Business News Extra October 2013

Page 1

Oct 2013

Dance business aim for enterprising young graduate  2 Mum is on target with baby-size cups  4 New digital programme offers opportunities for SMEs  6

getsurrey.co.uk/business in association with

Winter roads plan in place Many businesses rely heavily on their vehicles being able to move around the county’s road network with ease so, with the onset of winter, what measures are being taken to ensure cold weather doesn’t bring traffic to a halt?

Traffic struggling through the snow earlier this year.

ACTION taken by the county council to prepare for wintery conditions are ‘vital’ for businesses that rely on Surrey’s roads. Surrey County Council announced in September it will be investing £5 million this winter in repairing the 200 roads in most need of fixing from cold weather damage. In addition, the council’s winter plan was approved last week, with upwards of £2.5m being spent on a programme that includes using more than 40 specialist vehicles, hi-tech monitoring equipment, weather stations and 16,000 tonnes of grit to prepare for the winter ahead. Some businesses’ trade relies completely on Surrey’s road network and being able to get around. This includes taxi firms, courier and delivery companies. Mark Rostron, vice chairman of the Guildford Hackney Association, said he was relieved the county council was taking precautions saying the taxi trade can be hit hard when the roads are icy. “The icy conditions discourage people from driving,” he said. “It affects the drivers quite badly, particularly in Guildford because Guildford has a lot of hills. “There have been times when it has snowed I have decided not to work because it is too dangerous. “The side roads in the snow just become impossible really.

“It is also more dangerous for drivers, they are risking their livelihoods driving in the snow. “One false move, one little skid, and you can write your car off very easily. “It is a difficult time for us, you have got the choice of risking it or losing a day or two’s work. “The more the council can do

“We plan all year round to make sure that Surrey motorists can keep safe, even in difficult driving conditions. We are doing all we can to keep Surrey moving” to keep the roads clear the better. “I think the council’s preparations are going to have a positive effect on our business and I am pleased they are taking these steps. “It is vital for us.” Mr Rostron added that even if taxi drivers decide to work in snowy and icy conditions, trade can be slow because the weather stops people going out. Another Surrey business dependent on the roads is courier firm Diamond Logistics, in The Pines Business Park.

CHRISTMAS

PARTY NIGHTS 2013

Call: 01483 238890 Email: merristwood-events@crown-golf.co.uk Web: www.merristwood-golfclub.co.uk

Jason Kirkup, depot and operations manager for Diamond, said: “The winter conditions do affect us. “If we don’t get around we don’t get any money. “The main challenge is snowy and icy conditions as it slows our deliveries down a lot, it takes longer to get around. “It does have a major delay on the whole system and it does make a big difference. “I am pleased that the county council are getting prepared for winter to keep the roads clear. “It is positive for us that they are preparing. “That is good for us. If the roads are clear it can only help our business.” John Furey, Surrey County Council’s cabinet member for highways and environment, said the council has prepared well for the winter months. “We plan all year round to make sure that Surrey motorists can keep safe even in difficult driving conditions,” he said. “We are doing all we can to keep Surrey moving.”

The hills in Guildford are particularly problematic in bad weather.


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October 2013

My first job A WOMEN’S networking group in Cobham is celebrating its first birthday. The Business Breakthrough Networking (BBN) group holds monthly at Mundays in Portsmouth Road and provides an environment for women in business to meet, learn, and win work from other local business women. Sue Bown, founder of the BBN and the Coaching Zone, said: “All small businesses need a helping hand if they are to survive and thrive and at BBN the women who attend make valuable connections, learn from each other and provide support if the going gets tough. “It is still a tough economy out there so networking has to give a return and a positive effect on the balance sheet for women to keep coming back to meetings – which they do. “We have businesswomen who win ongoing contracts or project work, have found suppliers they trust which avoids costly mistakes or learnt how to do something themselves from advice freely given by the experts at the meeting.” A BUSINESS breakfast seminar discussing the topic Is the economy finally open for business? will be held in Guildford this month. The Smith and William’s autumn seminar will take place at the Holiday Inn on Egerton Road on Wednesday October 16 from 7.30am. The company will be joined by TheCityUK to discuss the issues currently facing the UK business economy. Dan Torjussen-Proctor, commercial director of TheCityUK, will provide his perspective on some of the growth areas as well as the challenges for businesses. Anyone who wishes to attend should email their details to Janice.clay@smith.williamson.co.uk. The employment outlook for the South East remains strong according to a survey by the recruitment firm Manpower. The survey asks employers whether they intend to expand or reduce their work-forces. In the South East there was a response of +7% for the fourth quarter of 2013 - up from +6% in the previous quarter. Paul Laurie, operations manager for Manpower, said: “2013 has been a solid year for jobs in the South East with several organisations increasing their head-counts over all four quarters. The strong finish to the year in Q4 has been driven by activity in some key sectors, such as construction, insurance and financial services and the property sector.” Nationally the outlook is positive at +6%.

Jane Brown is the head of fine art at Wellers Auctioneers in Guildford. What was your first job? My first job was in 1988 at Sotheby’s, working in the client services team. My first ‘big’ auction was the sale of Elton John’s property, which was great fun, made $20 million and took four days to sell. The performance costumes were a great attraction and it was an interesting sale to see Sir Elton’s taste in stage clothing develop and change throughout his musical career. How did you get from there to where you are today? When I first joined Sotheby’s I wanted to be a picture expert but became fascinated by porcelain. The assessment of porcelain from Europe and the Far East is one of the hardest disciplines to master as very few early pieces are marked. I enjoyed the intellectual challenge of finding out which factory had made them and

when. I moved from Sotheby’s to Bonham’s where I became head of European ceramics in the mid-1990s. I have always been interested in the history and provenance of items. I worked at The National Archives, curating the registered designs archive, and at Kensington Palace as a ‘historical explainer.’ Here I assisted visitors with the context of the palace and artifacts within. The most asked about objects were always Princess Diana’s dresses. However I wanted to move back to auctioneering and joined Wellers two years ago. What has your career so far taught you? Don’t be afraid of change and keep up with technology. In the 1990s we were handwriting catalogues and photography came back from the lab after many weeks. Each photograph in the

Jane Brown, head of fine art at Wellers Auctioneers.

catalogue was produced from colour separation negatives which we had to view on a lightbox. Now my whole catalogue is produced from a laptop and photography takes seconds.

What does the future hold? Wellers is placed in the centre of the catchment area of the highest net worth individuals in England, so in the next few years I would like to see our market share greatly expand.

Dance business aim for enterprising young graduate By Tim Harris

tim.harris@trinitymirror.com

Editorial Director Marnie Wilson Group Deputy Editor Mark Miseldine Business Reporter Tim Harris Commercial Manager Amanda Ducas Regional Sales Manager Sarah Firth

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A UNIVERSITY graduate from Surrey who wants to set up her own dance company has won an ‘enterprising student’ award. Laura Winnan, 22, from Woking, has swept up the Most Enterprising Student award, held by IT firm Prolinx. Laura, who performed in the London 2012 Olympic Games opening ceremony, graduated with a 2:1 in BA (Hons) dance and fitness from Buckinghamshire New University, in High Wycombe.

“The UK economy needs more people like Laura.” She was presented with her degree and Prolinx award at a graduation ceremony at the Wycombe Swan Theatre, on September 11. Laura received the award in recognition of her efforts as part of The Dance Society at the university. Laura, who previously attended Woking College, explained her ambition of starting up her own dance business. “It is really nice to receive the award,” she said. “Now I hope to work with some of the other dancers setting up our own company and studio in the near future. “My ultimate career goal is to have my own personal training and dance company and to own my own studio.” Simon Blackburn, director of

Laura Winnan plans to set up her own dance business.

Prolinx, said: “Laura hasn’t just demonstrated a talent for dance on the world stage but also an entrepreneurial desire by looking to create her own business from it.

“The UK economy needs more people like Laura.” Martha Wiekens, course leader for Laura's degree subject at Bucks New University, described her

former student as ‘a great model of leadership’. She added that she backed Laura to achieve success in the dance and fitness industries.


October 2013

Parish council unhappy with company’s Vision By Tim Harris

tim.harris@trinitymirror.com AN engineering firm’s plans to build new headquarters in Send has sparked concerns in the village, despite the prospect of employment opportunities. Vision Engineering Ltd submitted proposals to Guildford Borough Council in July for the new facility at its base in Send Road, with the potential of 30 new jobs. The new building, which would include a housing development and manufacturing facility, would replace the company’s current Send headquarters. Vision employs 120 staff at its Send and Woking sites and hopes to add to that number if its proposals are granted. However, Send Parish Council claims there only appears to be a ‘very small local employment gain’. A public consultation on the proposals is under way and the parish council has objected to the Vision plans on the grounds it could be harmful to the green belt and local environment. The parish council called an emergency meeting in August to let the public have their say. The council then met last month, after which a statement was released. It read: “While acknowledging that Vision Engineering is a wellrespected and long established company who are supportive of

as well as representatives from local councils. Vision has been based in Send and Woking since 1958 and supplies quality control equipment to global manufacturers of mobile phones, medical devices and performance engines. As much as 89% of products manufactured on-site is exported to both developed and developing economies. Guildford Borough Council will consider An artistic impression of the proposed new headquarters of Vision Engineering Ltd, in Send. the application, the village activities, and are appar- traffic in Send Road and criticised parish council’s objections and ently very good employers, we can the suggested housing develop- any other responses to the public see no exceptional or extenuating ment, which it argued would consultation before making a decircumstances for breaching the put pressure on the local medical cision on the plans next month. green belt Policy for this develop- centre and schools. ment. The potential effect on wildVision declined to comment on life of development on the open the objections. Its managing direland must be recognised – birds ctor, Mark Curtis had previously and animals will lose their habitat reassured anyone with concerns and deer are regularly seen in the that, along with the architects, the area. Over the last two years some firm has tried to minimise the trees have been taken down all impact on the surrounding area in over the proposed factory site to its plans. Vision wants to build the the detriment of local wildlife and new base to create a ‘modern glohaving the effect of making the bal headquarters’ to help them site more visible from surrounding take on overseas competition. development and the wider After the plans had initially river valley”. been submitted, Vision held an The parish council is also open day to discuss the proposals concerned the bid would increase with around 100 Send residents,

Placement has real power Taking advantage of a new scheme, a Surrey undergraduate has begun a year’s work placement with UK Power Networks. Alastair Currie, from Capel, in Mole Valley is an electrical power engineering student at the University of Bath and is working a year’s placement at the firm that delivers electricity supplies across London, the South East and East of England. The former pupil of Priory School, in Dorking will be involved in projects with the major connections team in West Ham. He said: “My first impressions of UK Power Networks are great. The main things I hope to gain are experience in electricity provision, an area of electrical power engineering I wish to go in to. “Electricity distribution is crucial in people’s lives today, if we want to live the way we do, and I am looking forward to contributing to a business which provides this service.” UK Power Networks, Britain’s largest electricity network operator, fixes power cuts, maintains equipment and moves and connects new cables. The firm offers foundation and experienced appr-

Surging ahead: Alastair Currie.

enticeships, engineering development programmes, summer internships and industrial placements, plus graduate programmes to encourage people to consider a future in power engineering. Talent acquisition partner, Emma Barbour, said: “Industrial placements act as talent pipelines into our graduate programme. We’ve identified the potential in these undergraduates and if they enjoy their time with us and do a great job, we can accelerate them on to our graduate programme. It’s about early identification and engagement of new talent. “This programme gives them a chance to ‘try before they buy’ by spending time with us. They see if we’re an organisation and industry they want to work in and they get a foot in the door with our graduate programme.”

2013

Wednesday 9 October 9.30am – 4.30pm HG Wells Conference & Events Centre

Flower power: Jayne Phillips (left) and Saranna Rawlings have opened Eden Belles at The Stockyard, East Horsley Railway Station. Picture: Chris Whiteoak: (Ref: SA135690_02)

Flower belles open shop A BUSINESS partnership has pounced on an enterprising flowershaped opportunity after spotting a gap in the market. Business pair Jayne Phillips and Saranna Rawlings have opened a new florists, Eden Belles, at East Horsley Railway Station. Both Jayne and Saranna trained in London at The Covent Garden Academy of Flowers, and until opening the Horsley shop were arranging flowers for weddings and events. Jayne explained the duo spotted the business opportunity and

jumped at the chance of opening the shop. “It was an opportunity not to be missed,” she said. “There used to be a florist here but it closed down about a year ago. “There was a gap in the market for a new florist. It was a really great chance for us to do something different. “It is something new to both of us, having a shop. It is something we are getting to grips with and it is a big learning curve. “It is a very exciting time, we are really looking forward to going

onwards and upwards.” Jayne said trade is likely to come from a mixture of people using the railway station and residents in East Horsley village. The florist is located in The Stockyard cafe at the station, and Jayne and Saranna launched their new business with a special event last month, attended by around 60 people. Jayne added: “The launch went very well, quite a few people came out and wished us well. “It was nice and everyone had a lovely time.”

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● 8.00am Woking Borough Council Pre-show Breakfast Forum ● 5 great seminars to inspire and motivate ● Ask the Experts – 1-2-1 consultations ● 3.45 Drinks Reception - plus SoSinatra For more information email

paul@websterconsultancy.co.uk

www.wokingmeansbusiness.com


4

October 2013

Mum’s on target with baby-size cups Trying to find the right cup to wean her children off the bottle became a frustrating task for Surrey mum Sarah Keel and so she took matters into her own hands. She tells Rebecca Younger about her innovative business Babycup .co.uk. IT’S something every parent faces as their child is growing from a baby to a young child – weaning them off the bottle. The most common way to do this is by giving them a lidded beaker with a spout. However, more and more healthcare professionals are advising that these containers could have an adverse effect on a child’s development. The Myofunctional Research Company cites on its website that dummies, thumb sucking and no spill valve cups contribute to poor facial and dental development and the British Dental Health Foundation states that all drinks should be taken from a cup or glass from six months. Research released by Public Health England just last month also revealed that more than a quarter of five year olds have tooth decay. Weaning as early as possible, it is advised, can prevent this as children will be less likely to consume sugary drinks carried in spill-proof beakers or bottles, outside of mealtimes. But finding a cup suitable for

tiny hands can prove difficult, as mum-of-three Sara Keel, from West Horsley, found when she was trying to wean her three daughters, Lauren, Plum and Ottilie. “My husband, Julian, is a cranial chiropractor so I was aware of the type of issues during child development that can affect them in the future and had research a lot the health benefits of using a normal cup from an early age,” she said. “However, all the cups available in the shops were just too big for my daughters’ hands. “It was like the equivalent to an adult drinking from a bucket. It's frustrating for the child as they can’t get to grips with the adultsize cup and it’s frustrating for the parent as everything gets so messy.” Fed up with her cupboards filling up with unsuitable beakers, Sara, a former wing-walker, decided to make one of her own and Babycup was born. Babycup is simply a ‘cupshaped cup’ but with the added bonus of being miniature. There is no lid, handle or spout but due to its size, the cup, made from non-

toxic plastic, fits neatly in the palm of a young child’s hand. The cup is stocked nationally in Jojo Maman Bebe and can be found in local branches at Guildford, Godalming and Cobham and is already receiving accolades. It was short-listed in the Nursery Industry’s BPA BANTA Awards and the Junior Design Awards. Sara’s innovation has also been endorsed by health professionals including Surrey dentist Dr Andre Hedger, child expert Gill Rapley, who hailed Babycup as ‘the perfect answer’ to weaning, and NHS oral health promoter Lynette Anear, who said the cup “should be for sale everywhere so that it becomes a normal part of the weaning process”. Sara has found the cup not only has dental benefits but has helped with other aspects of her children’s development too. “As well as the dental and jaw health benefits of not having to suck on a spout, my children’s fine motor skills have developed amazingly from learning to hold a Babycup. My youngest’s pencil

Sarah Keel and her baby-size cups. (Ref: SA135764)

grip at 11 months was better than many five-year-olds,” she said. Setting up a business from scratch wasn’t an easy process, admitted Sara, but creating a product she believed in and could help other parents and children,

made the venture more than worthwhile. She added: “I feel a real responsibility now to help people know the health benefits from weaning early on,” she said. “As a parent, particularly the first time round, it

can be so frustrating to know exactly what to do and what advice to follow but the fact that this can really help child development and prevent things like tooth decay and other dental problems, it feels to me like a no-brainer.” Sponsor’s feature

Sound legal advice vital when purchasing your property A SENIOR figure at a solicitors firm in Cranleigh is encouraging people to be aware in the improving housing market. Richard Bland, 32, a partner in the Residential Property team at TWM Solicitors, explained that the government’s ‘Help to Buy’ scheme, introduced in April this year, has strengthened the housing market by offering support to buyers of newly-built properties. He says that come January 2014, the scheme will be extended to existing properties, and this will boost the market further. “Buyers are often making the biggest investment decision of their lives,” he said. “The best thing you can do is use a solicitor who works in the area, knows the local legal issues and has knowledge of others who can assist with obtaining a mortgage and carrying out necessary surveys. “You are better off paying a little more for a quality service that will inform you of everything you need to know about the property, before deciding to buy.

“That way, there will not be any nasty surprises during ownership that were not revealed by the legal process. You can also be confident when you come to sell the property in the future.” Richard explained that good communication is a vital attribute for an effective solicitor to have when helping clients buy a house. He said: “Dialogue is key, not just with the clients, but also estate agents and the seller’s solicitor, ensuring all parties in the move are fully informed. “This reduces stress all round, and provides reassurance that everyone is moving towards the same goal – the house purchase.” Another important attribute is being legally qualified to give specialist advice. Richard said some buyers will look for a cheaper legal service for their house move in an attempt to save money. However, a cheaper option might not come with the same experience and quality of service. “The little extra you pay can be

the difference between moving house or not,” he said. “Saving £100 and then not moving house is no saving at all. “Purchasers will actually end up paying more money with additional survey and legal fees paya-

“You are better off paying a little more for a quality service that will inform everything you need to know” ble on the purchase of a subsequent property.” In conclusion, Richard noted that the fortunes of the housing market are not always predictable. He emphasised the importance of using an experienced solicitor so that you avoid difficulties selling your property, in a less buoyant market, because of a legal issue that was not picked up when you first bought your home. TWM offers a real breadth of experience for buyers and sellers.

Clients include first time buyers, buy to let investors, people looking to develop properties and people looking to sell and buy and move into their main family home. TWM has six offices across Surrey, and is well placed to give advice to people living in the counties of Surrey, South West London and West Sussex in particular. Richard joined TWM Solicitors in 2003, working in their Wimbledon and Reigate offices, before moving to the Cranleigh office in 2008. Having grown up in Walton-onThames and been educated in Leatherhead and Guildford, Richard has a good knowledge of Surrey. He now lives in New Malden with his wife Rebecca and their baby daughter Ella-Rose. Aside from his role at TWM and being a family man, Richard’s passion lies in sport. In recent years he has been a keen footballer and cricketer. Contact him on 01483-273515 or at richard.bland@twmsolicitors. com.

Richard Bland is based at TWM Solicitors’ Cranleigh office.


October 2013

5

Businesses face demographic time bomb Louise Punter discusses what companies can do to ensure flexibility for the workforce both now and in the future

WE have been leading on a number of investigations to make sure that any strategic decisions taken locally have been well informed by our local businesses. Without downplaying the importance of supporting today’s young people to get into work, in future there simply won’t be enough younger people for all the jobs that need to be filled.

By 2021, it is projected, there will be 110,000 fewer people aged 35-49 than there were in 2006, but 264,000 more aged 5064. The State Pension Age is rising and the Default Retirement Age has now been abolished. More importantly, many older workers would like to work longer but could need support from their employers to do so through

october

10 Thu

Chamber Connections – Elmbridge Breakfast, The Hilton Hotel, Cobham, sponsored by Nuffield Health. This breakfast gives you a regular opportunity to meet and discuss local issues as well as widening your own network of customers and suppliers.

8am

9.30am

15 Tue

Members Networking Evening, The Holiday Inn, Surbiton. Get Connected. Surrey Chambers of Commerce brings it members the opportunity to network free of charge.

6pm

8pm

8am

9.30am

8am

5.30pm

17 Thu

17 Thu

Chamber Connections – Redhill Breakfast, Chapters Cafe, Donyngs Leisure Centre, Redhill. This breakfast provides a relaxed and informal opportunity to enjoy a hearty breakfast and network with like-minded business people. Open 18 Hole Business Golf Day Stableford Competition, Tandridge Golf Club, Oxted, sponsored by V3 Print Group. Surrey Chambers Golf Society events are open to all business people to attend, join us with your own team of three or four players or as a solo player and we will place you in a team.

18 Fri

Confucius on Leadership with John Adair, Guildford Cathedral, Guildford. John Adair, the celebrated expert on leadership training, shows how Confucian philosophy can help you become a better leader today. Part of Guildford Book Festival

8am

9.30am

29 Tue

The Future of Gatwick Airport, Mandolay Hotel, Guildford. Gatwick has submitted to the Airports Commission a proposal for a second runway – positioned to the south of the current site. Come along and listen to guest speaker Stewart Wingate, chief executive of Gatwick Airport, speak about Gatwick’s robust and compelling case.

8am

9.30am

measures like: flexible working hours, lifelong learning, the opportunity to change jobs, healthy work environments and (for the unemployed) the chance to find the work which matches their skills. Many employers have voiced concerns about how they will be able to manage an ageing workforce (for example, how to manage a dignified exit for an older

worker), while others see opportunities (for example, in retaining experienced employees and making up for the reduction in younger workers). This ‘demographic timebomb’ means employers need to get a lot more flexible and openminded about whom they recruit. At Surrey Chambers we are running some focus groups to

develop management tools to help SME’s prepare for an ageing workforce. We want these tools to be developed with business leaders who run SME’s. We would also like to gather ideas about managing an ageing workforce, any concerns, and innovative approaches which have been tried in supporting older workers.

Meet the Chambers’ team at Woking Means Business COME and visit the Surrey Chambers of Commerce team at this year's Woking Means Business event, on October 9 at the H G Wells Conference & Events Centre. Though quite apart from the business to business exhibition, other features at the show are proving to be very popular. Woking Borough Council’s Breakfast Forum takes place at 7.45 for 8am when council leaders and officials bring the audience up to date with details of the town’s regeneration programme, explain how they are spending their budget and discuss what they are doing to help businesses in the town. Last year the breakfast was oversubscribed and is certain to be again this year. On the strength of one email

Last year’s Woking Means Business event at HG Wells, Woking.

two months prior to the event, 24 business visitors have already preregistered. In addition to the Breakfast, five excellent seminar speakers will be discussing Marketing, Sales, Presentation Skills, Lead Generation and Growing your business. These free seminars can also be booked online when registering.

A room devoted to ‘Ask the Experts’ will see teams of local specialists offering free one-toone consultations on such subjects as finance & tax advice, marketing, sales, social media, starting a new business and websites and email marketing. For more information visit www.wokingmeansbusiness.com.

Exporting activity at highest for last four years THE latest DHL and British Chambers of Commerce Trade Confidence Index report – which measures UK exporting activity and business confidence – shows that exporting activity, is at its highest level since 2007. Responses from more than 1,700 businesses show that export

orders and sales have increased, with confidence levels in both future turnover and future profitability also remaining high. More businesses have taken on new staff in the second quarter of this year, with many expecting to hire further in Q3. For the first time on record,

these results are positive across the board. Export sales and orders have gone up, confidence is high and expectations around profitability have increased. This is a tribute to Surrey exporters who are working tirelessly to drive growth and lead the economic recovery. However we still need more

companies to take the plunge on international trade and for those who export already, to try and diversify into new markets. Here at Surrey Chambers of Commerce, we are pleased with this increase and want to assist in the growth of UK companies who export. In order to encourage

Surrey businesses, we need to help smooth their path by providing local insight, guidance and global expertise, enabling them to sell their wares to the world. The Chamber is raising awareness of the benefits of penetrating certain markets and on September 26 hosted in partnership with

NatWest 'A Passage to India’, highlighting all the benefits of the Indian market and how companies can gain business there. More than 30 businesses gathered at NatWest in Guildford to get their questions answered by market experts. For more information visit www.surrey-chambers.co.uk.

Be part of the network - find out how Surrey Chambers of Commerce membership can help your business at www.surrey-chambers.co.uk


6

October 2013

New digital programme opens up opportunities for SMEs By Tim Harris

Surrey Connects aims to double the county’s economy to £52bn by 2030 by leading activities that embed sustainability to enable them to weather economic storms in the long term.

tim.harris@trinitymirror.com A ‘HUGE’ opportunity for small and medium businesses in Surrey has been opened up by a new digital programme. Surrey economic development business Surrey Connects launched its new programme Digital Business Surrey in September, aimed at helping small and medium enterprises (SMEs) boost their digital capabilities. It is hoped that in turn, this will help the county to position itself at the centre of digital business in the UK. The newly launched programme will create a peer supported community where SMEs can find solutions to challenges posed by engaging with the digital economy. Surrey Connects has teamed up with firm Digital Business Britain to create a series of manifesto points that represent the key areas of focus. These include the development of digital skills, encouraging local online marketplaces and helping firms to create new sales channels online. Prem Gyani, chief executive officer of Digital Business Britain, said: “Surrey has got a very, very good digital economy already.

Digital Business Surrey aims to help small and medium businesses boost their digital capabilities.

SURREY RESIDENTS CLAIMING JOB SEEKERS ALLOWANCE (JSA)

1.6%

12,000

11,649

11,000

1.3%

10,000

9,420

9000 8000

Fig 1 percentages denote the ratio of all Surrey residents of working age who claim JSA. Fig 2 shows the percentage of all Surrey claimants (as seen in Fig 1) who do so for 6 months or more. Fig 3 percentages denote the ratio of residents of working age in each Surrey district/borough who claim JSA.

Fig 2 The figures show a drop in people claiming for longer than six months, however because the overall number of claimants, shown left, has fallen by so much this is recorded as a proportional rise.

CLAIMANTS AGED 24 AND UNDER

The proportion of claimants aged 24 and under is currently showing a downward trend across the county

Percentages denote the ratio of all claimants in that given data range who are aged 24 or under.

UK AVERA

FEWER JSA CLAIMANTS IN SURREY

6000 5000 4000

36.9% 20.8%

2,820

2000

1,965

1000

August 2012

GE

August 2013

% 1 . 2

3,665

15.4% 665

12% 520

August 2012

August 2013 Data source: Nomis Courtesy of Surrey Connects

JSA

3.3 %

ST SOUTH AEGAE AVER

38.9%

4,310

24.2%

3000

Surrey unemployment update THE economy in Surrey has continued to improve as the number of people claiming Jobseeker's Allowance has dropped again. The Surrey Connects Economic Prospects for September has shown the number of people claiming JSA in August was 9,420 (1.3%), down from 9,779 (1.4%) in July. The number of JSA claimants for August 2012 was 11,649 (1.6%), representing annual decrease. Surrey’s claimant rate is also lower than that for the South East (2.1%), England (3.3%) and Great Britain (3.3%).

ALL CLAIMANTS OF WORKING AGE

2,229

7000

bring together young people – who already have digital mindsets – with traditional businesses. “This will help firms to make the transition to the digital age and help us tackle youth unemployment at the same time.” Penny Power, a non-executive director of Surrey Connects and the board champion designated to drive digital transformation, added: “We expect this programme to be a catalyst that encourages and enables Surrey’s SMEs to maximise the benefits of the digital economy and achieve growth.” For more information visit http://digitalbusinesssurrey.com.

KEY

...OF WHOM CLAIM JSA FOR 6 MONTHS OR OVER Fig 1

13,000

“There is a real opportunity to get SMEs across the county to engage with the digital economy, which could include all kinds of different digital tools. “The programme really is targeted at getting more and more of the SMEs in Surrey to digitalise their businesses. “There is a huge opportunity for SMEs to get involved with digital business. It is very important for them to get involved.” Mark Pearson, chief executive of Surrey Connects, described it as ‘critical’ to get SMEs on board. Digital Business Surrey is one of a number of projects since the publication of the Surrey Connects ‘Smart Economic Growth’ strategy published last year. Its launch has been timed to coincide with the investment that Surrey County Council is making to install high speed internet access across the county. Brian Farrugia, chairman of Surrey Connects, said this infrastructure investment must be matched by helping local companies embrace the digital economy. “There is a need to be part of this digital revolution by stimulating entrepreneurial activity,” he said. “We need to encourage more firms to trade online and

SURREY AVERAG E

1.3 %

Fig 3

CLAIMANTS BY DISTRICT OR BOROUGH AUGUST 2013

1.5%

1.4%

1.4%

1.4%

1.4%

1.3%

1.2%

1.2%

1.2%

1.1%

1.1%

25.5%

21.9%

21.5%

20.5%

21.2%

19.3%

20.4%

20.1%

20.1%

21.2%

19%

SPELTHORNE

EPSOM & EWELL

SURREY HEATH

TANDRIDGE

WOKING

GUILDFORD

ELMBRIDGE

REIGATE & BANSTEAD

RUNNYMEDE

WAVERLEY

MOLE VALLEY


October 2013

Investment watch

7

Keeping an eye on the markets

Market in check as central banks prove perplexing By Philip Scott

Head of Advisory Stockbroking at Simple Investments Current Overview What a difference a couple of months can make. The Bank of England’s forward guidance (given in August) of record low interest rates for potentially another three years (and ongoing bond buying support for markets) has given way to what seems now a position to end Quantitative Easing with the City expecting a base rate rise within the year! It seems logical that after the withdrawal of stimulus, an interest rate rise would be next, in line with tightening monetary policy. The improving economic data from the UK is the core reason for the current way of thinking and the macro investment landscape appears to be changing quicker than many may have thought. While this is, on the face of it, good news, it is arguably something of an embarrassment for Mark Carney and company at the central bank. His recent dovish, low interest rate stance was – in his defence – caveated and requiring an unemployment rate of 7% minimum before a change would occur, but the City has almost forced him to change tack. I embrace flexibility and dynamism at the heart of the financial system, but

Philip Scott of Simple Investments.

this predicament seems to have nullified the whole intention of forward guidance in terms of it providing transparency and stability. A similar scenario across the pond has also presented itself. Firm historic indications from the US Federal Reserve that stimulus (QE) would be reduced this month have not materialised, catching the market off guard. A reminder of the reactive and flexible strategising that befits a central bank – yes. However, the lesson for all parties seems to be that attempting to ‘guide’ markets based on actual and projected outcomes is likely to result in disappointment and ultimately mistrust. I would argue that this is where investor psychology to an extent lies now: market watchers are confused and lacking in confidence that central banks are on the pulse. Almost predictably, markets are drifting lower. Perhaps forward guidance should simply be dropped, as well intentioned as it is. Jitters relating to the US budget deficit and fiscal position have also now returned adding further uncertainty to investors’ mindsets. Whether the American federal debt ceiling (amount they can borrow) can be raised temporarily or not, government agreement will have to be reached or their

financial system will melt down. Thus I see this issue as a shortterm one necessitating resolution. Europe remains a contrarian investment option for many institutions as it slowly continues to move away from crisis. That said, Italy’s woes have returned with a political crisis in the making and new elections possible. The country is heavily indebted (the third most indebted in the world) and key in Europe, as it alone could bring down the entire Eurozone if investors lose confidence sufficiently. Government bond yields, however, remain well below crisis highs. Market Specific Comment Glaxosmithkline has fallen 15% from May partly on a general market correction lower but also because of the bad press they have received relating to business practices in China. It is unclear what sort of potential fine the company may be levied with but the market value of the business has fallen by £13 billion (the equivalent of up to three FTSE 100 companies combined) to current prices near £15.50. A market leading position yielding 5.25% by way of dividend and a fair value Price Earnings rating near 12, going forward this may represent an opportunity. Oil majors (I refer to BP and Shell) are trading at the low end of

their annual ranges with 5% plus dividend yields attached on very lowly multiples. Why these companies have necessarily become more risky than they were a few months back notwithstanding company specific risk, I am unsure. The intrinsic risk to BP is whether they have provisioned enough for the spill in 2010. It may be that they have already put aside enough (or even too much), in which case the shares are too low on 7.5 times 2014 expected profits. Rumours of an approach from Exxon may be wide of the mark but I have continued to build into positions believing the risk/reward to be favourable. The Royal Mail IPO is close and with a forecasted income yield of 7% apparently attached to the stock, I am not surprised to hear that demand interest has been huge. Is the stock mispriced in order to ensure the listing gets away unhindered, perhaps (there are not many listed shares offering this level of yield). The impending strike action is hardly a positive so close to going public but this will be a stock to watch as a market value of near £3 billion will mean fund managers will be putting the slide rule over it as an investment option. This report was written by Philip Scott, Head of Retail Advisory Stockbroking at Simple Investments on 1/10/13 when the FTSE 100 was trading at 6450.

Advice and networking at successful business event By Tim Harris

tim.harris@trinitymirror.com BUSINESSES from around Mole Valley gathered recently for the area’s annual business show in Dorking, which acted as a platform for networking. More than 60 firms attended the Mole Valley Business Show 2013, held at Dorking Halls, in Reigate Road. The event was attended by business from across Dorking and Leatherhead, and from all

industries including IT, finance, banking, hotels, health and wellbeing and education. Appearances were also made by Surrey County Council, Surrey Libraries and Trading Standards. Dave Rainbow, who organised the event, said: “It went very well. There is a very vibrant business community in the Mole Valley area. It was a good way to get everyone together, the whole point of the show was to bring people and businesses together to chat and trade really.

Organiser Dave Rainbow was delighted with the success of the event.

“It was a networking platform, it was very good for building local contacts and learning about the local economy. People are able to realise what they can achieve in the local area. “It is good to bring local companies together to see if they can help each other out in the future.” Mr Rainbow said the business show was particularly good at bringing together firms that would not usually interact or do business with one another. Mr Rainbow said he had a few

nerves before the show as it was the first time he had organised the event, in its fourth year of running. He added: “There was a lot of positive chit-chat going on in the hall, probably the most there has ever been at the show. There was a really positive vibe this year, and a good atmosphere. I was pleased with they way it went, as being my first show, I wanted to make sure it was a strong one.” In addition to networking, guests had the chance to take part in some free business seminars. Yvonne Bavin, president of the Dorking & District Chamber of Commerce, said the seminars were very beneficial for businesses. “The varied seminars provided an excellent opportunity for people to get free advice,” she said. “The emphasis was on keeping it local and to encourage businesses both large and small to forge new relationships with other exhibitors to develop their business further. A couple of people came up to me at the show with some exciting ideas on how to develop and encourage people to spend their money in Dorking, which I will be following up. “All in all it was a successful day and one that will have a significant impact on future business in Dorking.”

Yvonne Bavin, President of Dorking & District Chamber of Commerce.

Accountants raise £10k for charity A CHARTED accountants in Ripley has donated £10,000 to a charity which trains assistance dogs for the disabled. The latest donation takes the total amount that Smith Pearman has donated for Canine Partners up to £24,000. Over the last three years the company’s charitable trust has supported the training of dogs to assist severely disabled people with everyday tasks. Smith Pearman formed its own charitable trust to administer more efficiently and effectively the money it was raising. Canine Partners, based in Midhurst, West Sussex, has been the recent beneficiary for their

fantastic lengthy efforts in training puppies chosen for their temperament and ability. “All of the money has been raised through the generosity of staff, clients and friends who have supported our fund raising long distance bike rides and other endeavours," said senior partner of Smith Pearman, Keith Hardy. “I recently took part in a 300mile cycle ride from Paris to Geneva through rain and shine, which for a recreational part time cyclist like me, was hard going, but worth every sore muscle for the benefit of seeing another disabled person with an assistance dog.”


8

October 2013 Sponsor’s feature

Incubator nurtures new business It is nine months since the launch of the C2I business incubation programme in Export House, Woking. The project is a joint venture between C2I, Woking Borough Council and Arcom IT. We asked Matt Peachey, the economic development manager at Woking Borough Council for his assessment of the scheme’s impact so far “The aim of the C2I Incubator is to support the launch, survival and rapid growth of new businesses and is something Woking Borough Council is committed to through its economic strategy,” said Matt Peachey. “I’m pleased to say that our partnership with C2I and Arcom IT provides all the ingredients for this new entrepreneurial environment to thrive. “The C2I incubator offers high quality offices and co-working space, plus advice and services tailored to businesses in their early stages of development. “It is also pleasing that we are already seeing significant demand from exciting businesses. “We have seven clients who all share two attributes: growth potential and ambition. They work in sectors ranging from creative technology, IT, media, digital communications and specialist business services. “To support them we are also working with Hamlyns Chartered Accountants and the University of

Benefitting from the C2I Incubator: From left, Sohan Singh of MA Media Ltd, Jo MacDonald of JMR International and Shahid Azeem, managing director of Arcom IT. Picture: Terry Habgood. (Ref: WK136292_1)

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Surrey Business School to build a vibrant community of growing enterprises through the C2I Incubator and its wider network.” Business incubators provide start-ups and growing SMEs with the ideal location to develop and grow their businesses. They provide direct access to hands-on intensive business sup-

“The aim of the C2I incubator is to support the launch, survival and rapid growth of new businesses...” Matt Peachey port, access to expertise, other entrepreneurs and suppliers to help new businesses to grow faster. Starting any business is fraught with uncertainty, financial burdens and resource issues, but more so with innovative and entrepreneurial businesses using new technology due to the complexity of the products and

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