Bay of Plenty Business News | March 2023

THE BONODLEYS

BBN Franchising columnist Nathan Bonney sets himself a new challenge for 2023. See p5

100 MILES NON-STOP:

BBN’s Mining Business Wealth columnist Freddie Bennett considers the lessons. See p9

ZESPRI’S ANNUS HORRIBILIS CONTINUES RUNNING

Kiwifruit growers have been dealt another body blow this summer with Zespri’s announcement of further reductions in payouts. Richard Rennie investigates, see page 5.

Don’t miss the opportunity to promote your business in the Bay of Plenty regions’ most celebrated print and online business publication – Year Book. The 2023 Sustainability edition will be the 5th Year edition of Year Book. With forewords from business leaders championing business sustainability operations across AIR | LAND | SEA, this edition is not to be missed. Showcase your business story, people and achievements in the regions most influential, annual business publication – Year Book 2023. Contact us today to discuss featuring your business alongside the best in the region – Celebrating Bay Business.

Aero club leads the charge in aiding coast communities

By RICHARD RENNIE

Local businesses and community members stepped up in February to support Tauranga Aero Club’s efforts to deliver food and supplies to stranded communities on Te Tairawhiti after the devastating effects of Cyclone Gabrielle.

The result was deliveries of almost forty tonne of food and supplies by truck and aeroplane, much of it to small, isolated communities up and down the Te Tairāwhiti coast and Hawke’s Bay.

Tauranga Aero Club president Darryl Hone said the result of the club’s efforts had been well beyond his wildest imaginings.

“We have been getting amazing feed back for this effort, it is not something we looked for or expected.

By 5.30pm on the Sunday we had finally managed to clear our hanger of all the food and supplies donated over the course of the three day campaign.

“We ended up flying 44 flights and also had three truck and trailer units head out fully laden.”

A number of the club’s pilot members contributed their craft, along with two from the aero club itself.

Among them was pilot Greg Missen who was the first flight into Hastings aerodrome on the Friday, to an area still cut off from Napier and running low on supplies.

He said it had been gratifying to be welcomed with smiles of joy when he touched down in his twin engine plane at Hastings aerodrome. Being able to help out had been a vital way to show the people on the coast the Bay of Plenty coast communities

were thinking about them, he said.

Fellow pilot Kalarn Mark flew his family’s 172 Cessna Skyhawk over the Raukumara ranges into remote Ruatoria.

His was the first supply drop that community had since Gabrielle took out the bridge south, leaving only

The massive collection of food and supplies donated byTauranga community being readied in the club hanger for transport by plane and truck toTeTairawhiti and Napier-Hastings.

State Highway 35 around East Cape accessible.

At 17 and the holder of several national flying competition awards, the day had proven an invaluable experience for adding valuable hours to his log, and on a personal level in appreciating the impact such an event had upon communities.

Daryl Hone said there were numerous Tauranga businesses the club had to thank for their efforts who had committed funds and resources to the supply drive.

“We had Warehouse Tauranga put up funds for us to buy food, partic-

ularly noodle meals that are easy to fly and easy to eat, we had the Bake Shack at the Mount provide dinner and lunch for the aero club volunteers, completely free of charge.

We also had Brett Marsh Transport and Wetherell Transport donate truck units and drivers for runs down there, and Pacific Autos supply a smaller truck for a run to Te Karaka which had been hit really hard.”

Hone said the club was also grateful to those who had donating funds which could be used to help pay for the fuel used on the east coast sorties.

Locals at Ruatoria help pilot Kalarn Mark unload his plane on the local airstrip.

Ruatoria fire chief Monty Manuel (left) with TaurangaAero Club pilot Kalarn Mark,at Ruatoria.

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THE PORTER

The unchanging of the guard

One of the more entertaining aspects of the New Zealand Labour Party’s recent change of leadership, has been the decision by many headline writers to characterise this as a “surprise” or “shock” resignation.

Whether one approved of former Labour Prime Minister Jacinda Ardern’s performance or not, no one ever thought her stupid. Indeed, Ardern has proven clearly – after a succession of lacklustre and unsupported Labour leaders –that she has been a tremendous electoral asset for the party.

This was not in any way an unexpected decision. Her decision to step down was inevitable based on her astute reading of the fact that the shine had dimmed on the glow she brought to the Labour leadership. No smart leader wants to go out a loser, and she could see that the polls were turning against her.

There has been some mention that she has suffered unpleasant criticism in social media. She deserves our sympathy for that. But I would be surprised if she – or indeed any senior politician – does not employ staff whose job includes reading and shielding her from such nonsense. No one is obliged to read or take seriously the rantings of online idiots.

Who else was there?

There has been much praise on the manner of her transfer of power to Chris Hipkins. The suggestion is that this was swiftly and deftly handled, with minimum fuss. Which it was. But after all, who else was she going to choose?

Labour an excellent opportunity to monopolise their coverage in the media with positive imagery of Ardern and Hipkins daily fronting the press and public.

Not to mention the vast sums of free advertising expended on the subject, all of which was essentially aimed at convincing the public that Labour was doing a good job of handling the crisis. Which may well be the case. The government’s current resistance to any effective analysis of this, means that we won’t know the real costs for some years.

David Porter

announced that its core policies are to be killed off.

Amongst them, especially let us not forget the poorly justified and expensive three waters scheme, which attracted a bigger volume of so far unanswered public queries and criticisms than any other. This particular policy is one of the few that has so for been “parked” for reconsideration. Meaning that it was impossible to kill for internal political reasons and is likely to re-emerge if Labour gets back into power this year.

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After her latest triumphant overseas tour, it was clear that she enjoys an excellent reputation abroad. I for one would not be surprised to find her deservedly ending up in a well-paid international position, post the election.

She can certainly be praised for the smoothness of the process, and it clearly initially caught the opposition National Party off guard. However, the opposition appears to be recovering.

Dealing with and enduring the onset of Covid 19 has been a challenge for us all – both politicians and public. But let us not forget that, in its early days especially, this gave

What we do know is that Labour has been largely unconvincing in much other than expending millions of dollars on fruitless consultations and working groups to explore far-reaching policy aims that seem unlikely to ever come to fruition and that were in many cases not originally campaigned on. As is often the case, Labour’s ambitions greatly over-reached its ability to deliver.

Let us dispel the notion that Hipkins was not always a fully committed member of the Labour Government leadership team that has now abruptly

Essentially, Labour, now under Hipkins’ leadership, has stated that most of its ambitious and impossible to implement raft of policies has been abandoned, in an attempt to get out from under them ahead of National’s expected electoral policy criticisms. So what does Labour really believe in? And what can it achieve?

As noted, Ardern is certainly not stupid and will be deeply missed as a leader by Labour. Making a smooth transfer of power this early, will give the public good time to judge the effectiveness of her successor in the run-up to the elections.

ZESPRI’S ANNUS HORRIBILIS CONTINUES

Fruit quality losses incurred over this year’s harvest are hitting home hard for Zespri kiwifruit growers this summer. A late February board announcement has confirmed what many had been warned to expect, with Green kiwifruit growers experiencing a further 58c a tray reduction in payments and organic Green growers a 79c a tray reduction from what they expected last November.

TBy RICHARD RENNIE

he news comes after the announcement back in August 2022 when growers were informed of a $1.95 per tray reduction in Green payments and SunGold growers had a reduction of $2.80 per tray.

The latest reduction has Green growers likely to take a collective hit of $40 million across the 70 million trays harvested, on top of the $136 million already dealt to them back in August. It will leave over half Green growers barely breaking even this season.

The earlier August 2022 announcement had been accompanied by the revelation the fruit being sent to market had been the worst since early 2000s, with some fruit so bland Zespri’s own Asian GM had described them as potatoes.

Soft, stained, and rotted fruit started to reveal itself post-harvest and had failed to fulfil Zespri’s long held brand promise of delivering premium quality fruit. Chinese social media had also started to fire up on fruit quality there.

In a series of town hall meetings across the region recently, Zespri CEO Dan Mathieson has been delivering the bad news last season’s crop quality has dealt the sector. The latest payment downgrade comes from very poor quality fruit shipped in the final two export loads of the season to Asia and Europe.

Zespri chairman Bruce Cameron confirmed the write downs in a written statement to growers late February, coming after what he acknowledged has been a particularly tough year for the sector.

The news has been met with

anger and dismay by growers, prompting grower group New Zealand Kiwifruit Growers Incorporated (NZKGI) to fire a sharply worded letter to the Zespri board.

In it NZKGI chair Mark Mayston asks the board to explain how they got their initial orchard gate return estimate so wrong back in November, and how the latest announcement was an extreme deviation from what they had been

led to expect last November.

In the letter Mayston challenges Zespri’s supply chain transparency, grower communications and forecasting ability, denting grower confidence in the single seller model.

Industry insiders are pointing to labour shortages as the key reason for poor quality fruit outcome, and a rise in Psa infections has also been reported in some orchards.

Growers have reported poor quality harvesting techniques from contracted picking gangs resulting in fruit damage that only appears as fruit ripens, either in cool storage or on the shelf.

The bad news has continued to pile up for the sector, with Cyclone Gabrielle also hitting some Gisborne and Hawke’s Bay orchards hard, many only in early stages of

establishment.

Meantime a summer with low sunshine hours and high levels of rainfall is playing havoc with efforts to ripen fruit in time for this year’ harvest, as summer daylight hours start to shorten rapidly.

Dan Mathieson has been assuring growers at a series of town hall meetings in Katikati and Te Puke Zespri has been digging deep to determine how it got its November forecast so wrong, leaving growers well short in February.

He has acknowledged the original payment forecast was “significantly overstated”, and apologised to growers for this.

He also acknowledged the on-going impacts the season’s atrocious weather was having on the sector, and said Zespri intended to continue to work closely with NZKGI to support growers.

BUSINESS NEWS COLUMNIST LEADS A CHARGE IN PORK PIE RUN FOR CHARITY

Bay of Plenty Business News franchising columnist, Nathan Bonney is taking this Mini to Invercargill – and aims to raise a huge $100,000 for KidsCan along the way.

Nathan has joined forces with another franchise personality Matt Woodley to take on the fundraising challenge .

The Pork Pie Charity Run is a biennial fundraising road trip based loosely on the route taken by the Blondini Gang in the classic Kiwi movie Goodbye Pork Pie.

The first run took place in 2009 with 36 teams making the trip from Kaitaia to Invercargill over 5 days. The subsequent six runs have seen participant numbers increase to a 50 car maximum, with the run extended to six days on the road.

For 2023, the Charity Run will once again be supporting KidsCan, New Zealand’s leading charity dedicated to helping Kiwi kids experiencing hardship by providing food, jackets, shoes and health products to schools and early childhood centres across New Zealand.

And in 2023, long-time friends and franchise personalities Nathan

Bonney and Matt Woodley, are teaming up under the name ‘The Bonodleys’ to hit the road with a Big Hairy Audacious Goal – to raise $100,000 for the cause.

Nathan is a Director of franchise brokers Iridium Partners, while Matt is CEO of the Donovan Group, whose brands KiwiSpan and Coresteel operate franchisee/licensee networks nationally.

Support Kiwi kids

The Bonodleys are very keen to engage with and solicit support from across the franchise sector. According to the 2021 Franchising New Zealand survey, 90 percent of franchise brands return profits to the community, and almost two-thirds contribute more than $20,000 a year.

‘The Pork Pie Charity Run is a fantastic cause and a fun event, and one that brands can get behind – they can engage and involve their franchisees

throughout the country and feel great that they are directly contributing to creating better futures for Kiwi kids,’ says Matt. ‘100 percent of donations are going directly to KidsCan.’

And Nathan reports, ‘Initial support from the franchise community has been fantastic.

The Franchise Association of New Zealand had the team (and Mini) along to its annual Christmas Party and we have already had donations, support and pledges from Franchise New Zealand media, Columbus Coffee. The Coffee Club, Crank’d Media, Economist and VIP Home Services.’

Brands which make donations of $1000 and greater have the opportunity to have their logos displayed on the Mini up to and over the event from Paihia to Invercargill.

‘By donating to our team, you’ll be helping KidsCan to provide essentials to kids across New Zealand,’ Nathan ends.

‘With these essentials, kids can

participate in learning and have the opportunity for a better future. We would love your help to reach our fundraising goal, no amount is too big or small! To find out more, email

nathan@iridium.net.nz or go straight to our fundraiser page at www porkpiecharityrun.org.nz/page/ TheBonodleys Thank you for your generosity!’

MattWoodley (left) and Nathan Bonney with the Mini they’re taking to Invercargill.

Taking better care of our city

Complaints about overlong grass and outof-control weeds have been a consistent theme amongst the communications we have received from city residents of late.

By ANNE TOLLEY, Tauranga Commission Chair

The wettest winter, spring and summer on record, coupled with mild temperatures, have created optimum growth conditions and that means our normal mowing and maintenance schedules haven’t been ‘cutting it’. Soft ground conditions have also prevented machinery working a lot of the time and we now have a significant catch-up effort underway to get on top of the situation, with high profile sites being prioritised and contractors working extended hours and on Satur-

days. Looking beyond these short-term issues, Tauranga City Council is looking to progressively take back control of much of our parks and open spaces maintenance work, as existing contracts come to an end.

This exciting initiative is all about ensuring Tauranga remains a great place to live and play and follows a recent assessment of these maintenance activities, which indicated that we can achieve a higher level of service than the current contract model is delivering.

We want everyone to be proud of their city and keeping

our open spaces well-maintained and beautiful is a key contributor to that.

So in future, activities like weeding, gardening, mowing, keeping pests at bay, looking after our dunes and walkways, keeping Mauao and other parks and reserves in perfect condition and attending to customer requests will be done in-house, by staff who are totally focused on great outcomes.

Lord of the Bins. One ring to avoid it all.

Quite a clever name and slogan for a waste removal business, you might think. That’s obviously what Nick Lockwood and Dan Walker, the operators of the business in Hove, England, thought when they chose the name and phrase.

Alas, Middle-Earth Enterprises, LLC, who owns the rights in “Lord of the Rings” and “One ring to rule them all” in the UK, do not share their thinking.

INTELLECTUAL PROPERTY ISSUES

> BY BEN CAIN

Ben Cain is a Senior Associate at James & Wells. He can be contacted at 07 928 4470 (Tauranga), 07 957 5660 (Hamilton), and ben.cain@jamesandwells.com

TCC is looking to progressively take back control of much of our parks and open spaces maintenance work.”

This is not about reducing costs – it’s about doing more with our current budget. That means owning the condition of our greenspace assets, delivering a high-quality service and being more agile in the way we assess our priorities and respond to community feedback. It will also create efficiencies across workstreams and by incorporating our transport network greenspaces, we

will be able to deliver a consistently better ‘look and feel’ across all of our streets, gardens, parks and reserves.

Another key aspect of ‘greening’ our city is an ongoing focus on creating shady areas by planting more trees, or as a short-term solution, installing shade structures. As climate change impacts our weather, shade will become increasingly important, both for the comfort of park users and in providing sun protection.

These initiatives directly contribute to the ‘prioritise nature’ element of our city vision, which states that Tauranga is a city where “…we celebrate, protect and enhance our natural environment”. I think that is a goal we can all aspire to – working together to create the change our city needs.

Nga mihi

Mr Lockwood described Middle-Earth Enterprises’ letter as “bully-boy tactics”,2 while Mr Walker claimed, “We’re just trying to make people smile and make a living”.

While the latter may be so,

As recently reported and discussed,1 Middle-Earth Enterprises has demanded Messrs Lockwood and Walker change their business’s name and slogan on the grounds they infringe Middle-Earth Enterprises’ trade mark rights. Add to that the use of an almost identical font for “Lord of the Bins” to the “Lord of the Rings” font by Messrs Lockwood and Walker and you can certainly see where Middle-Earth Enterprises is coming from.

on reviewing the facts I would have to dispute Mr Lockwood’s assertion. Middle-Earth Enterprises is the owner of very valuable trade mark rights, and as the owner of those rights it will – like many other businesses – enforce those rights if it perceives they are under threat.

In this case, the threat to Middle-Earth Enterprises’ rights might not be obvious –collecting waste is, after all, a kingdom away from a quest to save the world from consummate evil – but it is present nonetheless as many a trade mark lawyer will tell you, par-

ticularly given the use of “One ring to remove it all” and the use of an almost identical font for “Lord of the Bins”.

It’s possible Messrs Lockwood and Walker might not have attracted Middle-Earth Enterprises’ wrath if they had used “Lord of the Bins” in a different font and not used the “One ring…” slogan.3

A more cautious approach however would have been not to use the name at all (as, interestingly, Hutt City Council (NZ) chose not to do in 2021 for one of its electric recycling trucks4).

The unfortunate reality

though is that Messrs Lockwood and Walker ‘chose… poorly’ (to quote the Grail Knight from “Indiana Jones and the Last Crusade”).

As I wrote in an article for this publication in 2019,5 when it comes to choosing a name for your business, product or service, it makes sense to choose wisely. That means conducting a trade mark search before you settle on a name and calling a specialist trade mark attorney for advice.

Thus it is that one ring to a trade mark attorney by Messrs Lockwood and Walker could have avoided it all.

5. https://bopbusinessnews.co.nz/intellectual-property-issues/names-have-power-so-choose-yours-wisely/

AnneTolley Lord of the Bins,making headlines inThe Sun,UK on Feb 2, 2023.

Helping SMEs recover in wake of Cyclone Gabrielle

AWORKPLACE WELLBEING

> BY BRIDGET SNELLING

Bridget Snelling, Xero New Zealand Country Manager.

otearoa was rocked by an extreme weather event in February, with Cyclone Gabrielle leaving many Kiwis dealing with the aftermath of such an unprecedented and horrific event.

Many households and businesses were severely damaged, undoubtedly causing significant trauma and distress for those involved.

As we turn our attention to clean up and recovery in the wake of Cyclone Gabrielle, there are some things small business owners can keep in mind to help them get through and back in business.

Advice for small business owners:

1. Get in touch with customers and suppliers

No doubt there will be disruption to your day-to-day operation, which is likely to cause delays for your customers.

Proactively reaching out to discuss the situation will help get everyone on the same page when it comes to deliverables and working through the

recovery in the near future.

Likewise, reach out to your suppliers to check in on how they fared and what sort of delays they’re facing when it comes to operating.

Having a grasp on this will give you the insight necessary to plan around any shortages or obstacles your business may face in the short term.

2. Government support schemes

In the aftermath of an incident like Cyclone Gabrielle, the Government can support the

recovery with financial aid.

For example, the Civil Defence Payment could be an option to consider.

If your insurance is unable to cover the extent of the damage, there are opportunities to seek additional relief to get you back on your feet as soon as possible.

3. Take stock and plan ahead

Natural disasters are something we often don’t consider as part of our business plans until it’s too late.

Now’s the time to review your business protocols around natural disasters to ensure you and your employees know what to do in the event of an incident.

Creating a Civil Defence pack with important numbers and information would also be helpful, as well as regularly

checking your first aid kits.

As we start to recover and rebuild, small business owners can take the lessons learned from Cyclone Gabrielle and investigate ways to mitigate the impact of potential future incidents.

For example, if your business was brought to a standstill due to the cyclone, what role could digitalisation play in helping you reopen and get back on track in the future?

Cloud-based tools and technology can help businesses operate during challenging times, like when we saw Kiwi small businesses embrace e-commerce in droves during the Covid-19 lockdowns in 2020.

4. Look after your and your staff’s wellbeing

Events like this can be quite traumatic, especially if you or

your employees have experienced major damage to property or belongings.

Taking care of your wellbeing – as well as your employees’ wellbeing – is so important in these times of hardship.

At Xero, we’ve extended the Xero Assistance Programme to all small businesses in the North Island, regardless of whether they are subscribers or not.

This means any small business owner, employee or their family in the Bay of Plenty will have access to three free confidential counselling sessions through XAP until Friday 31 March.

To anyone wanting to access XAP, simply message xap@xero.com.

Now’s the time to show support for your employees, as well as taking care of your own personal wellbeing.

LOOK TO THE STARS –

2023, the year of LEOs

In early February, I finished drafting a piece about how 2023 would be a massive year for Low Earth Orbiting satellites – think Starlink, the most famous company in this growing sector.

Then Cyclone Gabrielle hit.

Our teams leapt into action. 2degrees deployed test units we had into the field to provide backhaul (that’s getting info from a cell site into our network), helicoptering units into Gisborne, and we weren’t the only one. The single unit in Wairoa was whipped off a bach and used as the town’s only method of connection.

We have expedited introducing a Starlink Business offering, making 10 enterprise grade devices available to emergency services to help with Cyclone recovery efforts, and opened registrations of interest from our business customers.

LEOs are here – and they are going to be a core component of the telco mix going forward.

The telecommunications market is about to be revolutionised –again – thanks to tens of thousands of satellites being deployed by companies such as SpaceX, Amazon, and OneWeb.

Already thousands of Kiwis have snapped up SpaceX Starlink units – allowing remote dwellers to get online where no mobile or fibre

services are available.

But that’s just the start. This year will be when they move from a handy way to connect the bach to the web into a major offering for businesses and a key tool for redundancy and resiliency in geographically diverse and challenging countries such as ours.

Another major benefit will be service such as additional mobile coverage when in remote areas – a

huge benefit for thousands of farmers, boaties, trampers, and adventurers generally.

For companies like 2degrees, we aren’t in a position to launch our own LEO network (Starlink has a constellation of more than 3,300 low-earth orbit (LEO) satellites providing high speed broadband connectivity to some 45 countries), but we are in a position to innovative via the technology – and help

Kiwi businesses ensure it’s suitable for their needs.

Late last year we established a proof of concept in the Chatham Islands, as remote as it gets in New Zealand. The Te Whero Aura medical centre on the island now employs a Starlink unit to ensure its telemedicine links are always available and of great quality, and we expect other organisations with unique needs to follow suit.

As an additional arrow in the 2degrees quiver, Starlink and other LEO products that will make it highly attractive for the many farms and other organisations located in the countryside requiring high speed connectivity. Far from a replacement or even competitor for the UFB network, LEO services have their place in our service stable, providing greater options and flexibility for the varied needs of our business customers.

And, yes, Starlink is perhaps the ultimate redundancy solution for disaster recovery and business continuity. As a failover service, it can keep you connected even if cables are washed away, cell towers upended in a quake, or any other major disaster strikes. Again, having this additional option is invaluable for creating solutions for specific use cases as they emerge. While 2023 is a year where many are expecting challenges, it’s also one where we can expect satellite internet to come of age. You might even say it’s written in the stars.

Andrew Fairgray,Chief Business Officer,2degrees

Business vs dating

“You don’t know what you don’t know” is a well-known adage. “You don’t know who you don’t know” is equally valid in my opinion.  “I never knew who I was living with until I spent a year trapped at home with them.” This is the catch cry of many in our post-Covid society. People are hitting the internet in droves to find their next exwife, ex-husband or consciously coupled life partner.

People are swiping left, swiping right and social media is stalking potential mates with an RSI enduring level of dedication; They have learned that you cannot know too much about a person if you are to successfully couple with them in a long-term fashion.

If this level of investigative fervor was used in the business world I would be one very impoverished credit management advisor, not to mention a very bored fraud investigator. The separation between

personal and business life is essential to have a good worklife balance (many of us have learned that the hard way), but just because the arena is different, awareness of warning signs should be no less diligent. The reason this, some may say, strange comparison has come to me is the result of two phone calls I received just last week.

The first call was from a friend seeking advice: she had matched with a chap on a popular dating app, they had begun chatting, the guy seemed like a

genuine ‘good bloke’ and he asked her if she would like to meet up.

She had his name and did a full social media stalk on him and could not find anything at all, bar a very locked down Facebook page.

She mentioned that all of his pictures were quite dated and none clearly showed his face. Also, he wanted to meet in a rest area near a forest.

After reviewing the evidence I deduced that her conversation with this person was possibly the prelude to a very

unpleasant experience.

CREDIT CONTROL

> BY NICK KERR

Nick Kerr is regional manager for DebtFree NZ Ltd and director of International Private Investigations Ltd. He can be reached on 021 876 527 and Nick@debtfreenz.com

The second call was from a client who had completed some earthworks for a major development in the South Island.

The developer had not paid the final progress claim of $115k.

I asked him the usual questions: “Did you submit a payment claim with the correct paperwork? Is there an agreed ‘terms of trade’ and does it have the proper provisions? Did you credit check the developer? How old is the debt

and who is the debtor?”

My client had done all of the post engagement steps perfectly but unfortunately he did not do a credit check or simple google search.

I did one while he was on the phone and the first four results were a picture of the developers face with headlines like, “Bad paying developer strikes again,” “Developer sentenced to home detention for fraud,” and “Bankrupt developer found guilty.”

His credit report linked him to three aliases used within

the last 12 months and several judgements against his true legal name. My client will be suing for the remainder through his lawyer, but it doesn’t look good as there a quite a few others in line.

The two scenarios above demonstrate to me that best practice is best practice in all areas of life. My friend avoided a potentially dangerous situation and my client learned a very expensive lesson. Just a thought Nick

Business continuity and disaster recovery in 2023

Our thoughts go out to all those who have been affected in the recent cyclonic events and our thanks to those incredible folk who are involved in the response and recovery efforts. The work will continue long after Gabrielle has exited the headlines. Friends, family, friends we have not yet met, and businesses who have been affected will need our support and assistance for a long time. Let’s look out for each other and, where we have opportunity, let us do what we can. TECH TALK

As we have seen with the catastrophic weather events that have affected our country in the last few months, damage from natural events can be swift and devastating and have long term consequences, not only to families and homes, but also to businesses and livelihoods. Previously damage from weather events may have been able to be remedied quickly, with power restored, roads cleared and communication networks operational, but such has been the severity of Cyclone Gabrielle that long term and widespread damage has been suffered by our communications infrastructure and the power and transport networks. Our IT relies on these utilities to continue to func-

tion. All businesses should plan for what they can do to mitigate any issues, continue business as best they can and maintain livelihoods while services are being restored. Does your business have a Business Continuity and Disaster Recovery (BCDR) Plan? If you do, it is a good time to review and update it, taking into account what we are learning from the weather events of 2023. If you don’t have a BCDR plan, there is no better time than the present to start.

BCDR planning doesn’t just cover what to do with your IT infrastructure, applications, data, internet access and telecoms but also all other operational facets of your business such as where you work (office

and home), how you travel, what to do in the event of theft or power outage etc. Do you have up-to-date and securely accessible in all circumstances contact information of your employee’s next of kin?

Your IT Account Manager should be able to assist with advice on and implementation of solutions regarding your IT. Make contact and start talking.

You should consider what hardware, applications, data, and functionality your business requires to function and how long you can function without it.

How will you protect it?

How will you access it and operate it in disaster scenarios?

BY YVONNE BLANCH Yvonne Blanch is an Account Manager at Stratus Blue. She can be contacted at yvonne@stratusblue.co.nz

Also, how can you keep it secure while operating in less-than-optimal situations? The bad actors aren’t going to go on holiday and wait until you’re back to normal before resuming their attacks. Your vulnerability will be noted

100-mile ultramarathon reveals secrets to timeless business success

Running 100 miles / 162 km non-stop is not for the faint of heart. But undertaking such an impossible challenge can uncover scary, uncomfortable – and profitable – truths about our lives and businesses. Not tempted to slip into your running gear? Fear not. I ran 100 miles so you don’t have to.

In February, I ran a 26-hour gauntlet of lakes, forests and trails to finish the Tarawera Ultramarathon.

Running the equivalent of four back-to-back marathons all day and all night can change a person. The experience reveals harsh, controversial and compelling truths about our lives, businesses and relationships.

Now, I can reveal these secrets to you. Be warned: What you’re about to see cannot be unseen.

1. You’re never ready for what happens next

I am not a runner. Four years ago I was overweight, unhealthy, depressed and drunk. One day I decided to quit self-destruction and see what I was capable of.

Sure, I’ve run a few marathons and slow ultramarathons since those dark days, but never anything close to 100 miles.

In fact, prior to this race, I’d only run 50 miles once in my life…and that was three years ago.

But when you set your sights on a goal, you cannot wait until you feel ‘ready’. Because if you do, you will be waiting for an eternity.

Go. Now. Take the first step.

2. Don’t get drunk on data

Thanks to the wonders of technology I could track my speed, heart rate, oxygen, cadence, altitude … and a whole lot of stuff I didn’t even understand.

It’s easy to get drunk on data, but choose creation over consumption.

I stumbled along the first few miles, eyes glued to smartwatch, worrying about my race going ‘wrong’.

But only when I looked up and decided to create the adventure I wanted to experience, did a smile appear on my face.

3. Confidence is a con

I desperately wanted to feel confident about running 100 miles. But what would happen if we knew confidence would never arrive? Would we stop the pursuit of our goals? Or would we say, “confidence be damned” and take action anyway?

The confidence I was seeking arrived not at the start line, but at the finish. Stop waiting, start deciding.

4. Everyone needs a little ‘crazy’ in their life

I’ve lost count of the number of people who called me ‘crazy’ to even attempt running 100 miles. For a people-pleaser who likes to be liked, that was a bitter pill for me to swallow. But one person’s ‘crazy’ is someone else’s ‘everyday’. I don’t care whether it’s ultramarathons, golf, nordic walking, hardcore knitting, extreme reading or whatever else floats

your boat … find your thing and throw yourself into it with a passion that makes non-believers shake their heads in disbelief. Life’s too short to live someone else’s dream.

5. Be a warrior, not a worrier

The worried mind sees a challenge and imagines all the things that could go wrong. The warrior mind only sees an opportunity of victory.

If I only thought of fear, dread and all the things that might go wrong, I would have packed my bags and gone home during those terrifying, dark, hours running alone through Rotorua forest all night.

When you are afraid: take decisive action. Then the fear won’t matter. Keep taking action, and the fear will not exist.

6. You don’t need another expert

After running 100 kilometres,

MINING BUSINESS WEALTH

> BY FREDDIE BENNETT

Guinness World Record Holder, podcast host and bestselling author, Freddie is known as ‘The Profit Hunter’. He helps business owners enjoy more time, money and freedom by discovering and extracting hidden profits in their companies. Freddie@conqueryourmedia.com

my feet were falling apart, my stomach churning and my mind in pieces. And I was just over halfway through the race.

At that point I can categorically say: I knew I didn’t need another performance coach, I didn’t need another self-development book to read, I didn’t need another mindset podcast.

All I needed was all I had: My self-belief, and the knowledge I could back myself to deliver.

You already have everything inside you, you just need to unlock it.

7. Time cannot be beaten

Tick, tick went the clock. I was falling behind schedule, and at risk of missing my cut-off time window.

No matter what hacks, shortcuts and quick fixes we try … one day, time will run out.

The finish line is inevitable for us all, whether we like it or not. The good news is that we have control: We get to choose whether we arrive on our

hands and knees, or whether to turn up in style.

8. Become a master of completion

I used to be a big ‘ideas’ guy. I loved to start things: businesses, relationships, projects, adventures.

But I wasn’t so good at finishing them. Completing things means overcoming challenges, obstacles and issues, which isn’t very fun.

When you become a ‘completer’, you prove to yourself that you can exceed your expectations.

9. Create your own future

The best way to predict the future is to create it.

In the final few miles, I imploded. My thoughts turned to failure. How embarrassing! How many people would I let down? How stupid would I look? I was terrified by an outcome that hadn’t even happened yet.

When we think of the future,

the fear creeps in. But it never has to happen. We always have a choice whether to continue on our present path.

10. Remember who will be there at the finish line

I crossed the finish line, fell to my knees and saw my family cheering.

When it mattered – when I really needed support – no-one else was there for me. Not the business partner who had promised me a life of riches; not the performance coach who ‘really wanted me to succeed’; not the boss who ‘had all my best interests at heart’; not the elusive customer who ‘was definitely going to buy soon’.

It is often those who support us the most who get the least of our time and attention in return.

One day, you will reach the finish line.

Who will be by your side? Give those people the version of YOU that they truly deserve.

When the proverbial hits the fan

JFRANCHISING

> BY NATHAN BONNEY

Nathan Bonney is a director of Iridium Partners. He can be reached at nathan@iridium.net.nz or 0275-393-022

ust when business was thinking the worst of the economic impacts of Covid were behind us, we are reminded by flooding in Auckland and the significant impact of Cyclone Gabrielle that there are always risks involved in business, and unfortunately these are sometimes unforeseen and completely unrelated to the trials of business-as-usual.

It re-enforces how essential it is for businesses to have asset and business interruption insurance, and business continuity plans covering every aspect of the business from supply chain, human resources and, depending on the business, even stretching to utilities provision.

For businesses operating within a franchise structure, there are some additional considerations for when the proverbial hits the fan.

It is critical to understand the obligations in your franchise agreement, starting with fee structures; some systems generate fees or royalties based on turnover, whilst some have a flat or minimum base

It [Cyclone Gabrielle] re-enforces how essential it is for businesses to have asset and business interruption insurance, and business continuity plans covering every aspect of the business from supply chain, human resources and, depending on the business, even stretching to utilities provision.

fee. Whilst the former is tied directly to revenue, the latter is independent, so what happens if you are not generating any revenue?

The flat fee issue raised its head during Covid and lockdowns, and responses from franchisors varied considerably.

I would suggest it’s now taken into consideration by many franchisors, franchisees and their professional advisors, and is certainly something that should be discussed and covered before entering into a franchise agreement.

Some franchise agreements also have what are called minimum performance standards. These are designed to ensure franchisees grow and focus on their business.

In effect this means if a business is underperforming the franchisee risks being in breach of their franchise agreement. But what happens if external factors hamper business performance? Will these clauses be evoked and how will they be managed?

You should understand any restraints from the franchise agreement on supply chain

Year-end tax considerations

As we are fast approaching the end of the 2023 tax year, there are some key developments that need to be actioned before 31 March (for those with a standard balance date) along with some standard year-end tax issues to consider and some recent developments that you should also bear in mind as you work through your year end.

Bad debts

Do you have receivables that are not likely to be paid? Make sure these bad debts are properly written off in your accounts before year-end so that they can be deductible.

Imputation credit account

Your imputation credit account must have a credit balance at 31 March. This applies to all taxpayers, regardless of balance date. A debit balance will result in a penalty so it is wise to pay careful attention to this especially if you have paid out imputed dividends, received tax refunds or have a loss of shareholder continuity.

Depreciation

and approved suppliers and the impact of interruptions on your franchised business.

Finally, should the worst occur, and you need to exit the franchise, you should understand the termination provisions of the franchise agreement.

Luckily, the above considerations will usually be addressed and understood through due diligence before entering a franchise agreement, and furthermore there are a number of advantages of being part of a franchise when the proverbial hits the fan.

First and foremost, as a franchisee, you are not alone. You have the support of the franchisor and in many cases, the support of other franchisees. They may have experience in the situation you find yourself, and have pre-prepared contingency plans ready to go.

Whilst it’s good to know that you’re not alone, access to additional external resources can be huge.

After the Christchurch earthquake we witnessed incredible support within franchise systems ranging from franchisees and franchisors

TAXATION

> BY ANDREA SCATCHARD

physically getting stuck in and assisting with cleaning, clearing and getting back to business, loaning stock, assets and even staff, through to franchisors providing additional financial support in the form of fee holidays and re-directing marketing spend to rebuild sales. Most franchise systems are likely to have intrinsic supply chain and cost advantages including insurance, supply chain robustness, and the marketing power and reach to assist with rebuilding business levels.

Andrea Scatchard is a Tax Partner at Deloitte, based in the Bay of Plenty. She can be contacted on ascatchard@deloitte.co.nz

Low value assets

Remember that assets that cost less than $1,000 can be immediately deducted, rather than depreciated, as long as you didn’t buy more than one of the item on the same day from the same supplier.

Trading stock

Have you considered reviewing your trading stock valuation? A stocktake should be done at balance date, and any

Check your fixed asset register: are you using the correct depreciation rates? Remember to depreciate new assets from the beginning of the month of acquisition, not just from the date of purchase. On the other hand, if you have pooled assets, these can be depreciated for the full year of purchase. If you are writing off assets, make sure they have been disposed of by year-end.

trading stock that is obsolete may be able to be re-valued. You must be able to substantiate valuations that are below cost.

Losses – forfeited if continuity breach

If you are expecting to carry forward tax losses and your company has had a change in shareholding during the year, you may want to check whether the shareholder continuity and business continuity rules have been breached. A breach of both can result in all of your tax losses being forfeited.

Fourth quarter FBT returns

31 March also marks the end of the FBT year, regardless of your financial balance date. The March quarter (or annual) FBT returns are due to be filed by 31 May 2023. This presents an opportunity to use the various alternate rate options to reduce the FBT payable from the standard 63.93% rate.

GST mixed use taxable and non-taxable supplies

If you are GST registered and have assets that are used to make both GST taxable and

GST exempt supplies, you may need to make an annual change of use adjustment in the GST return period that includes your balance date.

GST invoicing changes from 1 April 2023

Gone are the days of GST tax invoices (kind of). I remind you that from 1 April 2023, the current requirements for tax invoices are being relaxed. It will no longer be necessary to hold a valid tax invoice to claim an input tax deduction and details of what you need to provide your customers in relation to sales are changing.

You don’t need to change your existing practices, but you may find that you get different looking documents from your suppliers for purchases you make.

UOMI rate increase

IR use of money interest rates have shot up recently, currently sitting at 9.21% for underpayments of tax. If we see further rises in the OCR, we can expect that the IR rate may also increase further. This high interest rate makes it much more attractive to make use of tax pooling to minimise your overall interest cost. If you have provisional or terminal tax payments to make, and do not already use tax pooling, I urge you to look into this.

The tax pooling process not only minimises your interest cost, it can also provide the flexibility to make your tax payments at times that suit your own cashflow patterns.

Navigating all of the tax rules and obligations can be a nuisance for people who understandably just want to focus on running their business. If you have questions or would like help managing your end of year tax affairs, please seek advice from your tax accountant or adviser.

Escape with Armageddon – entertainment and fandom at its finest, since 1995

By SCOTT YEOMAN

William ‘Bill’ Geradts, owner and operator of one of New Zealand’s largest public expo events, Armageddon, is by his own description “an old school nerd”.

He beams in from Christchurch, his office visible in the background and full of an assortment of figurines and other entertainment paraphernalia.

Bill explains how he is currently listening to a podcast about a group of guys rewatching the original Star Trek: The Next Generation from the 1980s.

In his next breath – and this is the secret to Armageddon’s success – Bill is talking about the hit 2023 show The Last of Us, Game of Thrones, and the new trailer for The Flash which has just “dropped today”. “Feed me more,” he says with a laugh.

The 52-year-old’s appetite for entertainment is insatiable – he is a Doctor Who obsessive, he creates and publishes comics and graphic novels – but at the same time is in no way stuck in the pop culture of the past.

Armageddon wouldn’t still be around if he was.

“We’re always evolving, and that’s why it’s called Armageddon,” Bill says. “It’s a name that means nothing. It is just a cool name for what we’re doing. It’s not a Comic-Con, it’s not an anime event, it’s not a K-pop festival, it’s not a gaming expo. It is a bit of everything, and that’s where our strength lies.”

Armageddon Expo started in Auckland in 1995 and over the past 28 years has grown to include events in Wellington, Christchurch, Hamilton, Tauranga and Palmerston North.

There have also been Armageddon events held in Melbourne.

“It’s been my baby since we created it,” Bill says.

The “we” being him and his “very patient wife” Adele.

“We did a couple of years’ worth of Doctor Who video days beforehand, and that evolved into Armageddon, and pretty much really, in my 20s, it was just a great way to pay for all my geek stuff that I was

buying. That’s the whole reason it was created. I needed to buy Doctor Who videotapes from England and they were expensive.”

Now Armageddon attracts thousands of people each year. At the annual Tauranga event alone, between 10,000-11,000 tickets are sold.

This year will be Armageddon’s seventh year in Tauranga, always at Trustpower Baypark Arena.

“One of the things I love most about Baypark is that it gives us room to breathe,” Bill says. “We’re bringing some extra gaming stuff this year and we needed room to do it, and we’ve got the room here.”

Armageddon takes over the whole indoor arena for the weekend, as well some of the space outside.

“It’s got all the facilities we need, it’s easy to use, it’s reasonably central, it hits a good base around the Bay of Plenty,” Bill says.

“But, at the end of the day, it’s just a great venue and that just makes it easy when you can pretty much rock up, know that things are going to get looked after, and know that the show is going to go well. The staff are great. We’ve always had a really good experience at Baypark. It’s one of the venues I always look forward to.”

Armageddon will be hosting its first high school Esports league event in Tauranga this year, as well as a K-pop concert – another first for the Tauranga event.

“We’re always looking for the new thing. We’re always looking for the next thing,” Bill says.

“The main guest for this show is from Stranger Things, and he’s one of the most current guests we’ve hosted because he’s right in between seasons. He’s done a lot of different things. We put a lot of resources into bringing him to Tauranga, because we wanted to bring one big guest to the show.”

That is English actor Jamie Campbell Bower, who is also known for his parts in Sweeney Todd: The Demon Barber of Fleet Street, The Twilight Saga, Camelot, The Mortal Instruments: City of Bones, Harry Potter and the Deathly Hallows – Part 1, and Fantastic Beasts: The Crimes of Grindelwald.

Other special guests at the Tauranga

Tauranga Armageddon 2023 is on March 25th and 26th at Trustpower Baypark Arena, 81 Truman Lane, Mount Maunganui. Tickets start at $10 for children and $15 for adults.

event will include cosplay superstar Alyson Tabbitha, animation voice actor Brian Beacock, and young New Zealand actress Amie Donald, mostly known for her role in Sweet Tooth and, more recently, for playing an AI doll in the movie M3GAN

There will also be the usual eclectic mix of exhibitors – dozens and dozens of stalls covering every corner imaginable of pop culture, fantasy, anime and animation, gaming, tech, comics, collectibles, movies and TV. This is entertainment and fandom at its finest, plus plenty of food vendors and retailers to keep everyone well fed.

“I think that one of the strengths that Armageddon has is that we see a lot of families, young and older, coming together to the show,” Bill says. “There is stuff that parents love and there’s stuff that the kids love. And it’s not often that you can both enjoy different aspects of the same thing. This is a fun family event.”

Trustpower Baypark is Tauranga’s premier venue for conferences, meetings, entertainment, and exhibitions. It offers a complete package in one convenient location, featuring state of the art meeting rooms, conference and expo spaces, in-house catering, audio visual experts, and marketing and promotional services.

William ‘Bill’ Geradts

Tauranga’s Premier Venue

Western Bay joins taskforce to get young people in work

Imagine all young people under 25 engaged in appropriate education, training, work or positive activities in their communities – that’s the goal of a new programme rolling out in Te Puke and Maketu.

Western Bay Mayor, James Denyer has joined the programme – Mayor’s Taskforce for Jobs – adding our rohe to a nationwide network of Mayors, working together to get all young people 16-25 working, training or contributing to their communities.

Other councils in the Taskforce have created initiatives that have seen over 380 people placed into apprenticeships, enabled 500 people to gain their driver licence, and supported 700 education and training opportunities.

According to a recently released study from the Salvation Army, the Bay of Plenty has the highest proportion of young people not in employment, education, or training in Aotearoa, so this programme has some work to do (in June 2022, 18.7 per cent – or 6500 – of 15- to 24-yearolds in the region were not in education, employment or training).

This much needed Western Bay version of the programme will be focused on helping youth in Te Puke and Maketu where support is most needed (over 400 young people unemployed, or not in the workforce, source: 2018 Census).

This complements the existing youth employment programme ‘Katikati Poutama – Pathways for Rangatahi’ already in action at the western end of the District.

The new Taskforce team will be

working closely with existing local providers, and partnering with Colab, a group of social sector organisations based in Te Puke. The partnership will ensure that the Taskforce builds on their existing good work.

To assist Mayor James in making the Taskforce goal a reality, a new coordinator Davina Edwards, has joined the team.

Davina’s role will be focusing on tailoring the Taskforce’s mission to our Western Bay communities and connecting communities with opportunities. She will be helping to create paths and remove the barriers between our young people and education, training, and jobs.

Mayor James says, “Our District is so full of opportunities just waiting to be seized, but our young people can be stopped at the first hurdle.

“Often it’s something we take for granted, like having access to driver licensing and testing, that blocks people from working towards their goals.

“I’ll be working with Davina to understand what we can do to remove those hurdles, and be an advocate for our young community.”

Existing businesses in our local communities also stand to benefit from the programme with access to new recruits, so it’s a positive for the whole community at a time when a lot of people are doing it tough.

Bay Mayor

with the new Mayor’sTaskforce For Jobs

they plan to get work with young people inTe Puke

help them find new education,training and employment opportunities.

For Davina, tailoring the solution to the community and its needs is the key to success.

“I’m new to the Western Bay and I’ve spent the last few weeks making my way around the rohe speaking with our communities and tangata whenua. Our District is rich with cultural diversity and that strong social fabric is something we can tap into to

build successful programmes.”

Chris Johnstone, Colab coordinator says, they are excited about this great initiative.

“This is a great opportunity to work in partnership with Western Bay of Plenty District Council and the community, to provide good outcomes, training and employment for our young people.”

Council is a supporter of Colab and all the things they do for the Te Puke community. We look forward to working with them on this project. Check out the Mayors Taskforce for Jobs website www.mtfj.co.nz/ for more information. More information about Colab can be found on their website www.colabcommunity.nz.

A business partner that understands your views and

Contact the Bayleys Tauranga Commercial

Western

James Denyer,meets

co-ordinator,Davina Edwards.Together

and Maketu to

ROTORUA’S QE HEALTH OPENS THE DOORS TO MULTIMILLION DOLLAR HEALTH AND WELLNESS FACILITY

QE Health has opened the doors to its new $19M purpose-built health and wellness facility in late February following a karakia (blessing).

QE Health Chief Executive, Dr Aaron Randell, says the blessing and opening of the facility, now located at 1084 Hinemaru Street, is a significant milestone for everyone involved in the project.

“Plans for the new facility began way back in 2019, so between Covid lockdowns and rising building costs, there have been many challenges along the way – it was a great feeling to acknowledge that journey,” says Aaron.

The former QE Health building on Whakaue Street was originally built 80 years ago as a convalescent home for soldiers returning from WWII.

“The building was never intended to be used for more than 15 years, but here we are more than 80 years later, with a new facility, which will serve the community for generations to come,“ he says.

While most services have re-opened at the new facility, the geothermal pools will not open until Monday 6 March.

As part of the karakia, a rock was moved from QE Health’s former gar-

den to the new facility’s reception. The rock originates back to the 1980s when the former Patient’s Association funded a Japanese-inspired garden as a quiet space for patients staying at QE Health.

QE Health Trustee, Mary Lean, says local sculptor Trevor Nathan has now carved a koru and the year ‘2023’ into the rock as the completion date of the facility.

“The rock symbolises a new beginning for QE Health and carries the spirit of the original building and

what QE Health embodies into the new facility,” she says.

QE Health will host a community open day on Saturday, 11 March where members of the public can walk through and experience the facility themselves. Hosted by NZME, the event will also feature a free BBQ and spot prizes. A formal ministerial opening will take place on Friday, 10 March.

The new facility’s layout will provide visitors with a much-improved visitor experience with the gym,

How to prepare your business for sale

For business owners, the thought of selling your business may be quite daunting. However, if you prioritise preparation and engaging with the experts, the process can be simpler than you think!

There’s no such thing as preparing for the sale too early. Preparing your business for sale is a process that requires careful planning.

The longer you have to prepare your business, the better chance you have at successfully selling it – not to say that it can’t be done quickly if need be.

It is important to determine an exit plan early on, establishing a solid understanding of the drivers of business value and targeting the level of profits likely to deliver a successful sale at the desired value.

A crucial step in preparing a business for sale is determining its value. A business appraisal analyses every aspect of the business, from the market value of its assets to its future earnings prospects.

An expert’s opinion, who has relevant comparable busi-

Minimising costs and increasing annual profit by a modest amount can add to the potential sale price.”

ness sales data, on what your company is worth will help you determine whether now is the right time to sell; and how much you might be able to sell it for.

It will also give an insight into how to improve the business before placing it on the market.

Timing is everything.

Bringing the business to market when it can be shown to be running at peak efficiency, and with a solid record of profits trending upwards, is always going to result in more buyer interest.

This may require trimming of costs, greater sales, and increased profit margins and reviewing other variables.

Minimising costs and increasing annual profit by a modest amount can add to the potential sale price. A healthy and thriving business with robust financials and a smooth operation is likely to sell more easily.

A business is more attractive if its success isn’t solely dependent on the owner’s operational know-how, technical skill or personal relationships with clients or suppliers.

Having an experienced, reliable management team

Pilates studio, Rachel Pools and clinic rooms all easily accessible to one another.

“Our new health and wellness facility enables us to take our unique, clinically integrated approach to health and wellness to the next level,” says Chief Executive, Dr Aaron Randell.

“One of our aims is to provide additional health and wellness options for more Kiwis – an aspect which is becoming increasingly important as our population increases and ages,”

he says.

QE Health is New Zealand’s only clinically integrated health and wellness centre. It provides a complementary range of personalised clinical health services to help people reach their wellbeing goals.

The new facility has been funded through a series of predominately loans and some grants from Kānoa, the Government’s Regional Economic Development & Investment Unit, Rotorua Trust, and Rotorua Lakes Council.

BUSINESS SALES

> BY STEVE CATLEY

Steve Catley is a Business Broker at LINK Business Brokers. He can be contacted at 021 341 117 and steve.catley@linkbusiness.co.nz

demonstrates that the business will remain successful post-sale.

Clear signs that there are competent staff tasked with spreading the workload and helping drive the business forward are crucial to giving buyers confidence that the business will continue to perform post sale.

Getting the records in order is one of the most important steps you can take to prepare your business for sale. Review all financial statements from

the past few years and make sure they’re accurate and up to date. Your accounts should be organised and include everything relevant to the business. It is also key to provide a set of ‘normalised’ accounts to show maximum operating profits, as well as your actual accounts.

This means adding back expenses that are not directly related to operations – and being prepared to discuss these with potential buyers. This can

make a big difference to the selling price.

You may have experience running a successful business, but does that mean you are right person to sell it and to achieve the best return?

Hiring a team of experienced professionals, who can represent your business appropriately, have experience in business sales with access to relevant comparable data and an insight of the industry will help you find the best position for your business.

Aaron Randell moves the carved stone into the new reception.

QE Health CEO,DrAaron Randell and DrAnaha Hiini who led the blessing.

NEW APPOINTMENTS

BBN’S GUIDE TO NEW PEOPLE AND NEW ROLES ACROSS BUSINESS IN THE BAY

To feature in New Appointments email us at new.appointments@bopbusinessnews.co.nz

Appointments signal a strong start to 2023

Despite the challenging weather events so far this year, there is no shortage of drive in our local business community. This month we feature new appointments in accounting, recruitment, insurance, finance and IP law, as well as introducing new talent in local arts and tourism.

Craig Rossouw

Trans-Tasman accounting and advisory firm William Buck is delighted to announce the promotion of Craig Rossouw to Associate Director, Audit & Assurance.

Craig joined William Buck’s Tauranga Audit and Assurance team in 2020 and has a wide range of experience in audit and accounting, including in South Africa and the United States.

Craig previously ran his own accounting, audit and assurance practice, prior to moving to New Zealand from South Africa.

As Associate Director he moves to a leadership position in the Tauranga office working alongside director Richard Dey.

Lucy Clack

Tradestaff Tauranga is pleased to announce the appointment of Lucy Clack as team leader. “With over six years experience as a fitness coach I have always had a passion for helping people reach their potential and achieve their goals,” says Lucy.

“After spending four years travelling, I am excited to bring my knowledge and love for connecting with new people to my current role at Tradestaff. My goal is to continue building relationships with past, current and new clients and supply them with the best service and candidates in the Bay. My time with Tradestaff so far has been a fantastic experience and I’m looking forward to leading the team and growing our relationships with our valued clients and candidates.”

Hallam Jones Insurance and Superannuation Ltd, welcomes Michael Dent to Hallam Jones.

Michael has successfully obtained his New Zealand Certificate in Financial Services Level 5 in Life, Disability and Health Insurance. He is currently working towards his lending accreditation.

For Michael, this marks a complete change in direction from running his own electrical business for the last 24 years. Michael has always had the desire to help people, so if you want an advisor who is willing to go the extra mile to find you increases in cover for reasonable prices, or, savings in fees with comprehensive cover, Michael is the adviser you need to talk to.

Sam Oughton

First Mortgage Managers Limited (FMML), manager of First Mortgage Trust (FMT), New Zealand’s largest non-bank first mortgage lender has appointed Sam Oughton as a Business Development Manager, based in their Christchurch office.

Sam Burgess, Head of Lending for First Mortgage Trust says, “We are delighted to have Sam join our Christchurch team. First Mortgage Trust have provided investment and property finance opportunities to kiwis for over 25 years, with business continuing to grow.”

Sam Oughton brings over 10 years’ experience in the finance, property and real estate sector, as well as experience as a registered property valuer.

Tonia Brugh

Renowned IP specialist Tonia has re-joined James & Wells as Partner in their Tauranga office.

Tonia gained significant international experience working with mega US media technology companies such as Apple Corp, Warner Bros. and Google.

Tonia is passionate about supporting Pasifika and Māori entrepreneurs in her work. She is an advocate of te reo Māori and tikanga and assists a number of Māori Boards in a pro-bono capacity, as well as acting as Co-Chair on the Pacific Island Community Tauranga Trust (PICTT) and supporting her esteemed Trustees at Te Murumāra Foundation (Te Aka Māori Dictionary).

New Tauranga Art Gallery Trust and Tourism Bay of Plenty board trustees appointed

Tauranga City Council is pleased to announce it has made new appointments to the Tauranga Art Gallery Trust (TAGT) and Tourism Bay of Plenty (TBOP) boards.

Passionate contemporary visual arts leader, Zara Stanhope, has been appointed to the TAGT board, and respected local mana whenua representative, Charlie Rahiri, has been appointed to the TBOP board, with approval from Western Bay of Plenty District Council, as a joint TBOP shareholder.

City Development & Partnerships General Manager, Gareth Wallis, says Zara and Charlie bring with them a wealth of expertise and experience to the council-controlled organisations (CCOs), and will help ensure both boards continue to deliver great community outcomes, events, and activities for Tauranga locals and visitors.

“I’d like to acknowledge the mahi from our current council-controlled organisation board members and welcome the new trustees for Tauranga Art Gallery Trust and Tourism Bay of Plenty. We’re delighted to have such high calibre, respected, and experienced people

We’re delighted to have such high calibre, respected, and experienced people joining these boards.”

– Gareth Wallis

joining these boards,” says Gareth.

“It strengthens what is already a great platform for decision making and shaping an engaging, inclusive, and vibrant city full of opportunities for everyone to enjoy.”

Zara Stanhope

Currently Director of the Govett-Brewster Art Gallery | Len Lye Centre in Ngāmotu, Zara has served as an aspiring trustee on the Tauranga Art Gallery Trust board

since 2021 and comes strongly endorsed by the current board for her contributions to date.

Zara has an extensive career history in the local, national, and international art and academia realms. She holds a PhD plus tertiary and postgraduate qualifications in art history, accounting, and communications.

Charlie Rahiri

Endorsed by Te Rangapū Mana Whenua O Tauranga Moana Committee, Tourism Bay of Plenty is pleased to now have mana whenua representation on their board. This will improve decision making at

governance level, by enabling tangata whenua participation and improving relationships with mana whenua across Tauranga Moana.

Charlie holds qualifications in Te Reo Māori, leadership, Māori mentoring, communications and health promotion, and has a wealth of governance experience as a Chair, trustee, and committee member.

Charlie has a notable career history in advisory and management roles, particularly in Māori development, partnerships, and education.

The Tauranga Art Gallery Trust is a council-controlled organisation of Tauranga City Council, and

Tourism Bay of Plenty is a joint council-controlled organisation with Western Bay of Plenty District Council.

The new appointments commenced from Thursday, 1 and Friday,16 December 2022 respectively, for a three-year term.

RESIGNATION

Stephen Cleland

The Tauranga Art Gallery Trust Board announce that Stephen Cleland has resigned as Director of the Tauranga Art Gallery to pursue other opportunities.

“During his time at the Gallery, Stephen has led our organisation through a challenging period, overseeing a number of strategic changes and realising ambitious exhibitions and programmes along the way. This work has placed the gallery in a strong position for future success” said TAGT Board Chair Rosemary Protheroe.

Megan Cleverley, Tauranga Art Gallery business development and relationships manager, has been appointed acting director while the Board works through the recruitment process.

Michael Dent

2023: When will it be over please?

LHAVE YOU EVER NOTICED?

> BY ALAN NEBEN

Alan Neben is a Mount Maunganui local and experienced New Zealand publisher. His columns provide a light-hearted perspective on social changes effecting New Zealanders.

ast October my monthly column was entitled ‘2022: It just feels different.’

In that column I remarked that the world seems to have changed in many ways over the period since 2017. I posed the question: “Is it just me, or does the world feel different? Really, weirdly, different?”

I went on to say that for me, there’s now a permanent sense of impending doom. Now we’re in 2023 I can’t help but feel that for most of us the heightened anxiety that was induced in the four or five years preceding 2022 hasn’t subsided. If anything, it has multiplied exponentially already this year – and we’re only in March (scary face emoji). Does the world feel different? Bloody oath it does!

Floods that devastate large swathes of land, displacing and killing people and leaving

communities in chaos with the seemingly impossible task of rebuilding lives and infrastructure are what we see on CNN in overseas countries – not what we expect to see here in New Zealand. And to be so hot on the heels of the unprecedented Auckland floods, one has to ask: “What have we come to?”

The geography and geology of Aotearoa provides a backdrop for amazing postcard photos, but, on the downside, a host of challenges for building roads and bridges and houses. Most New Zealand towns and cities are either sited on a coastline or a riverside – DANGER.

We’ve been hearing about the potentially catastrophic impacts of global warming for years now – the general consensus is that these impacts will have devastating effects in the future. When exactly? Well, nobody could really say

… but soon.

It seems to me that ‘soon’ is actually ‘now’.

For how many years have we slagged-off the weather forecasters? But have you noticed that as of 12 February 2023 we have become far more wary of their warnings of impending rain and storms? I certainly have.

Forecasts that before 12 February may have been dismissed with a fair dollop of scepticism, are now feeling more real and anxiety inducing. ‘She’ll be right’ has been turfed out as a response, replaced with, ‘God, don’t let this one be the one that gets us!”

When a New Zealand town was deluged with rain and flooded on a Saturday, in the past we have tended to say, ’bad luck’, ‘bit of a freakish downpour that one’, ‘one in one hundred years’, ‘unprecedented’ … then on Monday

we’ve continued to argue with the building inspector that, “the piles don’t need to be that deep”, and “the engineering calculations are ‘bloody over the top’.”

I suspect we won’t be arguing those points so vigorously anymore now.

Unfortunately, it seems to me we often need the wake-up call of a real disaster to spur us into action.

If Christchurch hadn’t happened, would we ever have embarked on the nation-wide rebuild we now call ‘earthquake strengthening’?

If Whakaari White Island had never happened, I expect tourist trips to the volcano would still be running.

If the Mosque shooting hadn’t occurred, I suggest I’d still be allowed to keep a stash of automatic ‘hunting’ rifles at home.

Out of each these disasters have come change for the better: better buildings, safer tourism and a lesser chance of local mass killings of innocent people.

The recent floods have bought out the best in people – communities have banded together to help those in need, people have given freely to

More warning needed for minimum wage increase

1 April 2023 will see the adult minimum wage increase to $22.70 per hour from the current hourly rate of $21.20 – a 7.1% increase. With this, the training and starting-out minimum wages will also both increase to $18.16 per hour – a rise from the current minimum rate of $16.96 per hour.

WHUMAN RESOURCES

> BY

KELLIE HAMLETT

Talent ID are Recruitment Specialists and can support you through your recruitment process. Please feel free to talk to us about this by calling 07 349 1081 or emailing kellie@talentid.co.nz

hilst many believe that it is quite a significant jump, others consider it fair as it keeps in line with inflation.

Economic and political commentator Bernard Hickey believes that previous minimum wage hikes over the last five years have been “double inflation”, whereas this year will be more in line with the rate of inflation, adding that: “In real terms, this is actually a slow-down in the minimum wage increase.” Overall, minimum wages

have steadily increased from $16.50 in 2018 to $22.70 in 2023 and while this must be a relief for minimum-wage workers, some might argue that this rise, combined with the recent floods, as well as the aftermath of Covid-19, might place significant strain on some small business owners who are hanging onto their companies and livelihoods for dear life.

Further to the above, a survey conducted by Retail NZ, recently revealed that 57% of retailers will reduce the work

hours available to their teams while 41% plan to reduce staff numbers. Others are planning on increasing retail prices, reducing store hours, with a small percentage even considering shutting down their businesses entirely.

According to this survey, the wage hike will impact employees “at every level, not just those on the minimum.”

As one retailer said, “Most of my staff are paid above the new minimum wage, but they too, will expect an increase to maintain the differential.

those impacted, Canterbury people have been nice to Auckland people, and, perhaps most hearteningly for me, I hear an entire nation feeling for its effected people.

Even the opposition political parties have largely steered clear of political sniping in relation to the Government’s disaster response (so far).

Let’s build on this national spirit of caring and empathy and unite to find effective solutions to the climate change challenges our country now faces.

There will be change, there must be change, to how we build and where we build and the roads we use to travel to where we build. It won’t be done without some pain and some heartache, and it certainly won’t be done overnight, but let’s start now.

Looking to the devastation from the recent earthquakes in Turkey and Syria, one of the major causes of the massive loss of lives is linked to the huge number of non-compliant buildings in those countries – estimates suggest 7.5 million buildings in Turkey alone are illegally constructed (non-compliant).

Steel is expensive, so leav-

ing it out of the construction process can be quite cost-effective in the short-term.

Here in New Zealand we are starting from a comparatively strong position then when considering how we change our planning procedures to better mitigate the effects of weather events in the future.

We generally have effective codes for building and infrastructure, good compliance and little corruption. If the codes need changing and the compliance needs to be administered differently, I like our chances of achieving those changes more than the chances of Recep Tayyip Erdoğan convincing Turkish builders not to cut corners by leaving out the steel.

As the Russia Ukraine war threatens to boil over into a world war, the death toll continues to rise in Turkey and Syria, and the destruction of the flood events her in Aotearoa New Zealand continues to overwhelm us, my concerns about a lack of decent restaurant service due to Covid-19-induced staff shortages seem fairly inconsequential – from now on no more restaurant complaints from me in 2023!

That’s where the expense comes in. I don’t think the government understands the expectations of employees already above the minimum wage.”

These views suggest this increase might place unplanned strain on certain businesses, and quite possibly the mental wellbeing of these business owners.

This wage increase might mean massive relief to strug-

gling families. Whilst it might be inevitable and in line with inflation, taking into consideration the financial year-end and the fact that April is right around the corner, more warning time could have given small businesses the opportunity to better prepare for this “hairy” jump in wages, as it has been referred to on a few occasions.

* Sources: 1news.co.nz, Human Resources Director NZ

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