around 10% of overall production, so getting this right is crucial to the brave producers out there. I tasted the Clos Des lune- Lune D’Argent 2013. The colour is that of an Aquitaine evening sunshine, golden,
bright and warming to the bones. Only South West whites have this characteristic to my mind of colour and that wonderful nose when you can sense the sunshine that’s squeezed into every grape almost a tangy marmalade nose, as they’re often picked late. I’m tasting first a balanced summer light fruit, tangy, not acidic, just ripe yet delicate. With a smooth finish leaving me instantly needing another quaff. Just nailed it for me and I’ll be ringing on the doorbell of this cave very soon. If they’ve anything left. Nobody has told me the price but it’s a top shelf buy for me. n Château La Prade, Côtes de Franc 2007 - £16.99 Clos des Lune ‘Argent’ Bordeaux Blanc 2013 £16.99
Contact: James Goodhart Head of Private & Corporate Sales Bon Coeur Fine Wines Ltd Moor Park, Moor Road, Melsonby, Richmond, North Yorkshire DL10 5PR T: 01325 776446 W: www.bcfw.co.uk E: wine@bcfw.co.uk
PROFILE York Business School
73
Dr Bob Gammie leads York Business School into the future Taking the reins at York Business School, Dr Bob Gammie brings his wealth of experience of delivering a wide spectrum of business education to York St John University, where the ambition for growth is high Dr Bob Gammie, Dean of York Business School
The newly appointed Dean of York Business School at York St John University developed the highly successful Aberdeen Business School in his previous role at Robert Gordon University, where he grew the student intake to double its size over a period of five years. As a former semi-professional footballer, Gammie knows that everything depends on the team – and at York Business School he’ll be working with a successful team of research-active staff with a track record of providing an excellent teaching experience for undergraduate, Masters and MBA students from around the world. The School currently accredits international students from a range of franchise programmes with academic partners in Vietnam, Malaysia, Zurich and Pakistan who run in-country York Business School courses. Gammie is well aware of the challenge of attracting international students in the current political climate, but is striving to develop those important international partnerships whilst also improving the quality of entry requirements. Closer to home, the School has already established successful partnerships with businesses in the UK and Gammie hopes to build on this by fostering an increasing number of connections with businesses. Experiential learning is a major part of the educational approach at the School, and this is achieved through a variety of ways, including live business projects. Part of his approach will be to
“I want this to be a business school for York, where graduates make a difference”
Students from York Business School working on a live project focus on high quality internships and placements for students that meet the needs of regional SMEs by facilitating tailor-made consultancy processes that address real-life problems. These live projects are a great way for businesses to connect with York Business School and, in the process, to benefit from free consultancy on business issues from brand management to financial planning. Maximising extensive links with industry allows the School to firmly embed employability and enterprise into the curriculum, including tailoring degree courses to suit the business management needs of local businesses. Offering a flexible higher education that embraces degree apprenticeships for example, will enable future students and local businesses to use York Business School as a one-stop shop where bespoke packages of accelerated learning will enable graduates to become as qualified as possible in the shortest time available. This commitment to transform individuals in order to enhance their capacity and capability to make a difference in society is at the heart of York St John University’s aim to build and sustain a
learning community through teaching, research and enterprise of the highest standard. “I’m lucky to have tremendous staff to support the provision of a high quality academic environment” says Gammie. “Aiming for increased accreditation is at the top of my ‘to do’ list, as well as transforming the physical presence of York Business School and leading a digital transformation that will showcase the unique educational products on offer here. I want this to be a business school for York, where graduates make a difference.”
To discuss the possibility of working with York Business School, please contact Bob Gammie, Dean of York Business School: b.gammie@yorksj.ac.uk
74
YABA AWARDS Media Partnership
YABA, or the Yorkshire Asian Business Association, is an independent organisation developed to provide a voice for businesses on a regional, national and international level YABA works with its members to create a better environment for their businesses by monitoring their member’s needs. It represents its members at all levels within the business community, seeking partnerships with other organisations and communicating with members, informing them of issues and initiatives which can assist in the better management of their operations. YABA also facilitates opportunities where effective networking can occur for its members, including hosting a number of informative networking events throughout the year. The YABA Annual Awards Dinner is the highlight of the business calendar with guests from
across the region, fine food, good company and of course the presentation of awards to outstanding businesses. YABA held its third celebration at Cedar Court hotel on 29 September with the outstanding and charismatic Tommy Sandhu, BBC presenter, hosting the evening. Its 450 guests enjoyed entertainment by The Band of Royal Armoured Corps who played Ilkley moor bar t’at in a reggae and bhangra style and incorporated some popular Bollywood tunes; it was diversity at its best. Seven individual categories were celebrated at the awards dinner 2016:
Professional of the Year Winner: Noor Ali (WM Morrison Supermarkets plc Category Manager World Foods & Free From) Noor’s passion for her industry and hard work along with her desire to inspire those around her and her modesty in the outstanding achievements she has gained in her life made her an ideal person for this award. Highly Commended: Ranjit Uppal (Switalskis Solicitors) Ranjit’s incredible enthusiasm and dedication whilst working tirelessly for his clients earned him the Highly Commended position in this category.
Professional of the Year Winner - Noor Ali
Pritpal Singh (PWC) Pritpal earned Highly Commended in this category for his commitment to doing the right thing for others and tackling the issue of gender diversity.
International Business of the year Winner - Surfachem
International Business of the Year Winner: Surfachem (Richard Smith) Surfachem’s significant international growth that has seen the company open operations in Brazil, Poland, Scandinavia, Benelux and India in the last 5-10 years secured the award for this category.
Retail Business of the Year Winner: Bradford Bazaar (Jas Maharaja) With customer satisfaction a priority coupled with the creation of 100 jobs in 2016, Bradford Bazaar stood out as a winner in this category.
Food & Drink Business of the Year Winner: Akbar’s (Shabir Hussain) Akbar’s won this category with their bright, modern and buzzing chain of South Asian restaurants and their passion for what they do.
Emerging Entrepreneur of the Year Winner: Manjit’s Kitchen (Manjit Kaur) Manjit became the front runner for this award as her story was an incredible one; starting from home with just £200 she has gone on to win multiple awards, open a cafe and continues to expand the business.
YABA AWARDS Media Partnership
75
SME Business of the Year Award Winner: Salma’s Beauty Academy (Salma Karolia) Salma’s Beauty Academy deliver courses across the world and continue to expand the number of locations where they do this, Salma also retails products and equipment that is developed and manufactured by herself making Salma’s Beauty Academy the winner of this category.
Special Award Hanif Malik, OBE - founder of the Hamara Healthy Living Centre, and a leading community figure who is a strong advocate of the Third Sector. Kadeena Cox - Four time medal winner at the 2016 Paralympics, in both cycling and athletics. Mohammed Aslam, MBE - Managing Director of Aagrah, the restaurant chain with 14 branches, was established in 1977 in Shipley. Sir Kenneth Duncan Morrison - Former Chief Executive of W Morrisons and current Life President of the brand.
Emerging Entrepreneur of the Year - Manjit Kaur
YABA also partner annually with a charity, this year YABA were working with Forget Me Not Children’s Hospice, who support over 240 children with life shortening conditions and their families in West Yorkshire. This year’s awards saw huge diversity among Asian Businesses, which was reflected in the award winners who each exceeded the judges’ expectations against the criteria, making for some difficult decisions. YABA are also leading on a trade mission to India on 5 – 12 January 2017, the visit will include Delhi and an invitation to attend Pravasi Bharatiya Divas (PBD) conference. YABA are working with the Federation of Indian Chamber of Commerce and Industry team in Bangalore and they have advised that they will work with the Government of Karnataka to support an incubator to host an event and organise 50+ start-ups and pitch sessions. It will be a chance to view joint partnership and trade opportunities. India is now the fourth largest economy in the world and the UK’s second largest export market in the developing world after China. The UK has strong ties with India, and British companies are well positioned to take advantage of this
growing market. After PM Theresa May’s visit to India in November 2016, new avenues for collaboration between the two countries have opened up. There are many benefits of working in India and in collaboration with YABA the following can be set up: • Networking opportunities and client entertainment • Prearranged B2B meetings • Pre-visit and in-country briefings providing market information and advice on how to do business in India • Shared intelligence through group visit • Competitive costs through group travel • Local press coverage for appropriate companies • Services of an experienced mission manager before and during the visit Please contact Emma on ess@leedsbeckett. ac.uk for more information. YABA Annual Awards Dinner 2017: 28 September, Cedar Court Hotel. To find out more about YABA, what they do, past and upcoming events please go to www.yabaawards.com
ENTREPRENEUR bqlive.co.uk
A man of great capability Mike Hughes wanders around the 80 acres of Capability Brown parkland and stunning interior at Scampston Hall and asks double entreprenuer Chris Legard about the challenges of running a stately home alongside a successful clothing firm that he started as a result of a devastating family crisis Surprisingly, when Chris Legard inherited his new magnificent 18th century Regency home Scampston Hall, he actually needed to pause and consider his options. The house near Malton is stunning, surrounded by landscapes designed by Capability Brown among the estate’s thousands of acres and including large walled gardens from Chelsea ‘Best in Show’ winner Piet Oudolf. Inside, its painting and porcelain collection is renowned, including works by Thomas Gainsborough. It is, in many ways, the perfect Yorkshire stately home. While Chris’s entrepreneurial brain would be put to good use at the hall, it had already been used to establish Joseph Turner, the high-end clothing firm he has run for 20 years, so a balance had to be struck that would allow both sides of his new life to flourish. “The history here is of the St Quintin family rather than the Legards,” Chris told me in one of the very comfortable lounges in the private East Wing overlooking the parkland and a door or two away from the “the posh wing” and the art that many visitors come to see.
“We were only up the road for hundreds of years at Ganton, but we lost that in the days of gambling and entertainment. So that was the end of the Legards until my grandfather – clever fellow – married my grandmother.” Chris was born in India, where his father was a mining engineer. He came to Harrogate before he was two and was then brought up just outside Ripon, but would often visit his grandparents at Scampston. As the eldest son, Chris inherited and the family moved to Scampston six years ago when his own son Ben was 16 and daughter Phoebe 11, so they have had some of what he missed out on – a childhood spent exploring such a hidden jewel in Yorkshire’s crown. “I knew the inheritance was coming, but I wasn’t really conscious of it or excited by it. I was much more concerned by the rest of my life – my job, my career, my wife and my family were all much more of an immediate issue for me. “That was stuff I was creating myself rather than something I had been given. Things like that will always mean more to you because they have
“I am the custodian and will leave it in a better state than when I found it’ and can hand it on to the next generation”
77
your blood, sweat and tears in them. You have done it and built it up and can do what the hell you want with it. “Somewhere like Scampston, you get given and mentally you are in a place that says ‘I am the custodian and will leave it in a better state than when I found it’ and can hand it on to the next generation.” So the blood sweat and tears were in Joseph Turner, now based at Concept Park in Thirsk. Through its website and a catalogue, it offers the finest tweeds, silk ties, pure cotton shirts and shoes for £290 a pair (although I should do the decent thing and add that there are many others at much less money). The family’s Yorkshire heritage is proudly displayed here, with Yorkshire Tweeds, worsted wool woven in family-owned mills in the heart of the region and corduroy supplied by a family business in West Yorkshire. It means a lot to him, having built it up from scratch after a traumatic family event. “I left Eton (yes, he knew Boris but they weren’t really friends, he was just ‘an interesting chap...a nice guy’) and became an articled clerk in Hull and qualified as a chartered accountant. His wife Miranda - who did a BA in Fine Art - was 19 and he was 22 when they married. “We then moved to London for a couple of years before I got a posting to Massachusetts with Coopers & Lybrand and we had a fantastic two years there. I was in my office in Boston when I got a call to ask if I would be interested in a senior manager role in Leeds. “I said I absolutely was interested - I didn’t fancy going back to smelly old London. We bought a house outside Thirsk, a lovely farmhouse with a load of fallen down outbuildings. My wife became pregnant, but part way through the pregnancy she suffered a massive brain haemorrhage.” In an instant life was brought into focus for Chris as his wife battled her attack as she was carrying their first child. “Life was thrown into some turmoil,” he says in a calm and reflective manner. “She spent two or three months in the neurological department at Middlesbrough, where my son became a medical first by being born in the neurology operating theatre. “I got a six-month sabbatical from Coopers & Lybrand - who decided to give me full pay while
78
ENTREPRENEUR bqlive.co.uk
I was away - because my wife was debilitated to a degree in those early days and she was left epileptic and I had a new baby in my hands. When I went back to work for six months, I realised how chaotic things were, so I went back to them and said I would have to leave. “Once again they appreciated the situation and gave me six months’ pay to take with me. I couldn’t have asked for more, they were absolutely brilliant.” So the right decisions were made on all sides and Miranda would get the care and attention that would make such a difference to her recovery. But what about the bills and the future of the new family? “One of the last things I had done at C&L was to sell a mail order business on behalf of a client, and as I was sitting at home thinking ‘cripes, I’m going to have to find something to do’ I decided to set up a mail order business. “We had a cowshed where I could put the stock - after a lot of work to clear it out - and we craned in a couple of Portakabins to use as offices and hired three members of staff. Then I rang round my mates and got the names of some suppliers of shirts, ties and cufflinks and used their address books and mine to build our first database, sent out a couple of thousand catalogues and waited for the phone to ring and, lo and behold, an order came in - which was very exciting. “So the business was born out of necessity, trying to find something that I could do close to home because of the very complicated domestic situation and partly because I have always been someone who wanted to work for themselves. I have never been the best at taking advice as my parents would tell you and would much rather make any mistakes myself and accept them and face up to them and learn from them. “I had a very good job and was pretty well paid, so would I really have started again from zero if I hadn’t had that catalyst? To a certain extent I had the entrepreneurial brain, but I also knew that behind me, some day, I had some significant assets if the shit hit the fan. “So I felt a bit of a fraud compared to some other entrepreneurs who have done very well on the back of very little.” It’s a fair point, but the life of an entrepreneur doesn’t always have to be lived on the edge of a precipice. The key factor is the drive and
the aspiration to create and grow something yourself, not whether it is your sole option and a do-or-die situation. Joseph Turner – a made-up name after an evening of red wine at a friend’s terraced house in Saltaire – enjoyed fifteen years of growth after those first few months in the cowsheds, so Chris obviously had the start-up business sense he always knew was in there somewhere. “We grew from four staff to 20 and then in 2010, on the back of the recession, we tried to launch a ladieswear brand which went quite badly, so we had a time of very difficult trading which I had to turn around and we are now profitable again, so I have certainly been through the cycle of running a business.” The success he has had there made the move to Scampston possible, because to an extent Joseph Turner was running itself, so Chris could travel the 32 miles between there and the hall whenever necessary. “The great team we have there means there probably isn’t enough for me to do for five days a week, because I am the managing director, but it is really the finance director and the marketing director and the operations and customer service teams who are doing the work. “I also think I suffer slightly – though never professionally diagnosed I should add – from an attention deficiency sort of thing and am never great at doing the same thing over and over again. This way I am constantly doing something different. “Running the Hall is much more complex than Joseph Turner because that is one business and Scampston is a very old-fashioned heritage asset, family home and business. There are so many different dynamics because of staff structures and the very departmentalised way things are run like weddings, farming, Christmas trees, residential property, tourism, the cafe, the lodges... all of which have nothing to do with each other as businesses but which are all a part of Scampston. “It is complex trying to get all those things working together for the estate as a whole
and that is a challenge. As the one person who has the overall picture, it is important for me to communicate that well and properly so that everyone understands where we are trying to go. “My dad (Sir Charles) has been brilliant ever since I started taking over certain things before we moved here, like the farming and the lodges. He and I never really had a handover, we would just chat one morning and he would say ‘why don’t you take over the property side today’. “We are quite similar people because he was a successful entrepreneur with two electronics businesses, one wholesale and one making products for control systems. So it is definitely in the blood and he is quite decisive and a clear thinker and we nearly always come to the same view on things so have never had to do anything by committee.” “He has been a really good example of how to transition things between two people who are quite comfortable doing things on their own.” The lodges Chris mentions will become a very important part of Scampston’s future. They are, of course, at the top end of the market and several light years away from the caravan I stayed in as a kid a few miles up the road in Scarborough, with its gas lintels and sink the size of a large mug. No, these start at a shade under £180,000 and come with designer furniture, a large decking area, a view over some of the seven lakes in the park (which was awarded the prestigious David Bellamy Gold Award for conservation in its first year) and have a choice of 60 kitchens and 50 carpets. The four phases are planned to hold a total of 75 holiday homes, so their contribution to Scampston’s bottom line is significant and Chris knew that the only way to go was to echo the Hall’s image of luxury and exclusivity and attempt to create ‘the highest quality and most desirable park of its kind in Yorkshire’. “We needed to find another major ‘something’,” said Chris. “We already offered weddings, sometimes in
“I have never been the best at taking advice as my parents would tell you and would much rather make any mistakes myself”
80
ENTREPRENEUR bqlive.co.uk
a pleasantly amateurish way – a bit like us! But I only want to do a dozen or so each year because this is a private family home. The upside to the way my sister Louise does them here is that they are much more interesting and quirky, completely bespoke, so no set marquee sites or caterers. We just say ‘here’s this beautiful site how do you want to use it?’. “So they will cover the heating costs, the roof repairs or the window painting or something, but they are not a game-changer for Scampston. But the lodges are because last year we had our most successful year by miles and by some margin the biggest earner over farming, property etc, was the lodges. “It is a significant investment for us with borrowings that will need to be repaid over time, but if we sell half a dozen each year it becomes a very profitable enterprise with an income stream you can predict for ten years. But there will come a day when I have worked my socks off, paid off the borrowings, sold some lodges and my son or grandchild will look back and say ‘Grandpa Chris – that was a good thing to do’.” The whole process from initial idea to completed development was around three years, which shows how much councils guard against a fear of over development of the county’s greatest asset. But the lodge’s high standards will attract people with money to spend from outside the county who will be going to the theatre in Scarborough or York or out for a Michelin meal. So there is a deal to be done about a discrete local development that will add to the local economy. The house is also bringing in some red-carpet money as a film setting, for a TV adaptation of JB Priestley’s An Inspector Calls starring David Thewlis, Miranda Richardson and Ken Stott, and lately for Mad to be Normal about the controversial psychiatrist RD Laing, and starring David Tennant, Gabriel Byrne and Michael Gambon. There is a limit, of course, to what Chris would do around the hall, the walled garden and the Capability Brown parkland. But the many other acres at Scampston are opportunities for events that bring a paying audience. “It’s my job to maintain, protect and hand on as best I can, so I will not be putting a BMX track in the park or a go-kart track on the front lawn! Whatever I do has to fit in with the heritage, but if I get a chance to do something in a field a
“This is about leaving Scampston in a better state than I found it during my tenure, just as my dad did”
mile down the road which isn’t going to bother anyone, then I will look at it. “If you looked at a P&L for the whole estate it wouldn’t look like a very profitable business, but that is because we put so much of the resource and income back into maintaining the hall, or repairing the bridge. I would never moan about it – I know how lucky I am to have it – but places like don’t tend to be money-spinners. “I earn my living flogging shirts, and that is my holiday money and will be my pension one day. This is about leaving Scampston in a better state than I found it during my tenure, just as my dad did. “That is becoming increasingly difficult with things like Brexit and farming subsidies, so you have to be more creative and bring some commercial nous to these places. One of the excitements of Scampston is that after I had been an entrepreneur with Joseph Turner, there were elements of the estate here that I knew nothing about – like it being a visitor attraction – that have made me an entrepreneur again. “But unless it is hugely technical, a lot about running a business is common sense in terms of understanding your customer – how will they get to hear about Scampston, how should I spend my marketing dollars to attract them, how will they get here and when they do, what will they be looking for?” Chris is happy with what he is doing here, but always with a view to handing it over in good shape to his children. With Joseph Turner being the pension, what are his plans for the inheritance? “It so happens that my boy is the oldest of my two children, so he will inherit Scampston and I will look after my daughter as well as I possibly can. He is very much being encouraged to make a career away from here. He is at Oxford Brookes at the moment studying commercial property and will then hopefully get a job in London, forge a career and get some cash, if he wants to drive a nice car and go on nice holidays. “I’m hoping he’s a little bit like me for his
sense of self-worth and identity. I would much rather be known as the guy who started the shirt company than the guy who inherited Scampston. “I want my son and daughter to do whatever they would want to do without any regard for Scampston and then hopefully one day the time will be right and my son will decide to return here to Yorkshire.” With the lodge park well underway, one of the biggest challenges of the next few years will be restoring the lakes at Scampston, which are silted up and in poor condition. That will need external funding, so there will be a lot of formfilling and an external project framework to be sorted out. Brexit will have an impact, although possibly more so at Joseph Turner, although Scampston operates a higher-level management scheme on its thousands of acres, to manage headgerows and field margins and there is European money to support a stunning wetland to the top end of the estate for ground-nesting birds like plover, lapwings and cranes. And then in Easter 2018 Chris will be appointed High Sheriff of North Yorkshire, which will prove to be an expensive but rewarding year in office. “It is a massive honour to be asked but it isn’t paid, and there is a lot of entertaining and you have to give up a lot of time to it,” he says. “But I am really looking forward to it as it will get me to places I have never been before and I will meet some amazing people who I would never normally come across. “It will be damned hard work, but I will get a lot out of it and will hopefully give a lot back. Although there is some trepidation about the tights and the sword and all the kit I will be wearing in a marquee in August!” For diversity, there can be few entrepreneurs to match Chris, with his clothing business, heritage renovations, farming, holiday parks, tourism and Christmas trees. Therefore, to sum him up as a really entertaining bloke with a big house does him a disservice but he is, just with quite a few other roles added in to keep that busy mind occupied. n
@fantasticmedia
The Integrated Marketing Agency
fantasticmedia.co.uk
make personal connections, not just digital ones.
82
LESSONS I’VE LEARNED bqlive.co.uk
A diary full of experience Mike Hughes talks to Colin Glass about how he built his business over the last 42 years and finds lessons to pass on to Yorkshire entrepreneurs If there is such a thing as a Yorkshire king of networking, it may well be the gentleman sitting in front of me. There can’t be many readers of this magazine who will not have bumped into WGN’s Colin Glass at a breakfast, presentation, awards evening or dinner somewhere in the region over the last year. His busy diary is a direct result of his four-decade involvement in the business scene, from advising and connecting to good old sweat equity. “I am pretty obsessional in what I do,” he admits at his firm’s offices in St Mary’s Street at the side of the A64 on the edge of Leeds. “So when my business partner Melvyn Winburn got me interested in the stock market, I took a leaf out of Jim Slater’s book and saw that he was finding sleepy public companies that were ahead of their share price. He would research them, maybe buy a stake in them under the radar and create a string of ‘satellites’ around Slater Walker Securities. “I thought this was fascinating and by then Melvyn and I had a part-time business dealing in shares and doing a bit of investment advice.” Later, Melvyn, Colin and former Spicer and Pegler expert David Norfolk opened shop-front premises on Lidgett Lane as WGN, which is where the idea grew of using sweat equity to help newer businesses.
LESSONS I’VE LEARNED bqlive.co.uk
“I thought there was no way these early stage companies can afford to pay us even a modest fee, but we can advise them, roll up the fee and be granted a sweat equity status,” explained Colin, now aged 73. “This was unheard of then, but we went with it and used this model regularly after great success with a company called Datong, which David Tong had started by manufacturing products for radio hams, which he sold by mail order from his bedroom. “As we only had very small stakes in these businesses, it was always going to be hard unless we had a massive, massive win, so it proved the model and supplemented the fee income. We were taking risks all the time, but I knew in my heart of hearts that we were contributing quite a bit and firmly believed that if people got the right kind of help and proper accounts and forecasts and a sense of commitment, then it was in our interest to pedal harder and make it a success. “The amount over the years for the time that we have recorded but never recovered must be into seven figures. You have to also be careful who you get involved with, so I was always paranoid about reputation, but I have been fortunate to work with some great people, both entrepreneurs and colleagues.” This is how the Glass DNA was created, strand by strand, and it is a fine example to follow for Yorkshire entrepreneurs: Know what your trade is and know it inside out; find the right business partner; don’t be afraid to challenge traditional methods; be comfortable with an unpredictable income and keep your eyes and your mind open for the next opportunity. “My advice would be to remember that a lot of businesses don’t know what they don’t know,” he adds, emphasising the need to educate as he invests. “You can never guarantee success and wave a magic wand to make it happen overnight. You have to be prepared to go through some rough patches as well and not throw the rattle out of the pram, which does happen occasionally. “The entrepreneur has got to want to grow his business and we will work alongside him or her at the rate they want to grow at. Some are really
up for it while others take a more traditional view, but each is a story in itself, from which you can learn about people, contacts and how to work in different situations. “When I first started out, going into business was the last option – it was the sort of thing that secondary modern pupils went into while the professionals wouldn’t sully their hands with it. But all that has changed now and people are leaving university and going straight into business – or even before that. “The media and all the razzmatazz that goes with it makes it more exciting for young businesses and some fantastic characters have been created in Yorkshire. But the records show that only 80% will get over the first three years – but with help they can get further. “Networking is very important, but you have to just go out and enjoy it and get a buzz out of it. When I see young people at these events who have obviously been told to go out there and get some business, I feel sorry for them because that is not the way to do it. “You also have to be prepared to survive as well as to fail. It is certainly a good thing to have someone trusted alongside you when you start a business – as I did with Melvyn. If you have a mentor, adviser or even a friend who knows what they are talking about, it is someone you can bounce ideas off and who will give you an honest view. There are some good mentors out there, but there are some poor ones as well, without the experience, so you need to choose them carefully. Business is always about people and the team they can become. “Just think about the things an established business has, from something as basic as asking someone to fetch a file for you or do some research to the benefit of a HR or marketing department. When you start out you have to do it all yourself, it is a different ball game. “I realise the way we started our business may not be possible now. The red tape for starting a business can make it very difficult and there is far more competition. But I have never regretted it and despite the 24/7 mentality with constant meetings and emails to deal with, I would gladly do it all over again. “Yorkshire generally is a very busy place at
“My advice would be to remember that a lot of businesses don’t know what they don’t know,”
83
the moment. We have a good council and the BID team seems to be doing a good job which means that business-wise there are a lot of opportunities and the city has coped well after the demise of the clothing industry and the likes of Burton’s and Hepworth’s. “Now it is more about the high-tech businesses and the digital era, which is such an important step forward for the region.” Leeds born and bred, he is genuinely grateful for the recognition his work and networking skills have brought him, from being named in the Maserati 100, to an honorary Doctorate of Business Administration from Leeds Beckett University, to the celebrity status of being chosen from 13,000 applicants to be one of 12 judges for Richard Branson’s Voom business pitching competition.But as an accountant, Colin knows the simple maths behind all that. Experience + knowledge + character + determination = business success. Whether he is compiling that equation for someone else or for his own business, Colin Glass has the answers. n
BIT OF A CHAT Bill Board’s examining the news behind the headlines What next – head cricket?
Rubbish at football? Not interested in golf? Then Rotherham entrepreneur Nicholas Burns might have the answer for you – why not try both? He has just opened the town’s first FootGolf course at Herringthorpe Valley Park, thanks to funding from the UK Steel Enterprise Kickstart Fund. In this game (and picture your MD or CFO trying this on a Friday afternoon...) players use their feet instead of a golf club on a course with specially altered larger holes. Having never ran a business before, Nicholas turned to The Princes’ Trust who assigned a mentor to help build his business plan, and £500 from the Kickstart Fund enabled him to purchase essential marketing materials. Now the company plans to create two new jobs over the next two years, and Nicholas already has plans for a second site. Presumaby after that there will three, and then....FORE!
Brexit? What Brexit? Good to see that Yorkshire businesses have typically brushed aside any idea of a Brexit panic and are just getting on with their jobs as usual. Almost two-thirds of them in Yorkshire, the Humber and the North East say they haven’t seen any change – positive or negative – from the 23 June vote to leave the EU. Adrian Berry, chair of R3 in Yorkshire and partner at Deloitte LLP, says: “The immediate shock of the referendum result was much briefer than expected, and many businesses – and importantly, consumers – have adopted a ‘business as usual’ approach since then.” Quite right too. That’s quite enough of that – back to work everyone.
Bricklayer breaks glass ceiling Yorkshire housebuilder, Noble Homes, has hired its first female bricklayer, with Indiya Hudson, 16, from Normanton, on an apprenticeship as part of her studies at Wakefield College. Indiya is one of 10 apprentices that have joined the developer, and is hoping to encourage other women to take on a trade. She said: “I really think women should consider a job in trade – it’s sexist to say we can’t do manual labour as well as the blokes. Working outdoors in the elements doesn’t bother me because I love being on site with the team. Being able to bring plans on paper to life gives me a fantastic thrill and I’m really getting to grips with the site’s machinery and technology.” Her boss, MD Chris Noble, said: “I’m positive Indiya will have a very successful future. We’re committed to fresh talent and, with welcoming in a new generation of housebuilders, we’re determined to bust the myths that surround the industry, such as it not being a place for women. Indiya is a true testament to this.”
Unlucky for some Yorkshire home buyers can be a superstitious lot. Developers Linden Homes must have thought they had the perfect package at Worrall, north east of Sheffield - fourteen luxury homes in a picturesque village with rural surroundings. And they were almost right. They were snapped up, with four plots being reserved during the opening weekend. But for more than EIGHT MONTHS nobody wanted unlucky 13, a four-bedroom detached home occupying plot 13 at Hall Farm Court. Sales Executive Stuart Marshall scratched his head and said: “Given the location of the development, within easy reach of major towns and cities, we expected the homes to sell quickly. And that proved to be the case – except for this one. “The only thing we can put it down to is superstition. It seems the people who’ve visited just don’t like number 13!” Property website Zoopla agrees, saying that houses with the number 13 on the door have
to be about £6,500 less than neighbouring properties. And buyers also tend to stay away from the 13th day of the month, with a drop of almost a third on that day compared to the monthly average. I bet window cleaners have a tricky job at Hall Farm Court, with all those ladders for people to walk under.....
Next chapter for Paige The fame of Leeds’ latest TV star, Premier Inn’s Paige Flynn has now spread so far she was invited to be part of a (very wet) procession through the London streets at the prestigious Lord Mayor’s show. Apprentice of the year Paige, who works as a Hospitality Supervision and Leadership Apprentice for Premier Inn based in Yorkshire and Humber, was one of 13 apprentices selected to star in the ‘Get in Go Far’ campaign across TV, social channels and outdoor posters, encouraging young people to apply for rewarding careers.
M M
v i t y
o n n e C t i v i t y o n n e C t i v i t y
esses in Yorkshire are set to be amongst the first in the country to e access to world-leading Internet speeds, thanks to the partnership ween alternative infrastructure provider, CityFibre, and Yorkshireed ISP, Exa Networks. The partnership has enabled Exa Networks et services running over dark fibre optics to the businesses in the
ched in the early summer in Bradford and Leeds, Exa’s offering, kLightⓇ, provides businesses speeds starting at 100Mbps upload and nload, all the way to 1,000Mbps (1Gbps)! DarkLight is now rolling to Rotherham, Doncaster and Sheffield - widening the Gigabit city engthening the Yorkshire region as a Digital Powerhouse.
ether, Leeds, Sheffield and Rotherham employ over 38,000 tech kers who produce £944m Gross Value Added (GVA) yet there are still e areas of the cities’ centres that rely on outdated DSL technology. h 82% of businesses now using cloud services in some capacity and 1 in 8 businesses ‘very satisfied’ with their Internet provision it is s a real need for better connectivity.
the technology that DarkLight uses is capable of achieving speeds 6Tbps (in lab tests), there will never be a bandwidth requirement ceivable that it can’t meet. Exa customers can also increase their nection speed at any time, even on a temporary basis, (e.g. for a his flexibility puts DarkLight at the top of the pile when it comes to ologies.
at t e r s at t e r s
usinesses in Yorkshire are set to be amongst the first in the country to have access to world-leading speeds,the thanks to the the country partnership usinesses in Yorkshire are set Internet to be amongst first in to between alternative infrastructure provider, CityFibre, and Yorkshirehave access to world-leading Internet speeds, thanks to the partnership based ISP,alternative Exa Networks. The partnership enabled and Exa YorkshireNetworks between infrastructure provider,has CityFibre, to provide Internet services running over dark fibre optics to the businesses in the based ISP, Exa Networks. The partnership has enabled Exa Networks region. to provide Internet services running over dark fibre optics to the businesses in the region. aunched in the early summer in Bradford and Leeds, Exa’s offering, Ⓡ DarkLight provides businesses speeds starting at 100Mbps upload and aunched in ,the early summer in Bradford and Leeds, Exa’s offering, Ⓡall the way to 1,000Mbps (1Gbps)! DarkLight is now rolling download, DarkLight , provides businesses speeds starting at 100Mbps upload and out to Rotherham, Doncaster and Sheffield - widening Gigabit city download, all the way to 1,000Mbps (1Gbps)! DarkLightthe is now rolling footprint andout strengthening theDoncaster Yorkshire region as a Digital Powerhouse. to Rotherham, and Sheffield - widening the Gigabit city footprint and strengthening the Yorkshire region as a Digital Powerhouse. ltogether, Leeds, Sheffield and Rotherham employ over 38,000 tech workers produce £944m Value Added yet there are still ltogether,who Leeds, Sheffield andGross Rotherham employ(GVA) over 38,000 tech large areas of produce the cities’£944m centres that Value rely on outdated DSL workers who Gross Added (GVA) yettechnology. there are still With 82% of businesses now using cloud services in some capacity and large areas of the cities’ centres that rely on outdated DSL technology. only 1 in 8 businesses ‘very satisfied’ with their Internet provision it is With 82% of businesses now using cloud services in some capacity and clear that there need for better onlyis1ainreal 8 businesses ‘very connectivity. satisfied’ with their Internet provision it is clear that there is a real need for better connectivity. ince the technology that DarkLight uses is capable of achieving speeds of 5.6Tbps (in lab tests), will never a bandwidth requirement ince the technology that there DarkLight uses isbecapable of achieving speeds conceivable that it can’t meet. Exa customers can also increase their of 5.6Tbps (in lab tests), there will never be a bandwidth requirement connection anymeet. time, Exa evencustomers on a temporary basis, (e.g. for a conceivablespeed that itat can’t can also increase their special event). This flexibility puts DarkLight at the top of the pile when it comes connection speed at any time, even on a temporary basis, (e.g. for a to competing technologies. special event). This flexibility puts DarkLight at the top of the pile when it comes to competing technologies. o find out if DarkLight is available to your business head over to www.darklight.city, email darklight@exa.net.uk speak to Exa o find out if DarkLight is available to your businessorhead over to Networks on 0345 145 1234. www.darklight.city, email darklight@exa.net.uk or speak to Exa Networks on 0345 145 1234.
S S T T
at t e r s
B B L L A A
M
d out if DarkLight is available to your business head over to w.darklight.city, email darklight@exa.net.uk or speak to Exa works on 0345 145 1234.
C C
86
XY TXCRXYX bqlive.co.uk
EVENTS
BQ’s business diary helps you forward plan
DECEMBER 21
MY Network Huddersfield from 9am-11.30am at Cafe Ollo, Media Centre, 7 Northumberland Street, Town Centre, Huddersfield HD1 1RL. Contact 01484 483660
27
Meet the Experts from 8.30am-10am at Barnsley & Rotherham Chamber, Unit 2 Genesis Business Park, Rotherham, S60 1DX. Contact 01709 386200
30
Last Friday Club from 12.30am-13.30pm at Harrison Social, 11 Harrison Road, Halifax, HX1 2AF. Contact 01484 483660
31
Women, Work and Motherhood…from 5pm-7.30pm at Grimm & Co, 2 Doncaster Gate, Rotherham, S65 1DJ. Contact 01709 386200
31
Buy Doncaster Business Club from 5.30pm-8pm at The Earl of Doncaster Hotel, Bennetthorpe, Doncaster DN2 6AD. Contact 01302 640100
JANUARY 05
Connections Count from 9:30am - 11:00am in Wakefield. Contact 01484 483660 for more details
07
Understanding Import Processes from 9:30am - 12:30pm at The John Smith’s Stadium, Stadium Way, Huddersfield, HD1 6PG. Contact 01924 311600
10
Quarterly Economic Survey Q4 Breakfast from 8am-10am at Holiday Inn Barnsley, Barnsley Road, Barnsley, S75 3JT. Contact 01709 386200
18
Business Planning - The Importance of the Process from 8am10am at Carwood Park, Selby Road, Leeds, LS15 4LG. Contact Connect Yorkshire (formerly Gazelles) on 0113 337 2001
20
Doncaster Chamber Annual General Meeting from 8am-10am at Doncaster Chamber, The Keepmoat Stadium, Stadium Way, Doncaster DN4 5JW. Contact 01302 640132
20
24
Hull & Humber Chamber Members’ Networking and lunch from 10.30am-2pm. Networking at Healing Manor, Stallingborough Road, Healing, Grimsby DN41 7QF and lunch at Forest Pines, Ermine Street, Broughton DN20 0AQ. Contact 01472 342981
FEBRUARY 07
City Region Business Networking Breakfast from 7.30am-9.30am at Tankersley Manor, Church Lane, Tankersley, Barnsley S75 3DQ. Contact 01302 640100
07
Selling at a Higher Level from 10am-3.30pm at Carwood Park, Selby Road, Leeds, LS15 4LG. Contact 0113 337 2001
09
PD Ports Northern Powerhouse Export Awards and International Trade Campaign 2016/17 from 7pm at Leeds Marriott Hotel, Trevelyan Square, Boar Lane, Leeds LS1 6ET. Contact 0191 3898498
16
Business Showcase 2017 from 10am-4pm at Doncaster Racecourse, Leger Way, Doncaster DN2 6BB. Contact 01302 736 971
22
BQ National Emerging Entrepreneur of the Year from 6.30pm at Hilton Newcastle, Bottle Bank, Gateshead NE8 2AR. Contact 0191 389 8496
Establishing and Running a Sales Team from 12.45pm-2.30pm at Parkway Business Centre, 99 Parkway Avenue Sheffield, S9 4WG. Contact 0113 337 2001
BQ’s business events diary gives you lots of time to forward plan. To add your event online, email details to eventsdiary@bqlive.co.uk
The diary is updated daily online at bqlive.co.uk
YOU’D YOU’D US EXPECT YOU’D EXPECT US TO KNOW EXPECT US TO KNOW OUR STUFF. TO KNOW OUR STUFF. YOU MIGHT YOU MIGHT OUR STUFF. BE SURPRISED BE SURPRISED YOU MIGHT TO HEAR WE TO HEAR WE BE SURPRISED ALSO KNOW ALSO KNOW TO HEAR WE YOUR STUFF. YOUR STUFF. ALSO KNOW YOUR STUFF. All law firms should know the law inside out. But what really sets us apart is the All law firms should know the law inside out. But what really sets us apart is the
way we also build and value relationships. We’re real ‘people’ people, and we enjoy way we also build and value relationships. We’re real ‘people’ people, and we enjoy
getting to know our clients, their businesses and the different sectors they operate in. getting to know our clients, their businesses and the different sectors they operate in.
It is our philosophy that only then can we truly provide the advice and expertise It is our philosophy that only then can we truly provide the advice and expertise
that’s relevant to our clients’ needs.
that’s relevant to our clients’ needs.
All law firms should know the law inside out. But what really sets us apart is the ForFor more information more informationvisit visitwww.clarionsolicitors.com www.clarionsolicitors.com way we also build and value relationships. We’re real ‘people’ people, and we enjoy getting to know our clients, their businesses and the different sectors they operate in. It is our philosophy that only then can we truly provide the advice and expertise that’s relevant to our clients’ needs. For more information visit www.clarionsolicitors.com
More than just
a Racecourse A unique venue for conferences, meetings, functions, exhibitions and events Doncaster Racecourse is located in the heart of the UK with easy access by road, rail and air. A versatile indoor and outdoor space with in-house catering and free parking for up to 3000 vehicles Visit our website for a Virtual Venue Visit
doncaster-racecourse.co.uk events@doncaster-racecourse.co.uk
01302 304200
DoncasterRaces
DoncasterRaces