Generation Magazine 2018 A/W Issue

Generation Magazine • Autumn / Winter 2018

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Lord Karan Bilimoria CBE

The official magazine of Family Business Place

Co-founder of Cobra Beer:

Celebrating 10 years as TM the home of family business

£95 per year

Family Business Place Membership Britain’s biggest, most vibrant community for family-owned businesses • • • • • •

Personalised certificate to proudly display in your business Generation Magazine (x2 issues per year) Online company profile on the member showcase Member discount for our events across the UK Introductions and connection with other family businesses Publicity across all marketing and social media platforms

www.familybusinessplace.com

Generation Magazine (x2 issues per year)

45 events exclusively for family businesses

Proud member certififfiicate and sticker

Online Member Profiffiile and Showcase

Member discount for all events

Online Publicity

editor’s letter ‘A family businesss can’t afford to lose the “magic” that makes their enterprise unique’

Rebecca, Sari & Danielle Winkworth, White & Green Derek & Louise, Price of Bath

THE TORTOISE AND THE HARE Family businesses occupy a unique position in the economical world. While growth is undoubtedly a priority for all businesses, and indeed, to achieve this is regarded as an indication of a healthy enterprise, family businesses must be careful not to pursue growth for the sake of business growth.

Consider fast food chains for a moment. Providing convenience to the customer may be the lynchpin that all businesses are built around, but a family business thrives by what they add to that convenience - be it their values, passion, efforts, warmth and personability. On the other hand, the majority of fast food chains double down on that ethos of convenience. This may sound like a good thing, but with the amount of resources at their disposal, why is the quality of that food so low?

The answer is again, convenience.

Securing superior ingredients takes time and money; and the same goes for training and staff investment. For the sake of expediency, their products can be made with a push of a button. Quality,

passion, warmth - these are all sacrificed for the sake of saving money, for the sake of growth.

A family business cannot afford to lose these qualities, this ‘magic’ that makes their enterprise so unique and promotes such loyalty in their customers. The growth of a promising family business is always nice to see; but entrepreneurs who are mindful, who take their time and are careful not to overextend beyond their capability; entrepreneurs who ensure that their core values remain, span out, and are lived and breathed by each of their staff - that is even better Best Wishes

ALEC PITMAN, GUEST EDITOR

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IN THIS ISSUE

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FAMILY BUSINESS PLACE TEAM: Chairman: Anita Brightley-Hodges anita@familybusinessplace.com Managing Director: Amalia Brightley-Gillott amalia@familybusinessplace.com Events & Membership Director: Susan Anderson susan@familybusinessplace.com Head of Design: Olympia Brightley-Hodges olympia@familybusinessplace.com Content & Editorial Assisant: Alec Pitman alec@familybusinessplace.com Junior Graphic Designer: Rhian Stone rhian@familybusinessplace.com Research & Database: Stephen Brightley-Hodges Photographer: Nick Gillott nick@nickgillott.com Beautifully printed by Matthews - a family business www.matthews-printers.co.uk

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01 EDITOR’S LETTER

Why family businesses should never lose their magic

05 OPINION/BLOG

What makes it cool to be a family business? Anita Brightley-Hodges looks back on ten years at the helm of Family Business Place

06 UPFRONT SNAPSHOT Artificial Intelligence: Friend or foe?

CHARLIE MULLINS delves into the stigma surrounding late payments KENT’S UNSUNG HEROES celebrating the extraordinary people at the heart of Kent’s family businesses FAMILY BUSINESS NEWS stories from the world of family businesses

20 MEETS LORD KARAN BILIMORIA CBE of Cobra Beer considers the highs and lows of creating a national brand BARBARA GRAY celebrates the 25th anniversary of Clarity Stamp by launching into the German market.

JONATHAN TURNER champions working with women in business MARGARET CARTER reveals the secrets of getting to the top WILLIAM WOODS of Silver Fleet Yachts discusses inheriting a 5th Generation Family Business

46 A LEAGUE OF THEIR OWN

Shining a light on some of the best family businesses in sport

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56 EXPERTS GIVING BACK how philanthropic efforts can be good for your businesses bottom line MANAGING WEALTH how a Family Investment Company can help you PLAYING TO YOUR STRENGTHS identifying your market value OVERSEAS DISPUTES conflict solutions in the wake of Brexit PROTECTION what you need to consider when setting up a business BEYOND THE WILL the need for an end of life plan EMPLOYEE OWNERSHIP the new succession model

74 PROSPERITY DOING GOOD the nitty gritty of social enterprises

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WATES PRINCIPLES and the role of corporate culture FAMILY MEDIATION the underused resource that can benefit your family

CONTRIBUTORS 1. Anita Brightley-Hodges, Chairman 2. Alec Pitman, Guest Editor 3. Rhian Stone, Design, Illustration, Editorial

SECOND GENERATION WEALTH finding purpose within a legacy

4. Olympia Brightley-Hodges, Design

NEVER STOP GIVING how your business can do more

6. Luke Robins, Editorial

SELLING how early preparation can be the key to a successful sale

87 TEN How to maintain a healthy marketing relationship

91 THIS WAY UP Focusing on the next generation of young family business entrepreneurs

5. Stephen Brightley-Hodges, Editorial 7. Nick Gillott, Photography 8. Amalia Brightley-Gillott, Managing Director 9. Charlie Mullins OBE, Pimlico Plumbers 10. Sally Ashford, Charles Russell Speechlys 11. Belinda Collins, Zest the Agency 12. Claire Kidd, Zest the Agency 13. Rob Douglas, MBA, RBC Wealth Management 14. Katherine Waller, RBC Wealth Management 15. James Cradick, Thomson Snell & Passmore 16. Wasim Ahmed, TMF Brokerage 17. Jane Duncan Rogers, Before I Go Solutions 18. Paul Sawbridge, Alfa Travel 19. Sally Wilton, Lexi Cinema 20. Simon Webley, Institute for Business Ethics 21. Susan Kaye, The Challenge for Excellence 22. Nicholas Charles, The Charles Group 23. Hakan Winter, HW Partners 24. Lucy Parris, Design

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In Ten Years, What Have I learned?

Anita Brightley-Hodges looks back on the trials and triumphs of ten years running Family Business Place

Specialism Family Business Advisor Profile Anita helps family businesses overcome the issues and challenges they face around succession and next generation integration into the business. anitabrightleyhodges.com

regional jobs where family and work can be juggled and enjoyed for a better and more flexible work life balance.

What I have learned is I have a heart that is bursting with pride in knowing these heroes personally. When I’ve needed a speaker, a connection, a mentor, an ambassador for family business I have only ever had to ask. Now working with two of my daughters Amalia and Olympia alongside my husband Steve and son inlaw Nick as well as our adopted family Sue, we have a dream to be change makers for the family business community. To raise their profile as the true backbone of the UK and Irish economy. To help them be known as giants of industry.

Our membership, launched this year,

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We’ve attracted family run business owners who are proud to be called family owned, they are ambitious and attractive to work for; overflowing with expertise & craftsmanship.

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Anita Brightley-Hodges, Family Business Place

This year marks 10 years since Family Business Place was founded. At the time, like many others of us working at international and global level, the mere mention of family business conjured up phrases such as: Mom and Pop, arguing relatives, small minded, regional, local business, butcher, baker. In fact, you would never aspire to work for a family business.

Success as a smart, bright, young thing equated with getting a job with the large corporates, and for my part becoming Art Director at a national magazine in the heart of Soho.

They say things happen for a reason.

And it all began with an invitation to a family business conference in Bristol.

There I was enchanted, moved and excited about the stories of creativity, innovation, adversity, challenges, family relationships, business dynamics, world class, all the while being community centred. I was hooked. The day also produced its fair share of tears and high emotions.

With my marketing hat on and my eldest daughter Amalia working alongside me, I got to thinking – something is needed to galvanise the sheer power, influence, capacity for employment, networking, sharing, giving back, community standing and so much more.

Ten years on, I am proud that we seem to have made it ‘cool’ to be a family business. How can this not be with fantastic enterprises such as VivoBarefoot, Izzy Wheels, Seven Brothers and 4 Sisters Brewers, Bremont, Baby Salon, Pentland, Pimlico Plumbers, BooHoo, Deliciously Ella and more. With our National Conferences always a sell out; The National Family Business Awards being the jewel in the crown in the Family Business Calendar, we’ve attracted family run business owners who are proud to be called family owned, they are ambitious and attractive to work for; overflowing with expertise and craftsmanship. Importantly they provide

allows us to ask what is needed from us, how to trade with each other, access advice around business succession and of course understand when and why certain family dynamics harm both the family and the business beyond repair. One is not without the other and conflict is part and parcel of being a family run enterprise.

I want to thank our supporters and ambassadors who have been there when we sometimes questioned ourselves.

We may have a long way to go, but I am assured we are making a difference.

Get in touch, find out more and join the movement!

www.familybusinessplace.com

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AI Came, AI saw, AI Conquered Artificial Intelligence (AI) is the next big leap for technology, predicted to ‘replace’ 38% of all jobs... but does that paint the entire picture?

Areas such as marketing, healthcare With so many

and finance could

applications, AI will

also gain value whilst

develop as a society

becoming

allow us to

less

costly to society

rather than make us obsolete

As understanding of AI improves, each type is being

Cognitive Insight can analyse reams of data, able to predict buying behaviour and detect fraud

integrated into businesses to great effect Different types of AI can be used to support business:

Cognitive Engagement

Automated Processing

can handle common

can retrieve and input

colleague issues,

simple data for admin

24/7

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major areas of

customer and

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With AI handling all routine business drudgery, we can be

productive and creative with

more

fewer obstacles

It can’t perform entire jobs- but it can do complex

It’s wise to get to grips with available tech sooner, rather than later - think of it as baby steps toward the

future

tasks quickly and

effiffi ifi ciently

AI is about handling

customer interaction without rising

having to recruit staff, rather than replacing them

What it is likely to

offshore outsourcing

replace is

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When Battle Commences: Roar Like a Tiger Pimlico Plumbers founder Charlie Mullins OBE challenges small businesses to fight back against late payment culture Numerous SMEs are susceptible to late payments, particularly from massive companies. And when this happens, it’s not uncommon for small to medium business owners to feel like they are tolling away during all hours that God sends, for little or no reward – especially if they can’t get paid for the products or services they’re delivering.

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As the old saying goes, turnover is vanity, profit is sanity, but cash flow is king

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Unfortunately the reality is, late payments are a cancer that have blighted businesses for generations and, sadly, we seem to be a long way from finding a cure. Late payments are one of the greatest barriers to productivity growth, and far too often these payments are written-off as bad debt. The sad truth is these late payments are more than just a major inconvenience, but they are often the difference between staying afloat or in the worst of cases, completely going bust.

As the old saying goes, turnover is vanity, profit is sanity, but cash flow is king. That’s as true today as it’s ever been. Even the most innovative, exciting and market-challenging small businesses can wither on the vine if they are starved of the payments they are owed - with businesses just getting off the ground, in the most danger of being extinguished before the fire really begins to burn bright.

All SMEs are susceptible to these despicable practices, particularly from massive companies who treat payment

terms with total disrespect and put the livelihoods of entrepreneurs and their employees at risk.

Collectively the issue of late payment costs small businesses around £2.5 billion a year, which is a massively scary figure.

Official numbers reckon a third of payments to small businesses are late, with the average value of each payment at £6,142.

This has led to 20% of small businesses running into cash flow problems due to continual late payments.

It’s worth pointing out that the government is doing something about it and is standing up for small firms, to ensure that SMEs have more protection under the law. But until that happens – it’s vital for all SME businesses to stop and think; how can we help to address the late payment culture? What changes can we make, and are we perhaps being too polite?”

Business owners must recognise their importance.

SMEs underpin the economy and though it may be uncomfortable to chase owed payments for the fear of straining client relationships, by doing so, businesses will become more efficient, as well as allowing for greater investment in their own businesses or better remuneration for employees.

Although it is a fundamental frustration that SMEs have to chase payments in the first place, it shouldn’t be seen as a dirty job or taboo – but as a means of demanding the respect owed for providing a service or supplying goods. It’s important to remove the stigma attached to chasing what you’re owed, to avoid these payments hanging over the business as bad debt, and once

more SMEs actively follow up on what they’re owed, the ripples will turn to waves, and payments will slowly start trickling in on time…or risk (what the client would see as) an irksome phone call.

I challenge all small to medium business to be bold – especially in today’s climate, and remember, being gracious can only get you so far; sometimes to be successful you have to be able to roar like a tiger when battle commences www.pimlicoplumbers.com

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Celebrating 10 TM years as the home of family business

(l-r) James Bradshaw of Thackray Williams, our wonderful sponsor, with our very own Anita Brightley-Hodges, Family Business Place.

Kent’s Unsung Hereos 2018 Celebrating the exceptional people at the heart of family businesses On Thursday 20th September we gathered family businesses across Kent for a night of celebration at The Mount Vineyard in Shoreham.

Each business nominated a member of their team that brought smiles to their faces, worked relentlessly and whom without, the job wouldn’t be the same. The unexpected nominations and speeches were filled with tears and laughter, as the 13 hard-working, valued winners collected their awards. It was a night not to be missed and one we will remember for a long time.

Hasmita Reardon with her son Kiran, Reardon Properties, who also run a Domestic Violence charity for women.

Ian Sheppard (second in from the right) of Farrant Removals and Storage Ltd with his team, arrived in style in a stretched limo. Ian was heralded by his fellow staff for being a role-model to the young members.

Daisy Courtney and Sally Cook, Kesson Physiotherapy, were honoured to be named winners.

Barbara Brummell was praised by her team at Bedfont Scientific for her infectious passion and enthusiasm of her job, workplace and colleagues.

Special Recognition Award winner, Elena Tandy, with her proud parents was recognised for her incredible commitment to the business.

Amy Culver, Kits Coty Glamping, with her husband Mark. Amy was delighted to be named winner for all of her hard work.

Proudly sponsored by:

Situated in the idyllic village of Shoreham, Kent, the vineyard produces it’s own wines and provides food and entertainment for up to 100 guests. With it’s atmospheric ceiling and beautiful courtyard it was the perfect venue for the night.

Sue Sams of Amsco Logistics Ltd, alongside her colleagues, presents her trophy. Sue was nominated for working 24/7 to move the business forward.

Richard Andrews, Kent Theatre, graciously accepted his award as he was praised for his dedication and enthusiasm.

Antoinette Duffy, Newton Waterproofing, embodies their values and has been dubbed the glue that holds the company together.

Geraldine Allinson of the The KM Media Group was this years guest speaker. Geraldine discussed the history of her own 128 year old family business.

Coral Lynn has worked for Rotosound Manufacturing Ltd for over 30 years and was awarded for her life-long dedication.

Aaron Manning of FM Conway Ltd has been called unique by his colleagues for his ability to connect with staff at all levels.

GENERATION AUTUMN/WINTER 2014 11Services, Christine Parker (centre) of Abbey Funeral with her husband and daughter, runs a bereavement support charity and the Dementia Cafe in Tonbridge.

upfront

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3 is a Magic Number Owned by the Tweedale family, The Elite Fish & Chip Company celebrated their 30 year anniversary on the 8th of September. Co-Founders David and Freda Tweedale opened their first restaurant in Ruskington in 1988 and since have expanded into two other locations: Lincoln and Sleaford, as well as entered their third generation.

Pledging to raise £30,000 to be divided equally across three charities including: the RAF Association, the RNLI and Sleaford Dementia Support, Elite Fish & Chip Company held celebrations at all three of its locations.

Adrian Tweedale, Director at The Elite Fish & Chip Company, said: “It’s 30 years since we set up our first Elite in Ruskington and we are thanking all of our loyal

customers with celebrations across all three of our shops. Customers can expect a day of fun and will have the chance to win free fish and chips!”

The company also gave customers the chance to win £88 worth of Amazon vouchers on its Facebook page, in honour of their opening year.

Rachel Tweedale, Director at The Elite Fish & Chip Company, said: “Thirty years is traditionally known as the pearl anniversary and we’ve incorporated pearl-themed ideas and events into our celebrations. We’ll be open as normal at all three shops, but with the added buzz of our 30th birthday and a few extra surprises in store, it’ll be far from any ordinary Saturday.”

www.elitefishandchips.com

Pledging Against Plastic Regional supermarket chain booths has pledged to reduce it’s plastic production by replacing previous plastic bags with compostable loose produce bags in all their stores.

The brand has consistently put their environmental responsibilities at the forefront of their brand by committing to create long-term solutions for sustainability.

In July, in an effort to reduce the amount of disposable cups used, Booths changed their hot-drink benefits to only include customers that brought reusable cups with them and have started providing recycling collection points in stores. By drastically reducing the amount of

waste produced, Booths are dedicated to lifelong changes that other stores have yet to make.

Their most recent undertaking is to provide not only reusable cotton bags for loose produce but to remove the 5p plastic bag from their stores, replacing them with 90% recycled ‘bags for life’.

Despite these efforts, Booths are still urging customers to bring in their own reusable bags, when possible.

Only by collectively adapting to an environmentally sustainable way of thought can the nation change their ecological footprint and create a better world. www.booths.co.uk

Beauty in the Pie of the Beholder The Turner family have been producing traditional, handmade pies since 1933. Now in their third generation, Turner’s have just opened their 4th store in Worthing, a bustling addition to their shops in Chichester, Rustington and Bognor Regis.

The new store is said to cater for their increasing demands. Not only are they making pies in store but have revolutionised the pie industry by creating a ‘Pies by Post’ service, for those unable to get to stores.

Delivered in a temperature controlled box, the pies do not

even have to be signed for, making complicated deliveries to your home a thing of the past.

As if making award-winning Pies wasn’t enough, the Turner’s refuse to stop at building their own success.

Instead they are using their profits to continue to support St Wilfrid’s Hospice, having already raised £2452.

Their creation of the Wilfrid’s Pie secured a whopping £1832.40 last year. Since then the company have pledged to donate the 5p carrier bag charges for the year to the hospice. www.turnerspies.co.uk

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Welcome Home

Hailing Hayley Based in Llandefalle, the cattle hide tanning business Hayley Hanson has been shortlisted for the 2018 NatWest Great British Entrepreneur Awards in the category of Family Business of the Year. The company produces luxury leather goods and other artisan products including rugs, handbags and furnishings, Founded in 2011 by Hayley Hanson, the fifth generation of the farmers at Maescoed, the company is split between three concepts: luxury, country and hide. Having been raised on the family farm, Hayley realised there was a gap in the market for

selling hides from British Cattle.

Having learned to sew from her mother, Hayley creates many of the products and designs herself and is hoping her business will only grow in the wake of Brexit, ensuring the future of the business for her and the next generation.

While her products ooze luxury, Hayley is often found on her 100-acre free-range cattle farm in her wellies, hard at work. This year she will attend the announcement of the winners at the Gala Final, in Cardiff on the 22nd of November.

Roux Reprise

a more informal dining experience with a brasserie style menu. It is the first time we have been involved in a residential development but it will be an amazing environment and we are proud to be part of it” Michel stated.

“People will be able to drop in just for a drink or a bite as they choose.

We will not be aiming for another Michelin star restaurant but we want

Michelin Star Chefs Michel Roux and Alain Roux prepare to open new restaurant ‘Roux at Skindles’ doors this October. The father and son team‘s new project began development in 2017 and the UK has waited with breath that is bated.

Situated on the former Skindles Hotel site, ‘Roux at Skindles’ will be a waterfront restaurant, overlooking the River Thames, that regardless of status, is aimed at a young crowd who are looking to grab a quick bite at a reasonable, fair price.

Hoping to provide a more informal dining experience, the restaurant will open up it’s online booking system in advance but remains a few weeks behind schedule due to delays on the building project, including a list of job opportunities.

“It will be totally different to our other establishments. It has the best situation on the river and will provide

Based in Dunfermline, Casa Mia ‘My Home’ (previously Ciao Italia) has recently been taken over and renovated as a family-run business by son Fabio Teti and his parents Silvana and Giuseppe Teti.

The restaurant is founded upon the cultural tradition of making guests feel at home. The Teti family opened the business hoping to add something a little bit different to the area, by bringing together family values and a community spirit.

Wanting to showcase their

traditional culture, the menu is representative of Campania, where the Teti family’s heritage resides.

Campania’s capital is Naples, most famous for the country’s Neapolitan pizzas and fresh seafood. Dishes include Sautee Di Cozzee, Calamari Fritti and Carpaccio Di Salmone Affumicato and of course the famous Spaghetti Carbonara.

Ever conscientious, the family are also offering a specially designed children’s menu for only £5.95. Fabio choice ingredients are plucked from the shores of Alife, influencing the meat and fish specials that will be changed on a weekly basis.

casamiadunfermline.co.uk

www.hayleyhanson.co.uk

to focus on quality and value for money. It will be somewhere people can come for a coffee or lunch and stay for 10 minutes or two hours” added Alain Roux.

This is not the first time a restaurant will be overseen by Alain Roux, who has been running the three Michelin-starred ‘Waterside’ establishment since 2002.

The location and historical context were irresistible to the family.

Situated alongside luxury villas, the restaurant will take full advantage of the luxurious settings across three storeys, complete with ground floor dining room, a riverside terrace and it’s own lounge bar and balcony.

www.rouxatskindles.co.uk

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Taking Flight Doves Farm are expanding due to increased demand for their gluten-free products.

Built around their passion for whole grains and organic farming, Clare and Michael Marriage sewed the first seeds of their business in 1977.

Since then their original flour business has become a successful alternative to the nation’s white, sliced bread, providing a range of organic and unusual flours, biscuits, cereals and hampers within their ‘Doves Farm Foods’ and ‘Freee’ ranges.

Their grains include Rye, Spelt, Modern Wheat, Kamut Khorasan, Emmer and Einkorn. Although from the outset, Claire and

Michael have been developing a range of gluten-free options to their products, the growing demand for healthy food over the years has allowed them to expand into a new production plant in Wiltshire.

The new facility will create their Fibre Flakes, Corn Flakes and Chocolate stars cereals, all with several newly formulated recipes free of both milk and gluten.

Building began in 2015 and is set to finish imminently, allowing Dove Foods to keep their production within the UK, removing the need for their former facility in Italy. This ‘homegrown’ factor will only add to the brands dynamic retail presence and push them into a further markets. www.dovesfarm.co.uk

Golden Anniversary Lunts Pharmacy celebrated its 50 year anniversary in July. Currently holding over four stores in Shrewsbury, Pontesbury and Craven Arms, the pharmaceutical company is managed

by Martin Lunt, the secondgeneration of the family business.

Martin’s parents Joan and Ken Lunt first established the business in 1986. Despite retiring, the parents are still firmly interested in the business and the pharmacy remains a family affair as Martin’s wife Christine manages the accounts, IT and Human Resources departments.

Knowing the importance of an abundance of trusted healthcare providers within a community, Lunt’s pharmacies are keen to create a comfortable and safe environment for every customer.

In celebration of their anniversary, the family marked the occasion by offering out a spa day for two at the Albrighton Hall Hotel to a random customer at each store. A fitting tribute to all the customers who have created and shared in the expertise and success of the chain.

www.lunts.net

Getting Jiggy With It A family-run business since 1985, Bigjigs Toys has just acquired the wooden toy brand Tidlo. Specialising in wooden toys themselves, the move was a natural transition.

Beginning in Peter Ireland’s garden shed in 1985, Bigjigs has successfully expanded into operating from a large warehouse in Folkestone, Kent, distributing toys to over 93 countries worldwide.

Peter first built hand crafted wooden jigsaws that together with his wife, sold in crafts fairs across the UK. Peter and Liz were teachers by profession and have always sought out educational designs and

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products that can both increase development as well as provide hours of fun-filled activity. With Peter and Liz’s sons Tom and Sam on the board of Directors since 2017, and the grandchildren testing the toys, the business is full of family input.

The acquisition of the Tidlo range is in a bid to further increase their retail footprint. The brand focuses on traditional wooden play kitchens, shops, train sets, farms and more, fully delving into an extensive range which directly competes with the often flimsy, and environmentally damaging plastic toys on the modern market. www.bigjigstoys.co.uk

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Financing the Future Breedon House Group has secured £9.1 million funding from Lloyds Bank Commercial Banking to support further investment and development of their nurseries throughout the regions of Derbyshire, Lincolnshire Nottinghamshire, Leicestershire, South Yorkshire and Staffordshire.

As a family business the Breedon Group know how important peace of mind is for parents. Therefore Children 1st nurseries have been dedicated to bringing families quality fun-filled and educational childcare since 1988. With over 20 nurseries,

the business prides itself on its highly experienced team and its Ofsted rating of ‘outstanding’ for several facilities. The funding from Lloyds bank will be used to develop their new site at Plumtree as well as refurbish their current nurseries at their Hathern and Syston locations.

The demand for high-quality childcare is overwhelming in the UK. Recognising this, Lloyds Bank were glad to provide the support, investing not only in Britain’s economy, but it’s future generations. www.children1stdaynurseries.com

Birthday Bash This August Knoll Care Partnership, a family-run business consisting of three residential homes The Knoll, The Fairways and the soon to be Bowfell House, celebrated their 30th birthday with a large, family-orientated, garden party.

The celebration was attended by over 80 people, including staff, family-relatives and residents.

Knoll Care was founded by James and Madeline Callaghan in 1988 and is now in its second generation with their daughter Claire and son Matthew taking

Flying Funds Family Business Dick Lovett Group has raised over £3000, keeping Wiltshire Air Ambulance flying to the rescue.

In order to secure the funds, Dick Lovett Jaguar Land Rover donated £30 from every car sold and £5 from every vehicle that was serviced for two months straight.

Costing over £3 million a year to run, the charity’s service is invaluable.

After moving to the new airbase in

May, the helicopter is able to reach anywhere in Wiltshire within eleven minutes, journey.

The Dick Lovett group represents some of the motor industry’s biggest names including Jaguar, Land Rover, Aston Martin and BMW. Committed to making transport available to all, the group are proud supporters of the Motability Scheme. Covering the South West of England and Wales, the business has been running for 50 years and employes over 900 staff. www.dicklovett.co.uk

over the running of the company in 1992. Most of their staff have been with the company for over ten years and continue to remain loyal to the care-committed business.

The sound of laughter and frivolity filled the garden as residents and staff shared countless anecdotes from their years working and living alongside each other.

Featuring paddling pools, a buffet barbecue and plenty of games, there was something for all ages to enjoy on the day.

An event that was not only successful but a lasting tribute to the love and dedication of the Knoll Care Partnership staff and residents. www.knollcarepartnership.co.uk

Dressed to the Nines Millars of Broughty Ferry have been a family business for over 100 years.

This year, the clothing line has opened up it’s own childrenswear shop ‘Mini Me @Millars’ three doors down.

The shop will feature clothes for both genders from new-born to 14 years old. Alongside their own collections, Millars will be selling clothing ranges from Levis, Mayoral and will feature an exciting footwear collection from XTI Shoes. www.millars.co.uk

If you have an exciting piece of family business news just give us a call and let us know.

We could feature you in the next issue of Generation and on familybusinessplace.com Contact us by email: press@familybusinessplace.com or telephone: 01732 220 120

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meets

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MASTER PLAN

MAKETH THE MAN Anita Brightley-Hodges talks to Lord Karan Bilimoria, CBE, Co-Founder and Chairman of Cobra Beer to find out how grit and determination has pushed him to success

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n 1989 Lord Karan Bilimoria founded the nationally successful brand Cobra Beer, in 2006, he became the first Zoroastrian Parsi to sit in the House of Lords. However, despite the grandeur of his titles, Lord Bilimoria is humble and modest, akin to the quiet bustle of his Cobra Beer offices. He sits reclined slightly, his fingertips steepled into a tipi, eyes crinkling into crescent moons as his smiles. While he speaks softly, his knowledge of business and adoration of those dearest to him radiates throughout the room.

Did you always want to run your own business?

Not from my earliest memories, you always want to be a pilot or join the army like your father. Once I started my studies in India I knew I would, it was just a question of when.

My first priority was to be well educated. I did my degree in India and graduated aged 19, having skipped a couple of years. I had the opportunity to come to the UK but my parents couldn’t afford to pay for my university education here.

I got a very lucky break to qualify as a chartered accountant with Ernst & Young.

That meant I was earning while learning. I had the opportunity to go to Cambridge to study

Law, which was something I enjoyed. I threw myself into university life. Doing everything from union to sports, college activities, dining societies, you name it. I thought it was too specialised to become a Barrister, I needed more blue sky.

It was while I was at Cambridge that I came up with this idea for Cobra. After I finished my law degree, a friend of mine from my accountancy days asked me to stay with him, helping him with his business whilst I started up mine. I became the Sales Director of a magazine called European Accounting Focus, selling subscriptions.

What is the key to sales?

When I was standing to be an Officer of The Union, I led the Cambridge Debating Team against Oxford two years running. My opponent was Michael Gove. The rules for the union said that you were not allowed to pamphlet, you had to go door-to-door, on your bike, whatever the weather might be.

I quickly realised there is no shortcut to selling. It’s hard work and you have to be able to convince someone to vote for you. Selling is an underrated and unappreciated skill that is essential in life and business. I proved that I could do it. My partner was from India.

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You can’t do things on your own. I would sell magazine subscriptions during the day, he’d sell commodities and we’d meet up in the house in the evening.

To compare notes?

Yes, when I came to stay with my friend I had just finished organising and leading the first Cambridge University Polo Tour of India. I came back with some sample polo sticks from Indian makers, so we had something to sell.

That was another lesson I learned earlier on.

Not only do you have to be able to sell, but your product has to be different and better in many ways. They can’t just be cheaper.

The ones from India were lighter, whippier and made with bamboo heads, as opposed to willow heads. The English sticks were heavier, more rigid and expensive. As luck would have it the Argentinian sticks, which were the best in the world, were banned because of the Falklands War.

I discovered very quickly that you have to adapt. Adapt or die. ....

Decision making is very important, but you have to be able to adapt to make a decision.

What did the first big order feel like?

The Assistant Buyer at Harrods refused to meet, so I went around him and met the Head Buyer.

Through perseverance I sold to Harrods and Lillywhites. My father called me an Import/ Export Merchant. They were not very happy.

All this time though, there was this beer idea in the background, which I thought was just too early to work on. We had a mentor. My business partner Arjun Reddy had an uncle who served in the Royal Indian Airforce and spent a number of years with Air India. He was also a businessman. Amazing Man! We went to see him...just off Edgware Road for advice. He lost both his legs to diabetes. He was just inspirational, always cheerful, never complained. He sent me some brochures from his friend’s seafood business in Bangalore.

I saw at the end of the brochure was Mysore Breweries and Pals Beer. I knew Pals Beer very well. I thought: forget the seafood, this is my beer idea! By the way, I’ve skipped over all the dead ends, the pearls and the towels businesses.

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With your parents getting more and more frustrated?

I believe passionately that entrepreneurs never give up, but here’s where there is a contradiction because if you can’t get it off the ground and you’re banging your head against a brick wall, there is no point. Luck plays a big part, you’ve got to have some luck. The definition of luck I’ve always liked best is when determination meets opportunity. I was lucky.

It was a family controlled brewery, second generation and very successful. They had never exported to the UK but they had the best Brewmaster.

So then Cobra Beer happened? Lot’s of family business don’t understand the power of their brand, what’s your take on this?

My most valuable asset is the Cobra Beer brand.

You can protect your brand, trademark it, and it’s the brand the consumer trusts. They built it and it’s the brand they’re loyal to. Branding is important.

Tell me about the times you found most challenging?

Firstly, I will say that the thing about entrepreneurs is they have guts, so that when a crisis hits you have the guts to do it and stick with it when others give up. Three times I nearly lost the business. The first was after an article in my Tandoori Magazine upset the restaurants and they boycotted Cobra Beer.

It was terrible, my staff were in tears and the editor received death threats. Why would I harm my own customers?

So how did you deal with that situation?

I made a point of visiting and speaking with all our supporters, restaurant owners, advertisers and people of influence; personally, to turn the situation around.

Cobra is now manufactured here in the UK and not in India. Why is that?

I discovered very quickly that you have to adapt.

Adapt or die. If I had continued manufacturing in India I wouldn’t be here. The move to the UK was the right decision. Decision making is very important, but you have to be able to adapt to make a decision.

Do you think there’s a connection between entrepreneurs and risk?

Yes, I express that as guts, if you’ve got the guts to do it in the first place. When it comes to risk,

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WINNER OF 101 GOLD AND GRAND GOLD MEDALS AT THE MONDE SELECTION AWARDS SINCE 2001

Cobra Beer has been awarded 7 gold and Grand Gold Monde Selection Awards 2018

Cobra Beer has been brewed smooth to be the perfect complement to all food types Call your Cobra Beer Sales Manager or Head Office on 0207 788 2880 to find out more

P R E M I U M BE E R

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it’s all about management of risks: calculated risks. Having the support of friends and family having a strong brand. It’s an awful feeling having a crisis happen to you but then waking up the next day having to find a way out.

Making the leap from a small business to the next level, what is your advice? What excited you about growth?

Firstly, you have to think globally from day one.

I always knew Cobra was going to be a global brand. Growth is important, but it depends on ambitions. As soon as I could I started exporting to European countries. If you wanted a shop, and nothing more, to provide you with a living, that’s fine. In my case, I wanted to build something big. A product like Cobra is a fast-moving consumer good. You can buy it in a supermarket, it’s affordable, therefore you need to sell a lot of it. So growth is always a priority. The advantage of starting with two people is that between us we did everything.

The manufacturing, the distribution, the sales, the books - the lot. As an entrepreneur you have to delegate, let go and start building a team.

In terms of family, who’s in the business with you? What is your view on working with family in business?

Over the years I’ve had family members working with me. We opened up an operation in America. That didn’t work out because we weren’t allowed to use the Cobra name.

You automatically trust family which is such an important part of doing business. I had complete trust in my partner. We’re no longer together in business, but still the best of friends.

Our families have known each other for four generations in Hyderabad in India.

What have been your proudest moments?

Did you ever feel home and dry?

Success is not a destination, it’s a journey. I still haven’t reached my potential with Cobra Beer yet. We’ve just taken off and we have to get to 50,000 feet.

What does the future look like for Cobra?

I want to grow it into the global beer brand I always dreamed of. I’m very proud of growing something from nothing, to the extent that it’s now a household name here in the UK, and one that people genuinely love. I’m very proud of the team, and the loyalty of my team members.

The sales director for the whole of the Asian sector, Samson, has been with me for 25 years.

He was working in an off-licence in the East End. He’d come over from Pakistan, couldn’t speak English and now he’s one of the most respected people in this sector in the UK. I’ve seen him grow and prosper, his loyalty unwavering. That gives me huge happiness.

Do you mentor people as well?

Over the years I have been asked for guidance by various people. We have an internship scheme that has been going on for years now.

I teach at a lot of business schools and share my experiences with them and my mistakes.

So you’re in the House of Lords, how did that come about? What do you hope to achieve?

It’s a huge privilege and honour, and I’m very lucky to be given this opportunity. There are people whose lives are their business, but others go beyond that and into people’s lives. I realised the value of contributing on a wider basis into a wider society. Businesses generate wealth for everybody.

In business there are different perspectives, and someone has to be peacekeeper. How do you make the right decision for the family and the business?

There has to be a clear expectation that business performance is what matters. Where family is concerned, everything is done openly and transparently.

On a final note, when you look back on your legacy, what would you like it to say about you?

My great grandfather was an entrepreneur in the liquor business as well, but unfortunately he lost his business three times. And I almost lost mine three times.

What is your view on transitioning a family business to the next generation? Are your children interested in joining the business?

No, and I would never put pressure on them to join. It’s not something I’m planning, but we’ll cross that bridge when we come to it. They are aged 21, 19, 17 and 13 and still being educated.

He made sure he looked after his family. He was in the house of Lords in India. He died when I was three years old. He has inspired me, four generations later. If I were to inspire someone four generations after me, well, that would be amazing www.lordbilimoria.co.uk

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EDUCATE, INSPIRE & ENTERTAIN Barbara Gray is the Director of ClarityStamp, a Kent-based craft manufacturer which, at time of writing, is set to enter the German teleshopping market. Alec Pitman finds out more.

Nestled in the heart of picturesque Edenbridge countryside, it’s almost odd to think that ClarityStamp enjoys the extensive reach that it does - and yet, one only needs set foot inside to see that the business is a small, well-oiled machine, set in motion by the glorious show of quirky creativity at its heart.

The story of Clarity begins in the US around 25 years ago, when Barbara needed a source of income that allowed her to spend time with her two young children. Leaving her corporate job as a linguist and translator behind, she made a living selling her illustrations - until striking gold with an idea for a transparent stamp.

‘I still work from home,’ says Barbara. ‘We have the factory, but my art studio is at home, that’s where I do that side of it. The thing about an art business is that yes, you have to be a businesswoman, but you also have to separate

yourself from that if you want to keep delivering that creativity.’

Clarity has been making waves in the arts and crafts industry since its return to the UKnamely with its acquisition of Dutch parchment brand, Pergamano, which was achieved wholly out of organic cash flow.

‘Most people consider Pergamano to be parchment, sort of like Kleenex for tissue, or Hoover for vacuum cleaners, so to have that is a real feather in our cap. We didn’t borrow any money, either, and we generated everything we needed within ten months, straight out of the bank. So we own the best parchment brand outright, and we don’t owe anyone a penny for it.’ With a team 40-strong, including Barbara’s husband and co-director David, and her brother Steven, who is Head of Production, Clarity looks ready for the challenges presented of entering an overseas market.

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‘We’re entering QVC in Germany, so we’re learning a far more rigid process than we’re used to in the UK. As well as dealing in a different language, we’re also dealing with much bigger units, so we have to factor that into pricing… we already sell worldwide, and have distributors in different countries, but

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The thing about an art business is that you have to be a businesswoman, but you also have to separate yourself from it if you want to keep delivering that creativity.

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this is the first time we’ve taken on a foreign TV channel. It’s a different animal, a huge operation… over here it’s quite casual, but for this I’ve got 22 palette loads that have to be at a warehouse in Dusseldorf at 7.30am on Monday

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morning, and there’s no room for error.’

Using her mantra of ‘Education, Inspiration, Entertainment,’ Barbara has a real talent for engendering loyalty in others. Despite their reputation for job-hopping, Millennials make up most of Clarity’s roster, and have done for the last decade.

‘The young people that have joined us started when they were 18, and have grown up with the business - they’re 29 now, and they’ve all found their niche within the company, and they’ve become the managers within the company.’

‘We have a lot of people who come straight from school and university, and we treat them with respect. You can’t pay young people peanuts just because they’re young; we show them the ropes, we work out what their strengths are, we train them and pay them well.

The more you teach them, the more confidence they get. There’s a mutual respect, and we don’t demand more than what they can cope with.’

‘We had the opportunity to enter into the US

Barbara on Hochanda TV celebrating her 25th anniversary

teleshopping market, but I decided against it.

I’ve always believed that to conquer the world isn’t necessarily the same as being successful.

I’d rather take care of a smaller community well, than spread myself so thin I forget where I come from. A lot of companies do that, but I believe our home market is always going to be our core market.’

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People usually craft for a reason; they craft for diversion, or escape - some may come from sad backgrounds, and they really appreciate what we do.

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The popularity of Barbara’s hand-made stamps and stencils, coupled with her television appearances, YouTube channel, and personal blog has resulted in a deluge of independent art workshops all over the UK. ‘I think I’m so passionate about Clarity because I can

see a purpose for it. Our community is full of people who really need craft, and being part of a community makes them feel better.

People usually craft for a reason; they craft for diversion, or escape - some may come from lonely or broken backgrounds, and they really appreciate what we do. I feel a responsibility for them.’

‘My passion comes from motivating people.

People trust us, and I motivate them to do very achievable art, and in that, they forget their pain and their sadness because they’re focused on what they’re doing. People in our community know we’re a safe place, and the workshops are testament to that. We don’t make money off them, but the people running them do, so it’s creating work, and that atmosphere of educating, inspiring and entertaining just goes down the ranks. Business isn’t all about money, and if it is, then forget it. ClarityStamp completely hinges on trust.’ www.claritystamp.com

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What can you do in Ten Days?

‘My Ten Days’ is an initiative to encourage owners and managers of family businesses to kick start their Corporate and Social Responsibility strategy. By giving one employee an extra ten days paid leave in order to do something truly amazing, they can improve the lives of many in the UK and overseas.

‘My Ten Days’ allows individuals the opportunity to fundraise and volunteer for the charity of their choice without having to worry about not having enough holiday allowance and so leaves them free to make a real and fantastic contribution.

Why not use your Ten Days to put on a series of fundraising events and raise £4,000 to build a drinking well in East Africa as part of The WellGood Campaign.

Get involved, start fundraising and make a huge difference to the lives of others! Sponsor a well. Change lives.

For more information: www.mytendays.org anita@mytendays.org 01732 220120

“THERE’S SOME REALLY

C OL CHICKS IN YORKSHIRE!”

As well as being the owner of Bowcliffe Hall, serial entrepreneur Jonathan Turner is the CEO of The Bayford Group, which spans the energy, property, and hospitality sectors. Anita Brightley-Hodges finds out more about the man behind the business.

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businessman through and through, Jonathan Turner isn’t one for mincing his words.

So what comes first, family or business?

Business comes first, family comes second. If you put family first, the whole thing goes to pot. It’s important in family life, and I can’t divorce the two- I believe in businesses being businesses, first and foremost. Family don’t get perks. What the parents want for children is different to what the business needs, and we’ve got a business to run.

Jonathan’s grandfather joined the Bayford Group’s coal business in 1926, only seven years after its inception. His father and uncle joined some decades later, with the two managing to buy the business in the mid-60s.

So you’re a serial entrepreneur now?

Apparently. We’ve got lots of different businesses; oil, gas and electricity, property, hotels, forestry… we were doing coal until ’61, then got into the oil industry. Then we got into petrol, started owning and operating petrol stations, then mining… it grew and grew, then

it stagnated, and my father left managing the business to other people, which is fair enough in terms of lifestyle, but a bad idea in terms of business.

Have you worked in corporate life, or have you always been in family business?

I’ve always done this, but I have worked outside of it too. I’ve worked for some really cool ladies in Newcastle for my first job, it was a toiletries and cosmetics business, and I loved it. We got on really well, it was all rocking and rolling and I just knew it would work. But I decided no, I’m not going to do it for you, I’m going to do it for the family.

Jonathan joined the business in 1988, and bought it from his father and uncle in 2004.

For me it was just doing a deal. We were close to going bust in 1998, and the bank had sent someone in to ascertain if it was a sustainable business. That’s when I decided to talk to the family about the future and succession planning, so I could buy it and sort it out myself. I ended up paying £7m for the business assets, and I was backed by a different bank - so

The Blackburn Wing is a 2000sqf treehouse, shaped like an aeroplane wing

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I had £7m in loan-notes to the family, £7m in assets, and I was sat in the middle with nothing.

I started flogging all the non core stuff we’d accumulated over the years, then cracked on buying and selling businesses. My uncle was cool, very supportive, kept saying ‘Jonathan should have the opportunity to do this, he seems to know what he’s doing’… my brother and cousin were not overly happy with the deal, because they had grown up thinking they were going to inherit it… I had always thought that maybe one day, I’d work with my Dad and Uncle, but I didn’t have any preconceived view of entitlement. We offered them the property business as part of the Family buyout but they didn’t want the responsibility.

Do you think there’s any entitlement in the next generation?

I’d like to say my kids are quite grounded.

When you met your wife, did she know what she was letting herself in for?

No, and nor did I, probably until I started the conversation about buying the business. I didn’t have a bloody clue what was going to happen, I don’t have a clue what’s going to happen

tomorrow. I might go bankrupt. But I had no idea, none of us had.

Does she keep your feet on the ground?

No. I can’t stand still, I drive everybody mad. It’s a business, get on with it.

Are there people you admire?

There are some really great women running businesses out there, and we know who they are, and they’ve just put their heads above the parapet. It’s hard, because it’s still a bloody man’s world, it still is, and I just don’t get it. Actually, to be honest the more that other people don’t get it suits me. While I keep employing all these fantastic women, I keep being successful, they just keep making me look good… but if people don’t get it, they don’t get it. I’m actually just surrounded by good strong women, genuinely.

The most brilliant thing for me in business is the man/woman thing. I’ve worked with Liz, my MD, for 30 years now, she’s like my sister. I adore her. In meetings, she’ll hear things I don’t, and vice versa. Mother, daughter, different ages, generations, lifestyles, sexualities, doesn’t matter.

You hear the same thing but in a different way www.bayford.co.uk

THE KNOT

ALWAYS A STORY CHAPTER 2018

ALL THE RIGHT MOVES

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OVER THE AND

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MOUNTAIN FAR AWAY Margaret Carter, CEO of Patchwork Pate, has made her living by the mantra, ‘say yes now, work it out later.’ From

being frightened to get out of a car, to growing a business 20 employees strong, Alec Pitman learns her success story.

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After deciding to leave London to become the archetypal earth mother, Margaret decided to close her knitwear business and move to North Wales. Settling on the perfect home to raise her three young children on an idyllic Welsh mountain, she found an income from a local restaurant, by selling pate - a delicacy that she had agreed to make for the chef before knowing exactly how to.

‘As always, I said ‘yes’, and then worked out how the hell to do it afterward,’ says Maggie.

‘I found a cookery book and came up with chicken liver, brandy and herb pate. I delivered a kilo of it a week for months and months, and everything was going fine.’

However, following an audit, the restaurant decided business wasn’t going well enough to afford to buy Maggie’s pate any longer. But as always, all was not lost.

“He said to me ‘don’t be silly. It’s a brilliant product, sell it elsewhere,” she continues.

“Initially, I was reluctant to start another business, but my next thought was; you silly cow, get off your arse and make some samples.

The samples would not be taken from the boot of the car that day, either - but salvation was found in the form of Maggie’s partner, Jenny.

‘I was absolutely petrified, so I went home again and spoke to Jenny. I said, ‘be an angel, come with me, sit me in the passenger seat, and kick me outside with my samples.’ So she did, and I did. I sent the five samples off to various pubs, butcher shops, delicatessens, bakeries and such. I forced myself to make follow-up calls, and everyone said yes.’

Self-confessed polar opposites, Maggie is the enthusiasm and passion behind Patchwork while Jenny’s the practical one, the brains of the operation.

‘I actually met Jenny by dialling a wrong number,’ says Maggie. ‘I had three numbers to dial and got a wrong number that was five miles away, and it was her. We spoke and I said ‘you sound interesting, come and see me,’ and within a month we’d moved in together. We’ve maintained a working relationship through thick and thin for 40 years, and 36 of those were with Patchwork.’

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with Patchwork for nearly 29 years.

‘Jenny, Rufus and I have never had a fallout, or a confrontation, we’ve never had awkward moments, or difficulty in getting things done.

We just do it, and I think that’s extraordinary.’

At one time there were no titles at Patchwork, but times are changing - Maggie’s title as CEO is Chief Excitement Officer- but with the help of their new chairman, business is moving forward, and Maggie has time to do what she does best - mentoring young up-andcoming entrepreneurs.

‘People buy from people, at the end of the day, and for that reason I always advise getting a likeable relationship going. If you don’t get on with a supplier, or a bank manager, it’s the same as a marriage or a relationship: move!

Don’t stay where it isn’t working. If you can’t hug and kiss your bank manager, move on. If I’m not like that, the relationship isn’t working.’

‘One of the girls I mentored sent me a

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Whatever you do in life, you have to be the best you can be. Not as good as anybody else, or better than anybody else, but the very best you can be.

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he year is 1982, and Margaret Carter is parked in a car park, too petrified to get out of her car. In the boot are five samples of homemade pate - the same homemade pate she brought to show her potential buyers yesterday, and the day before.

message: she had a scholarship interview, and was asked by a panel about the best advice she’d ever received. She said, without even thinking, ‘my boss, Margaret Carter once said to me, ‘if you want to fly to the moon on a carrot, then you fly to the moon on a carrot.’ She hasn’t done that, but the panel loved it, and that’s how I engage with people: I just keep it real, without mucking about with long words.’

‘The only way to bring a business round is to work your bloody socks off, and take on mentors, go to people for help. It’s a bigger company, and the problems may be different, they may change in essence, but the way I feel about the problems has always been the same.

I’m always after solutions, I’m a solutions person. I don’t know what it is I do, but I’m all over the business, intuitively. I don’t have a specific role. I don’t know whether it’s the dyslexia or just the style, but God, I’m driven.

Whatever you do in life, you have to be the best you can be. Not as good as anybody else, or better than anybody else, but the very best you can be. And because of that, I’ve always been the top of my game.’ www.patchworkfoods.com

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SAILING UPRIVER As the fifth-generation of Silver Fleet Yachts, William Woods talks with Anita BrightleyHodges about siblings, silver service, and the importance of keeping the ship afloat.

After 152 years sailing on the River Thames, you might say the Woods clan are a family of born watermen.

‘When my father took over the business it was more a sight-seeing vessel,’ says William Woods, the youngest of his three siblings currently at the helm of Silver Fleet. ‘I think his main focus for the business was to stack away all the profit and then build the next-best amazing thing. He has built everything here.’

Yet despite this enterprising spirit and his title as Master of the Waterman’s Company, Alan Woods had no plans for the Silver Fleet to sail into the future.

‘He always said he’d retire, sell, take what he needed and give the rest to charity. Each of us had been raised not to expect anything, we’ve never thought of ourselves as rich- we hadn’t done well, Dad had. But he’d seen so many other businesses where people had fallen out with the fathers and never spoken again, and he thought nothing good could come of it.’

It would be the introduction of William’s siblings, Kate and Tom, that would eventually change his mind.

‘Tom’s first job was as a cleaner, and that was the only way that Dad would let him work in the business. He did such a good job that Dad suddenly realised it was lovely to have family

members around... Tom and Kate have been working together for quite a while now, and I’m the last to come in, so I think we are still working out how to work without stepping on each other’s toes.’

The siblings have many achievements under their collective belt. Tom, a full waterman, is a holder of the legendary Doggett’s Coat & Badge; an esteemed honour for the Woods family. Kate is in charge of designing the boats both inside and out, and most recently turned her many talents to the interiors of the Queen’s newest boat, The Gloriana.

Tom’s first job was as a cleaner, and that was the only way that Dad would let him work in the business.

I enjoy selling the boat,’ William continues.

‘Tom wants to build boats, and Kate loves to design them… she brings that vital feminine energy into the business. I love how we’re going to use those boats, in terms of when people are on and what is going to be served to them.’

Having worked his own way up the ranks from apprentice waterman to crew, to waiter, then to manager, William is an expert in creating fivestar service every time.

‘I think from the very start, the ethos was that you need to be able to walk out of the Savoy, down onto the boat and not feel a culture shock. The food and quality of everything is the same, you won’t find any other boats on the river with a restaurant galley downstairs. All of our food is made from scratch on board. Five

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star to me is about the detail.’

‘We do events for a lot of banks, the financial industry, a lot of product launches… there’s room for a car on the top deck, or the dance floor. Often we get enquiries for 18ths and 21sts from people who essentially just want a nightclub on water, but we just don’t do those sorts of ‘just drinking’ events. We like everybody to be catered for.’

Sporting a Damien Hirst print and Swarovski crystal lights, the Woods’ Silver Darling is the preferred choice of London transport for stars

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It’s definitely been drummed into

us to look after people, and to treat them as family whether they work here or not. I think that’s why people stay with us a long time. needing to get to the O2 promptly- after all, the Thames is not known for its traffic. Despite this familiarity with celebrity, however, the Woods family have been determined to stay grounded.

‘I think when I came in, I was very aware

Inside the luxury River Room within the Silver Sturgeon

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that if I wanted to make all the decisions and do things exactly how I wanted, I’d need to run my own business. I think for all of us, it’ll always be Dad’s business that we’re running, so we have to be mindful of how he does things. I think the main thing is you don’t disrupt the business.’

‘It’s definitely been drummed into us to look after people, and to treat them as family whether they work here or not. I think that’s why people stay with us a long time. There’s a chap retiring who started with us when he was seventeen. People tend to stick with us for a

long time, and often they’ll go off and try other things and come back, always on good terms.’

‘Business isn’t separate from life. We’ve always got on as a family, we often go on holiday together, we all live on the same road… we often eat together. We’ve been described as an Italian family before; if you come ‘round our dinner table, if Mum’s not cooking, I or someone else will. Even if we didn’t have this business, that’s just how we’re geared.’ www.silverfleet.co.uk

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We go behind the scenes at Matthews the Printers, an extraordinary family business and our print partners for the last ten years.

(l-r) Martin and Dan prepare and cut perforated sheets to later be folded by the MBO Folding Machine.

(l-r) Sharon and Renatta finish the more complex and bespoke work by hand.

The Acuity LED produces high-resolution large format printing which includes all forms of banners, posters and signage.

Rod operates the Heidelberg Cylinder machines - which are able to cut out unique shapes in many different substrates.

Christopher xxxxxxxxxxxxxxxxxxxxxxxxxxxx Riddell, Managing Director, oversees the day xxxxxxxxxxxxxxxxxxxxxx to day operation of the business whilst developing and implementing future business strategy.

Matthews specialising in beautifully crafted products for many different sectors including restaurants, hotels, retail, leisure and luxury.

Studio and Design services handle creative briefs, artwork creation and amends. They also support all our bespoke web to print systems

xxxxxxxxxxxxxxxxxxxxxxxxxxxx Matthews xxxxxxxxxxxxxxxxxxxxxx have a wide ranging and diverse print capability covering offset lithography, digital and wide format printing.

A League of their

Own

CONTENTS 53 Pentland Brands Running the Show

G&K Martial Arts Fighting Fit

Grays Tools of the Trade

54 Westfield Sports Cars Westfield Drives On

Kent Surf School Surf’s Up

Greaves Sports White Magic

55 Vivobarefoot Life and Sole

Go Ape Just Keep Swinging

Powakaddy Hole in One

56 Price of Bath On the Bounce

Ballymore Gallop to Glory

Hidden Valley Bushcraft Survival Instinct

57 Team Hard Work HARD, Play Hard

Skatehut Get Your Skates On

Total Hockey Making it Stick

A League of Their Own

A League of Their Own Twenty-one million people tuned in to watch England’s first game at the 2018 World Cup. Almost seventeen and a half million viewers saw Andy Murray lift his first Wimbledon title

Luke Robins Guest Sports Editor

Sports Journalism Leeds Trinity University

T

o say that sport is important to the UK is an understatement.

In-fact it is integral to the UK in almost every way. To our everyday lives, it can’t be missed; it is an ice-breaker, it keeps us active, it brings strangers together by common interest, it makes us happy– I have so many distinct memories of the times sport has affected my life and others around me. We glorify those at the top of their game, hold them up as our role models and look to them for comfort away from our usual lives.

Often, we forget there is an entire world behind that that can be dissected to a minute scale.

“

We glorify those at the top of their game, hold them up as our role models and look to them for comfort away from our usual lives.

“

These are the families whose lives revolve around sports, not because they are sports people and high-level athletes, but because of their unique inventiveness and their exceptional entrepreneurialism.

These are the family businesses working on an international scale

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with multi-billion pound turnovers, all the way to the smaller and the more intimate operations.

Regardless of size, they all share one very important characteristic: their strong family values, which are integral to their personal successes.

They are the important foundation of the growing number of people involved in sports: in football alone there are 2.6 million new players monthly. They provide that opportunity for anyone of any age, size or stature to get involvedand who knows? The work of these family businesses could be responsible for the next David Beckham or Jessica Ennis-Hill being inspired into a life of professional sport.

We delved deeper and looked behind the scenes at some amazing family businesses involved in all walks of the mammoth industryfrom eighty-year-old tennis ball manufacturers to ex-Marine Bushcraft specialists, there are inspiring and imaginative people in every aspect of sporting business.

Some are heading into their fifth generations and beyond, which truly emphasises how sport has been a staple of our society for years before us, and doubtless for many years to come.

A League of Their Own

Running the Show

One of the biggest family businesses in the UK, Pentland Brands also carries the distinction of being the 10th richest private business in the country Formerly the Liverpool Shoe Company, Pentland Brands is the company behind some of the most famous brands in the world: Speedo, Berghaus and Italian

Tools of the Trade As the UK’s biggest sporting company, Grays has been a mainstay in the sports community since 1855 Grays of Cambridge, founded by H.J Gray, have kept the family name well into its fifth generation; Jason, Neil, Nick, Paul, Richard Gray are continuing to head up the company from its original birthplace in Cambridge.

Stocking tennis racquets, cricket bats and hockey sticks since its inception, Grays has always been a stalwart player in

company Ellesse are just a collection of brands that Pentland has tucked under its belt.

Truly taking off in 1981 after the majority takeover of Reebok, Pentlands has thrived greatly ever since, making $3 billion in annual sales, keeping customers happy through 190 countries.

Andy Rubin, who took over from his father Stephen in 1998 at the tender age of 33, recently said, “We’re very proud of what we have achieved over three generations.”

Currently, Rubin is turning his focus toward the future. Recently, Pentland introduced a new-in house academy, ‘Brand-Building: The Pentland Way’.

Designed to encourage different areas of the business to work together, the programme will add a new dimension and flexibility to its workers. www.pentland.com

Fighting Fit As well as being a family of entrepreneurs, the Huxtables are also martial arts experts

the industry - as demonstrated in 2002, when they took over rugby equipment manufacturer Gilbert, returning the sports giant to family-run status once again.

Grays also formed a partnership with Nicholls Bats back in1940, creating the infamous Gray-Nicholls cricket bats that are still used by some of the best players in world cricket – Alastair Cook and David Warner are just two examples.

Currently, Grays have a joint venture in India, which they believe could be prosperous.

“There is a rapidly growing middle class that wants brands. India will be a massive market for us.” www.grays-int.com

Owners of Swansea-based G&K Martial Arts Academy, the Huxtables are a very talented group of people with many individual accolades between them; led by father David, their Academy is vastly popular in Wales with around 400 members. He works along with his wife Kathryn, daughter Amy, and son Daniel as instructors for multiple disciplines in karate and kickboxing.

Success though, is undoubtedly hereditary in this family. Successful as a kickboxer in his own right, Daniel now runs a prevalent kickboxing and boxing apparel store alongside his university studies and his instructor duties.

Daniel introduced his own company, Fightwear Store UK, in 2016, using his own graphic design studies to design clothing, gloves and boots. His work is endorsed by some big names in Martial Arts, like young star Roland Veres.

“He’s a fantastic example of a student applying entrepreneurial thinking to their studies to start their own business.”

Kathryn said. www.kickboxinginswansea.com GENERATION AUTUMN / WINTER 2018

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A League of Their Own

Westfield Drives On Despite being sold in 2006 by the Smith family, Westfield Sports Cars celebrated its 35th birthday this yearstill every bit a family business Conceived by Christopher Smith, the success to which he engineered the stunning copy of the 1956 Lotus XI Le Mans Car meant that he was flooded with requests by fellow enthusiasts. Thus, Westfield Sportscars was born.

Fast forward to 2018 and the company has since been taken over by fellow family business Potenza Sports Cars, over 10 years ago. Owned by the Turner family, they are keen to carry on the values of Westfield Sportscars, having sold over 12,000 cars world-wide since 1983.

“Westfield are proud to boast high quality British craftsmanship in every aspect of production,” says Managing Director Julian Turner.

The initial body kit design to kickstart the company is still present at the Kingswinford factory, following its reintroduction in 2004. Due to its popularity, Westfield continue to produce over 400 of the cars annually. www.westfield-sportscars.co.uk

Surf’s Up Keen surfers Andy and Gemma Webb run the leading surf school in Kent Kent Surf School was opened for business in 2005 by husband and wife team Andy and Gemma, to share their enthusiasm for the ocean with the next generation.

Operating from Vikings Bay in Broadstairs, the couple teach surfing, paddle boarding, body boarding and even kayaking all year-round.

The continuing popularity of the business has led to the opening of the official Kent Surf Club. Set up as a way of generating and sharing interest in their passion, the Webb’s non-profit club encourages people of all ages to get into a new sport and bring a sense of community to the waves.

In 2017 they also had the pleasure of playing host to actors such as Ethan Hawke, Chris O’Dowd, and Rose Byrne, while they were filming in Broadstairs for an adaptation of the novel Juliet, Naked.

“The filming is all great and positive for Broadstairs,” says Andy. www.kentsurfschool.co.uk

White Magic Having survived the tumultuous 1930s, ‘40s, and ‘50s, the third generation of Greaves Sports breathed new life into the family business Bill Greaves developed a love of mountaineering and skiing following the second World War, implementing that into the family business and making Greaves Sports synonymous with winter sports.

Along with his brother Jim and legendary ski instructor Frith Finlayson, the retailers began to really gather momentum in the 60’s. Much of their work has shaped the success of the store even to this day.

Having celebrated its 88th birthday in 2018, Greaves has inducted its

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5th generation into the business. Sandy Greaves, current Managing Director of Greaves Sports, welcomed his son Miller onto its board of directors. He said of the business, “My great-grandfather would have been delighted to know that a business he started back in the 1930s was still going strong, and still in the family.”

Part of Glasgow’s ‘Style Mile’, it is still considered one of the most popular sporting goods stores in Scotland. www.greavessports.com

A League of Their Own

Just Keep Swinging Based at their Sullfolk headquarters, Tris and Becs Mayhew have built Go Ape into a leading adventure attraction

Hole in One The benchmark for the industry, Powakaddy blazes the trail in electric golftrolley innovation The first golf equipment manufacturer to introduce commercially-viable electric trolleys; the 35-year story of Powakaddy makes an excellent case for the profound difference being family-owned can make to a business.

After Joe Catford sold the business off in 1989, Powakaddy was passed between multiple corporate groups until his son, Dave, re-took control. With the help of his business partner John deGraft-

They were inspired to create their venture following a trip to Auvergne in France, where they saw a family swinging through the trees. The couple noticed that “both the kids and their parents were having the time of their lives.”

This was their ‘eureka’’ moment.

The two quit their jobs and opened Go Ape’s first location at Thetford Forest the following year, in what would be the beginning of their outdoor empire.

The husband and wife have experienced amazing successes on their jungle journey, becoming one of the fastest growing companies in the country, featuring in 33 awe-inspiring locations in the UK and US. “As a family we have shared a tree-mendous adventure for the last 16 years,” Tim said, “It’s about the journey not the destination, but we share any success along the route. It’s a family thing. And it’s the right thing to do.” www.goape.co.uk

Life and Sole Vivobarefoot have pioneered a world’s first; a shoe made from algae

Johnson, the business has become the fastest-growing private business in Kent, with a whopping 501.3% sales growth a mere five years later.

The company attributes much of this success to their recent product line.

As well as the first electric trolley in the world with a built-in GPS system, Powakaddy received further acclaim for their super-quiet motors and transmission systems in the form of a QuietMarkTM, the international award for excellence in low noise technology.

“The design and functionality of our whole range has been praised by experts within the industry,” says Dave. “I’m pleased to say that our renewed focus is paying off.” www.powakaddy.co.uk

In a bid to promote healthy Marine ecosystems, the innovative Vivobarefoot shoes ingeniously use the algal blooms found in waterways across the world.

Founder of the sustainable active footwear company, Galahad Clark has funded the creation of the new type of shoe. A self-confessed ‘black sheep’ of the family, his “anti-shoe” philosophy has been the inspiration behind his company and the wonderfully outlandish design of their footwear.

“We believe that the perfect shoe is one that is perfect for feet… and, of course, zero impact on the planet,” he says.

The overhaul in traditional shoe design, aided by Galahad’s cousin Asher, could help re-circulate up to 57 gallons of clean water into natural habitats, per each pair of shoes made.

The seventh generation of the Clark dynasty, Galahad’s creation is unequivocally the next level of sustainable technology. www.vivobarefoot.com/uk

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A League of Their Own

Survival Instinct A woodland bought in 2012 has turned into the perfect business opportunity for a Bristol couple - Hidden Valley Based in Pensford just south of Bristol, husband and wife Nick and Louise Goldsmith set up Hidden Valley Bushcraft following Nick’s final tour with the Royal Marines.

Having completed four tours in his 11 years served as a Royal Marines commando, Nick has had to survive in the Middle East, the Arctic, also jungle

On the Bounce Now in its third generation, Price of Bath have been manufacturing tennis balls for over 80 years Operating out of a single factory with only 14 staff, Price of Bath is still single handedly contending with the mass-production method of the Far Eastern market. Derek followed in the footsteps of his father, Joseph, who specialised in manufacturing rubber products, such as car tyres and sports balls. However, even after celebrating

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and desert conditions - and his wealth of survival and outdoor skills make him an ideal Bushcraft instructor.

Offering a range of survival type activities at their private woodland, the two are also founders of the Woodland Warriors programme, which aims to help recovering veterans who suffer from PTSD and other post-war issues.

Nick said, “Everything we do is done subtly.” The therapeutic processes and specifically tailored programmes are designed to bring peace to sufferers, just as they did for Nick. “It was a difficult few years, but the woodland saved Nick,” says Louise. www.hiddenvalleybushcraft.co.uk

his 88th birthday last August, Derek is showing no signs of slowing, and still working alongside wife Jeanna and daughters Sam and Louise.

“The ‘Made in England’ label is one we wear with pride,” Derek says, “in part because we think it stands for quality but also because it has become something of a rarity.”

Now producing over 8,000 tennis balls a day, Price of Bath are direct suppliers to The England Squash & Racketball Association and have worked closely with the Lawn Tennis Association (LTA) to develop their products. www.priceofbath.com

Gallop to Glory Horse Racing is one of the most important sports in Ireland; and Aiden O’Brien one of it’s most revered characters Running Ballydoyle Stud farm alongside his wife Annemarie, Aiden O’Brien is known to many as one of the greatest horse trainers of all time.

Situated in County Tipperary, Ballydoyle has built up a reputation as being one of the finest training establishments in the world by horse racing experts. Originally run by O’Brien’s step father, Vincent, Aiden took over with Annemarie in 1996.

In the same year he became the youngest ever champion trainer in the sport’s history. Since then, he has raised so many champion horses its almost impossible to count: Europe’s leading sire, Galileo, is one of the most exceptional on his long list.

Aiden’s son Joseph, an Irish champion jockey at just 19 and now a horse trainer at 24, looks likely to follow in his historyrich footsteps.

“I always intended to train, and from when I was young, training was always something that I’d wanted to do, and absolutely it is,’ Joseph said. www.coolmore.com/farms/ballydoyle

A League of Their Own

Get Your Skates On

Work HARD Play HARD

In just eleven years, Skatehut went from a commercial home enterprise

A team like no other, Team HARD is a

to a respected multi-million pound

first for the world of motorsport

e-commerce business Initially started in 2012 to take advantage of the high demand for a quality track experience, Tony Gilham, along with his wife Samantha, fully integrated the team into the BTCC a year later with the formation of Team HARD Racing Limited. Now five years down the line, the team has in excess of twenty cars through six different competitions, running alongside the original track day experience with which Team HARD originally provided.

New sponsor Perry Winch of Spectra Analysis Services said, “I have known Tony for a while and watched him build Team HARD from nothing to

Making it Stick Owned by the McMurray brothers since 2001, Total Hockey has become one of the largest dedicated field hockey retailers in the UK For 80 years beforehand, the original shop was a regular drapery store until Northern Irish brothers Steven and Alan bought the premises.

what it is today, I have to say watching the growth has been very impressive.”

Tony is certainly proud of the growth and unique nature of his business, keen to stress that his business “can offer what no one else can.” www.team-hard.com

Now working alongside their dad Brian – originally sceptical of their insistence on selling specialist hockey equipment- the business has since moved into a bigger, more sophisticated store on Banbridge High Street.

Not shy about trying new things, their dedicated goalkeeping department is unique to the business and proving very successful, chiefly down to Alan’s experience as a former Hockey goalie.

‘The goalkeepers are the ones who are nearly always forgotten about in the sport, so we wanted to change that and to make them feel special.”

Last year, Total Hockey acquired their Scottish rivals and fellow family business, Gilmour Sports.

“It was obvious, when looking across both companies, that focusing on their growing areas was the best solution between Total Hockey and Gilmour Sports,” Steven said. “We now have the chance to really concentrate on providing the complete specialist service to existing and new players, clubs and hockey fans”. www.total-hockey.com

After his son became obsessed with Heelys following a trip to Florida, Mark Johansen-Berg realised that they were not able to purchase a pair for him in England, hence, he and his wife took the challenge into their own hands. “I wasn’t looking for a gap in the market”, said Mark. “It was just something we spotted”. Starting off selling Heelys, they soon moved into a variety of products including skateboards, skates and scooters in a 20,000 strong product line. Following their initial foray into business ownership in 2007, the company has quickly expanded to accommodate big-name brands like Element and Santa Cruz among others. Having used e-commerce to propel the business forward, Skatehut is now a leading skate shop in three UK locations; Halesowen, Coventry and Adrenaline Alley in Corby. Teasing at a possible extension overseas, Johansen-Burg noted, “we own Skatehut.com so who knows, we could Venture to the US!” www.skatehut.co.uk

GENERATION AUTUMN / WINTER 2018

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Celebrating 10 TM years as the home of family business

Candice Brown (left) is an ambassador for Alzheimer’s Research and spoke about her experiences growing up in her family-run pub.

Andy and Helen of Howarths People and Safety Management walked away with two regional awards ‘Family Business of the Year’ and ‘Big Heart’.

The National Family Business Awards 2018 A Kaleidoscope of infinite Brilliance On Saturday 14th of July 2018, 350 guests from across the country, attended our most prestigious event, The National Family Business Awards. With performances from ‘The Rubies’ and special guest speaker Candice Brown (GBBO Winner 2016), the awards celebrated family businesses from every region. We are so proud to be part of such a special community that came together for a wonderful night of celebration in support of Alzheimer’s Research.

Julianne Ponan and Matthew Ford, of Creative Nature, won the award for ‘Best Small Business’ as well as three other regional awards.

The Elite Fish & Chip Company is a family-run chain of traditional fish and chip restaurants and takeaways in Lincolnshire. The company focuses on giving back to the community as well as greattasting food. They won the awards for ‘Best Business to Work For’ and ‘Big Heart’ in their region.

2019 Nominations opening soon..

14 January 2019

www.thenationalfamilybusinessawards.com

One of the most sought-after performance choirs in the South East ‘The Rubies’ brought the house down at this year’s conference with their stunning harmonies and beautifully orchestrated renditions of Queen songs.

Active Digital not only obtained a regional award but took home a national one too.

Murdo Smith and Helen Dewar (MDive - a commerical diving company) recieved ‘Apprenticeship Champion’ and ‘Big Heart’

Daniel Shepherd (CanDo Laundry Services), secured the ‘Best Business to Work For’ and ‘Best Small Business’ award for their region.

The National Champions. Front row from left to right: Yorkshire Packaging Systems, Stuart Mason-Elliot of Elliots, Pimlico Plumbers, Airband Community Internet, and Leekes. Back row from left to right: Aveley Lodge, Active Digital, Creative Nature and Amalia Brightley-Gilott of Family Business Place.

Kath and Nick Whitworth (Celtic & Co) won ‘Entrepreneur of the Year’ and ‘Technology & Innovation’ for the South West.

Thank you to our supportive sponsors:

Mairead Mackle (centre) from Homecare Independent Living recieved the national ‘Special Recognition’ award.

GENERATION AUTUMN/WINTER 2014

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experts

Why Giving Back is Good for You and Your Bottom Line Katherine Waller and Rob Douglas discuss how philanthropic efforts can increase employee morale and create greater success for your enterprise Katherine Waller RBC Wealth Management Specialism Director, Relationship Management Profile Katherine is responsible for providing integrated wealth management solutions as part of the business owners and entrepreneurs team.

She specialises in helping clients with their succession planning to achieve their personal and financial objectives. katherine.waller@rbc.com

Rob Douglas MBA RBC Wealth Management Specialism Director, Relationship Management Profile Rob works with high net worth individuals and families to develop in-depth client relationships and execute a long term wealth management plan tailored to their financial personality, risk profile and objectives by implementing advisory and discretionary investment solutions. robin.douglas@rbc.com

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It may seem like a business contradiction to say gifting assets can actually be good for profit. But philanthropic efforts can be a way to not only feel good about your enterprise, but help boost employee morale, improve the business’s image and ultimately enjoy greater success.

There’s an obvious appeal to giving back to society for high and ultra-high net worth individuals, tied to a legacy one can be proud of. Said plainly, it’s good for the social growth of our economy.

The large charitable gifts of billionaires such as Warren Buffet, and corporate philanthropy of companies such as Apple and Salesforce.com, show giving and supporting communities so they prosper is top of mind for many of the world’s top businesses and entrepreneurs.

How a business does things, rather than what they do, as well as thinking about philanthropy, environmental and social governance, must be part of corporate values, says Katherine Waller, Director, relationship management at RBC Wealth Management in London.

“It’s important to the growth of businesses, individuals and to also ensure communities thrive. If I think about the individuals and businesses I work with, have their companies done better because they’ve got stronger values and they live by those values and they give back to their communities? Yes, they have done - and continue to do - incredibly well,” she says.

Commissioned by RBC Wealth Management, The Economist Intelligence Unit (EIU) undertook a study of 1,051 high-net-worth individuals (HNWIs), including 207 respondents in the United Kingdom, from March to May, 2018.

The survey explores how the meanings of legacy and wealth are being redefined across regions, genders and generations.

Research suggests there is no shortage of

desire to affect positive societal change through giving. According to the new face of wealth and legacy survey, 61 percent of business owners in the UK say it’s important to them that their business makes a positive charitable impact on the communities in which they operate.

Engage employees in core values While the benefits to the community are the ultimate aim, the benefits to the donor company start with the effect the giving has on staff, says Waller. Giving employees a charitable goal can improve company engagement by providing an emotional connection to their profession.

“It creates an environment in which people will work harder for you and want to stay there because of the culture. They feel like they’re giving back and are part of a community,” she says.

This can help employees to bond and work together better, which can improve productivity, as well as reducing costly employee turnover and general disruption.

Business owners surveyed in the UK say it’s also important to them to protect the livelihood of employees and their families (71 percent).

“The more turnover you have in a company, the harder it is to work as a team,” says Waller. “If your staff are working together for a common good and a common goal and without the disruption, your company will thrive,” she continues. “Your values will be felt by employees and clients alike and people will want to join you, ultimately adding to the success of all involved.”

Support others doing good Many companies are getting into the act of increased charitable giving, combined with an embracing of environmental social and governance (ESG) business practices,

experts

which are a set of standards investors are increasingly using in order to choose where to put their money.

“Where you see businesses that incorporate - not necessarily charitable but fair trade values, or looking after their suppliers and customers with certain values in mind, it often leads to greater long-term success,” says Rob Douglas, Director, RBC Wealth Management in London.

Having a business that is identifiable with a cause, such as a retailer that sources its products from a hard-hit community - in turn helping to support it - gives customers a brand story that makes them feel good about supporting it.

This notion is supported in The EIU research, with 33 percent of business owners saying they align their spending with causes important to them.

Waller adds, “As a consumer, I want to know my money is going towards something good, and it’s the same for the businesses I work with. It’s important to their reputation that they partner with and invest in companies whose values align with their own.”

With the number of charities and social causes growing daily, entrepreneurs need advice to help them determine their philanthropic priorities and set up foundations or other giving vehicles. For family-owned businesses, this can mean making sure stakeholders are on the same page. Investors also benefit from expertise on selecting targets that align with their own values and goals.

“You have to consider what’s important from a family point of view,” says Douglas.

“For example, do you want your children involved; do they share the same interests and goals? If a foundation or family charity is being established, then what kind of multigenerational kind of legacy do you envisage? The reality is these things are extremely personal,” adds Douglas.

“If their values are to make sure the company is giving back - and making communities thrive and prosper - they want to make sure the buyer has the same values, not just for the continuity of the staff, but also to the continuity of that business.”

Learn more about the new face of wealth and legacy report at rbcwealthmanagement.com/legacy

Illustration by Rhian Stone

Stay true to company values While a steady profit is a goal for any business, Waller says clients she has worked with who are exiting business consider philanthropy to be a core value.

They often limit potential buyers to those that share their values, putting the cause before the bottom line.

GENERATION AUTUMN / WINTER 2018

45

experts

Managing the Family Wealth Sally Ashford highlights the importance of using a family investment company when protecting and preserving your family’s assets.

Sally Ashford Charles Russell Speechlys Specialism Private Wealth Profile Sally’s expertise is in advising high net worth individuals and family business owners in relation to their estate and family succession planning. www.charlesrussellspeechlys.com

experts

Illustration by Rhian Stone

What is a family investment company (FIC)?

A FIC is simply a private (usually limited) company with family members as its shareholders and directors. On the face of it, it is no different from any other investment company.

What is special about a FIC, however, are the bespoke elements of its constitutional documentation (articles of association, shareholders’ agreement etc.) which define which shareholders benefit from, and which control, the company.

By separating these components, it is possible for you to transfer value to the next generation without giving up control (as with an outright gift), or triggering an upfront 20% inheritance tax charge (as with an equivalent gift to trust).

What do you need to consider?

Tax • On establishment: Provided that the FIC is funded with cash, there should be no immediate tax consequences on its creation. The outright gifts of shares in the FIC will not trigger an immediate inheritance tax liability and the value of the gifted shares will be outside the donor’s estate for inheritance tax

purposes once he or she has survived for seven years. If assets standing at a gain are to be transferred into the FIC, this may trigger capital gains tax.

• Within the FIC: Income and gains received by the FIC will be subject to corporation tax (set to decrease to 17% by 2020). Dividends received from other UK companies and most non-UK companies will be exempt from corporation tax, and so may be received by the FIC free of tax. Consequently, a FIC offers a tax efficient method of rolling up income, deferring personal tax until a distribution is made and maximising the available assets for reinvestment.

a private document) offer a flexible constitutional structure that can provide for family governance procedures and fit each family’s specific needs and concerns.

Provisions can be included to control the extraction of capital and income and dealings with the shares. Founders can dictate the rights attaching to shares and gift valuable non-voting shares to their children and subsequent grandchildren.

This constitution can and should run alongside the client’s general estate planning strategy.

Furthermore, unlike some other alternative wealth planning structures, FICs are not subject to regulation by the Financial Conduct Authority.

Control and Protection The FIC structure enables you to retain control over decisions made within the structure, for example on investment and distribution strategy. You (or possibly a trust created by you) can retain the voting shares, and therefore control, over the company. You may also act as a director, allowing you to take day to day decisions e.g. regarding investment.

By separating value from control the FIC allows protection from financial immaturity and from claims by third parties.

Is a FIC suitable for my family?

FICs are particularly suitable if you are investing for long term growth in UK companies and funds and / or wish to make controlled gifts where a trust is unsuitable. FICs may be suitable if you are non-UK domiciled and you are averse to the use of trusts, or if you live in a jurisdiction where trusts are not recognised or are punitively taxed.

FICs are less suitable if you are likely to need to withdraw funds in the short to medium term (i.e. receive, rather than roll-up, income and gains). Moreover, FICs do not offer the same level of multigenerational flexibility provided by a trust and so if a trust is a viable option for you then you should consider the relative advantages and disadvantages of each.

When considering whether to establish a FIC, you should obtain investment advice regarding the suitability of the structure and the assets you intend to invest in and how best to fulfil your objectives in terms of distributions.

The creation of a FIC involves both personal and corporate tax and other considerations. Charles Russell Speechlys’ Private Client and Business Services divisions frequently work together to provide a consolidated approach on all aspects of the creation and running of a family investment company

Flexibility The company’s articles of association (which are public documents) and shareholders’ agreement (which is

For more details please contact Sally Ashford on +44 (0)1483 252508 or by email at sally.ashford@crsblaw.com. www.charlesrussellspeechleys.com

• At shareholder level: Shareholders are only subject to tax personally when distributions are made to them. Properly planned, distributions can be made at a time which suits the shareholder(s) (for inheritance tax and other reasons).

Dividends will be taxed at the shareholder’s dividend rate, although if the shares are held until the company is wound up, capital gains treatment may apply. If the FIC is funded by way of a loan, capital repayments may be able to be extracted free of tax.

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Not all family businesses can be, or are, passed on from generation to generation.

Statistics show that only one third of family businesses survive a transition to the second generation and in a recent family business survey, 42% of family business owners stated that they would sell their business if the price was right. Where the family has built up significant assets (both business and personal), and especially if perhaps the family business has been sold, the long–term preservation of family wealth will be a prime objective.

Family investment companies provide a flexible (and in some respects, an advantageously taxed) alternative to trusts, which are particularly suited to entrepreneurial clients who are used to operating within a company structure.

They can provide a solution for those who are looking not only to take advantage of historically low corporation tax rates but also wish to protect family wealth for the next generation, even if the family business is no longer a part of that.

only one third of family businesses survive a transition to the second generation

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59

experts

How to Recognise and Play to your Businesses Strengths Belinda Collins discusses the considerations family businesses should take when identifying the niche that allows their company to bloom

Specialism Strategic integrated marketing communication solutions incorporating creative, digital and content Profile Prior to becoming Managing Director at Zest, Belinda spent many years working in London across recruitment marketing, not for profit, as well as B2B and B2C accounts. She’s dedicated, strategic and knows how to do business. www.zesttheagency.com

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From my work with family entrepreneurs, I know how easy it is to fall into the trap of letting your business consume all aspects of your life – easy to do when you may have put everything you own into ensuring its success, there from the very start and growing it from its infancy.

But this level of dedication, while admirable, can be limiting, and often the need for continuous change and transformation can cloud the true essence of your business. Innovation and agility are essential, but equally so is standing still and taking stock of your what your business does really well and using this insight to inform future plans.

So how do you identify what makes your business your business, and what makes it different? And how do use this knowledge to your best advantage?

Look at the people you employ Do you employ any people outside of the family? And if yes, why were they attracted to your organisation? This is often a good measure of the external perception of your business and its key strengths. Your employee value proposition (EVP) should very much align and feed into why your target audience engages with your products and services.

Re-visit your brand values and vision There may be many aspects of your family business that has changed over the generations – product development, business structure, the role of technology – but what shouldn’t have changed is what your business stands for, the values and people you hold dear and the shared vision you are working towards.

Illustration by Rhian Stone

Belinda Collins Zest The Agency

experts

By sense-checking your brand model, you are ensuring you are better able to attract customers who share your beliefs.

Re-group as an organisation So your brand values and vision still make sense, and captures what makes your family business great. The next step is to make sure everyone is on board. As your organisation has grown, you need to communicate your origin story at every level to ensure everyone is as proud and enthused about the business as you are. An engaged workforce increases productivity and brand commitment.

Break down barriers There is often a reluctance amongst family businesses to really shout about what they are good at. Most have great stories and products or services – make sure as many people hear and can benefit from them as possible. This is not the time to rely on the strength of your products alone. Take control and maximise on the capital of your brand, which has accumulated after many years of hard work and sacrifice, to take your business to the next level.

Ask for an objective view Working within your business day-in, day-out, it can be hard to get enough distance to analyse the business objectively.

Sometimes a fresh pair of eyes is what is needed. Don’t see using external help as a

weakness. Bringing in strategic partners is a smart move to re-focus and re-prioritise.

This enables you to identify your key differentiators and ensure your business thrives and grows.

Listen to your customers The best opinion to listen to when assessing the strengths of your business is your customers. In a digital age, where everyone is sharing, commenting and reviewing online, social listening of your target audience is essential. There will be a reason your customers love your brand – amplify these drivers and tap into this user-generated affection. This will help ‘spread the word’ amongst your consumers’ network of peers about what makes your business stand out and create brand advocates.

Learn from your history Why did you or your relatives start your business? What niche did you hope to fulfil? Ultimately it would have been to satisfy a need for a consumer, or to plug a gap in the market. The way you communicate with consumers may be different, the product and services may be refined, but are you still fulfilling that same need? While your service offering may develop, ensure that your existing customer base and their satisfaction remain a priority to maintain their business and increase brand loyalty.

Don’t try and do too much Lots of businesses try and appeal to the broadest audience possible, but there is a danger in trying to be everything to everyone. The outcome can be a confused consumer journey, where people may find another brand that has a clearer defined proposition. Identify what you are best known for and make sure this is coming across loud and clear in all your comms.

Analyse where your opportunities are coming from How are people connecting with your business? Are you answering a specific frustration in the industry, or do you have a cult product that is driving sales through word of mouth? Look at what generates high levels of engagement, you can amplify these results by tailoring your marketing and business development activity accordingly.

Give time to any complaints Customer complaints can be a positive learning experience, as long as they are not in overwhelming numbers! Use them as an opportunity to identify areas for improvement and improve customer communication, but more importantly, as an indicator as to whether your core service offering is becoming lost and needs to get back on track www.zesttheagency.com

ANITA BRIGHTLEY-HODGES Specialist advisor to family-owned businesses

Anita works as a personal advisor to those at the helm of family-owned businesses.

She works side-by-side with ambitious leaders to overcome their biggest challenges. Giving them the confidence and the tools they need to take their business to the next level.

If there’s trouble in your family business please remember - you’re not alone.

Companies everywhere face very similar issues and Anita is here to help you overcome them and move forward.

Whether it’s planning for succession to the next generation or resolving long-standing disputes between family members.

01732 220 120 @ anita@familybusinessplace.com www.anitabrightleyhodges.com

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For a discreet, private conversation:

What keeps you awake at night?

What doesn’t is possibly closer to the mark. And what’s more, others in your family are worrying about things too. Through our conversations with family businesses there are many common issues: • Lack of communication around succession plans • Exit options for the senior generation • Rivalry and tension between siblings, cousins and other relatives • Parents unable to take a step back or to completely let go • Competence and commitment of the next generation • Long term survival of the business in the market • Wealth protection • Aversion to risk in the senior generation v innovation and ambition in the next generation • Pressure from shareholders and partners not involved in the business Yes, it takes time and effort on behalf of all parties, but it is vital to create an honest, open and respectful environment; one that supports and encourages everyone to speak their mind. In order to resolve these challenges, as external advisors, we can mediate with all family members, regardless of role or seniority, to feel empowered to raise issues close to their heart and discuss frustrations they may have.

Opening the lines of communication When things are going well, business is booming, and staff and customers are happy, working with relatives can be a wonderful thing.

But when times are tough and questions are being raised, it’s rare that people sincerely speak their minds. They agonise over possible fall outs.

They worry about hurting others’ feelings as they fear this may cause bad blood, at work and at home. Any rifts between family members working in the business and those outside of it can also have potentially damaging consequences.

What’s needed is a healthy, safe and welcoming environment where the ‘elephant in the room’ can be addressed. Issues need to be swept out from under the carpet and any ill feeling towards other family members must be resolved. Finding harmony, however that might manifest itself, is essential.

We enable families to talk to each other; no matter how difficult or awkward this may be. By facilitating an environment whereby everyone’s point of view is heard; gets to have their say in confidence without fear of resentment; with cards on the table, we can begin on the path to resolution and plan for the future.

experts

Resolving Overseas Disputes, Post Brexit James Cradick details the process of arbitration, fast-becoming the preferred

James Cradick Freeman Thomson Snell &Speechlys Passmore Charles Russell Specialism Dispute Resolution Profile James is a recognised litigation and international arbitration lawyer with a proven track record of successfully resolving complex commercial disputes. www.ts-p.co.uk

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For any business, litigation is an expensive and time-consuming process. For small to medium sized businesses (SMEs), where time, money and staff are at a premium, the resolution of disputes in an efficient and cost-effective way is essential. The litigation process is inevitably further complicated where the parties to the dispute are based in different countries.

In today’s global economy, particularly with Brexit approaching, many UK businesses are seeking to diversify into new and less familiar overseas markets.

Thought needs to be given at any early stage to what happens if a dispute arises.

There is limited purpose in negotiating a lucrative contract with a new overseas supplier or customer if the obligations in the contract cannot be enforced.

When an international dispute arises, it is necessary to consider at the outset which country’s courts and law applies to the dispute.

Whilst most commercial contracts will contain a dispute resolution clause dealing with these points, too often this can be overlooked in the rush to get the deal done. Where no such clauses exist, parties will be left relying on complicated rules and previous case law for resolving conflicts of law and jurisdiction issues.

This lacks certainty and, worse, can lead to small to medium sized businesses facing litigation in an unintended overseas jurisdiction to protect its legal rights.

Whether a contract is governed by one country’s laws rather than another may mean the difference between total success by one party or total defeat. It may be the case that one country’s law does not recognise a particular course of action or provides the defendant with a complete defence which is not available elsewhere.

For most SMEs exporting into new overseas markets, the prospect of litigating in a different country before unfamiliar

Courts, applying unfamiliar local law, in proceedings conducted in a different language, is daunting.

There is an alternative. International arbitration is an established and increasingly preferred method of resolving disputes involving commercial parties in different countries.

Arbitration is similar to domestic court litigation, but instead of taking place before a court it takes place before private adjudicators known as arbitrators. It is a consensual, neutral, confidential and enforceable means of dispute resolution allowing parties from different legal, linguistic and cultural backgrounds to resolve disputes in a binding manner.

Arbitration will usually be quicker and more cost effective than litigation through the court. Limited grounds of appeal in arbitrations also provide finality and certainty for the parties.

The parties have great flexibility to decide on the methods by which the dispute is resolved, tailoring the procedure to their own requirements. The procedure can be as detailed or as short and simple as the parties decide. The parties can choose to adopt a set of pre-existing procedural rules prepared by organisations like the ICC or the London Court of International Arbitration or can agree their own bespoke procedure.

Arbitration allows the parties to agree where the dispute is heard, which law applies and what language the proceedings should be in.

This flexibility can result in significant costs savings. For instance, the parties can agree to limit or dispense entirely with exchange of evidence, dispense with an oral hearing and rely on written arguments only or avoid costly expert evidence by nominating an arbitrator from industry who has the particular market expertise needed for such an instance..

Illustration by Rhian Stone

method of resolving foreign disputes- especially with Brexit on the horizon.

experts

As opposed to litigation, arbitration falls outside of most of the issues Brexit creates, particularly in relation to enforcement. This gives SMEs contracting now more certainty in the short to medium term as to how any potential future cross border disputes will be dealt with.

Court judgments are generally only enforceable in countries with reciprocal enforcement arrangements. By virtue of Regulation EU 1215/2010 (Recast Brussels Regulation) there exists a principle of mutual trust and recognition between the courts of EU members. This means

judgments rendered by the UK courts are automatically recognised and enforced in other EU Member States, and vice versa.

Brexit deprives the UK of the mutual applicability of EU Regulations, which may create confusion regarding the enforcement in the EU of UK judgments.

Arbitration awards are enforced internationally under the New York Convention 1958 which will not be affected by Brexit. Subsequently an arbitration award can be readily enforced in some 150 plus countries who are party to the Convention.

It is important for businesses to include arbitration agreements in their contracts, so that if a dispute under the contract arises both parties are obligated to arbitrate rather than to pursue traditional court litigation. This can be achieved by a short standard clause.

It is possible for a dispute to be referred by agreement to arbitration after it has arisen. However, by that stage commercial relations may be strained and both parties will be seeking to pursue matters in the forum most favourable to their case www.ts-p.co.uk

GENERATION AUTUMN / WINTER 2018

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experts

Wasim Ahmed Trade & Merchant Finance Brokerage Specialism Business Finance Expert Profile Wasim Ahmed is the MD of Trade & Merchant Finance Brokerage, with 20 years’ experience in Banking & Finance. Wasim is an expert in SME Finance and has extensive experience of financing business of all types & sectors. www.tmfbrokerage.co.uk

considerations that should be taken when setting up a business Whether it is a corporate firm or public limited company, whenever a business is set up, there are some important aspects that need to be given due process & extensive consideration.

Key Considerations: • • • • •

•

•

What does the role of chairman entail? Who will take the role?

Will the role be for life?

What are the advantages & disadvantages of the role?

What is the role of a CEO, and who will take it on?

What role do directors play – what are their powers, limitations, and who will they be?

What is the role of the shareholders?

Who will they be? What will their rights, powers, and limitations be?

Succession planning – who will be the successor?

However, the reality is that these considerations are equally important in a private limited firm and especially in family owned businesses. In fact, I must stress that it is even more important for family owned & oriented business, as families have to maintain good family ties outside the business parameters.

Sadly, too often these important aspects are not given due consideration at the outset and hence, they create significant problems. In many instances this has resulted in either demise of a successful business enterprise or worse, which is to say families have been torn apart. In many of these instances the damage is often unfortunately irreversible.

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“

As the business grows beyond its humble origins, the spirit and ethos for which it was created has got lost somewhere along the line

This in itself can sometimes create potential disputes among those who are simply shareholders, and the executives (directors who also hold shares). The complete list of disputes is endless and beyond the scope of this article. However, to give a taster, the disputes could range from distribution of dividends, level of dividends, who is hired/fired, the direction a business is going, and who will potentially take the reins of the business from the next generation (family politics/ nepotism vs competence).

Though these issues in an ordinary corporate environment might seem simple and logical, but given the family business scenario the same issues can become complex and convoluted. Because all of the individuals usually involved in the process are close relatives, these matters spill out of a boardroom environment into

“

When building a house, the strength of the foundations determine the size of the building structure that can be built upon them

“

Wasim Ahmed details the key

A recent study by PWC Global have found that 71% of family firms haven’t adopted any procedures for resolving family conflicts between family members*.

As a corporate Finance Brokerage we get involved with helping finance management buyouts for SMEs. Commonly, the shareholders of a family business are predominantly made up of family members. However, all of the shareholders might not be involved in the day-to-day running of the business, i.e., as executives, directors or managers.

“

How to Protect Your Family Business

family homes and sadly in many instances with courts etc. As the business grows beyond its humble origins, the spirit and

experts

ethos for which it was created has got lost somewhere along the line.

So what is the remedy? What safe guards do you have? Again, a complete list of possible remedies is beyond the scope of this article. However, I will leave you with this thought as a starting point: 1. Article of Association: this document sets out parameters (foundations) of how a company will be run, governed & owned. The articles can put restrictions on company’s powers (By default, the Companies Act, 2006 gives a company unlimited powers). For example, the articles of association will set out which decisions the directors can make and which are reserved for the shareholders.

The articles are a public document.

2. A Shareholders Agreement: is another key document which should be considered in addition to the articles, to augment & reinforce the articles in context of the running, governance and ownership.

Illustration by Rhian Stone

3. Other governance measures may include: (a) Setting up a Family Advisory Board, (b) Establishing Business Relationship between family members, (c) Developing Family Employment & Training Policy, (d) Assembling a board – including non- executive directors.

Remember, just like when building a house, the strength of the foundations determine the size of building structure that can be built upon them. The foundations of a business are no different; they need to be strong and solid so that they can support it, help it sustain and allow it to grow and flourish. A family’s unique network is the famework that provides your business with the surefooting it needs.

Therefore, to ensure this solidity, due attention needs to be given to these key documents- doing this, coupled with adopting other governance measures, will help protect the business as much as possible and provide a solid basis for both you and your employees to to grow *Family Business Survey - PWC Global

www.tmfbrokerage.co.uk

experts

The Drop-Dead Plan - Beyond the Will Why it is important for a business owner to have a good end of life plan, and insist that all the other members of the family have one too

Jane Duncan Rogers Before I Go Solutions Specialism Bereavement and Grief Profile Jane Duncan Rogers is founder of Before I Go Solutions, and author of ‘Before I Go: The Esssential Guide to Creating A Good End of Life Plan’, and ‘Gifted

By Grief’. She offers onand- off-line courses in the Before I Go Method; and also professional trainings.

Illustration by Rhian Stone

www.beforeigosolutions.com

experts

“

The more you tidy things up before you go, the less there is for someone else to clear up after you have gone

“

So what exactly is an end of life plan, and why is it so unequivocally important for family business owners?

This plan is a series of documents that will bring you and your family peace of mind now, give comfort later after you have gone, and protect your business as much as possible in the stormy waters of grief after you or another key member of the business passes away.

For make no mistake, the often discombobulating effect of grief can cause many to make serious errors when

it comes to decision-making, affect work performance, and, in the case where end of life plans aren’t done, cause many more days off work than would otherwise have happened. Studies have shown that 85% of management level decision makers indicated that their decision making ranked from very poor to fair in the weeks or months following a loss.* For business owners, there are seven components to a good end of life plan: Your legals – the will, the powers of attorney (enabling someone else to act on your behalf, both financially and medically) and the advance directives (the document that states what treatment you would NOT want towards the end of your life. You probably didn’t know about that last one – only 4% of people in the UK have completed one.

“

How do you want to be remembered, and in what way?

What do you want to leave behind?

“

In Western society today, the way in which death care has been professionalised has rendered the rest of us amateurs, left wondering what on earth to do when someone dies, even when it was expected.

Yesterday, I had a call from someone in our local community, who had been by the bedside of a good friend who had just died. He knew only that she had wanted cremation and he was ringing me to find out what to do next. How has it happened that we don’t know the next action to take after someone has died? How is it that we are left high and dry, posing difficult questions such as ‘what kind of coffin did he/she want?’, ‘did they want to be cremated or buried?’ and ‘how did they want their body to be dressed?’

These questions, along with others, were ones that I asked my husband and business partner before he died, six years ago. I didn’t want to ask him, it felt a bit gruesome. He was suffering from stomach cancer and we knew it would only be a matter of months.

But a friend insisted strongly that we did.

I wrote about these questions in Gifted

By Grief and the reaction to this particular chapter surprised me – it appeared others wanted to answer these questions too.

This resulted in me founding the social enterprise, Before I Go Solutions, dedicated to helping people feel more at ease with talking about the naturally intense topics of dying, death and grief, and enabling them to create great end of life plans.

Your living legacy – how do you want to be remembered, and in what way? What do you want to leave behind? This is your opportunity to give the younger generation both at home and in the business the benefit of the lessons you have learnt.

Your business continuity plan - without this (and that means an agreed-with-allfamily-members version of it), you are most likely going to be either selling your company, knowing it will be sold upon your death, or just hoping it will continue. This part of your end of life plan is as crucial as that.

The moral of the story is posed in another question: Ask yourself ‘ what would happen to the business if I had died yesterday?’

Because your answer will tell you how well prepared you are - or not *Source: Grief Index GriefRecoveryMethod.com www.beforeigosolutions.com

Your last days – Covering where you wish to die, the atmosphere you want around you, and also anticipatory care information (for if you are already ill or on medication of any kind).

Your household – home financial affairs, organization of how the home runs, and decluttering, aka death cleaning. The more you tidy things up before you go, the less there is for someone else to clear up after you have gone.

Your funeral – did you know you don’t have to have a funeral? In fact, all that legally has to be done is to have the body disposed of in the correct manner.

Everything else is entirely up to you – but currently you will end up with paying for a funeral director to take care of everything because that is what most people think has to happen. Not that this is necessarily a bad thing – but it may not be your choice.

Your digital life – you will continue to live in the online world if you do not attend to this in advance. Simple as that. Is that really what you want?

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expert

Paul Sawbridge explores an

Specialism Hospitality & Travel

future of your business

Profile Paul Sawbridge is the former Chairman of Alfa Leisureplex Group, a hospitality and travel business employing 670 staff which converted to a 75% EOT in 2015. www.alfaleisureplex.co.uk

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alternative method of ensuring the

All family businesses sooner or later have to face the challenges involved in transferring ownership from the founders.

Though the process is always a daunting one, the issues are usually the same for everyone: preserving the legacy and ethos of the business, maximising effective proceeds for the founders, minimising tax leakage during the transfer and ensuring the new structure is not overburdened with debt.

The easiest solution for smaller businesses (and sometimes even for very large ones), is often a handover to the next generation. But sometimes the next generation is not keen to take over.

Perhaps they have seen their parents working very long hours or are just sick of those interminable dinner time conversations about the business.

Perhaps they just have a passion to do something completely different.

If all family members wish to exit, a trade sale will normally produce the highest headline price. Private equity tends to result in a slightly lower price and also has a reputation – sometimes deserved for sucking a business dry and destroying its legacy. A flotation will overwhelm all but the doughtiest of founders (and all but the largest of businesses). For many a management buy-out (MBO) is likely to be the best option, but changes in relative status of management and family members after an MBO can be difficult if some family members wish to remain.

An increasingly popular way of preserving the founders’ legacy is to sell some or all of the business to its employees. The employee ownership

“

In the UK over 300 businesses...are now wholly or substantially employee owned

distributes them to employees. Provided the method of distribution meets certain, though not very onerous rules, up to £3,600 per employee can be paid free of income tax. With John Lewis, the dividend is declared as a percentage of salary. In other cases, the dividend can be a fixed amount per employee regardless of salary.

Which criteria are used is a matter for the trustees but should be designed with the needs of the business in mind. For example, a business needing to recruit a lot of employees at relatively low rates of pay could well decide to adopt a flat structure which will maximise the incentive for the lowest paid staff. The need to ensure such

Illustration by Rhian Stone

Paul Sawbridge Alfa Travel

“

Employee Ownership as a Succession Model

(EO) model is a very flexible one which can accommodate a mix of family, management and employee ownership.

This can enable some family members to take cash out while permitting others to retain ownership. Management incentives can be incorporated into the structure and incentives for staff can be pitched at either the individual or collective levels or a combination of the two. Generally, EO results in a slightly lower headline price than a trade sale but the tax advantages mean the net proceeds are usually higher.

In the UK over 300 businesses employing over 200,000 people are now wholly or substantially employee owned.

Employee owned businesses tend to be more productive, have better staff retention, are more attractive to jobseekers and more trusted by consumers. Their staff are more committed and engaged. The sector has grown dramatically in the past decade, partly because of tax incentives introduced in 2014/2015 which enable owners to sell a controlling interest to an Employee Ownership Trust (EOT) free of Capital Gains Tax (CGT).

An EOT is an indirect type of employee ownership where shares are held by an independent trust on behalf of all employees; it is often called ‘the John Lewis Model’. Dividends are paid annually from the company to the trust which then

expert

a business remains entrepreneurial can be addressed by other management incentives such as an Enterprise Management Incentive scheme.

An EOT is not the only form of employee ownership and several employee-owned companies operate a direct model of ownership where individual employees own shares in their own name, usually through a Share Incentive Plan (SIP). This gives a stronger interest in the long-term growth of the company and enables staff to view their shares as a ‘nest egg’. It also does not qualify for the CGT relief given to vendors for the sale of a

controlling interest to an EOT. Some companies operate both types of employee ownership scheme simultaneously, with the trust acting as market maker for individual sales of both employee and EMI or SIP shares.

The best ownership structure for a given business will depend on the type and size of enterprise, its growth prospects and the overall nature of the workforce.

In industries with historically high staff turnover, people are less likely to be interested in the long- term build-up of capital that is associated with direct share ownership but can be very incentivised

by the annual tax-free dividend from an EOT. A stable blue-collar workforce in a manufacturing business is more likely to appreciate the benefits of long term capital growth associated with direct ownership.

Employee ownership is not a panacea and is no substitute for energetic and far-sighted management. But it is unquestionably what psychologists call a ‘protective factor’ which makes an organisation more resilient because of the feeling of shared enterprise it generates among employees. It is an option no family business owner can afford to ignore www.alfaleisureplex.co.uk

Do you feel out of control? Are y requests and sorting local marke

Mediab Matthews helps you every step of the way and can further develop specific solutions for your marketing and print requirements. We are constantly evolving and working in partnership with our clients to make your life easier.

Gemma Firth Business Development matthews-printers.co.uk

So get in touch with Matthews today and bring your business online with your own personalised Mediabridge.

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Where you store and catalogue your specific assets. Images can be tagged to relevant users and are downloadable in the correct resolution for the required media use. Uploading to Facebook is also a key feature that can be utilised if required.

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Enables head office to plan, schedule and customise all promotional campaigns including special events. It can be accessed and viewed by all employees or just a select few.

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For internal and external use, enabling the user to setup different form types whether for creative or corporate requirements. All of this is managed and monitored online with a variety of commands set up to ensure your teams remain efficient as well as providing an easy to use solution.

Provides an area for projects and best practice to be shared between employees. Head Office can utilise these modules as an easy and efficient way to communicate with your employees. Knowledge sharing and lessons learned are key aspects of the Hub.

prosperity

Sally Wilton talks The Lexi Cinema, social enterprises, empowerment, and the nitty gritty of doing good Sally Wilton Lexi Cinema Specialism Social Enterprise Profile Sally is a founder of businesses, dreamer of the dream that the world can be a better place and chosen family fan. www.thelexicinema.co.uk

At the age of 50, I was fortunate to sell my business to private equity. After 13 years of hard work and solid growth I wanted a change and, leaving my management team intact (albeit with a new CEO), seemed like a good plan. All the staff were shareholders through an employee share ownership scheme (which l recommend to any family business wanting to create a sense of ownership and belonging) and everyone walked away with some financial return but, as importantly, all with their jobs thoroughly intact.

Walking away from a business you started and nurtured from the start was a bigger challenge than I had expected, and it took me quite some time to get my life back on track. All my friends and chosen

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Money was like water it should not be hoarded and allowed to evaporate, but should be used to irrigate and grow

“

family still worked and my kids were grown and didn’t need my active presence; so I had to find something to do.

In December 2006 a close friend suggested l visit a fascinating project in South Africa; an eco-village called Lynedoch, where the most wonderful things happened and at the heart of which were children and the earth. We signed up for a 3-year involvement and a funding plan to build sustainability in everything, using some of the capital gain from the sale of my business. Our very wise design guru had always told me that money was like water - it should not be hoarded and allowed to evaporate, but should be used to irrigate and grow.

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We knew that eating into capital would only last so long, so creating a new profitable business was the way to ensure sustainability by covenanting all the profits to the project. But what business? In my very first interview when I started my first business I mentioned, in passing, that running a cinema would be a dream come true. So, I spent 18 months researching and receiving excellent wisdom from industry figures.

On Christmas Eve 2007, another star guided me to what was to become our very own cinema site. After arm-wrestling

“

Once people’s core needs are secure, they will benefit far more from a leg up than a hand out

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Using Business to do Good

negotiations, we signed and started work on The Lexi Cinema, opening our doors in September 2008.

In creating The Lexi and her popup travelling sibling, The Nomad, it made sense to embrace the social enterprise model - the triple bottom line. Social enterprise is a broad church but there is a clear intention to use part or all of a company’s distributable profits to do something useful - to use capitalism to do good, as Kofi Annan urged the developed world to do. Social enterprises are and have to be commercially run businesses as the intention is to maximise the bottom line to the benefit of beneficiaries.

In our experience, outside of emergency crises, once people’s’ core needs are secure they benefit far more from a leg up than a hand out. Whereas hand-outs can disempower and leave people feeling powerless and dependent.

Everything we have done is based on seeking to empower; and then have the pleasure of watching people grow and develop chieve. Education and empowerment lie at the heart of the South Africa charity- and we covenant 100% of our distributable profits toward it. Profits from The Lexi and The Nomad have supported a Montessori Baby unit, a pre-school creche, a dream space for teenagers, veggie gardens and the purchase of a small piece of land to keep

Illustration by Rhian Stone

the woodland and fynbos as play, shade and recreation areas in perpetuity.

We have always believed that business should give something back both to its staff as well as the wider community.

At the same time we allowed staff to volunteer their time at our expense to go into the community and seek out and help those less fortunate. We orchestrated a fast-track recruitment of local volunteers, subsequently winning accolades for our approach. And it is true to say that The Lexi and The Nomad stand on the shoulders of our wonderful volunteers, led by a core team of talented film experts.

We are a family; and every family member has been pulled in to provide database management, social media, event production, roadie strength and financial skills.

2018 is our 10th birthday - In a decade we have established ourselves as a much-loved local institution and a teeny neighbourhood cinema of the highest quality, which has bonded two communities across the world.

Through the enjoyment of film and the quaffing of wine, The Lexi Cinema has supported the most wonderful projects in Lynedoch Village.

As part of spreading the word to a wider audience, The Nomad pop-up cinema has screened films as far North as Gleneagles, and has roamed across many London landmarks from Belgrave Square to Brompton Cemetery, and even popped up at Bestival. The Nomad has also curated mini film festivals and premiere film screenings for exclusive gatherings, discretion and professionalism are core to our service. The ethos of generating profits that go to charity and straight to specific well-managed projects that can be visited and audited adds to the appeal. Why not enjoy watching a film and do good at the same time! We have changed lives and made dreams come true and had the most fun making a difference through business www.thelexicinema.co.uk

prosperity

What do the Wates Principles Mean for Family Businesses?

Simon Webley highlights the role corporate culture plays in shaping society and stresses the importance of supporting employee’s concerns in business Simon Webley Institute of Business Ethics Specialism Business Ethics Profile Simon is Research Director at the Institute of Business Ethics and helps a range of businesses with ethics and their organisations. www.ibe.org.uk

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prosperity

The Principles are: Purpose – An effective board promotes the purpose of a company, and ensures that its values, strategy and culture align with that purpose.

Composition – Effective board composition requires an effective chair and a balance of skills, backgrounds, experience and knowledge, with individual directors having sufficient capacity to make a valuable contribution. The size of a board should be guided by the scale and complexity of the company.

Illustration by Rhian Stone

Responsibilities – A board should have a clear understanding of its accountability and terms of reference. Its policies and procedures should support effective decision-making and independent challenges and issues.

Opportunity and Risk – A board should promote the long-term success of the company by identifying opportunities to create and preserve value and establish oversight for the identification and mitigation of risk.

Remuneration – A board should promote executive remuneration structures aligned to sustainable long-term success of a

At the time of writing this article, the principles were still at the consultation stage, but it is clear that the UK Government has a clear focus on improving corporate culture, whether a company is private or public. There are many large unlisted companies and they must all play a full and positive role in our economy and society. Mr Wates is himself chair of a family business, so is no doubt sensitive to the issues and implications for Generation readers.

To a certain extent, most family businesses may already have a clear sense of purpose, by their very nature of having been established by the family and having a clear sense of how the family’s values shape the strategy and culture of the company. However, especially as the company grows, it is important to articulate the purpose and values so that they are clearly understood throughout the company. An effective board promotes the purpose of a company, and ensures that its values, strategy and culture align with that purpose.

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The freedom to raise concerns without fear of retaliation is a core component of a supportive ethical business culture

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Wates, chair of construction company Wates, to carry out a review of corporate governance. The IBE’s Director sits on the committee which has drawn up six principles, known as the Wates Corporate Governance Principles for Large Private Companies. Large companies – including family owned businesses - will be encouraged to follow the six principles to inform and develop their corporate governance practices and adopt them on an ‘apply and explain’ basis.

Stakeholders – A board has a responsibility to oversee meaningful engagement with material stakeholders, including the workforce, and have regard to that discussion when taking decisions. The board has a responsibility to foster good relationships based on the company’s agreed purpose.

A further challenge for family businesses can be board composition. A balance of skills is essential for a board to be truly effective, but when family members make up a board, there can be a difficulty in ensuring diversity. Without a diversity of voices and viewpoints, it can make it harder to challenge decisions.

Having clear terms of reference and

effective policies and procedures is a given for any well-run business, but it is essential that the board ensure they have access to the right data and metrics in order to assess their company’s corporate culture. The IBE recently published a Board Briefing looking at what indicators boards can use to measure culture – for example employee surveys, exit interviews, speak up data and customer satisfaction. Engaging with stakeholders will

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A balance of skills is essential for an effective board

also help the board understand where there are areas of tension.

Having clear leading indicators will also help boards to identify and mitigate risks, as will an effective Speak Up procedure.

The freedom to raise concerns without fear of retaliation is a core component of a supportive ethical business culture – one where employees are confident they will be supported to ‘do the right thing’. But encouraging staff to raise concerns is just

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When listening to those concerns raised, investigating them and acting upon the information received are essential.

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It is important to articulate the purpose and values so that they are clearly understood throughout the company

company, taking into account pay and conditions elsewhere in the company.

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Following the highly-publicised failing of BHS and the implications for its pension scheme, the Government asked James

one step along the route to developing an open culture. When listening to those concerns raised, investigating them and acting upon the information received are essential. If companies do not support their employees in this way, they risk a concern becoming a crisis.

The Wates Principles are intended to help companies address issues such as remuneration which have led to a crisis of trust in business for society. They are intended to highlight the role corporate culture plays in shaping behaviour, reducing risk and motivating staff to deliver. Companies – whether they are family businesses or not – need to be aware of their impact on broader society if they want to protect and nurture their ever-growing franchise www.ibe.org.uk

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Family Mediation An Underused Resource?

Susan Kaye The Challenge of Excellence

of mediation - and the detrimental

Specialism Mediation

misconceptions surrounding it

Profile Susan Kaye is a trained and qualified practioner, specialising in relationship work; conflict management; values & strategic visioning; and family business advising.

As a family business advisor of almost 25 years, and therapist of even longer, I have ‘informally mediated’ countless numbers of disputes between couples, partnerships, families and business relationships. But these relationships have all been for and with clients who have wanted to retain and improve their relationships.

I came into the professional mediation world for several reasons. Firstly, through thinking about how many of my clients in therapy had, as children, been deeply and adversely affected by the end of their parents’ relationships, effects that lasted well into their adult years.

Secondly, through my work with family businesses, where poorly managed conflict so often plays an overarching role

www.thechallengeofexcellence.com

Illustration by Rhian Stone

Susan Kaye champions the benefits

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in many of their challenges. And finally, through collaborative work with lawyer colleagues who believe in, and encourage mediation as a benefit for clients in conflict. My concern is that too few people turn to mediation as a resource and too many turn to the courts.

Now, as a qualified family mediator I have come to appreciate how powerful and long-lasting a difference effective mediation can have on the lives of couples who separate, and the positive impact it can have for the lives of their children when they are involved.

Family mediation is not about counselling or therapy and it is not about reconciliation,

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Too few people turn to mediation as a resource and too many turn to the courts

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although a good family mediator will always be alert to that possibility and to onward referral. Neither is family mediation about legal or financial adviceit is not about advice at all. It is not about the past or who is to blame, it’s not about taking sides or being pushed into something you don’t want to do.

Quite the contrary: family mediation sits uniquely at the intersection between law and therapy, or counselling. These professions can (and do) play a relevant and valuable role for couples who are considering or going through separation or divorce, and subsequently

even some years after separation.

Broadly, family mediation is about maintaining a pragmatic, but creative focus on problem solving, and securing a better future. It is about enabling clients to have personal control over the direction of the process and ensuring they have all the information they need to make their own decisions. It is about enabling concerns, apprehensions and ideas to be aired and heard, such as – will I be taken advantage of? How will this affect the children? It is about helping clients know these feelings are normal; about finding new ways to co-parent after separation. Finally, it is about bringing, and nurturing a state of calm to enable all the above to happen as it should. And it is about dignity.

Mediation is not suited to everyone, but the Ministry of Justice reported in 2013 that seven out of ten couples who opted for mediation reached an agreement.

So why don’t more people opt for it? Why do they use the courts instead, which costs more, takes longer and where decisions are out of their control and the whole family is adversely

affected? Why is mediation resisted at all?

When we are angry or hurt by another, we often want someone to blame for what has happened. We don’t want logic, even when we know that logic is the sensible route to go. We feel a need to fight … for justice, because we are right and the other is wrong, and we are not in the mood to be calmed. We want someone to agree with us, we don’t want to cooperate or problem-solve, we certainly don’t want to compromise. These are all normal reactions in the human psyche and it makes sense of why the courts are so busy. Even if we are aware our children our distressed, we can still come up with a multitude of reasons as to why we should retain the position we have because the children will actually be better off, because we are right.

But what we really need in a conflict, is to feel heard and until we do we remain angry or frustrated. No alternative suggestions can be tolerated. The entrenched positions we hold are extensions of our real interests- for example, the real interest behind ‘I want the children every weekend’ is commonly ‘I want to be a good father/mother.’ But will the courts take this perspective?

Unlikely. Family mediation does, and effective mediation can assist clients to feel safe enough to reveal these interests so the more pragmatic work can begin.

In summary, divorce or separation does not have to be ugly and it does not have to leave damage in its wake. Family mediation helps couples part with dignity and with hope for the future. It helps them learn new skills, it helps their families and particularly the children to manage change productively in their stride, and importantly it offers children ‘a voice’ in the process. If family mediation was better understood as the caring and worthy profession it is and for its practices and principles, I believe many more people would choose it and be able to move on, more quickly, more skilled and more ready to pursue happier systems of living thechallengeofexcellence.com

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The Pains of 2nd Generation Wealth (and why nobody understands them) Nicholas Charles explores being a second-generation business leader and the journey to finding your own purpose Nicholas Charles The Charles Group

Specialism Family Business Prosperity Profile A Fellow Chartered Certified Accountant, Nicholas specialises in family prosperity services, property tax planning and asset protection. www.charlesgroup.com

Confused, alone, in darkness and unsure about the direction of my life. This is not only my story, but what I have discovered to be a story that resonates with many other second-generation children of wealthy families.

Initially I felt my purpose was to go to university, get a good qualification and then pass my professional accountancy exams first time. Although this stage of my life was difficult, (university was boring, and the exams were tough) – I had a

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In reality, I felt trapped, filled with despair, devoid of purpose and burdened by expectation

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target and a goal, and this drove me to achieve what I felt at the time was success.

The problems began when I ‘reached’ my goals. I did not know what to do with myself- I simply “fell” into the first job I found and at a blink of an eye, three years passed in my life.

I fell into a zone that is so dangerous that it makes you feel stale and lethargic as it drains all the energy in your life – the comfort zone! I ended up working in my father’s business, something which I never wanted to do.

From the outside it appeared that I had no financial problems and a guaranteed job, so how could I have had any problems? In reality, I felt trapped, filled with despair, devoid of life purpose or vision, and burdened by expectation.

I had nowhere to go, and I felt nobody understood my position. You see my father came to this country in his early twenties with just the clothes on his back. This gave

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him the drive and ambition to become the self-made success he is today. He worked hard to be able to provide for his children the life he never had, and he succeeded.

When I grew up I experienced my father’s success evolving. I remember him coming home with his first luxury car which had electric windows and how amazed both my sister and I were to see this ‘phenomenal’ piece of technology. I had a great upbringing, I went to good private schools, I always had food on the table, I didn’t come from a broken home and I always spent our summers in our holiday home in Cyprus. I had an easy life.

However, that creates different problems, as I would soon realise growing up.

What was immediately apparent to me was an in-built fear of loss and failure that has remained with me until today. My great-grandfather was very successful and business-savvy in his day. Based in Cyprus, those that controlled the land controlled the wealth (which is not too dissimilar from today), and he controlled virtually all the land and the produce it created in his Cypriot village of Dikomo (today called Dikmen in the occupied area of Cyprus.

His son inherited a great fortune, but unfortunately, he didn’t have the stomach for business - in fact he didn’t want to learn about finances. He gave away most of the land he inherited to his children and what remained he squandered. By the time my father was seven, the wealth had gone.

My father became a self-made entrepreneur, so I had the burden of thinking that historically, in accordance to our family cycle, I was due to lose it all. My worries of this were compounded when I discovered extensive research on ‘generational family wealth’ which confirmed that 70% of family businesses

prosperity

lose their wealth within two generations and 90% lose it all within three!

I was desperately searching for ‘a solution’, but being lost gave me a reason to look for something better. I trained myself to become an expert in my field, to experiment and make the necessary mistakes which has made me the person I am today. As someone who calls himself second generation wealth, I had to discover something which comes very naturally to self-made millionaires (first generation wealth) and that is ambition!

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Illustration by Rhian Stone

I found my purpose. I learned about property investing and grew the family portfolio four-fold I realised that I had to learn and improve myself or be forever stuck in a lifelong rut- so rather than fight my situation I chose to embrace it instead.

I identified a massive gap in the market for collective professional services, with empathy and understanding of tricky family dynamics - and my background had given me the insight and knowledge of the struggles and pressures of being second generation wealth.

I found my purpose. I learned about property investing and grew the family portfolio four-fold, creating a business that understands this and provides bespoke solutions that meets our clients (families’) specific needs. By helping our clients communicate and understand each other’s value systems, they become empowered to keep and are therefore able to expand their wealth for generations. Just as importantly, we ensure that the existing advisors are aligned to work cooperatively in order to achieve the family’s vision.

This forms part of our strategy that helps ‘bridge the gap’ between families and their advisors.

I have now successfully built a wonderful team that has enabled my company to become an exciting hub for auspicious high net worth individuals and families- and am now using my personal experience and expertise to help facilitate the business of being a family www.charlesgroup.com

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Anita Brightley-Hodges, discusses the value of family businesses granting their staff 10 days extra Anita Brightley-Hodges Family Business Place Specialism Family Business Advisory Profile Anita helps family businesses overcome the issues and challenges they face around succession and next generation integration into the business. www.anitabrightleyhodges.com

leave to give As a child my father instilled a passion in me for sport and travel, indeed I grew up wanting to be aboard Jacques Cousteau’s vessel Calypso, bravely battling the harsh and open seas. However it was not to be.

Instead my career has been an exciting roller coaster of ideas and experiences, running small, boutique, businesses employing no more than 12 people at any one time. In 1990 I began a successful award-winning international branding and design agency which, with much hardwork, fun and devotion, I nurtured for over 25 years.

Whilst waiting to take a brief from the communications team at Great Ormond Street Hospital for their annual report, I noticed a leaflet asking for fund-raisers to Trek the Namibian Desert. I didn’t know a soul but I was compelled to sign up for the exploration of a lifetime. It was there that I learnt self-reliance and developed a passion for adventure. The rest, as they say, is history.

Next came Machu Picchu. There I was, out of breath, trudging through the pouring rain, my boots squelching the muddy ground that I thought: here am I having the time of my life, raising funds for equipment for Great Ormond Street, just by taking 10 days out of my busy working life. If I can do this, in my small business, then why not others?

As soon as I returned to the studio, I asked my team if anyone would like to take 10 extra days as paid leave in order to make an impact on someone else’s life; my web developer took up my offer and, hey presto, raised enough funds to go to Rwanda and help build a school in one of the

poorest rural communities. I remember the pride in his voice when he told me ‘I’ve made a link for life’.

Since then I’ve set up the scheme My Ten Days, an organisation that works with businesses and charities to progress their corporate social responsibility by offering their staff just ten days to do something amazing, either here at home in the UK or overseas. We have had some amazing success stories over the years with family business owners and their employees who have embarked upon a journey that not only changed their lives but the lives of those most in need. I am proud and delighted by each and every one of them.

For our part we now use these 10 days to raise funds to build fresh borehole wells in deepest, rural Uganda. Our campaign WellGood is in partnership with Fields of Life and helps bring water, healthcare and education to those who most desperately require it. To date we, with many other family businesses have built over 30 borehole wells.

Each well saves the lives of between 200 and 2000 people in a village.

Considering that 115 people in Africa die every hour from illnesses due to poor sanitation, hygiene and contaminated water*, I say that we are making an impact for the better and what’s more there is further work we can do. There is no reason why anyone in 2018 should live in poverty, yet thousands suffer daily. Despite losing my first business in 2010, I have continued to contribute to and develop initiatives that provide a life for those that are less fortunate than myself.

I count my blessings that no matter how bad things get, there are others out there who are facing a much harsher reality. A reality that, if we can, is our duty to alter. Roll on the next 30 wells and while I may never have embarked upon the Calypso, I encourage anyone to cross the seas in the search for altruism * http://www.un.org/waterforlifedecade/ africa.shtml For more information on how you can give back go to http://www.mytendays.org/ For advice on your family business visit www.anitabrighteyhodges.com

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Illustrations by Rhian Stone

Never Stop Giving

prosperity

Selling a Family Business; Preparation is the Key to Success

Hakan Winter HW Partners Specialism Strategic Advisory

Hakan Winter, Strategic Advisor,

Profile Hakan Winter is an independent advisor who has more than 25 years’ experience providing strategic advice to family-owned companies.

offers valuable expertise for the momentous decision of selling your family business

Illustrations by Rhian Stone

hwinter@hw.partners.com

Selling a first, second or third generation family business is a momentous step.

A life’s work is about to change hands against a background of personal history and possibly in the midst of some often powerful emotions too.

Starting the conversation about selling a family business early has many benefits. The different stakeholders get the opportunity to voice their thoughts and concerns, and gradually move towards a common view of what needs to happen with the business and how it should be done. This is important not only for the process of selling itself, but also for the greater good of maintaining family unity after the transaction has taken place. Given enough time, a trusted outsider may be able to mediate between different interests that could otherwise be hard to reconcile within the family.

The business itself also needs time for preparation, because all businesses come with unresolved issues. I recommend that the first step should be a strategic review of all aspects of the business, combined with the kind of due diligence exercise any professional buyer, would be expected to undertake. This will help identify all issues, whether strategic, financial, operational, environmental or any other, that may have an impact on the desirability and valuation of the business, and on the feasibility of the transaction itself.

By starting early enough, there will be time to identify and implement solutions for, if not all, at least for most issues. It also ensures that the business in its entirety will be well prepared for the transaction, allowing the process to run smoothly and without unnecessary interruption once it starts. This has the important effect of allowing management to focus on growth, margins and operations without unnecessary distraction, while the process is going on.

There is a strong, direct link between preparing the owners and management for the process, and maximising value and the likelihood of achieving a successful transaction. Disagreements between family members, weaknesses in the business case, surprises and delays tend to cost the seller(s) time and money in M&A processes and can sometimes even make buyers lose interest altogether.

As a rule of thumb, I would encourage any family to start actively preparing for a sale ideally two or three years before it is supposed to take place. That provides between one and two years to make sure that the family and the business are as prepared as they should be, and up to one year for securing the best possible price and other terms. Negotiating the final price and contract terms under time pressure is never a good idea.

The option of selling a family business can only be exercised once. Having time on your side and using the right process helps maximise both value and the likelihood of success while maintaining family unity hwinter@hw-partners.com

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Celebrating 10 years as the home of family business TM

Jonathan Wild is the third generation of his family to lead Betty’s & Taylor’s of Harrogate, one of the country’s most respected tea and coffee merchants.

Northern Family Business Conference 2018 Food Glorious Food On 23rd May 2018, family businesses of the North headed to Bowcliffe Hall for the 4th Northern Family Conference to celebrate all things food! Our wonderful speakers shared their fantastic experiences on starting and growing their business and into legacies that have lasted through the generations. With exhibitions from Mason’s Gin to Shepherds Purse, the day was a roaring success, epitomising what makes family businesses so special.

Lucy and Keith from Sis4ers Distillery and Seven Bro7hers provided insights into how they built their brillant brands with their seven other siblings.

Situated 4 miles south of Wetherby, Bowcliffe Hall was built between1805 to 1825. Whilst it’s manicured lawns and exterior lends itself to the atmosphere of a Jane Austen novel, it’s modern amenities including the Blackburn Wing provided the perfect backdrop to our lunch.

And the most charming smile award goes to...baby Hendrix, the third-generation of Family Business Place.

Judy Bell MBE, revealed the secrets of her award-winning business (Shepherds Purse Cheese) a pioneer in dairy alternatives.

Considered a ‘paté alchemist’ Margaret Carter and her partner Jenny (Patchwork Paté) have won numerous awards of note including Golden Fork.

Amalia, Anita & Hendrix introduced the day and discussed how being a family not only strengthens Family Business Place but allows them to understand the challenges that arise when working with loved ones in a demanding environment.

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Self-proclaimed ‘calculated risk-taker’ Jonathan Turner gave an inspiring talk on how he expanded his business (The Bayford Group) into the European market.

Thank you to our supportive sponsors:

Nigel Murray’s long career within the food industry meant he was the perfect person, alongside Edwin Booth, to lead the North’s beloved retailer Booth’s.

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Developed in Yorkshire by Karl and Cathy Mason, witth no prior knowledge of distillery, Mason’s Gin uses a slow distillation method combined with Yorkshire water and botanicals to create a distinctive taste that is flying off the shelves.

GENERATION AUTUMN/WINTER 2014

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Marketing that produces real results?

Don’t make me laugh.

Well it’s true. The days of spending out on print adverts hoping it makes some small difference are gone. We do our homework. We look at your audience, your competitors, we identify and assess your strengths and weaknesses. Then we use this information to develop your key messages to ensure your adverts resonate with the right people and really pack a punch.

Not only that, but we as an agency are a down-to-earth family ourselves. We’re grounded, passionate and don’t buy into marketing spiel. We keep it simple and effective. We bring real value to your business, working with you to get under the skin of what you need to say, and how and where you say it.

Call us today to see how we can help you

01634 671167 | zesttheagency.com

Marketing Creative Digital PR Social

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Top 10 tips on how to maintain a healthy marketing relationship So you have chosen a new marketing partner; the relationship feels right, the ink on the contract is dry, and it’s time to kick-off activity.

One question we are often asked is how long should it take to see ‘results’? Claire Kidd, Client Services Director at Zest, explains how to keep your marketing relationship in shape.

Agree on regular reporting The short answer is that your marketing partner should be in regular contact with successes and campaign-generated data. Decide how you want to receive this information and how often. Reports should be aligned to key performance indicators (KPIs) to measure marketing effectiveness against overall business goals, so the bigger picture is always in sight.

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Don’t get overwhelmed by data Software such as Google Analytics means it is now easy to download reams of data. However, specify to your marketing partner what you want them to highlight and keep it high level. Ensure you are not being overwhelmed by the sheer quantity of data and importantly, that this isn’t masking an accurate overview of marketing performance.

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Apply results to your business Ask your marketing partner to provide a summary of what the data is showing you, and how this contributes to your business plan. Rather than leaving you staring at graphs, they should be making these connections. Has increased web traffic led to a increase in bookings, or a piece of PR coverage resulted in a flurry of inbound enquiries? Marketing needs to have a tangible effect on your business.

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Quality over quantity Businesses often make the mistake of thinking more equals better, but lots of followers on social media is irrelevant if they’re not the right demographic of people to be converted into consumers. Targeted activity always lends itself to better results.

Provide continuous feedback If a customer comments on your new branding, pass the news on! It may seem like a passing remark, but your marketing partner will love to hear about it.

Anecdotal feedback is often representative of a wider external perception and can help to build a more well-rounded picture.

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Impatience can be damaging Marketing constitutes an investment for any business, and it is understandable that you want to see results immediately. However, remember you are experts on your family business and you will need to download and impart often generations of information. A learning curve is inevitable for any marketing partner to function as a true extension of your business.

Keep in touch Communication is key to all partnerships, whether to address emerging frustrations or just for a chat. Lack of contact with your marketing partner coupled with an underwhelming end-of-month report doesn’t underpin a healthy relationship. Regular conversations mean you understand the justification behind activity and supports continuous improvement.

Mistakes come with experimentation Richard Branson said: ‘One thing is certain in business. You and everyone around you will make mistakes. When you are pushing the boundaries, this is inevitable’. Marketing should include experimentation – if a campaign doesn’t go as expected, use this as an opportunity to eliminate, refine and re-focus activity.

Set realistic expectations A double-page feature in the Telegraph is the equivalent of a marketing unicorn, but that doesn’t mean the phone will ring off the hook. Marketing works best when there is a mutual investment of time and knowledge, and an accumulative build-up of integrated activity at the right time can achieve a big impact.

Don’t confuse learning for failure At the beginning it might seem a little frustrating as you both embed into a new working relationship.

Your marketing partner is already an expert in marketing but ensure they have the space and support to learn how to become experts in you.

Only then, will the activity evolve and flourish.

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reviews

Pure Gold, David Gold As the owner of Ann Summers and joint Chairman of West Ham United, the autobiography of David Gold isn’t the gilded existence you’d perhaps expect. A true rags-to-riches story, this insight into the life of one of the UK’s most famous family business leaders is amazingly candid- full of devastating lows and triumphant highs, Gold holds nothing back.

Beginning from a poverty-stricken youth in London’s East End, Pure Gold chronicles Gold’s long journey up the ladder. Running the gamut of flawed father figures, betrayals, lost loves (on one occasion, all three at once!), airplane tragedies, business relationships, decisions, successes, court conspiracies, lingering Puritan values, finding love, daughters in business, and of course, football; it’s clear that Gold has led a life as rich as his name would suggest.

An enduring family business classic, Pure Gold is a fantastically deep, emotive, and above all inspiring read, absolutely deserving of a revisit. www.davidgold.co.uk

Killer Intent, Tony Kent Pacy, visceral, and refreshingly immersive, Tony Kent’s debut novel is a scarily plausible political thriller that breathes new life into the genre. As a criminal barrister with a past as a professional boxer, Kent’s background lends itself to giving Killer Intent real authenticity, both in its intense action and its unravelling of the intricate crime conspiracy at its heart.

Beginning explosively with a political assassination in Trafalgar Square, the plot jumps between Joe Dempsey, a single-minded intelligence officer, Sarah Truman, a CNN reporter in way over her head, and Michael Devlin, a criminal barrister with a secret past. As circumstances draw them together, each are confronted with just how far they are willing to go to bring those responsible to justicebut with the mysterious assassin Joshua lurking behind every turn, it’s quickly clear that no-one is safe. A thrilling read that explores themes of violence, terrorism, organised crime, conspiracy, betrayal, and political strife, Killer Intent is far too intriguing a read to put down- not, of course, that you’d want to. www.tinyurl.com/killerintent

Gifted by Grief, Jane Duncan Rogers At first glance, you may mistake this book for everything it isn’t. It isn’t, for example, a self-help book; it doesn’t proclaim to have all the answers, nor does it feature a by-the-numbers emotional walkthrough to dealing with the loss of a loved one.

Instead, Gifted by Grief invites us to share in the experiences of Jane Duncan Rogers, centred around the lead-up and the aftermath of the death of her husband, Philip. At once contemplative, raw, and deeply emotional; the book is a journey through Jane’s struggles to come to terms with loss, grief, and fear of the unknown- and how that struggle led her to eventually accept and embrace them.

Gifted by Grief is a book about healing. Masterfully written, every facet of Jane’s spiritual exploration is felt and experienced; all the pain and uncertainty of bereavement punctuated with moments of fantastic levity and peace. Its importance can’t be understated- for anyone suffering, or having suffered the loss of a loved one, this book will help you to recapture your passion for life. www.wildwisdom.co.uk

White & Green is Ireland’s first 100% Organic, Fairtrade Cotton Bedding Company.

•

Luxurious Bed Sheets

Sari Winckworth is an Interior Designer who set out to create the best bed linen in the world.

• Soft cotton throws and scarves Together with her daughters, she spent years researching the industry and finding the right partners to create Chemical-free organic baby blankets White & Green bedding is easy beautiful quality bedding that could be•passed down from generation to generation. to wash and iron. It is also entirely Organic and Fairtrade certified; luxury that doesn't cost the earth. Their range We offer beautiful gift wrapping and boxes for the ideal gift. has recently expanded to cotton throws, bedspreads, towels and baby clothing too.

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FAMILY BUSINESS F O R Y O U N G F A M I LY B U S I N E S S E N T R E P R E N E U R S ^ Photography by Celeste Sloman, wheels designed

by Okudart

MO BRO'S HOT FUZZ

OBLIQUE NEW LEASE ON LIFE

PAULIN WATCHES ELEGANT BY DESIGN GENERATION AUTUMN / WINTER 2018

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KICK OFF

WELCOME

TO THIS WAY UP For young family business entrepreneurs With mainstream technology changing humanity in countless ways, the key to progress lies within understanding the first generation to grow up alongside it- Generation Y

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he introduction of mainstream technology is a subject of endless fascination for me, not least because of my status as a Millennial. As the last generation to remember a time before the Internet, we stand at a very interesting position.

Where our parents encouraged playing outside, our younger siblings very likely grew up with iPads. Where older generations would keep one profession for most of their lives, with the Internet, job-hunting has never been easier. However, where Generation Z see the Internet as a tool, Millennials know that they’re right to share a touch of their parents’ trepidation.

It’s yet another aspect of having all the information in the world at your fingertips- except unlike Generation Z, Millennial have been around the block. Olivia Rudgard of The Telegraph suggests that Millennials ‘have the lowest levels of trust in others of any generation,’ due to spending more time ‘isolated’ online, and, as a result, have more exposure to anonymous people treating each other badly.

She goes on to mention research that claims, ‘technology isolates individuals from face-to-face engagements… with the Internet, they have constant exposure to examples of untrustworthy behaviour.’ This lack of trust has apparently had a knock-on effect, as the survey found

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that 56% of those aged 22-37 would trust an ordinary person in the street to tell the truth, compared to 77% of Baby Boomers. This may not sound important, but the generational drift has been called ‘disturbing’, as levels of social trust have been argued to ‘be a strong predictor of national economic growth, levels of life satisfaction and suicide rates.’

This goes a long way toward explaining why so many of Generation Y and Z are opting to go into familyowned, independent business- but this provides valuable insight for employers, too. Even though technology is changing our world at an astounding pace, there are some things that it hasn’t changed- for generations young and old, there is no stronger currency than trust.

Alec Pitman Content and Editorial Assistant www.familybusinessplace.com

From Ammanford, South Wales, Coaltown Coffee is looking to bring back an industry and the former prosperity of its ‘Black Gold’ community.

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ormerly one of the biggest collieries in Wales, Ammanford has seen a steep decline since its closure in 1976. A small town of only 5,400 people, unemployment rates have been high ever since, something that Scott James of Coaltown wants to change.

Born and raised in the tiny Welsh mining village, Scott decided to open up Coaltown Coffee in March 2014 after the success of ‘Roasted Joes’, a subscription service that he started up a year beforehand selling coffee from other suppliers.

Inspired by time spent at his parents’ café when he was younger, he built his first coffee roaster with his dad, Gordon, creating their infamous ‘Black Gold Number 3’.

Now in business together, they are doing all they can to revitalise and

replace the old ‘Black Gold’ – a common colloquialism of coal – with their new version.

“I was born and brought up in Ammanford, I’ve always lived here.

It’s an ex-mining community so the name Coaltown just sort of came naturally,” he says. “The idea behind Coaltown was to give that

“

They were willing to take a chance on me and that was the biggest thing... when you're starting a new business

“

GOLD MINE

opportunity to other people - the same opportunity I was given when I left school.”

They had their first big break when they pitched their coffee to local coffee house and fellow family business ‘Starvin’ Jacks’. Who they still supply to this day, which he is very grateful for.

"They were willing to take a chance on me and that was like the biggest thing, you know, when you’re starting a new business, and someone takes a chance on your product. That was really cool, and they’ve been with us ever since.’

Now a fully integrated speciality coffee roasters, Coaltown is continuing to grow exponentially.

Starting out with a roaster in the shed of their home, Scott now has plans to move Coaltown into a brand-new state-of-the-art facility come July 2018. The 4,000 square foot roastery will help to meet demand and supply around 200 cafés on its books.

In a bid to further revolutionise the new ‘Black Gold’ era, the new investment will include another café, as well as a visitor centre, ‘home barista’ courses and uniquely, the Coaltown Academy. “We’re going to bring in three apprentices at a time…We’re looking to give them all the fundamental skills they need to prepare coffee and at the end of it put them into the wider world.”

Among their clientele are some very high-profile customers, including House of Fraser, Selfridges, with some contracts even shipping as far as Hong Kong. It is no surprise then that they have been featured in Lonely Planet’s Global Coffee Tour Book as one of the world’s best places to get coffee, crediting the family with “rejuvenating the town with a different sort of black gold.”

www.coaltowncoffee.co.uk

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RISING STARS

DOG'S DINNER Selling eggs and chickens since he was 13 years old, Callum Griffiths is now managing director of his own pet food company

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website from scratch. “I'm not particularly technological, so I had to teach myself coding as I couldn't afford to pay anyone to do it for me in the early days.”

With the poultry business booming, Callum soon had enough to convert one of the stables on the farm into a shop, where he sold chicken food and supplies.

Studying livestock nutrition so he could develop his first product, his Natural Layers Pellets from Clydach had customers so

“

“

tarting out as a small business selling chickens and eggs from Callum’s home in Ynysybwl, Rhondda Cynon Taff, the Clydach Farm Group now specialises in affordable dog food, using ethical and responsibly sourced ingredients.

Currently employing 12 people, Clydach Farm pet food is available in over 300 stores and 13 countries worldwide. It has won over 13 awards for ethics, culture, and care in the farming and manufacturing sector.

Describing himself as "not particularly academic", Callum grew his venture while studying for his GCSEs- recruiting friends at break times to help with paperwork, holding meetings after school, and pretending to go to the toilet to make business calls.

"The business had to be something available to me. At that time I had a cockerel and a hen in my garden. With the money I made from selling their eggs, I bought more chickens, and I was able to sell more eggs,’ he explains.

‘Then I worked my way up to my biggest investment at that time an incubator, which cost me about £200. But that allowed me to keep on hatching chicks at a greater rate, thus growing revenue."

As a business that had no investment, Callum had to wear many hats to establish the brand.

“From marketing to PR, I had to learn from library text-books, and online ‘how-to guides”.

Understanding an online presence would be key to the company growth, Callum created his first

I'm not one to sit down and wait for things to happen

impressed that they asked if he could do the same for their dogswhich is what the business is known for today.

The business only sources its meat only from the heart of the British landscape: Its lamb is from Wales, its duck from Suffolk-based Gressingham Farms, its salmon from North West Scotland, and its

venison from Richard Elmhurst on his private estate in Yorkshire.

"I found it hard to command respect from people when I started," Callum says. "But that’s changed. I look older now."

He adds, "I think people who set up their own business also have a unique attitude to life and we may look at life differently. I'm not one to sit down and wait for things to happen. I've had to sacrifice everything and I'm proud I've never had a loan. Start-ups take everything out of people, you have to be a bit crazy to do it. But that's the way you succeed." www.clydachfarmgroup.co.uk

é Callum and his dog

DOWN TO A FINE ART Despite their year-and-a-half tenure as a full-time business, Yorkshire-based design company Buttercrumble have already worked with the likes of John Lewis and The Royal Armouries

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carborough born-and-bred twins, Chloe and Abigail Baldwin (23), are making it big in the world of graphic design.

The twins took the plunge in January 2017 to start working fulltime in order to make the brand a success. Now working from Leeds, the sisters are working to expand their portfolio and client base nationwide. “We are fulfilling our joint dream and vision,” they say.

‘Together, we’re a creative duo who produce fun and exciting designs and illustrations.’

Conceived as far back as 2011 while the two were in sixth form, it was their studies in Graphic and Communication Design at the University of Leeds when the Baldwin twins began to realise their potential. With the ‘outstanding’ quality of their work generating great interest around the campus- the beginnings of the audience to come- the two were recognised by the University’s Spark Scholarship, allowing them to start their own independent design agency.

With degrees in-hand, they took up residency in the creativity hub of Yorkshire. Abigail was the first to leave her day job to take up the company 24/7, with Chloe following just two months later.

“Launching Buttercrumble has been a steep learning curve,’ they continue, ‘but there are no regrets!

When we first started out, we found it embarrassing to share our business' name. Can you believe it?

Hindsight is a beautiful thing and we now realise that its seemingly

é Jennifer (l) and Lorna (r)

random nature is great for making it memorable.’

“In our first 12 months of running the business full-time, we have worked with names such as The Royal Armouries, John Lewis, Anthropologie and Kid O Toys. We work on projects that make us smile, our clients smile, and in turn make their customer smile.”

The passion they express for their business is years in the making. As well as working to help other small independent business put their best foot forward, they believe that their work proves inspirational for young entrepreneurs like themselves.

“We empower young-at-heart businesses to express themselves through brand identity and illustration.”

é [ l-r] Chloe

Their entrepreneurial career has and Abigail already seen great recognition for their design work. Following a similar trajectory of their 2017 success, in 2018 they were nominees at the Yorkshire Choice Awards for New Starter Business, and at the FSB Awards, won the Award for Micro Business of the year- as well as being voted finalists for the Entrepreneur of the Year category.

Buttercrumble's work has seen them partnered with department store chain, John Lewis on a few occasions so far. Most notably, an 11-day illustration tour across the North of England saw the two designers illustrate portraits of the public alongside 2017 Christmas mascot 'Moz the Monster'. www.buttercrumble.com

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RISING STARS

CHOP, CHAT AND CHILL Brother and sister duo who grew up in a Nigerian household in East London, pay homage to their grandmother with new Nigerian tapas in London.

SQUEAKY CLEAN Daniel Shepherd is finding success by bringing a Millennial sense of innovation to the old laundry industry

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un by son-and-mother team Daniel (24) and Nicola Shepherd, CanDo Laundry Services is one of the leading laundry companies within the UK specialising in the hospitality, medical and industrial sectors.

After opting to drop out of a Business and Marketing degree at Swansea University in 2012, Daniel launched CanDo Cleaning Services - and within 12 months, was employing over 60 cleaning operators. Not only that, but the business has become a firm

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airing authentic Nigerian flavours with the social dining culture of their heritage, Chuku’s is the place for eating, chatting and chilling.

On a mission to share the Nigerian culture they know and love, brother and sister team Emeka and Ifeyinwa Frederick are taking London by storm with their Nigerian tapas popup, Chuku's. Utilising the tapas model to introduce this unique cuisine to the London ‘foodie’ map; Chuku’s provides customers with a smattering of sharing plates of Nigerian dishes- all against a backdrop of Nigerian art and chillout beats.

From a young age, Ifeyinwa’s heart was set on independence.

Favouring her own endeavours over joining her father’s accountancy firm, she set up her own dance school at the age of 16. After university, she moved to the Caribbean and Emeka moved to Spain- and energised by their trips, reunions with each other revolved around discussions of the business

industry favourite over the years.

‘We provide a fresh, Millennial approach to the linen and laundry industry,’ said Daniel, ‘and we have introduced key processes such as real-time delivery notifications, to provide consistent communication to our customers.’

‘We continue to disrupt a market where many organisations have been standing still for too long,’ he continues.

Having won the SME National Laundry of the Year at the Laundry & Dry Cleaning Awards. CanDo Laundry Services has been able to secure blue-chip clients, relocate to larger premises, and increase capacity by 600% earlier this year.

Daniel aims to achieve over £5m in revenue over the next three years.

“To any aspiring individual entrepreneurs, I sincerely ask

idea that would eventually lead to their success.

Having garnered a following of over 7,000 online users, acclaim from over 20 media outlets, and exposure from Elle, Time Out, London Live, and the London Evening Standard; the young business has been a media favourite since their 2016 inception.

Not only that, but the sibling team were winners of the Virgin Media Pioneers’ Global Entrepreneurship Week competition, with their success featured in Bella Naija- one of the biggest magazines in African media. Most recently they've been shortlisted by the Great British Entrepreneur Awards as one of The 15 Most Exciting Food and Drink Entrepreneurs to watch.

‘Our dream is to make Nigerian cuisine accessible to people of all cultures in the UK,’ says Emeka, ‘Whilst building an inclusive community around good food and feel-good vibes'. www.chukuslondon.co.uk

you to challenge and stress-test yourself,' Daniel says. 'Have your end goals in mind and don't stop even if you achieve them. Spend wisely and remember profit is sanity, turnover is vanity.” www.candolaundryservices.co.uk

RISING STARS

SPREADING ON THICK Inspired by their travels, twin sisters Sophie and Lauren Chittock have developed simple yet delicious nut butters- all from their home in Norfolk

I

nspired by travels in Australia and Vietnam, Sophie and Lauren began experimenting with different ways to produce their own variety of nut butters.

The outcome was the inception of Nuoi Foods. Their nut butters are an elegant mix of Vietnamese and Australian cultures - and they are rapidly gaining popularity since their January 2017 launch.

The ingredients are kept as natural and unprocessed as possible. Free of refined sugars, palm oil and additives, they are healthy, and great tasting - the driving force behind their products.

“Our mission is to inspire the world to live a healthy, active and happy lifestyle, starting with all-

WHITE & GREEN With two daughters in business with their mother, White & Green is becoming an International bedding success.

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isters Rebecca and Danielle Winckworth founded the bed linen company along with their mother, Sari.

Formerly an interior designer, Sari decided that there was not enough quality, organic bed linens on offer at an affordable price, so, with her daughters in stride, they set about making that right.

Rebecca primarily manages production and supply chain of the businesses products. She has also taken inspiration from her travels around the world as a

natural foods that taste great."

Their unusual flavour range had to be cut down from a complicated twelve to four, now consisting of; Pecan Pie, Hazelnut Cocoa, Superfood Coconut and Chilli Peanut.

Despite an excellent response after their first market, they still expected retailers to be cold on the product due to the infancy of the business. However, what happened next couldn’t have been further from that.

‘The response was totally overwhelming and really positive with people asking when they can start stocking them. We hadn’t expected that at all.’

Late nights, early mornings, busy weekends and trying to fit the business around their day jobs, it has been a taxing journey for the two, but one worthwhile.

“We both worked full time jobs when we started Nuoi, so we’d work until 4 in the morning to produce enough nut butter to meet demand. However, we wouldn’t change it for anything.”

singer and, ‘having noticed a global inequality’, made it her personal mission to focus on the businesses development, labour rights and Fairtrade.

“I did a placement project in a shoe factory in Ethiopia which was really eye-opening in terms of the way workers are treated.”

Rebecca says. “I knew there was an opportunity to make the product Fairtrade, this means the farmers get paid properly for their product, they can educate their children and live properly.”

As a leading International model, Danielle has a keen eye for fashion and design, bringing that experience and knowledge into White & Green. Danielle also controls the company’s social media and uses it to generate innovative ideas.

“I do take inspiration from

www.nuoifoods.com

é Sophie and Lauren

Pinterest, to which I’m addicted, but ultimately I ask myself what I would want, and that dictates.”

I'm sure I drive her mad from time to time when she tries to keep everybody straight," says Sari.

"Having Rebecca as a driving force behind the business is going to turn it into something fantastic." www.whiteandgreenhome.com

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RISING STARS

WINE AND DINE JOHNS Wines and Spirits is one of the oldest family businesses in Cornwall, now owned by brothers Tom and Sam Hanson.

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amed for offering a vast array of locally sourced, quality drinks, the two took over the family business which has been around since 1894.

The brothers have brought the historic company into the present, with the opening of their online site The Liquor Cellar, expanding their reach and improving the company’s considerable profile even further.

“Our ethos is all about sourcing the best possible drinks we can get our hands on, and selling them at some of the most competitive prices on the internet.”

Together, the Hanson brothers

AMERICAN MADE One of the youngest entrepreneurs in the UK, Harlie Haycox has just opened her first restaurant.

T

he 11-year-old cut the ceremonial ribbon on her American-themed Diner in

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have breathed new life into the company; with the success of the online venture leading to the opening of a restaurant in St Ives, where they are based, led by head chef and co-owner Sam. The restaurant - an instant hit with customers - sports a menu revolving around fried chicken, with a big focus on craft beers. Tom and Sam have great pride in their culture and their home county.

“We wanted to serve simple,

hearty comfort food. For us, we couldn’t think of anything more comforting than a plate of crispy fried chicken & chips served with a frosty pint of craft beer!” they said.

JOHNS have received just recognition for their achievements- in February of 2018, both were named in Cornwall's 30 Under 30 Class of 2017. www.theliquorcellar.co.uk

2018, along with her father Matt.

In doing so, she became an aweinspiring young entrepreneur.

Based just off the centre of Leeds, Harlie’s Diner received rave reviews after its big debut. With help from school friends as ‘tastetesters’; huge burgers, delicious milkshakes and delectable sundaes are just some of the products on their jam-packed menu. From the USA-inspired

menu, décor, branding and music, Harlie designed it all as a way of celebrating their time living in Las Vegas.

Her dad, a self-professed ‘funding guru’, is a finance expert, helping his daughter expand her business through his impressive business acumen.

“It’s a really exciting opportunity for Harlie and I’m thrilled to see her take the reins and spearhead the business. It seems entrepreneurialism is in the family DNA.” He said. “She has that instinct for what people will like that any good entrepreneur needs.”

Much of her current success, she believes, is down to the internet and the Diner’s social media influence. www.iloveharlies.com

RISING STARS

BEAUTY BY DESIGN Irish sisters Ailbhe (pronounced Alva) and Izzy Keane are the founders of Izzy Wheels, which makes bespoke designs for wheel chair users

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he Keane sisters from Dublin have made a career out of the unique wheel cover designs that Aibhe designed as a college project in 2015.

Ailbhe came up with the idea after noticing that her sister Izzy’s chair - that she has to use due to being born with a condition called spina bifida - didn't necessarily reflect her ‘bright and bubbly’ personality.

20-year old Izzy is the real inspiration for the business, as Ailbhe explained, “My sister has a very positive relationship with her wheelchair and she wanted to express that.” Their experiences with Izzy’s condition has led them

to donating a share of their profits to multiple Irish disability charities.

Bridging the gap between fashion and disability, Ailbhe’s awardwinning designs are intended for disabled people to express their individuality- encapsulated in her five-word ethos, ‘Empowerment, self-expression, freedom, collaboration and confidence’.

Like most modern start-ups, they credit the business' big takeoff to their use of social media platform Instagram.

“I created an Instagram account showing off the designs with fun little videos of Izzy dancing in her new wheels.” She continued. “The account started getting thousands of followers and messages from around the world, so we decided to open an online store.”

Their company tagline, ‘IF YOU CAN'T STAND UP, STAND OUT’ is an excellent testament to the values the two uphold, an inspirational attempt to break down the stigma against disability.

Wheel design by Jess Phoenix > www.izzywheels.com

C

CRACKING THE CODE An inspiring entrepreneur at just the age of nine, Callum Daniel is the keen mind behind iCodeRobots

allum is using iCodeRobots to inspire other, like-minded kids his age to follow the very passion that led him to starting his own company when he was eight years old.

In a segment for BBC’s Radio 1 Stories: Kid-preneur, Callum spoke about the experience that inspired his remarkable achievements: meeting the robot ‘Titan’ at the age of four, whilst on a holiday at Butlins leisure parks “I met this huge robot, about 10 feet tall, and I just needed to know how to make it because it looked so, so cool.”

He built his first robot, a gift from his mum Dionne, in 4 weeks.

Unfortunately, he realised he couldn’t make it move as he didn’t know how to code.

On the hunt for somewhere

to learn the coding to bring his beloved robot to life, Callum was dismayed to realise that there were no coding courses available.

Deciding to take matters into his own hands, he set up his own company, with Dionne becoming the company’s director.

He said, “I asked my mum to enrol me on a robotic course, but couldn’t find one local to us, so I decided to set up my own company.”

Following his visit to London Design and Engineering Technical College to attend some talks on robotics, he managed to form a partnership with Loughborough University London, who now provide the space in Stratford for his classes. www.icoderobots.com

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OTHER STUFF

CONSTRUCTION CRUNCHES

IN BRIEF DOMESTIC

Zombie Nation

Shaun Helman, Chief Transport Scientist, has advised putting signs for texting pedestrians on the ground.This would help avoid accidents involving "zombie pedestrians" glued to their phones. Another possibility is having "text walking lanes" similar to those already in use in some cities in China.

CONSTRUCTION

The world's major constructions are often something to behold. But just how expensive are they?

1) Large Hadron Collider, France/ Switzerland Border: The most complex experimental facility ever built - £10.2 billion (total cost to find the Higgs boson particle).

2) London Crossrail, England: Costing over £15 billion, the new line between London, Essex, Berskshire and Buckinghamshire is due to partly open Autum 2019.

3) Channel Tunnel, England/France: Bridging the divide between the UK and Europe, the channel tunnel cost 17.2 billion to develop 4) Kansai International Airport, Japan: Coming in at £22.3 billion, this airport is the third busiest in Japan.

5) California High Speed Rail, USA: Despite still being under construction, this railroad has already cost £25.46 billion.

6) Three Gorges Dam, China: The world's largest power station cost

www.mailonline.com

TECH

What Apps?

The top, ten, free, non-game, apps of the summer were: 1) WhatsApp Messenger 2) Instagram 3) YouTube 4) Snapchat 5) Messenger 6) Facebook 7) Netflix 8) Google Maps 9) Spotify Music 10) YouTube Music TECH

Cyber Attack

The borough of MatanuskaSusitna (Mat-Su) in Anchorage, Alaska was hit by a multi-pronged attack of malware recently.

120 out of 150 servers were affected. Resourceful borough employees used typewriters and hand-written receipts to ensure continuation of services. Mat-Su borough and the FBI are cooperating in the investigation of the Bit Paymer ransomware. www.mashable.com

TECH

Chinese Whispers

The Chinese telecoms giant Huawei, has overtaken Apple as the second biggest shipper of smartphones, with Samsung still at No.1. Huawei increased sales by nearly 41%, with Samsung falling by 10.4%. The figures are even more remarkable for Huawei, as it's importation into the US is practically banned. www.mashable.com

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The earth is a wonderous place full of adventure and marvels. But at what cost?

MOTORWAY MYTHS Are Smart Motorways as dangerous as we have previously been led to believe?

TRANSPORT

2018 celebrates the 60th anniversary of the opening of Britain's first motorway, The Preston Bypass, now part of the M6. As modern construction has grown, we have developed "Smart Motorways". There are three types: All Lane Running Schemes, Controlled and Dynamic

£28.5 billion to construct.

7) Dubailand Theme Park, Dubai: After several hitches, this entertainment park is set to be finished in 2019, costing over £58.5 billion.

8) King Abdullah Economic City, Saudi Arabia: Despite struggling to rise to it's ambitions plans, this new city has already reached £66billion. ) 9) Kashagan Oil Fields, Caspian Sea: Cost of exploration, development and technical delays - £89 billion.

10) International Space Station, Low Earth Orbit: Costing a whopping £115.4 billion, this ground-breaking structure can often be seen from earth in good weather. www.therichest.com Hard Shoulder Running Schemes.

All Lanes have the hard shoulder permannently removed and replaces with running lanes. Lane one is only closed in the event of an incident.

Controlled, retain the hard shoulder and have three or more lanes with variable speed limits.

Whereas Dynamic Running Shemes open up the hard shoulder to ease congestion during busy periods.

Despite misgivings around a lack of hard shoulder, Highways England have published statistics from data collect from the original Smart Motorways opening in 2006.

Journey reliability has improved by 22% whilst personal injury accidents have been reduced by more than half. Where accidents have occured there have been zero fatalities and fewer serious injuries. www.rac.co.uk

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