Generation Magazine - Autumn/Winter 2014

2 GENERATION SPRING 2013

eyebrow running head

GIRLS ALLOWEDThe future’s bright, the future’s beautiful

http://www.urbanretreat.co.uk

3GENERATION AUTUMN/WINTER 2014

contents

opinion

upfront

meets

cover story

midlands’ finest

expert

prosperity

ten

panel

review

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09What is it about women andfamily business?

11News and highlights from the world of family business plus winners of the fifth annual Red Ribbon Awards 2014 announced

26Behind the scenes with Nadeballa, Bigjigs Toys and the British Surrogacy Centre

3414 young women at the helm of britsh family firms

43Shining a light on the best of the Midlands’ family firms

56The professionals talk governance, employee ownership schemes and raising finance in family businesses

62Discussing business ethics, succcession planning and philanthropy

69Ten bitesize ways to tackle recruitment

72Our experts are in the hot seat to answer your burning questions

75Recommended reading from our family business library

78A day in the life of Scott Souster, Souster & Hicks

I N T H I S I S SU E

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Generation Creative Team: Creative Director: Anita Brightley-Hodges [email protected] Designer: Christian Gilliham Photographer: Nick Gillott [email protected] Printed in the UK by The Magazine Printing Company. www.magprint.co.uk

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Skilfully crafted by our Master Cider Maker, each has its own characteristic rich style and a fl avour simply bursting with fruit. Cloudy or clear,

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editor’s letter

“These ladies, along with their peers, are going to be at the

helm of some of the UK’s most successful family firms in the months and years

to come.”

If you didn’t notice the line up of fabulous young women on the front cover, I suggest you take another look. Because these ladies, along with their peers, are going to be at the helm of some of the UK’s most successful family firms in the months and years to come. Some of them you may already know, others are sure to come onto your radar in the very near future. They are young, beautiful, savvy, hard working, kind spirited and determined. They are the future face of Britain’s private business sector and only strive to make their family businesses bigger and better. Later in the magazine you’ll get to know some of the personalities behind these family brands.

On top of that, we have an issue crammed full with news and features from some of Britain’s most fascinating family-run companies including a recipe passed down through four generations of women, a husband and wife team taking the children’s toy world by storm and a ground-breaking

couple using their own surrogacy experience to help other families in need.

And let’s not forget what a fabulous summer it was for the finalists of our fifth annual Red Ribbon Awards, hosted at Goldsmiths Hall in London in June. It was a priviledge to be in such prestigious surroundings and to be joined by families celebrating with their staff and clients. More often than not we don’t take enough time to stand back and appreciate how far we’ve come as family businesses so the Awards were the perfect opportunity to celebrate. In particular, we have to give a shout out to The Entertainer who won ‘Family Business of the Year’ and Tim Brett from Brett Group who walked away with our ‘Lifetime Achievement’ award.

Finally, we look forward to revealing the results of our first ever Family Business Survey in partnership with Charles Russell Speechlys so watch this space!

DOING IT FOR THE GIRLS

AMALIA BRIGHTLEY-GILLOTT, EDITOR-IN-CHIEF

Best wishes

A family business serving families for 25 years

w w w. t r o t t e r s . c o . u k

34 Kings Road - 020 7259 9620 | 127 Kensington High Street - 020 7937 9373

86 Northcote Road - 020 7585 0572 | 84 Turnham Green Terrace - 020 8742 1195

Unit 6 White Lion Walk - 01483 454 668 | Unit 1080, Westfield London - 020 8743 2754

http://www.trotters.co.uk/

Subscription and Advertising enquiries: [email protected] / Editorial enquiries: Amalia Brightley-Gillott [email protected]

Production enquiries: Anita Brightley-Hodges [email protected] / Designed and Published by Family Business Place www.familybusinessplace.com

ISSN 13644776

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1. Amalia Brightley-Gillott, Editor-in-Chief, Generation magazine & Family Business Place 2. Anita Brightley-Hodges,

Managing Director, Family Business Place 3. Jennifer Kerfoot, The Kerfoot Group 4. Charlie Mullins, Pimlico Plumbers

5. Jason Wouhra, East End Foods 6. Lucy Dickson, Shepherd Group 7. Peter Matthews, Capital for Colleagues

8. Warren Palmer, Support Finance 9. Simon Webley, Institute of Business Ethics 10. Debbie Cameron, Fields of Life

11. Will Axtell, Charles Russell Speechlys 12. Deborah Robson, Charles Russell Speechlys 13. Sally Collins, Hudson Clarke

Associates 14. Graham Keepen, Foxgrove Associates 15. Nick Gillott, Nick Gillott Photography

16. Norma Stewart, Wellers 17. Scott Souster, Souster & Hicks

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contributors

http://foundingwisdom.org/


opinion

Cheryl Sandberg and her ‘Lean In’ concept, but fortunately there has been plenty of equally encouraging press on the effectiveness and long-standing approach of women in such positions within family businesses. This would mean that the culture of the business makes a difference as to whether or not a female leader could succeed; emotional intelligence, empathy and collaboration are all familiar traits in a family business environment and are also deemed to be the strengths in a female leader. So could a combination of the two be the winning formula?

I am regularly reminded of the old adage “as a male asserts himself he’s proving to be a leader; yet when a female does the same she risks being branded bossy” but in a family business, the females of the family are so intrinsic making this adage, irrelevant. The challenge is the people of the company, the employees. Ensuring they embrace the same perspective to ensure the environment reflects the family’s culture is fundamental – if they recognise the value, the culture, and ultimately the commercial drive, will follow.

A very loyal colleague of our business attended a forum recently, ‘Working for a family business’. I received some feedback through a fellow family business leader who also had an employee attend. He said that we should feel incredibly proud of how our colleague spoke of working for us not because of his perfect business acumen but due to his apparent engagement with the family and the fondness he said he has for us, working for a close family who clearly respect their people as much as they do each other. I may be the leader, or indeed a female leader of our family business, but more apparent and ultimately more valuable, is leading a business as a family with each of us daily demonstrating those same values and thus embracing the legacy for our future. Without them there would be no female Chief Executive of this family business, that is for sure.

Accepting the role of Chief Executive from my Father, now our Chairman, of our family business The Kerfoot Group in September 2012 was an exciting time. We agreed he would retire at the end of the financial year, March 2013, and I would step up at the beginning of the following year giving us six months intense handover to ensure my knowledge base and skill sets were at their maximum potential.

What we never considered was the feedback and interest this move would have on our customer base, on our people in the business and somewhat inevitably with the local media. This interest was driven not by my ability to perform the role, not by my CV and the impact that would have, nor on the fact I am the eldest child of the company founders, but in fact on my gender, the fact I am a woman. “First female Chief Exec. in edible oils”, “Youngest female Chief Exec. in Yorkshire”, “Daughter takes the helm”.

Female or not, youngest or not, was anyone going to ask me if I could do the role? Was there any desire to know of my experience or indeed of my preparation to ensure all stakeholders were comfortable I was the right person for the job? It seemed not and this is the disappointment. The fascination, the questions, the interest was extraordinary. Ten years ago I was the only female on a graduate scheme for a global bank and this decision from the selection committee was not an issue for them or me; I was single-sex educated and taught that irrelevant of gender, one’s skill set, one’s ability, one’s experience is all that matters yet here I was a decade later faced with a myriad of questions on the least important issue. Was it only because my position was at the helm of a family business that it mattered?

Much has been written on why there are so few women in senior leadership positions, especially recently thanks to

THE WINNING FORMULA

“Emotional intelligence, empathy

and collaboration are all familiar traits in a family

business and are also deemed to be the

strengths in a female leader. ”

Jennifer Kerfoot, CEO of The Kerfoot Group, explains why the

combination of women and business should never be underestimated.

The challenge is the people of the company, the employees. Ensuring they embrace the same persepctive to ensure the environment reflects the family’s culture is fundamental.

Looking for a new opportunity?Fully Qualified Tradespeople and Call Centre Staff Required

Established in 1979 Pimlico Plumbers is London's largest independent service company. Due to an unprecedenteddemand for our services we have several opportunities for fully qualified tradespeople and Call Centre Operators.

Trades: Earnings - £80K to £100K.We are currently recruiting for the following trades:

• Heating Engineers• Appliance Engineers• Drainage Engineers• Roofers

All tradespeople must be fully qualified via a full trade apprenticeship and have the equivalent of 5 years postqualification work experience. Due to the reactive nature of our work all applicants must live no more than 15miles from central London and be prepared to cover some out of hours working (evenings).

Inbound Call Operators Required - Earnings £18K to £20K.We have immediate requirements for Inbound Call Centre Operators to work in our busy Central London controlroom. You will be working within our friendly and highly professional call centre team. General duties will includeanswering customer enquiries, job bookings and allocating jobs to engineers.

If you’re interested in applying for any of these roles please visit our recruitment web page to upload your CV:

www.pimlicoplumbers.com/about-us/recruitmentor call

The Recruitment Team on 020 7793 2228

The Pimlico Group plcThe Pimlico Group plcThe Pimlico Group plc

EST.1979

PIMLICOPLUMBERS

London’s Leading Service Company

Luke Generation ad_Layout 1 05/08/2014 09:23 Page 1

http://www.pimlicoplumbers.com/

Looking for a new opportunity?Fully Qualified Tradespeople and Call Centre Staff Required

Established in 1979 Pimlico Plumbers is London's largest independent service company. Due to an unprecedenteddemand for our services we have several opportunities for fully qualified tradespeople and Call Centre Operators.

Trades: Earnings - £80K to £100K.We are currently recruiting for the following trades:

• Heating Engineers• Appliance Engineers• Drainage Engineers• Roofers

All tradespeople must be fully qualified via a full trade apprenticeship and have the equivalent of 5 years postqualification work experience. Due to the reactive nature of our work all applicants must live no more than 15miles from central London and be prepared to cover some out of hours working (evenings).

Inbound Call Operators Required - Earnings £18K to £20K.We have immediate requirements for Inbound Call Centre Operators to work in our busy Central London controlroom. You will be working within our friendly and highly professional call centre team. General duties will includeanswering customer enquiries, job bookings and allocating jobs to engineers.

If you’re interested in applying for any of these roles please visit our recruitment web page to upload your CV:

www.pimlicoplumbers.com/about-us/recruitmentor call

The Recruitment Team on 020 7793 2228

The Pimlico Group plcThe Pimlico Group plcThe Pimlico Group plc

EST.1979

PIMLICOPLUMBERS

London’s Leading Service Company

Luke Generation ad_Layout 1 05/08/2014 09:23 Page 1

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upfront

GENERATION AUTUMN/WINTER 2014

Regular Generation pundit Charlie Mullins from Pimlico

Plumbers says apprenticeships are not only good for

young people, they’re good for business too.

Train ‘em young

I know how important apprenticeships are to the economy and young people. I started out as an apprentice myself and wouldn’t have got where I am today without it.

After dropping out of school at 15 with no hope and no qualifications, I embarked on a four-year plumbing apprenticeship and, I now own the UK’s largest independent plumbing company, which I built myself from the ground up.

Pimlico Plumbers currently has 20 apprentices at different stages of their apprenticeship in the business. Each one costs the company £15,000 pa – a cost that is completely justified because though our apprenticeship scheme we find and train the very best personalities for the job.

Sometimes I don’t think businesses realise the true value that apprenticeships can bring to a company or how to go about hiring an apprentice. I think this is because a lot of businesses have an outdated view of what apprenticeships are.

I also believe strongly that the apprenticeship model and way of learning on the job lends itself particularly well to family businesses. Historically family businesses have nurtured the next generation to take over the reins, with sons and daughters ‘learning the ropes’ from inside at a young age. And that is why one of my sons is a qualified plumber, and two of my grandsons are currently employed by me as apprentices.

My early experiences as an apprentice shaped my life which is why I believe that today’s business leaders have a duty to bridge the skills gap and make apprenticeships mandatory. This government has done a lot for apprenticeships and the number of businesses taking them up has increased by 86% since Labour were in charge.

Apprenticeships are essential to drive future talent into businesses. Skills shortages can be a serious threat to many areas of a business so by taking on apprentices you build solid foundations for the future and harness fresh talent, energy and ideas. I view apprentices as an investment in the business and I would take on 50 apprentices tomorrow if I could afford to. They bring so much energy and enthusiasm to the workplace. In fact, one of my proudest achievements was growing the business to a size where we could start taking on our own apprentices and we have expanded the scheme as we have grown over the years.

The government is doing more and more to help SMEs take on apprentices by initiatives like the ‘Apprenticeship Grant for Employers’. This also simplifies the process of taking on apprentices and those eligible for the grant receive £1,500 for each apprentice.

This commitment from the government is a good start but it’s nowhere near enough to solve the ‘Skills Time Bomb’ which is why I’m urging businesses to consider taking on apprentices. It’s also why I believe there should be a national apprenticeship scheme that funds employers to take on apprentices. A good start to fund this would be to convert the Job Seekers’ Allowance into a training allowance that is paid directly to the companies who take on apprentices. This scheme will incentivise businesses to take on apprentices and provide a structured three-year training programme for young people leaving school, replacing the current patchwork of different schemes of differing lengths.

It should be that if you haven’t got a job or a place at university when you leave school then you automatically

go into an apprenticeship. David Cameron said at last year’s party conference that we need to offer young people an alternative to leaving education and going into a life supported by benefits.Germany is the perfect example of a successful apprentice system. They view apprentices as an extension of the education system. Every young person

Sometimes I don’t think businesses realise the true value that apprenticeships can bring to a company or how to go about hiring an apprentice.

leaving school that doesn’t have a job or a place at university automatically gets put into an apprenticeship.

So to a family considering offering apprenticeships DO IT, it will be one of the best investments you could ever make!

www.pimlicoplumbers.com

http://www.notcutts.co.uk/


upfront

Ringtons Beverages has extended its contract with five star country house hotel Jesmond Dene House to provide specially designed hotel-branded roast and decaf coffees

for the hotel’s 40 bedrooms.The family business has

been supplying the North East based hotel with tea and infusions for its bedrooms for a number of years. However,

Ringtons extends contract with five star hotel

the addition of the signature bedroom coffee range and use of Ringtons coffee exclusively in the hotel’s bar and restaurant represents a significant extension of the contract.

Stephen Drysdale, head of Ringtons Beverages, said: “Jesmond Dene House is a beautiful hotel which offers some of the best accommodation in the region and little touches like the personalised, fresh coffee may seem like a small feature, but this attention to detail makes guests feel extra special and enables the hotel to stand out from the crowd.

“The team at Jesmond Dene House are fantastic to work with and have a real enthusiasm for serving the best quality beverages possible, so we are delighted that even more people are able to enjoy both our tea

and coffee in such a beautiful environment.”

Ringtons Beverages has also supplied the hotel with on-demand grinders to work alongside its existing barista equipment, which ensures consistency in coffee grind size and results in a high quality and fresh coffee every time.

Ringtons was established in 1907 when it delivered tea to households in Newcastle-upon-Tyne via horse and cart. Although the horses have been swapped for vans, the company remains a family business and still offers a traditional doorstep delivery service to over 260,000 customers in the UK. Ringtons Beverages division has been in operation for 30 years.

www.ringtonsbeverages.co.uk

Gandys help launch Queen’s Young Leaders schemeRob and Paul Forkan, the brothers who founded the Gandys flip flops social enterprise, were honoured with an invite to Buckingham Palace recently for the launch of The Queen’s Young Leaders programme.

Rob, 26, and Paul, 24, were orphaned in 2004 by the Boxing Day tsunami in Sri Lanka while travelling the world with their parents and four siblings.

Determined to turn their tragic experience into something positive, they launched Gandys, an award winning social enterprise which sells design-led flip flops online. The brothers donate 10% of all their profits to Gandys Foundation – a registered charity which supports children in

need of basic essentials. The charity is currently funding children’s homes in India and Sri Lanka. Rob said: “Our dream is to open our first children’s home in memory of our parents Kevin and Sandra Forkan this year, which will also mark the 10th anniversary of the tsunami.”

The foundation’s projects have also been praised by Prime Minister David Cameron who said of the brothers: “I think it’s extraordinarily brave to come back to a country where there are unhappy memories for them and to help with these orphanage projects. They’re amazing guys and I really back what they’re doing.”

www.gandysflipflops.com

Just weeks after being awarded a ‘Commended for Excellence’ in the Small Business category at Family Business Place’s very own Red Ribbon Awards, a North Yorkshire producer of rapeseed oil has won a national farm produce award.

Yorkshire Rapeseed Oil’s new Oak Smoked Oil, a collaboration with East Yorkshire business Staal Smokehouse, has won the ‘Cooking Oil’ category in the 2014 coveted Farm Produce Awards.

The awards are the Great British Food magazine’s first-ever food awards and recognise the skilled, passionate, and often unsung, artisans behind the UK’s finest speciality food and drink.

Yorkshire Rapeseed Oil celebrates second big win

Yorkshire Rapeseed Oil’s Jennie Palmer said: “We’re clearly enjoying a lucky streak! We faced tough competition from Mr Hugh’s Rapeseed Oil and the Gourmet Spice Company’s Garlic & Rosemary Oil, but were thrilled that our newly launched smoked oil won favour with the judges.”

Yorkshire Rapeseed Oil’s Oak Smoked Oil is hand crafted and smoked over oak and apple wood for a fuller flavour. Used in a number of Michelin starred restaurants, the oil is also available from farmers’ markets, farm shops, delis and independent retailers.

www.yorkshirerapeseedoil.co.uk

www.ringtonsbeverages.co.uk

http://www.berenberg.de/

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upfront


Card Connection has announced that Simon Parker has taken over the Shropshire Card Connection franchise from his father Bob.

Although he has handed over the reins, Bob will continue to help out with the business while Simon is out on the road supplying their retail customer base with the company’s range of greetings cards and accessories.

Simon said: “I’ve worked with my dad in the franchise for a number of years and have now taken over most of the administration and customer

Like father like sonIf 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:

[email protected]

or telephone: 01732 220 120

Luxury tour operator ITC Luxury Travel has undergone a management buyout backed by former Capita chief executive Paul Pindar.

June Foster of the original founding family has retained a shareholding in the business after the buy-out was completed by ITC Luxury Travel chief executive Jennifer Atkinson.

ITC Luxury Travel is one of the UK’s longest established independent, luxury tour operators with revenue of over £47 million. The company prides itself on its family

business ethos and high standards of customer service, and this year made it into The Sunday Times ‘Best 100 Small Companies to Work For’ list for the third year running.

The company is targeting growth through significant investment in people and systems and the acquisition of other travel businesses in the luxury sector and other specialist areas.

Having joined ITC Luxury Travel ten years ago, Jennifer has been chief executive for the last five years. Commenting on

the future plans, she said: “We are excited about this new phase for ITC. Paul brings huge amounts of experience on company development and shares our ambitions to make ITC the leading luxury holiday provider in the country. We look forward to showcasing stylish holidays, sports tours and the very best hotels with our continued focus on excellence. We have built a brilliant team and we all look forward to leading the business to the next phase.

www.itcluxurytravel.co.uk

ITC Luxury Travel in management buyout

facing work. This is an exciting opportunity for me and I am really looking forward to the future. It will be fascinating to see how the sector develops over the next few years and how I can further develop the franchise.”

Michael Johnson, managing director of Card Connection, added: “We are delighted that the Parkers’ franchise will remain ‘in the family’. We have a number of couples who are very successful franchisees and some who also employ other members of their family which means they are working with

people they know and trust. By building up a franchised business and creating a legacy, a unique opportunity is created for the younger generation in what can be an otherwise pretty tough job market.”

www.card-connection.co.uk

After spending the last four years working in Australia, Roland Eglinton has returned to his Kent-based family business, Chalkwell, in a newly created role. Roland, 35, has been appointed the company’s Commercial Director working alongside his father, Clive, Managing Director, and the Chalkwell management team.

Roland spent 19 years at Chalkwell before emigrating to Australia in 2010 to plan local bus services in regional Queensland. During his four years in the country he remained in contact with Chalkwell and at the end of 2013 he came back to spend nearly three weeks appraising the Kent company’s operations and subsequently providing ideas for the future.

“I enjoyed the visit, got the bug and decided I missed the day to day hands on activity. And so I am back as Commercial Director focusing on business development, creating new opportunities and forward planning.”

www.chalkwell.co.uk

A welcome return to the family business

http://www.claritystamp.co.uk/

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upfront


Westons Cider is celebrating some big wins at this year’s International Cider Challenge.

The family business won the Gold Award and the overall winner’s trophy for its Henry Westons Vintage Perry. And if this wasn’t enough, Westons also scooped a Silver Award for its Old Rosie cider and two Bronze Awards for the Henry Westons Vintage and Wyld Wood ciders.

One of the UK’s most prestigious cider competitions, the International Cider Challenge acknowledges the vast range of packaged products in the diverse

Westons takes Gold at International Cider Challenge

and growing cider category. Awards are given to the best ciders across various categories after being blind-tasted by an expert panel of judges and assessed on their taste, appearance and aroma.

Henry Westons Vintage Perry is made using Perry pears from the 2013 harvest. The Perry is then slowly matured in old oak vats to deliver a full bodied and smooth liquid. The balance of subtle fruit notes and fresh acidity makes it very similar to wine in style.

www.westons-cider.co.uk

Eight students aged 14-15 from Manchester Communication Academy have successfully completed the first stage of their pioneering Future Entrepreneurship Partnership at family business HMG Paints.

HMG Paints, the UK’s largest independent industrial paints manufacturer, invited the students to visit its site in Collyhurst, Manchester on a weekly basis to learn about the industry and gain invaluable business experience.

The programme began in September 2013, with 100 eager Academy students applying for the exclusive opportunity. After a rigorous, three month selection process, eight outstanding entrepreneurial candidates were chosen to take part in the scheme.

Starting in January 2013, the young entrepreneurs began

Teenage business brains get busy with HMG Paints

working in departments across the business, learning about sales, accountancy, marketing, formulating colours and research and development. Mentored closely by experienced HMG employees, the students have embarked on a wide range of projects that have included developing a range of eye-catching nail polish colours and staging, filming and editing a promotional video.

Later this year, all eight students will be returning to HMG Paints on a weekly basis to complete the second phase of the partnership. In pairs, the students will be specialising in chosen departments of the business and using their newly acquired business acumen to establish new projects in the business .

www.hmgpaint.com

Seven brothers from the same family have launched their own microbrewery in Manchester.

Keith, Kit, Guy, Luke, Daniel, Nathan and Greg McAvoy set up Seven Bro7hers Brewery after receiving a £45,000 loan from Start Up Now, which is part of the government’s £150 million Start Up UK Loans initiative.

Coming from a variety of business backgrounds, the brothers will be brewing innovative craft beers using only natural ingredients. They will sell to customers through pubs, supermarkets and by mail order, and aim to build the business into a national brand.

Beers for Seven Bro7hersKeith says, “The craft

beer market is booming but it is dominated by products that really fail to represent the true spirit of quality artisan brewing.

Recently, the brothers received a surprise visit from Prime Minister David Cameron who was visiting Manchester to support start-up businesses. He said: “I am delighted to visit Seven Bro7hers today. These brothers had the idea of starting up a brewery, applied for a start-up loan, and are now making their dream of running their own business a reality.”

www.sevenbro7hers.com

FAMILY CONSTITUTIONBOOKSBringing together all of the family’s thinking, plans and aspirations that will stand the test of time, The Family Constitution Book is the critical point of reference for:

Employing family members • When the inevitable happens:•

The unanimous principals of the entire family • Greater harmony • Inspiring future generations•

For further information visit www.familyconstitution.co.uk

For a private consultation call Anita on 07815 497417 or email [email protected]

Rights and Responsibilities

For further information visitwww.familyconstitution.co.uk

For a private consultation callAnita on 01732 220 120 or [email protected]

www.familyconstitution.co.uk


upfront

A scene more synonymous with Horse Guards Parade was witnessed recently at the famous Merrythought factory in Ironbridge. 12 giant Guardsman teddy bears prepared to set sail across the Atlantic for an unusual shipment to one of the company’s US customers.

The newly commissioned teddy bears were handmade by the skilled staff in Merrythought’s traditional factory, which is the last of its kind in Britain. The

Merrythought teddy bears on parade in Ironbridge

bears are 5’6’’ tall and made from the finest mohair.

Still a family business, Merrythought has been making teddy bears in the same factory since 1930. Quintessentially British, the teddy bears are collected all over the world and are sold in retail outlets such as Harrods, Hamleys, Fortnum & Mason, Highgrove and Buckingham Palace.

www.merrythought.co.uk

Award winning microbrewery Wold Top Brewery has just shipped its third order of beer to Finland.

The East Yorkshire farm based business has enjoyed unprecedented export growth over the last 12 months with exports now accounting for almost 15% of turnover. The company is now doing business as far away as Canada, Italy, Sweden, Norway and Ireland.

Wold Top Brewery’s export manager Kate Balchin said: “The

Wold’s ale is a big hit in FinlandFinns have developed a taste for our gluten free beer Wold Top Against the Grain and are ordering almost every month.”

Wold Top Brewery is part of the Higher Level Stewardship scheme for environmental initiatives and is also working closely with the RSPB to promote its birdlife. The company’s award winning ales are sold through its website, independent retailers, farm shops, delis, hotels and pubs.

www.woldtopbrewery.co.uk

Lush has been named as the number one shop overall in the 2014 Which? shops survey. The cosmetics

Customers are key at Lushcompany reclaimed the top spot it held in 2012 after customers rated it highly for customer service.

The survey is based on the views of 12,500 shoppers, and produces customer scores for 100 of the UK’s biggest shops. According to Which?, all of the best scoring shops in the survey were regarded as having outstanding customer service. When shoppers were asked what irritated them most about shopping in stores, the most common complaint was unhelpful staff.

Which? Executive Director Richard Lloyd said: “We’ve seen time and time again that consumers won’t settle for bad customer service and our high street shops survey confirms this. Those stores giving people the care and attention they want have happy customers who return.”

Husband and wife team Mark and Mo Constantine first set up Lush in 1994, making and selling hand-

made soaps, bubble bar slices and fragrances. All their cosmetics are made from organic fruit and vegetable oils, and safe-synthetic ingredients. In addition, Lush is also against animal testing and tests it products solely with volunteers instead. They hold the annual Lush Prize; a major initiave to bring an end to animal testing. By 2009, Lush had sales of £240 million through some 600 shops. Today the company is still very family orientated with Mo designing cosmetics, one son, Simon is head perfumer and another son Jack does the online marketing. Their daughter Claire, works in retail support for the company.

www.lush.co.uk

www.fortnumandmason.co.uk

Bannister’s Farm, Winner, ‘Innovation’Presented by Rami Ranger OBE, Sun Mark

Lamont Pridmore, Winner, ‘Entrepreneurship’ Sponsored by The Telegraph

Pimlico Plumbers, Winner, ‘Tomorrow’s Brand’. Sponsored by Matthews the Printers

Mactaggart & Mickel Group, Winner‘Longevity’ . Presented by Niki Rosenbaum, Bastows

Elite Fish & Chips, Winner ‘Corporate Social Responsibility’. Presented by Debbie Cameron, Fields of Life

The Entertainer, Winner, ‘Family Business of the Year’. Sponsored by Charles Russell LLP

Tim Brett, Brett Group, Winner ‘Lifetime Achievement’ Sponsored by RBC Wealth Management

Red Ribbon Awards 2014 - The Winners

On 20 June 2014 Family Business Place welcomed some of the UK’s most successful family-run businesses to the Red Ribbon Awards; the UK’s most prestigious awards for family firms, at the Goldsmiths Hall in London. 14 family firms were awarded the highest accolade with another 26 commended for excellence.Next year’s Red Ribbon Awards will be open for entry in Spring 2014.

http://www.medwaybridgemarina.co.uk/

Harrison Catering, Winner, ‘Fastest Growing Business’ sponsored by Clear Insurance

Pimlico Plumbers, Winner, ‘Tomorrow’s Brand’ sponsored by Matthews the Printers

Westons Cider, Winner, ‘New Frontiers’ presented by Geoff Souster, Souster & Hicks

Asons Solicitors, Winner, ‘Customer First’ presented by Philip Wright, Walter Wright Hats

Bigjigs Toys, Winner, ‘Best Small Business’ award. Sponsored by John Jones London

Becky Benfield, Winner, ‘Young Gun’ sponsored by PwC

Fantastic Property Management, Winner. ‘Young Family Business’ presented by Michael Collins, Goldcrest Land

Clive Christian Perfume, Winner, ‘Best of British’ presented by Paul Kelly, Kelly Turkeys

Bremont is an award winning British company producing aviation inspired timepieces at our new watchmaking facility in Henley on Thames, South Oxfordshire.

Time began for Bremont when we embarked on a journey to make beautifully crafted pilot’s watches of exceptional quality. Flying historic aircraft has been in our blood from an early age, as has our love for watches and all things mechanical.

Our timepieces are tested beyond any normal call of duty (and not just in the workshop), and are immensely precise and durable. We make our watches to a very high specifi cation for the price point and every watch in our standard range is chronometer certifi ed. We stand by our product and are one of the few companies offering a 3 year warranty on every watch we produce. We hope you get the same satisfaction as us when you try on a Bremont.

TESTED BEYONDENDURANCE

Born in the air, defi ned in the cockpit, assembled in England.Bremont mechanical chronometers are made by professionals to exacting standards... for the rest of us.

Bremont.com

ALT1-C/CR

GenerationDPS_Bremont.indd 1 30/09/2013 16:51

http://www.bremont.com/

26 GENERATION AUTUMN/WINTER 2014

meets

Natalia works alongside her mother, Delara, producing beautiful face creams inspired by her great grandmother’s

recipe. Nadeballa is a small company, hand-making each of their exquisite products in weekly batches, ensuring that what their customers put on their face is fresh. Made using high quality, natural ingredients to feed the skin for a healthy looking complexion, their vision is simple; to provide fresh and as natural as possible face creams to nurture your skin for natural beauty.

The cream comes from a recipe handed down through four generations starting with Natalia’s great grandmother, Dina, who created the formula. From there, her daughter Babu made the creams for 15 years for all the women in her family. Babu’s daughter, Delara, then developed the light night and day cream to sit alongside the founding rich night product. She also started making the products for a wider audience and eventually started selling. Today she is responsible for production, product line development and sales. Her daughter Natalia took responsibility for commercialising the product and bringing it to the market. She looks after business development, production, sales, marketing and PR.

“A large portion of my childhood recalls watching my mother make our creams, and I would also watch her for hours playing around with varying quantities of the ingredients to develop a lighter night cream and a day cream to site alongside the rich night cream which remains true to the original receipe of my great- grandmother. After my mother’s success at an artisan fair in Switzerland and realising that we were sending our creams to many women in different countries, my mother and I got talking. It’s taken a couple of years to get our business off the ground, much of which has been spent learning the industry, sourcing for high quality ingredient suppliers and having the cream tested to ensure they meet all the cosmetic regulations. The word Nadeballa comes from a mixture of the letters in our names, as the

PURE SIMPLEInspired by three generations of women before her, Natalia de Weck from Nadeballa talks to Amalia Brightley-Gillott

about working alongside her mother creating products which have stood the test of time.

four generations of us have all played a role in where these creams are today.” Says Natalia.

Although a relatively new business, Nadeballa has already made an impact with fans around the world. The company continues to grow but Natalia and her mother, Delara are passionate about making sure they keep their founding values and ambitions in sight -

“There are some core values we live by in our business. Integrity; we are 100% honest about our products, ourselves and what we do. Quality; we do not sacrifice on the quality of our products. Communication; because we are not a large corporation, consumers can communicate directly with us as they play the largest part in our success.” Explains Natalia.

Natalia says they are not unusual in that her and her mother often find it difficult to

meets

separate business talk from personal time and have to make a point of scheduling it in their calendars. However Natalia believes that working in a family business affords you the opportunity to be flexible and to spend more quality time together. Natalia also says you need to be honest about your capabilities when working in a family business –

“When thinking about joining a family company, it’s important to know your strengths and your weaknesses and those of the family members you are considering working with. Working with family can be so rewarding but only if the relationship can be compatible. Family is more important than work and its not worth sacrificing for the stress of making a buck or two. I work so well with my mother but if I were to try with my father it would be like two bulls in a china shop.”

Nadeballa is on a path of huge growth and there is potential for the next generation to get involved although it is still early days. Natalia and her mother have plans to develop the product line and reach a larger market in the UK and Europe as well as exploring the possibilities for expansion into the USA.

www.nadeballa.com

Family is more important than work and it’s not worth sacrificing for the stress of making a buck or two. I work so well with my mother but if I were to try with my father it would be like two bulls in a china shop.


Meets

BUILDING BLOCKS OF SUCCESS Liz Ireland, founder of Bigjigs Toys, speaks to Amalia Brightley-Gillott about their growth

from a small husband and wife team to becoming a market leader in the toy industry.

Bigjigs Toys was founded in 1985 when Liz and her husband, Peter, decided they wanted to use their experience

as teachers to develop a company that would make learning fun with the use of wooden toys. Although retired now, Peter is still very much involved with the day to day running of the business and contributes his thoughts on every new product they develop. Their sons, Sam and Tom, are well established in the family business, having grown into the role of Operations Manager and Sales Executive, respectively.

“The boys have been involved with the business from the minute they were capable of testing the products! When we first started out they would come with us to fairs and agricultural shows, helping put up tents or deck out our mobile trailer shop and help serve customers at busy times. Our daughter-in-law, Imogen, is also very much involved with the business as is our four year old grandson, Arthur, who is already our chief in-house toy tester!” Liz says.

Bigjigs Toys has become one of the leading wooden toy designers, importers and distributors in the UK. Their range extends to over 1,500 quality products from the popular Bigjigs Rail system to the much sought after Bigjigs puzzles collection. The company has grown enormously since the early days of Peter and Liz cutting puzzles in their workshop and selling at craft fairs. They now supply to independent Toy Shops in over 35 countries in the UK, Europe, Australasia, South Africa and the USA.

Their main aim has always been to produce toys of great quality and craftsmanship that provide fun, intrigue and learning. They also

set out to support independent, bricks and mortar retailers by devising a website allowing orders to be fulfilled by a local toy shop whenever possible.

Liz explains, “Independent retailers have supported us a great deal over the years and in return we hope to increase their customer base by using an online ordering system that provides them with ongoing business in this ever-growing digital age.”

At Bigjigs Toys they try to create an enjoyable working environment; embracing teamwork, integrity and a strong business identity. They are people orientated rather than simply being profit driven and value the commitment that their entire team make in order to deliver products with longevity.

“One of the best things about running a family business is that it inevitably makes you a strong unit; you are all there making decisions on a daily basis about what’s best for the company. The business can be very consuming and there are always options to consider and decisions to be made. It can be difficult to keep this process at work and not let it infiltrate home life too much. We do our best, but invariably business matters creep into our conversation in all manner of places. When the boys lived at home we had times when business related conversation was banned. We just had to do our best and write down any issues we felt needed discussing for a later time!” Says Liz.

Bigjigs Toys is always promoted as a family business wherever they market themselves. For instance, in catalogues, the web, editorial features and any correspondence with new/prospective accounts. They see it as an additional selling point to the business and

Above: Liz and Peter Ireland

BUILDING BLOCKS OF SUCCESS


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customers have always been able to appreciate the level of commitment it has taken over the years to develop the company to its current position in the toy market.

Liz explains the challenges of running a family business, “As obvious as it may seem, we often discuss how we all work for the same entity because, although we share the same overall goal, it can be easy to get distracted with your own ideas and opinions within your individual role in a family business. Communication and cohesion are vital – a good douse of compromise often helps too! We feel we are tasked to success and this spirit of enthusiasm makes all the difference to our success as a small player in the large toy industry.”

As for the future plans of the business, including succession, Bigjigs Toys have a natural succession plan in place. Liz and Peter’s sons, Sam and Tom will assume the responsibility at some stage and they have also spoken about the role of Sam’s son, Arthur.

“I am biased but I would definitely say join your family business if the opportunity comes up. You have to be prepared to show commitment, and perhaps display a bit more passion than working for a non family entity. But there is often more flexibility and opportunity to make a difference in a family business.” ends Liz.

www.bigjigstoys.co.uk

Above: Bigjigs Toys are one

of the leading wooden toy

designers in the UK.

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.

Whether it be hiking up Mount Everest to fundraise or donating time to a local care home, collectively the family business community can make a huge difference.

For more information visit www.mytendays.org

or contact: [email protected] or 01732 220120

‘My Ten Days’ is an initiative of Family Business Place.


meets

WHERE THERE’S A WILL... Anita Brightley-Hodges met Barrie and Tony Drewitt-Barlow to talk being fathers,

husbands and pioneers ofthe British surrogacy industry.

Like many family businesses, Barrie and Tony discovered a niche in the market. By using their combined skills and passion

for a better life they are now the leading experts in surrogacy in Europe.

Their story is born out of a personal experience which began way back in 1988. Tony had a successful career as a clinical research specialist and Barrie as a social worker. After living together for 10 years, they decided they wanted to have a family. But in those days the adoption and fostering agencies were not having any of it. They fought hard to establish themselves as fit parents only to find it was not to be.

A visit to friends in LA in 1996 opened their minds to the idea of surrogacy which, at the time, was an accepted norm amongst both gay and heterosexual couples in the States. They met pioneers Gail Taylor and Will Holm who founded the world’s first gay-only surrogacy agency ‘Growing Generations’ and by December 1999 Aspen and Saffron were born, followed by Orlando, Jasper and Dallas.

Fast forward to 2014 and the British Surrogacy Centre’s success is due to Barrie and Tony’s unwavering commitment to helping couples who can’t have children of their own for reasons of infertility, same sex or no partner at all. After years of prejudice as gay fathers and illness in the family they have helped couples in 25 countries worldwide; both same sex and heterosexual couples who face despair and no hope of ever creating and nurturing a family of their own. Without doubt, Barrie is seen as the industry expert in Surrogacy in Europe. He is a regular on daytime TV shows such as This Morning and Lorraine and has recently written his first book as a guide to surrogacy.

Their guiding principles include a robust process of consultation, testing, matching,

legal protocols, contracts, identifying surrogate mothers, birth and on-going counselling.

The rigorous training of their staff, vetting of suitable partners, project management and a personal one-to-one approach has created a blueprint for best practice. The British Surrogacy Centre takes students from Universities across the UK and regularly hosts seminars for the public about surrogacy and egg donation. Both Barrie and Tony are enthusiastic ambassadors for same sex parenting appearing on TV and in publications. They continue to offer advice and recommendations bringing hope to many would be parents.

The British Surrogacy Centre certainly has a family feel with other family members being employed. Transparency plays a big part in their dealings both with family and non family members. They have strong vision and structures in place so that everyone knows what’s expected.

“We’re very clear in what we expect of people, including family in the business. The minute they’re not happy and this can’t be rectified, they need to find another job. Family members need to be able to talk and disagree without taking things personally.” Says Barrie.

The family is committed to being a family business for the next generation if the children show an interest as they are growing up. But Barrie is clear; he would love the children to take the business on, but they would need to show a real love and passion for it first. He feels that children of successful business owners often don’t have the hunger for it as everything has been handed to them on a plate.

Like all family firms, succession is high on the agenda for Barrie and Tony. Planning for the future is important and remarkable businesses like this are hard to find.

www.britishsurrogacycentre.com

Barry and

Tony Drewitt-Smith


meets

We’re very clear in what we expect of people, including family in the business. The minute they’re not happy and this can’t be rectified, they need to find another job.


cover story

GIRLSWhat happens when you bring together 14 of the country’s most ambitious female entrepreneurs,

all with strong opinions on the role women play in a family business? Generation magazine

invited them all for a front cover photoshoot at family-run Fortnum & Mason to find out.

ALLOWED

Jennifer Kerfoot, Chief ExecutiveThe Kerfoot Groupwww.kerfootgroup.co.uk

Our business was founded by my parents, David and Elizabeth in 1980 with a £300 bank loan. Today, we are proud to supply the highest quality oils to the food, technical and personal care industries with a range of over 500 oils. I particularly love the pride of working with, in and amongst what my parents have created, being the custodian of their creation and working hard to ensure that their legacy never dies only evolves through my siblings and me as the next generation. However having your name ‘above the door’ is tough. You have to fight that little bit harder, work to prove your credibility, behave ever more competent even when you feel out of your depth but ultimately, if I am frank, it doesn’t do you any harm!

What do women bring to the business? The combination of having both genders from a family work together within a business unquestionably brings a wonderful dynamic. We had that with our Founders, my parents, and we have that in the second generation as I work alongside both my brother and sister.

Reena Ranger, Marketing DirectorSun Markwww.sunmark.co.uk

Our family business has very humble beginnings as a one man show started by my father and has grown through hard work and dedication. We started as a freight forwarder and then diversified into the distribution of Fast Moving Consumer Goods (FMCG). My role as Marketing Director involves a huge variety of things and I have held many positions – security guard, chief faxer and filer, graphic design, procurement…the list goes on. When it is your own business you don’t always have a defined role – you do anything and everything to make sure it is a success. But the benefits of working in the family business are huge – it feels like home, we are all working towards the same goal and the drive that comes out in you also spreads to all those who work with you.

What do women bring to the business? I think we bring a different approach. When I started it was predominantly a male business but, my mother and I brought a new way of doing things, greater organisation and a different viewpoint which allowed us to question what we were doing and to better understand the processes within the business. Ultimately it benefitted the business.


cover story

Caroline Bell, Co-Managing DirectorShepherd’s Purse Cheeseswww.shepherdspurse.co.uk Shepherd’s Purse was founded by my Mum, Judy Bell in 1989 making sheep’s milk cheese which we would sell to local shops. We now supply customers nationally and internationally with a range of award-winning cheeses. My sister and I are now Joint Managing Directors and I love that there is no shortage of passion – a passion and care that drives every decision. The most important part of my role is to develop the culture of excellence within the business. We want to create an environment that both challenges and supports people to be the best they can be. I’m really proud of our Mum for starting the business, which meant that we took it for granted that a woman could start and run a business, and for the support she continues to give us.

What do women bring to the business? I think that women in family business recognise the needs of both the family and the business and are able to bring that in to the workplace. This certainly doesn’t mean less, but it can mean more flexible. This can have a beneficial impact on the whole culture of the business for the benefit of all involved.

Kate Jones, Business Development DirectorJohn Jones www.johnjones.co.uk

My father-in-law, John Jones first entered into the fine art industry during the 1960’s and it wasn’t long before he was working on professional art framing for creative individuals such as Francis Bacon and David Hockney. John’s three children joined the business during the 1980s and helped to build up an international client base. We were all very proud to see John receive an MBE in 2012 for his services to the arts.

Being in a family business isn’t always plain sailing but I particularly love the flexibility it affords you and the ability to make quick decisions. Plus the continuous support of working with family members who all have the same goal and ambitions for the business. What do women bring to the business? Being able to multi-task! ➤Continued overleaf

I

Family Run, Award-winning Fish & Chip Restaurant

Follow us on

Twitter

@Chippyelite

Like us on FacebookElite Fish and Chip Company

LINCOLNThe Moorland Centre, Tritton Road, Lincoln

LN6 7JWTel: 01522 509505

SLEAFORDGrantham Road,

SleafordNG34 7NB

Tel: 01529 414534

RUSKINGTONHigh St, Ruskington,

Lincolnshire NG34 9DY

Tel: 01526 832332

www.elitefishandchips.com

www.elitefishandchips.com


cover story

Emma Simpson, Marketing DirectorJack Pennington www.pennington.co.uk

Jack Pennington Ltd was founded in 1974 by my grandfather, Jack Pennington. The company started originally as a bolt and nut stockist, in Wilsden, West Yorkshire. We are now one of the largest independently owned industrial distributors in the UK. For me personally, I love working in a business that has my life history within it. It is something that I am immensely proud of and that I care about. Whilst occasionally you may not see eye to eye, at the end of the day you are always there for each other regardless. Of course there are downsides; no matter how hard you try it is almost impossible to separate family time and the business. Sometimes you envy people that can go home and leave their jobs at work. In my mind I never really stop worrying about the business.

What do women bring to the business? Women are naturally more caring by nature and I think this is genuinely reflected within any family businesses. They also tend to be slightly more pragmatic, vigilant and have a balanced approach to business.

Natasha Mudhar, CEOSterling Media www.sterlingmedia.co.uk

Sterling Media has been at the forefront of the global marketing communications sector since my mother, Teji Singh, founded it in 1995, managing transnational brand campaigns for corporates, consumer brands, government entities and high-net-worth individuals. The great thing about working alongside my mother is having the support from someone who understands the industry, job spec and what you have to go through as a business woman. It’s definitely a plus to have your manager as a parent too, so there isn’t a cut-off point for when I can get her advice and support regarding the business as it is her livelihood too. She is a shining example of how to be an inspiration; I think it’s extremely commendable for an Ethnic origin single mother in the 90s to single-handedly set up a business on her own, with only herself to rely on in a male dominated industry.

What do women bring to the business? Firstly, we are great multi-taskers. Women are highly collaborative and not afraid of trial and error when it comes to developing the business. I’m proud of our ability to utilise our business strengths, network and skillsets not only for commercial gains but to support campaigns such as for NGOs and charities and other niche brands that don’t often receive a voice.

Kate Balchin, ManagerWold Top Brewerywww.woldtopbrewery.co.uk

The business was started by my parents in 2003 out of a need to diversify the existing farming business. It has grown steadily over the last 11 years by a continuous emphasis on brand awareness in the local area and a focus on consistent quality products. The greatest thing about being part of my family business is that I love the interactions between myself, my parents and my husband. We are all so passionate about the business and it is great to see everyone pulling together for the same goals. Although sometimes we can all get a little too emotional and lines can be crossed. It is also very hard to draw the line between business and home life. My parents continue to inspire me. They have worked so hard for such a long time and are still as cheerful and as full of ideas as when they first left university! It takes guts to run a business together and raise a family!

What do women bring to the business? Another perspective! Men and women have different ways of approaching things and they need each other to balance everything out. ➤Continued overleaf

www.clive.com


cover story

Lisa Tse MBE, CEOSweet Mandarin & SM Sauceswww.sweetmandarin.com

I’m the third generation of women restauranteurs and fourth generation in the sauce business and it’s all thanks to my grandmother Lily Kwok who came over England in the 1950s. Sweet Mandarin restaurant was started by myself and two sisters Helen and Janet. We built the restaurant from scratch in four weeks and grew the business into an award-winning restaurant with an AA Rosette and winner of Gordon Ramsay’s F Word. In 2012 we secured funding from Dragon’s Den and launched our gluten-free sauces. I have three favourite things about working in my family business; the customers who come in and tell me stories from when they ate in my grandmother’s restaurant, the understanding it has given me about my sisters and the ability to make and implement decisions quickly.

What do women bring to the business? Women have a knack to multi-task and have a wider, softer skill set – good listening skills, the ability to ask for help and a willingness to help others (rather than seeing everyone as competition).

Anne Beckett-Allen, Managing DirectorRosedale Funeral Homewww.rosedalefuneralhome.co.uk

My husband Simon and I started the business 10 years ago after becoming disillusioned with the corporate funeral giants who were only motivated by the bottom line. The great thing about working together is being able to totally trust the person you are running the business with – there are no hidden agendas, and you always have each other to lean on. We can make decisions quickly, we have a ‘decide something Monday, do it Tuesday’ kind of attitude. What do women bring to the business? Flexibility, strength, a different viewpoint, chocolate brownies, determination, stubbornness, love for the staff, doughnuts, reliability, stability, decisiveness.

Becky Benfield, OwnerUtterly Horses www.utterlyhorses.com

The story of Utterly Horses began when I was 16 and became the main retailer of Breyer modelhorses in the UK – right in the middle of my GCSEs! Since then the business has grown enormously with new ventures and expansion still to come in the next five years. The joy of it being a family business is that you have your support crew with you through thick and thin. Everyone shares the rollercoaster ride of ups and downs, success and failure and it’s a team effort to keep the ride going. I love that about a family business; we’re in it together. What do women bring to the business? Passion, determination and imagination.

Amalia Brightley-Gillott, Editor-in-ChiefFamily Business Placewww.familybusinessplace.com

My mother founded her own branding agency over 25 years ago and has worked with some of the most brilliant and ambitious entrepreneurs. She soon realised that many of her clients were family businesses and they needed advice and support around the ‘family’ things before any of the ‘business’ work could be done. So Family Business Place was born in 2008 – now the UK’s leading resource for British family firms of all sizes and industries. If a family business is going through a period of succession, wants to grow, move into new markets or needs a facilitator toresolve family conflict, we are the people to come to. As Editor-in-Chief of Generation magazine, I get to meet some of the most fascinating, successful and humble people who have built businesses and developed a legacy for generations to come.

What do women bring to the business? We are never just thinking about one thing – we’ve always got an eye on what’s happening next, what else we could do, new ideas and opportunities to collaborate. ➤Continued overleaf

Stevenson Brothers, Bethersden, Kent. TN26 3AP 01233 [email protected] www.stevensonbros.com

Very finerocking horses

Keep it in the familyfor generations.

The 30th Anniversary Dapple Grey rocking horse on a light oak stand with a secret locking compartment forthose family treasures. Carving on the runners can be customised as can the embroidery and tack colours.

www.stevensonbros.com


cover story

Victoria Christian, Brand AmbassadorClive Christian Perfumewww.clive.com

As Brand Ambassador for our family business, I represent the company on all levels internationally and also take care of our VIP clients around the world. We constantly strive to be the best in class and it has always been my father’s vision to create a luxury British brand that stands the test of time. I feel very priviledged to work with my father, Clive – we have always had a close bond as a family and to have the opportunity to see him from the perspective of businessman and creator is a wonderful added dimension. I was tremendously proud to accompany him to Buckingham Palace in 2012 and see him receive his OBE for services to the British Luxury Goods Industry. Through my experience with Family Business Place I have met many others who share my belief that working within a family business brings a unique sense of connection and caring. But we mustn’t forget to stay inspired too; I particularly admire successful entrepreneurs such as Tamara Mellon, Hanah Caan, Karren Brady and Charlotte Dellal for example as well as those who work tirelessly to help those less fortunate.

What do women bring to the business? As in every relationship and role in life, women will bring certain qualities that are uniquely ‘female’. I sit as the only woman on our Board although the gentlemen around me must have had very strong female role models in their lives as we are a company where nurturing and emotional intelligence is part of our culture – perhaps this is synonymous with a family business?

Rachel Tweedale, PartnerThe Elite Fish & Chip Companywww.elitefishandchips.com

The Elite was established in 1988 by my grandparents David and Freda Tweedale and my father Adrian Tweedale in Lincolnshire. After winning National Fish and Chip shop of the year award in 1992, the business expanded opening a much larger restaurant and takeaway outlet in the city of Lincoln. Now, in 2014, the company boasts four outlets in its portfolio with the newest addition (in Sleaford) bringing a contemporary feel to the Elite and shaping the way for future expansion. The opening of this outlet also brought the company into its third generation. There is a real passion when it comes to working for family. It’s not just a job for me, I have a vested interest in every part of the business and the satisfaction gained from what I achieve energises me and motivates me to work harder. A major benefit is the support offered to me by my family who can identify with any issues I have and offer guidance on how to resolve them in the best way possible. Being a family business also means we have similar values and agree where we want the company to go.

What do women bring to the business? I think that women can bring a completely different perspective to the family business and see things in a way which men sometimes can’t. In today’s society where there is more equality in terms of women in the workplace, female influence creates a more calming environment to the business.

Stevenson Brothers, Bethersden, Kent. TN26 3AP 01233 [email protected] www.stevensonbros.com

Very finerocking horses

Keep it in the familyfor generations.

The 30th Anniversary Dapple Grey rocking horse on a light oak stand with a secret locking compartment forthose family treasures. Carving on the runners can be customised as can the embroidery and tack colours.

Kirstin Green, DirectorStraight Talking Eventswww.straighttalkingevents.com

Our journey into motorsport hospitality began through our first family business, Skidmarques, which was involved in helping race teams set uptheir car through wheel alignment, corner weighting and suspension. After some number crunching and lots of research we decided that a hospitality business at Brands Hatch would be a viable addition to the family stable and Straight Talking Events was born. The greatest thing about working with my Dad and other members of my family is the understanding that we are all in it for the same gain; to create success and a legacy for us all. Business life can be a rollercoaster but we are a really strong and close family so it makes it easier to tackle the hard times. We also have lots of fun along the way too!

What do women bring to the business? For our company it’s practicality! My Dad is very much the big ideas person which is fantastic but, at the same time, somebody needs to be thinking about the practicalities and what, who, when and how it will all come together.

For more information contact

Gemma Firth Marketing & Business Development ManagerMatthews the Printers Ltd

Tel 020 8498 5200Fax 020 8523 9988Email [email protected]

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MIDLANDSFINEST

45KoolmillLeading the way

Hall-FastMaking a difference

47Hardstaff GroupInnovating for 150 years

Limes FarmDreams into reality

Oakland InternationalRoom to grow

49M. Wright & SonsForging ahead

Tiny TeddiesChild’s play

Perfection FoodsRecipe for success

51BirchoverTop of the league

John Pye & SonsGoing, going, gone...

53Marshalls The driving force

CW SellorsJewel in the crown

Suncream DairiesWhat’s your flavour?


midlands finest

But with expansion and growth in our minds, lets not forget that for many family businesses, it is their personal relationships with customers which has secured them their bread and butter income. All around the world people are doing business with people they like and trust, putting family businesses in the enviable position of being able to develop relationships in key markets for expansion.

At the West Midlands Institute of Directors, we support business leaders with export, growth, recruiting the right people, wealth creation, manufacturing and other matters which affect the success of a company. The family firms I meet locally are passionate about building a legacy for future generations; something which is possible if we continue doing business with integrity, trust and loyalty like nobody else can.

Jason WouhraDirector, East End FoodsChairman, West Midlands IOD

Rising in confidenceJason Wouhra, Director of East End Foods and Chairman of West

Midlands IOD, says the Midlands is an area rich in variety and skill.

Midlands Factfile:

Our country’s family business sector is a wide and varied landscape. This is particularly visible in the Midlands where family firms are leaders in manyindustries; from cars to construction, food manufacturing to hospitality. They vary from sole trader husband and wife teams through to SMEs turning over £50m, right up to multi-generational businesses worth hundreds of millions of pounds and providing employment to thousands of people.

As someone at the helm of a Midlands-based family business, I have seen how we are more capable than most of navigating our businesses through turbulent times. Unlike bigger corporate firms, we have the ability to quickly adapt to market conditions, our staff turnover is low, our growth is fast and our vision is for the long term. It certainly feels to me like confidence in the economy has returned and that family businesses are in a great position to make the most of an upturn in the market.

It is often said that family businesses are the ‘backbone of the UK economy’. We are guided by strong leadership and have the potential to be global businesses of the future. But, as with all companies, it is important to understand where there are gaps and to recruit skilled individuals to fill them effectively and to secure long term growth.

Population: Over 9.5 millionGDP: Over £390 billionTotal export value: £49.3 billion

Known for: Bakewell Tarts, Salvation Army & birthplace of Sir Isaac Newton

All around the world people are doing business with people they like and trust, putting family businesses in the enviable position of being able to develop relationships in key markets for expansion.


midlands finest

Alec Anderson, a qualified BSc Mechanical Engineer, identified a clear need for a new technological approach to cereal milling and in 1989 Koolmill was born. Koolmill is a small family owned business based in Solihull which has pioneered the development of a globally significant technology, set to transform a global industry.

“Millions live daily with food and fuel poverty and for 3.3 billion people, rice is life. Existing milling technology dates back over 100 years and wastes both power and rice. We have developed a truly innovative milling process delivering power savings of 80% and maximizing the return of food from a finite and valuable natural resource. Our radical, super efficient displacement technology will make a positive impact on the lives of millions.’ Explains Alec.

Koolmill has entered into a number of collaborations in the UK, USA,

Thailand, India and has a joint venture in China. They are in discussions with Governments, the Food and Agriculture Organisation and the World Food Program to adapt their technology to meet the requirements of distributed processors.

Alec believes that working together with his wife, Fiona, brings added value to the business – “Without doubt the financial support from her own successful change management consultancy has been crucial to funding Koolmill through its significant innovation phase. We also have a next generation waiting in the wings. Our son Stephen has graduated in International Relations and is keen to come into the business but we are aware how insular family business can be so we want him to develop his business skills elsewhere before joining us.”

www.koolmill.co.uk

How one family business is set to transform a global industry

Founded by husband and wife team, Malcolm and Rachel Hall, Hall-Fast Industrial Supplies is a multi-award winning industrial supplies company servicing the UK and over 78 overseas markets. Hall-Fast stock over 45 million items, representing 175,000+ product lines, from leading brands including Helly Hansen, Dickies, Snickers, Karcher & DeWalt.

Hall-Fast are also strong champions of ‘giving something back’ and their name is often connected with a wide variety of initiatives and sponsorship in which they invest time, resources and finance. Managing Director, Malcolm Hall, is a board member of Group Mansfield 2020 and a Governor of West Notts College. He is also regularly referenced by UKTI to businesses interested in exporting and gives his time freely to share his stories with businesses and school groups in the hope of inspiring other entrepreneurs.

www.hall-fast.com

Making a differenceHusband and wife duo make

a commitment to local causes

Leading the way

www.familybusinessplace.com/friend


midlands finest

In 1861 John Hardstaff founded parent company, Hardstaff Haulage in East Leake. In this year the reed and basket industry employed the company to

Innovating for 150 yearsTransforming one man’s ambition

and vision into a reality

transport completed woven goods to the local markets in the Nottingham area. As the business continued to prosper throughout the 1930s, 40s and 50s, the company purchased its first mechanical unit: a Ford Model T, which was used to transport grain and coal.

In 1976 Thomas Baden Hardstaff passed away, leaving the company to be run by his wife, daughters, son-in-laws and grandson. Probably the most significant influence on the business as it stands today, Thomas Baden Hardstaff sought to provide and service a wide range of transport needs from the industry down to local door to door delivery. It is in his memory that the present day company chose its full trading name.

By 1987 the remaining directors in the family business had retired, leaving Trevor Fletcher, the great grandson of John Hardstaff to run the business in the family’s best interests.

Today, the Hardstaff Group is recognised as one of the principle providers of leading edge technology and innovative services to both the global and UK road transport industry.

www.hardstaffgroup.co.uk

Oakland International is an international supply chain specialist encompassing warehouseing, distribution and logistics with depots in Redditch in the UK and Ashbourne, Co. Meath in Ireland. Founded by husband and wife, Dean and Sallie Attwell in 1998, the business now employs over 200 full and part time staff and has a reputation for delivering the best customer focused, reliable and flexible multi-temparture storage and logistics service, designed to help suppliers and manufacturers cope with peak seasonal demands, taking the pressure out of the whole supply chain process.

2014 sees plans to increase their

existing cold pallet storage facility at Redditch via a £1.2 million investment which will extend their frozen food storage capacity by 2,000 pallets.

Oakland International MD, Dean Atwell, stated: “Our expansion plans are substantial considering the current size of our frozen business. We have a clear focus to deliver strong organic growth with our existing clients and really focus on our customer service

Room to growA family firm with big

plans for the future

while keeping close to our retailers. In addition to expanding our cold store we have now put in a planning application for a new 60,000 sq ft of extra ambient and chilled storage with construction planned to take place during 2015, creating between 60 and 90 more jobs over the next 18 months.”

www.oakland-international.com

Dreams into realityHow one family business realised

their lifetime ambition

In the local history books, Limes Farm in Farthinghoe can be traced as far back as 1826 and it has been owned and run by the Deeley family for the past 200 years.

John Deeley is recognisable to many people as the traditional farmer of Limes Farm, now in his seventies he is unwilling to retire despite having a retirement party some years ago. He is a very active member of the Limes Farm family and shares his knowledge of traditional practices to the next generation. With that in mind the farm reins have been passed down to his eldest daughter Nicky and her husband Ian Dorward. Nicky and Ian both work full-time in the family business and in recent years have managed to turn John’s 30-year dream of building a farm shop and tearoom into a reality. Nicky, who is a trained chef and has worked on some of the UK’s leading food brands, is the driving force in the kitchen with her award-winning cakes and tarts and a talent for designing menus that showcase the farm’s homemade produce. www.limesfarm.com

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M. Wright & Sons is a family-owned company with a wealth of expertise and history in narrow fabrics. They are situated in the village of Quorn in the heart of England and had occupied this site since 1870, ten years after the business was founded in the nearby city of Leicester. The business continues to be family owned with support and participation from individual family shareholders.

Their heritage lies within the woven narrow fabrics industry, originally manufacturing components

Forging aheadA family business at the cutting edge of technology

for the footwear and corsetry trades. Their original links with military products also stem from this time.

M. Wright & Sons have always been at the forefront of technical development and have a broad range of experience in fabric properties and constructions. In order to ensure they stay at the cutting edge of technical developments, the business actively invest in manufacturing plant and testing equipment to maintain their world class standard.

www.mwright.co.uk

Tiny Teddies Day Nursery Ltd is a family run business founded by Michelle and Paul Ingram in November 2003. It is a leading childcare provider in Coventry, Warwickshire and now boasts three successful day nurseries located in Radford, Tile Hill and Whitley.

Each nursery is unique in how it

serves its customers offering a variety of sessions and activities to suit individual needs, but all sites are run to high standards and share the same policies and procedures all of which are audited regularly by their Senior Managers, Kalpna and Margaret, who have been with the nursery since it opened in 2003. Tiny Teddies have a highly qualified team who all share the same passion about the care and wellbeing of children.

What’s more, the family business also runs ‘Zoe’s Place’; a baby hospice opened in 2011 to provide 24 hour, high quality one-to-one palliative, respite and end of life care to children aged 0-5 years. Their specially trained care team offer unique and diverse opportunities for learning and play in a bespoke, child-friendly environment. All this is completely free to the families of children and infants.

www.tinyteddies.co.uk

Child’s playA family firm with a little

name but a big heart

Recipe for successTwo brothers take their love

of baking around the world

Perfection Foods Ltd was established in 2000 by Brothers Sukhdev and Balwinder Singh Bath. Balwinder had over 30 years extensive baking knowledge, as he had worked with his father Channan, in many bakeries from 15 years old. Sukhdev had with him over 30 years business experience which had been attained through various businesses, starting with markets, then high street retail shops and a factory producing fabrics and garments.

When Perfection Foods was first set up in 2000, they started off baking high quality cakes and supplying small independent retailers in the local area of Wednesbury and Walsall. As the business grew they then quickly started supplying cakes regionally through wholesalers. In 2006 Perfection Foods managed to establish itself nationally, supplying direct to national wholesalers such as Makro, Batleys and Bestways and large retailers such as Asda & Morrison’s.

In early 2006 Sukhdev’s eldest son Gurdeep began to focus on the export market and Perfection Foods strategically launched their products in six international markets. This led to one of the largest pushes in export, the Black Country had seen in many years.

Perfection Foods now operates out of two manufacturing sites. It has grown rapidly and has established itself and its brands within key European markets, exporting to over 10 different countries across Europe, and has began campaigns in North and South America and Asia.

perfectionfoodsltd.co.uk

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midlands finest

In 2010 Lisa and Carl Bridge were brought in to manage a struggling apartment hotel business. In 2013 they completed a management buyout and now operate four hotels totaling 87 apartments in Derby, Nottingham and France, together with two private homes in Derby. They also own and operate a cleaning and maintenance business and are the official relocations partner for Rolls Royce plc.

Lisa and Carl’s flagship Darley Abbey hotel has been the number 1

Top of the leagueFrom a struggling business

to a thriving family firm ranked hotel with Derby city on Trip Advisor since 2012 and has been the busiest hotel in Derby for the past two years. Birchover were also voted the ‘Best Small Hotel to Work For in the UK’ in 2013.

Birchover is a real family affair with Lisa managing the operation and financial aspects of the business, Carl overseeing sales and marketing, Lisa’s uncle as head of maintenance and Lisa’s father working alongside Carl. Prior to her retirement, Lisa’s Mum was also the company’s bookkeeper.

“The great thing about working in our family business is that we get to lead a business which we have absolute

passion in, and conviction for. We give each other strong support and that has strengthened our bond, our trust and confidence in each other. But it also means there is rarely a chance for a holiday or a break from the business. This has led to long periods of stress and exhaustion which naturally place a strain on family life and our personal relationships. However a huge bonus for us is that we have great flexibility with our two young sons and it means we’re there for all the important moments of their lives.” Says Lisa.

www.birchover.com

Led by Managing Director, Adam Pye, John Pye & Sons is the fastest-growing commercial auction house in the UK. They hold sales across the country where people can snap up anything from chairs to computers at prices they’ll never see on department store shelves. Now it’s set for expansion with plans for a new facility, which means it will have a dozen locations around the country.

The family-owned firm, which employs 110 people, is based in the landmark building once occupied by Shipstone’s in Basford. Behind the traditional façade is a business that has grown into a major national player in the market for disposal of commercial assets. In the past year, this

family business has seen sales leap from £14 million to more than £16 million, winning significant disposals contracts with Government agencies and major high-street retailers.

The firm’s growth has also been driven by a switch from physical sales to online auctions, with buyers able to inspect goods at one of Pye’s regional centers and then bid through its website. Over the past year, the company has sold 8,000 televisions, 4,000 tablet computers, 3,500 laptops along with thousands of fridge freezers and beds. The single biggest item it has sold was a light aircraft which fetched £97,000.

www.johnpye.co.uk

Going, going, gone…Exciting times ahead for thriving Midlands auction house

HAPPYANNIVERSARY!Whether you have been in business for 20, 120 or 200 years, your success deserves to be recognised. We design and produce spectacular and innovative books that will capture your achievements. The process is simple and enjoyable, we will:

Hear your story and identify special •

Collate all material including photographs•

Write or edit your story • Design something amazing and unique • Use the latest printing, finishing techniques •

Present the book in its own presentation box•

Our job is to help your business shine.

For further information visit www.familyconstitution.co.uk/anniversaries


landmarks and triumphs

and memorabillia

and materials available

For further information visitwww.familyconstitution.co.uk/anniversaries


www.familyconstitution.co.uk/anniversaries


midlands finest

Marshalls of Sutton on Trent is a family-run company which was formed in 1989. Initially operating with one second hand 45 seater coach, the company has now grown to a fleet of 29 buses and coaches.

The Marshall family have lived in Sutton on Trent for over 200 years and by tradition were basket makers which is reflected in the company crest. Today, they are recognised as one of the leading

The driving forceOne man’s journey from driver to fleet operator

coach and bus operators in the East Midlands. Marshall’s Coaches are very proud to have held CoachMarque accreditation for the past four years for their quality and service throughout the company. They specialise in private hire, school trips, day trips and holidays within their local area, around the UK and across Europe.

Managing Director, John Marshall founded the business back in 1989 and has guided the company into becoming the successful operation it is today. For many years he was the main driver but now spends his time in the office overseeing the running of the company. Charlie, Thelma and Paul Marshall are also part of the family business.

www.marshallscoaches.co.uk

Jewel in the crown

What’s your flavour?Family business brings Italian

flavour to British ice cream

Suncream Dairies is a family-owned wholesale business which successfully blends the rich heritage and tradition of Italian ice cream with 21st century manufacturing techniques to create great value, great tasting and award winning ice cream in a wide range of flavours for the food and hospitality sector.

Launched in 1967 by the current owners’ father, Domenico Manfredi, Suncream is a significant producer of both luxury and affordable ice creams and is proud to successfully combine contemporary flavour trends and manufacturing processes with traditional family values.

Domenico’s own father Agostino, originally settled in the UK in the 1930s and started an ice cream van business before Domenico started his own company, Suncream, in Tamworth, Staffordshire. Some of their most popular but closely-guarded recipes date back over 100 years!

Third generation Rebecca Manfredi is now responsible for the business which has a £5m annual turnover and employs up to 50 people during peak summer production. Their primary customers are foodservice wholesalers and cash and carries, whose end users include pubs, restaurants, cafes, coffee shops, leisure operators, contract caterers, schools, care homes and milkshake outlets. All of these embrace the four cornerstones of their operation: quality, service, heritage and tradition.

www.suncreamicecream.com

HAPPYANNIVERSARY!Whether you have been in business for 20, 120 or 200 years, your success deserves to be recognised. We design and produce spectacular and innovative books that will capture your achievements. The process is simple and enjoyable, we will:

Hear your story and identify special •

Collate all material including photographs•

Write or edit your story • Design something amazing and unique • Use the latest printing, finishing techniques •

Present the book in its own presentation box•

Our job is to help your business shine.

For further information visit www.familyconstitution.co.uk/anniversaries


landmarks and triumphs

and memorabillia

and materials available

CW Sellors Fine Jewellery was founded 35 years ago by Chris

Sellor and the business has consistently expanded ever since, now boasting thirteen

boutiques as well as a Head Office, a team room and four

holiday lets. It is one of the UK’s leading independent manufacturing jewellers showcasing the finest selction of luxury jewellery and watches from leading designers and brands.

The business is now in its second generation with Rebecca Sellors and her brother James at the helm alongside a dedicated team of over 100 employees

including their very own in-house workshops dedicated to creating new and individual collections for their customers to enjoy, many of which have been award winning. “It is key that as a family business we work and support each other on a daily basis – not only in business but also in our personal lives as it can be very challenging, our dedication plays an important part in our family as we are all committed to the business and of course, to each other.” Explains Rebecca.

At CW Sellors, being a family business is key to the way in which the business is run. Not only in terms of the close knit unit the whole business has become, but also in the way it is marketed. At all the large scale events, Rebecca and her family are always present together – “We always talk about the family aspect, as do our employees with regular comments of ‘I might not officially be part of the family but it sometimes feels that way’ which is great to hear,” says Rebecca. www.cwsellors.co.uk

How one company is bringing the sparkle back to family business

www.boodles.com


expert

Next Generation Engagement Lucy Dickson explains why it’s

crucial for the next generation

to be engaged on all levels.

“Do not ask what your family business can do for you; ask what you can do for your family business.”

The above is a re-working of the famous quote by John F. Kennedy, former President of the USA, where family businesses have traditionally survived through the generations far more effectively than those in the UK. However there are signs that in the UK this pattern is changing, brought about by an increasing realisation that you don’t have to work within the family business to be considered part of it.

Growing up our family business has always been more than just a source of income; it has been an integral part of my life. My parents always instilled in me and my siblings that we must consider being part of a family business not as a right but as a privilege, one which should never be taken for granted.

It seems apparent that one of the main concerns family businesses face is the topic of succession, with 24% of family businesses failing to survive to the second generation and only 14% making it to the third generation.

There are many complexities experienced once a business gets to the third generation and beyond. The family structure becomes that of a ‘cousin consortium’ with a larger and more diversified family network. This can result in weaker bonds between family members and poorer communication. It also may mean that far fewer family members, if any, will be employed in the family business.

Families need to be able to learn to adapt; it is generally agreed that one of the most significant reasons for failure of family businesses is their resistance to change. Mechanisms need to be put in place which will facilitate consultation and consensus-forming between family members, who should all be encouraged to put their ideas forward for consideration.

Lucy Dickson,

Shepherd Group

SpecialismNext Generation

ProfileLucy is the 5th generation of the Shepherd Group and is a member of the Family Development Group

www.shepherd-group.com

In the Shepherd family over the last five years we have put a governance system in place which encourages the fifth generation (G5) to be more active in its development, whilst giving the executive team full authority and support to run the business on the basis of agreed objectives and values.

Since the development of our family constitution, some ten years ago, the next generation has seen opportunities, firstly through the Family Council and, most recently, through the Family Assembly to contribute to the development of the company. The three sub-groups of the Family Assembly are the Family Business Committee (FBC), Family Development Group (FDG) and the Family Social Group (FSwG).

The training programmes provided by the Family Development Group have enabled our generation to understand more clearly the importance of being a responsible shareholder, of having a clear understanding of the finances of the business, and also of the need to reinvest to support capital expenditure and innovation. We now understand more clearly the need for capital to be made available for strategic acquisitions.

Next Gen as shareholdersThe programme that we have participated in explains the need to have a balanced approach between shareholder return, primarily by way of dividend and reinvestment. The development of our Family Business Committee (FBC), with its significant G5 membership, allows us, through the FBC Chairman and the Chairman of the Board, to work jointly in areas such as family employment, five year strategy, shareholder return and developing the family constitution.

We find that the sub groups of the Family Assembly allow family members to develop deeper relationships with each other in the context of the family business and encourage ongoing communication between the family and the business. As David Woodhouse of family owned brewery Hall & Woodhouse stated “You need transparency and a set of checks and balances in place. Otherwise a head of steam could build up and cause problems. A family divided is a family defeated.”

Our current Family Assembly has never been so well-attended by members of G5. This assembly is now chaired by a family member who is continuing the


expert

brief of previous chairmen to increase the participation of G5 members. If we recognised on our journey that G5 members were purely family members with a shareholding, then some of them may question whether, in the long term, there was any real value in being a shareholder in a family business where they had no real involvement. The impact of our new committee structure and the enthusiasm with which it has been embraced by G3 and G4, the non-family members of the Board and, in particular, G5, has reinvigorated the role of G5 responsible shareholders. There is no pressure on family members to join our sub groups; although we aim to integrate all family members, using their strengths and expertise to focus on particular sectors.

We also have a Family Social Group, which provides an opportunity for social interaction amongst family members, often structured around a site visit to a current project, or Family Assembly meeting. The FBC and the head of the Family Assembly regularly hold meetings with the group’s directors so as to ensure the business objectives are aligned with the family’s

objectives. All the groups aim to meet quarterly.

G5 members are playing an active role within the committee structure, and family assemblies allow us to give back to the company in so many ways, whether it is by supporting philanthropic giving, attending retirement events for senior employees, visiting many of the establishments that the Group’s companies are involved in and enjoying presentations both from the Group’s management team and from the many clients.

Some G5 members have taken internships, and have worked in the Group during holidays. There is a realisation

that the family company provides value to the local community and to the 3,000 plus people who work within the Group. Its financial strength provides clarity and certainty in its decision to develop long-term plans and establish a culture of ‘patient capital’.

The future success of the company will depend upon decisions made by the family, and I think G5 can now say that they know what they can do for their company, as an active, enthusiastic and responsible shareholder and family member. Hopefully the strategy that we have established will support our family’s role in the business for many generations to come.

The future success of the company will depend upon decisions made by the family, and I think G5 can now say that they know what they can do for their company, as an active, enthusiastic and responsible shareholder and family member.


expert

Employee Buyout: One Solution To The Succession QuestionPeter Matthews explores

employee ownership as a

solution to succession

All family owned businesses sooner or later face the question, who is going to take over running the business? For many the answer is straight forward and the next generation of family members are ready to take the reins. For others though, it may not be so straight forward. Selling to a rival, letting managers buy the business, even floating on a stock exchange are possibilities, but perhaps the solution to the succession question that best suits many family owned businesses is to sell to your employees.

Peter Matthews,

Capital for Colleagues

SpecialismEmployee Owned businesses

ProfilePeter offers advice and support to businesses that are, or wish to become employee owned

www.capitalforcolleagues.com

Benefits of employee ownershipDeciding to sell a business to the employees as part of succession planning is the most common route into employee ownership. The benefits that arise are numerous and include:

• A share ownership structure that recognises the economic interests of the family, the employees and possibly external investors

• Securing the legacy of the business that may have been in existence for many years

• On-going employment for a long serving and loyal workforce

• Increased innovation and problem solving because managers go out of their way to consult, share information about the company, and give staff greater responsibility.

• Because they’re co-owners, staff in employee owned businesses tend to be more entrepreneurial, engaged and committed to the company and its success.


expert

It is this combination of a stake in the business through share ownership and employee engagement that drives higher performance.

There are hundreds of employee co-owned businesses in the UK. They range from household names like John Lewis to much less well-known companies. Examples of these are shown above

This year will mark the 20th anniversary of a once family owned business becoming employee-owned. Tullis Russell is a successful Scottish papermaking and board manufacturer based in Fife which became majority employee owned in 1994. The business employs 730 co-owners and turns over more than £170m annually.

The deal saw ownership transferred to staff, (held in Trust) and provide capital for the family that had owned the business since 1809. This meant that the family did not have to sell to a rival; thus safeguarding both its independence and work for the employees.

Chris Parr CEO said at a recent event to mark its successful employee ownership “Because our employees are the shareholders in the business, rather than outside investors, they are more engaged and productive as a result. This has made a big difference to Tullis Russell.”

How do you move into employee ownership?Giving employees an ownership stake in the business usually takes one of three forms:• Direct ownership – employees become

registered individual shareholders in the company, often using tax advantaged share plans

• Indirect ownership – shares are held collectively on behalf of employees, normally through a trust;

• Combined direct and indirect ownership – a combination of individual and collective share ownership.

Having decided that you want to sell part of your business to your employees, these are the steps you will need to go through.• You will need an advisor to guide you

through the process, a solicitor to prepare and change legal documentation and a source of capital to buy the shares that you are selling to employees.

• Securing the understanding and buy-in of your fellow Directors and senior managers is critical, so take time to explain your thinking and decision to them.

• It is really important that you talk through and document your wishes, vision and expected outcomes for the business, both in the short and long term. This becomes a “charter” for your business going forward.

• Decide on how you would like the share ownership to be split. You will need to get your accountant’s advice to ensure that you are aware of the tax implications of your decisions.

• Agree a value for your business so you can price your shares.

• Secure capital to buy the shares being sold to the employees. This may come from your bank, your company reserves, the employees or an external investor particularly one who is sympathetic towards employee co-owned businesses.

• Talk to your employees about your plans and give them the opportunity to ask questions. For many this will be the first time they have come across employee ownership or the possibility of being shareholders.

• Depending on the size of your business, you may choose to set up an employee project team to help manage the change – it’s a great way of getting their involvement.

• Prepare and amend legal documents (Articles of Association for example). The amount of work needed will depend on what you decide in terms of direct or indirect share ownership.

• Hold additional meetings with your employees to tell them about progress and let them ask questions which are bound to arise.

• Launch your new employee co-owned company.

What next?You now have a business that has the foundation for long term, sustainable success. You also have a different business with employee shareholders, which brings with it the need to change management style and behaviour so that employees and management work together to deliver the success you expect.

It is this combination of a stake in the business through share ownership and employee engagement that drives higher performance.


expert

Raising Finance For Your Business:The AlternativesWarren Palmer explains why family

firms have more finance options

than ever before.

The recession has produced one major benefit for family businesses. It’s the creation of dozens of alternative lenders and funders who, unlike most banks, really are keen to win your business.

As you know, the well-publicised mismanagement of the ‘big 4’ banks has resulted in a continuing decline in bank lending - but a wave of business entrepreneurs now fills the gap.

These new providers include;- ‘Challenger’ banks such as MetroBank, Aldermore and Shawbrook who are especially interested in property loans.

‘Crowd funded’ business loans. Didn’t exist 4 years ago, now generates £45m of loans per month.

Invoice factoring and discounting (cash advanced against unpaid sales invoices) once demanded ownership of your whole sales ledger, a minimum one year contract, expensive fees and a plethora of conditions. Now you can finance individual invoices with no ongoing commitment.

Bridging loans (short term loans, with ‘interest only’ payments over 1 to 24 months) used to come from just half a dozen providers, charging c.2% interest/month. A recent finance trade show had 20 competing exhibitors offering interest payments down to 1.25%/m.

Crowd funding invites crowds of individuals to invest, donate, or lend small amounts of money to help a business raise working capital. It bypasses the banks completely and comes in three forms - equity investments, reward based, and loans.

• Equity involves buying shares in new (usually ‘pre-revenue’) companies.

• Reward based involves cash that is given (no repayments required) to

Warren Palmer,

Support Finance

SpecialismAlternative finance

ProfileFor 25 years Warren has been raising finance for businesses of all kinds and sizes

www.support-finance.co.uk

fund creative / artistic projects or activities that generate ‘social good’. For example, producing a new play, writing a book, setting up an organic vegetable farm. In return the rewards could be opening night tickets, a signed first copy, a box of vegetables.

• Unsecured loans of between £25k and £200k, repaid over periods of 6 to 60 months.

These loans are generated by an auction process that works like this;- 1) the business, and the loan required,

are profiled on the Crowd Funder’s website.

2) people bid small amounts towards the loan, plus the rate of interest they expect in return.

3) bids offering the keenest rates of interest win the auction process, which lasts for up to 7 days.


expert

4) all these small personal loans are then aggregated into a single business loan agreement.

5) from start to finish takes 10-12 days for the money to reach the borrower’s bank account.

A recent example of how two alternative lenders helped an established pharmacy ; - The family owned and rented out two other shops, both financed originally by loans from their bank. The father wanted to buy the £800k freehold of an empty shop to create a second pharmacy, leaving his son to run the original.

His bank refused to provide a mortgage despite his exemplary credit record, a £100k cash deposit, and the two rented shops being valued at twice the outstanding loans as well as providing good income.

A ‘challenger’ bank agreed the required mortgage and also offered to take over the two other bank loans.

Faced with losing his business account and loans, his bank suddenly (!) found it possible to provide a mortgage at an unbeatable rate of interest. But only with a £250,000 deposit, more cash than he had available.

The required £150,000 came from crowd funding, the auction taking just 4 hours to reach £150,000. As an unsecured loan it did not require any approval or

involvement from his business bank.The customer, unsurprisingly, plans to move

all his business to the challenger bank soon. You no longer have to depend on your

bank to fund the development or survival of your business!

Improving cash flow, buying equipment/ another business / premises, importing/exporting, launching new products, adding staff, managing a bad debt, increasing working capital - now you have finance options.

As you know, the well- publicised mismanagement of the ‘big 4’ banks has resulted in a continuing decline in bank lending - but a wave of business entrepreneurs now fills the gap.


• “We’ve got to meet this deadline, but it’ll mean cutting a few corners …”

How can you start to address business ethics in your business?In family businesses there are often close relationships between staff; they have an implicit understanding of acceptable and unacceptable behaviour. As a company begins to grow however, the dynamics of the business may change and a more explicit approach to ethical values and their application may be needed.

Actions that you can take to encourage a strong ethical culture in your business include:• Identify the core ethical values to which

the business wishes to be committed and held accountable. Such values might include: responsibility, integrity, honesty, respect, trust, openness, fairness and transparency. Ethical values must underpin the businesses mission statement, strategy and operating plan.

• Translate ethical values into guidance for all employees on how to act responsibly in different circumstances. Companies of all sizes can have a formal code of ethics with which to guide employees on issues not covered by law and regulation. This can simply consist of one page outlining the organisation’s values and where/who to consult in the case of an ethical dilemma.

• Offering training in how to solve ethical dilemmas can help, not only by giving practical tools but also in sensitising staff to issues which may arise. Values and their relevance to what the staff do could be posted on the office notice board, short dilemmas could be discussed at team meetings, or e-learning tools such as that offered by the Institute of Business Ethics are examples of effective ways to embed ethical values.

As an owner of a family business you may have dilemmas of your own, including:• ”Our cash flow is limited - do I delay

payment to my suppliers and to the Inland Revenue?”

• “Should we meet a deadline to supply a key customer even though I know the product is not up to standard? If we don’t meet the deadline we may lose the customer.”

• ”The business may not survive if I don’t accept this contract – but to secure it requires me to wine, dine and entertain them.”

Why should I spend time thinking about business ethics?The Institute of Business Ethics believes that business, and indeed all organisations, should ‘do the right thing’ because it is the right thing to do. However, there is research demonstrating financial benefits to businesses which take how they do their business seriously:• An open culture improves morale,

with possible benefits of increased productivity and loyalty. An organisation that is based on sound ethical values is likely to attract and retain high quality employees.

• Good relations with customers leads to an enhanced reputation. Demonstrating sound ethical practices can often generate ‘word of mouth’ goodwill which then attracts more customers.

So what is business ethics? The Institute defines business ethics as the application of ethical values, such as fairness, honesty, openness, integrity, to business behaviour. In short it is about how an organisation does its business. Does it treat its employees with dignity and respect? Does it treat its customers fairly? Does it pay its suppliers on-time? Does it acknowledge its responsibilities to wider society?

A family business consists of its employees, all of whom make ethical decisions every day based on their own set of values, and these values may not be the same as those of the family. An organisation must therefore articulate a set of shared values and seek ways to apply and embed them into its business practices.

Let’s look at some dilemmas which could face a member of your staff:• “My sales figures are low; I really need

my bonus. I’m going to have to make this sale, even though this old lady doesn’t need the product.”

• “I might be fired if we don’t get this contract. I’ll have to ‘incentivise’ them to make sure we do.”

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Simon Webley, Institute of Business Ethics

SpecialismEthics in business

ProfileSimon is Research Director at the Institute of Business Ethics and helps a range of businesses with ethics in their organisations.

www.ibe.org.uk

How Ethical Is Your Family Business? Why doing things ‘right’

can be good for business

Why is it important for companies to behave ethically?Many companies make the mistake of only tackling ethical standards once a problem has arisen. A reputation takes years to build, but can be lost overnight following an ethical lapse.

One of the most infamous examples of a family business beset by ethical problems is that of the Murdoch’s News Corporation. But other family businesses

prosperity

It is important for business owners to ‘walk the talk’ if they hope for their staff to behave ethically.

Strong leadership is essential in embedding ethical values in any size of organisation. Research shows that owners run their businesses in ways which are consistent with their own values and principles and that employees tend to follow their lead in how they behave in their own role.

have also had significant reputation impacts due to ethical lapses: The Duchesss of Cambridge’s family’s business – Party Pieces – came under fire for alleged child labour and sweatshop practices by a supplier; the Red Lion Abbatoir run by the Turner Family, was forced to close because of the horsemeat scandal.

It has to be far better to encourage an explicit ethical culture now, before it may be too late.


WellGood Campaign, with the vision to bring clean drinking water to remote communities in East Africa. I was recently fortunate enough to accompany MD Anita Brightley-Hodges and her husband Steve on an emotional trip to Uganda to visit their own family well. Watching a well being struck is a momentous occasion, and it’s hard to find the words to describe. So instead let me set the scene… typically an hour off the road, across bush tracks we are met by a group of children who have been eagerly awaiting our arrival. We are led by a procession of song and cheering to a clearing with a number of mud huts on the outskirts. The women are dressed to impress with crowns and skirts made from the local flora and fauna, worn over their Sunday best. Their procession continues our journey on foot to the spot where the Fields of Life drilling team are hard at work. Following a number of hugs (from the children) and handshakes we are welcomed by the village elders and chief, then entertained in traditional style, with more songs and dancing. The drilling is noisy, hot and dusty work. After sometime the pitch of the drilling rig changes as water is struck, sending a spirt of water into the air at least a mile or so high. At this moment the emotion in the village is phenomenal. For many this well will be the first time they have tasted clean water, having spent their lifetime gathering water from a source shared by cattle. For Anita and Steve, meeting the villagers for the first time, seeing their family plaque in place and hearing first-hand how the well has changed their lives is an experience I am sure they’ll never forget. I know that I certainly won’t! For their business, the positive impact has been equally phenomenal, from increased staff moral through to their customers. To quote Anita, ‘It’s incredible to think that a small family run business can effect such change, just imagine how impactful this could become if we all implement a similar CSR strategy’.

I feel truly humbled by the level of support the WellGood campaign is generating. And I would like to give thanks to everyone that is already playing a part in this exciting life transformational campaign; the Brightley-Hodges family, Medway Marina Trust, Bennett Opies, Boodles, Component Force and the Caan family. And I would like to take this opportunity to invite you to join with us

Imagine for a moment a world where every day is a struggle. You have little or no access to clean safe drinking water or employment. One where your children face a life of uncertainty, possibly without the opportunity to go to school to learn how to read and write, with poor healthcare and a low life expectancy… the last thing you would probably imagine to find in this world is love, laughter and compassion. Yet this is what awaits you upon arrival in post conflict East Africa.

For most of us charity starts from the heart, a cause that reaches out to you and makes you want to take action. No matter how small that action is… it’s about believing that you can effect change for the better somewhere in the world. For Fields of Life the impact for the communities that we work with is life changing. And for our donors the impact on their businesses is equally empowering.

Adopting a CSR strategy is so much more than just reducing your energy and print costs. It’s about building a team of individuals who feel passionate and proud in their work. A survey from Net Impact found that 53% of workers said that ‘a job where I can make an impact’ was important to their happiness. Interestingly, 35% would take a pay cut to work for a company committed to CSR. The success of Unilever in their approach to CSR is well documented. But the best news is that even the smallest of organisations benefit when putting CSR at the heart of their business.

First and foremost, we all agree that business exists to make profit, and this isn’t meant to change as a result of finding your cause. The reality is that CSR can help you to achieve that goal. It’s about managing the relationships with employees, customers, suppliers and stakeholders to produce an overall positive impact on society, whilst making money. To quote the MD of Amelix, Louis Hurst, ‘A business that just makes money is not a good business’.

This sentiment was felt by Family Business Place when they set up the

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Debbie Cameron, Fields of Life GB

SpecialismCorporate Social Responsibility

ProfileDebbie is head of development and fundraising for Fields of Life which works across East Africa to bring about positive change

www.fieldsoflife.org

From Uganda With LoveFrom our family to yours. How

family firms can make a difference.


promotion and other community based projects to the lives of people living in post conflict East Africa. Our work started 20 years ago in the Killing Fields of Uganda and reaches across Burundi, Rwanda, Democratic Republic of Congo and South Sudan. Today, with the help of businesses, trust funds, legacies and private donors we have built and sustained over 108 schools, providing a quality education to more than 44,000 children. We’ve drilled over 350 wells,

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65

and become part of this wonderful story of hope, regeneration and renewal in East Africa. Please contact me for further details about how your family business can help support families in post conflict East Africa.

I head up development and fundraising in GB for Fields of Life. We are an International development charity. Our vision is simply to help bring about positive change through the provision of quality education, clean water, health

providing 350,000 villagers with clean drinking water and supported 3,200 families with income generating projects. More than 4,000 children are being sponsored through school and they will in turn help lift their families out of the poverty cycle. Without the support of incredible family businesses like yours our vision is all but a dream.

So from one family to another, I give thanks and hope that maybe, just maybe, you’ll feel inspired to join us.

For most of us charity starts from the heart, a cause that reaches out to you and makes you want to take action


and the family. What separates them from normal businesses is the ‘family’ element. It is this which provides the strengths and weaknesses inherent in a family business. Family ties encourage loyalty, commitment and a sense of belonging: powerful forces that can propel a family business to great success. The flip side is that emotive family issues can sometimes cause friction in the business thus impeding its progress.

Well-run family businesses are alive to these potential problems and plan accordingly. Long-term planning in an open and communicative environment is the key to a successful transition from one generation to the next. Succession should be seen as a process and not as a single event.

However, running the business often means that succession planning is put on the back-burner. A trigger event such as illness or death can then often force immediate changes that have not been properly prepared for. Emotions will already be running high due to the trigger event, and will be exacerbated at the prospect of change in a short time frame due to the ‘forced’ succession. Obviously this does not help achieve a smooth and painless succession.

For the elder generation, succession can also be a difficult and emotional issue. Reluctance to ‘let go’ of something that has been a fundamental part of their life

Family valueThe contribution family businesses make to the economy is vital - Britain’s 3 million family firms employ over 9 million people, contributing almost a quarter of total UK GDP and providing over £81 billion in tax to the UK Exchequer. Many are large, multi-national businesses with household names, and research shows that the survival rates of family firms are better than non-family firms.

The transitionHowever, a key challenge for family businesses is transitioning to the next generation – a process known as ‘succession’. Here the statistics are not so encouraging, with only 10% of family businesses surviving to the third generation. It is clear that succession is a difficult issue for family businesses to manage successfully.

Family businesses are made up of three core elements: the business, the owners

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66

Will Axtell,Charles Russell Speechlys

SpecialismFamily law

ProfileWill is a Partner and passionate about family businesses. He is a 5th generation shareholder in his own family company.

charlesrussellspeechlys.com

The Thorny Issue of SuccessionHow planning early can help ease

the transition between generations.

Deborah Robson, Charles Russell Speechlys

SpecialismPrivate companies

ProfileDeborah is a legal director in the corporate finance and commercial group and has significant experience working with family businesses.

charlesrussellspeechlys.com


succession can do to the business, and will be keen to facilitate a well structured process.

Looking ahead It is important to prepare the next generation so they have the necessary skills to take over at the appropriate time. Any gaps in skill or ability can be bolstered by hiring non-family employees.

Taking adviceTake advice from your lawyers and accountants at an early stage to ensure that there are no unforeseen tax or legal headaches around succession. Do not leave this until the last minute and make sure your advisors are familiar with family businesses. As mentioned above, consultants can also be an experienced guide through the whole succession process.

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67

as well as a fear of retirement can all play a part. There may be worries about ‘choosing’ a successor – which of the children should be chosen, and does he/she have the necessary skills? What about the feelings of the ‘rejected’ children? It is often more palatable to delay and procrastinate rather than grasp the nettle and actively plan for succession.

Another common problem is who starts the process of succession? Again, there can be concerns from both sides, with the seniors worried about pressurising the young into taking over the business. The next generation may be concerned about being seen as ungrateful and pushing the elder generation out to retirement.

So what should family businesses do to prepare for a smooth and successful transition?

Early planningThe key is to plan early. As we have seen above there may be a natural reluctance to do this due to the emotive issues at stake. There is also the issue of who takes the first step. This is where an independent party such as a non-executive director or family business consultant can often add value, acting as a facilitator and broker. He will realise the damage an unplanned and perfunctory

Open doorsHaving clear and open communication as to what the various stakeholders’ aims and intentions are is the most important factor in a successful transition. The parties should agree a succession plan and write it down with key milestones and dates, to avoid ambiguities and assumptions that may cause conflict later on. The elder generation should make sure they stick to these agreed dates. There is nothing more frustrating for the next generation than agreed retirement dates being overrun for no good reason. Actively plan for retirement and concentrate on the positives that this can bring.

Long term planning, inter-generational teamwork alongside clear and open communication will all help overcome the conflict that can blight many family business successions. With this mindset succession should be a natural evolution of the family business.

Long-term planning in an open and communicative environment is the key to a successful transition from one generation to the next.

http://www.charlesrussellspeechlys.com/


ten

To avoid “job hoppers” probe where CV’s state years only without months as this can mean anything from two months (e.g. Dec 2009 – Jan 2010) or up to 2 years (Jan 2009 – Dec 2010), however is often used to camouflage an unstable work history.1 2

34

1010 ways to avoid recruiting the wrong person for your Family Business

Ensure you have a structure to your interview with key questions you will be asking. Often the “halo effect” can occur in an interview where you associate well with a person and then not cover the same ground you would normally do. This also works well in the opposite situation where your mind can be changed once you have covered the questions that are important to you.

Make sure you ask for specific examples in the past where they have demonstrated a skill/trait you are looking for. Beware when people generalise when they answer eg “I would…”as opposed to “I did. Ensure they actually relive that situation and if they can’t then it is theoretical knowledge as opposed to actual experience.

Identify the real reason why someone leaves a company as often their first answer is not the key reason therefore always ask for what other reasons did they choose to leave.

Coming from an entrepreneurial family where all four siblings have their own businesses, Sally Collins, founder of Hudson Clarke Associates, understands the challenges of finding the right staff that will fit into a family business.

She recruits for two of these companies and has also sat on the board as a Non-Executive Director for her brother’s plc company.

GIVE BACKAs family businesses become more successful, some feel compelled to find a way to help make their local communities and the world a better place, either through charitable giving, projects or giving circles.

We can help design and produce publications that showcase good giving and help you to:

Identify your philanthropic purpose • Design a brand to encapsulate your purpose, • commitment, values, vision and actions Produce a tailored and beautifully crafted book, •

diary or website

“Be the change you want to see in the world”Mahatma Gandhi

For further information visit www.familyconstitution.co.uk /philanthropy


For further information visitwww.familyconstitution.co.uk/philanthropy

For a private consultation callAnita on 01732 220120 or [email protected]

PROSPERITY_RUPERT PHELPS NEW.indd 60 22/03/2013 17:33



www.familyconstitution.co.uk/philanthropy


tenGIVE BACKAs family businesses become more successful, some feel compelled to find a way to help make their local communities and the world a better place, either through charitable giving, projects or giving circles.

We can help design and produce publications that showcase good giving and help you to:

Identify your philanthropic purpose • Design a brand to encapsulate your purpose, • commitment, values, vision and actions Produce a tailored and beautifully crafted book, •

diary or website

“Be the change you want to see in the world”Mahatma Gandhi

For further information visit www.familyconstitution.co.uk /philanthropy



For a private consultation callAnita on 01732 220120 or [email protected]

PROSPERITY_RUPERT PHELPS NEW.indd 60 22/03/2013 17:33

Finally,

where possible always take up verbal references with their prior line managers. This will give you greater insight than just a written reference, however, always honouring the confidentiality of the conversation.

56

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9

Include questions relating to a non work situation which will also give you deeper insight into their character – integrity is seamless!

Make sure you understand their long term objectives/goals to ensure your company can meet these and therefore the fit is right.

Confidentiality is an important trait and therefore be concerned if someone speaks excessively negative about a prior employer or provides sensitive information as they could very well do this to you.

Ask them what is their perception of your company encouraging positive and constructive criticism. This will not only highlight the level of research they have carried out, however, will also give you a valuable feedback.

Be aware of your company’s reputation throughout the interview as even if the person may not be right for your company, you still wish them to think, and more importantly speak, positively about your company – reputations are often made or ruined by the feedback they give to others in the market place.

www.hudsonclarke.co.uk

10


panel

QWe run a small family business and we stopped making company contributions into

our pensions a few years ago, mainly due to the negative press about the annuity rates payable at retirement. Should we revisit our decision now the pension rules are changing?

AYes, definitely. Under the current system, there is some flexibility for those with small and very large

pension pots, but around three-quarters of those retiring each year purchase an annuity.

People’s pensions are hard-earned and it is only right you should have the freedom to choose how and when you access them during retirement.

From April 2015, from age 55, whatever the size of a person’s defined contribution pension pot, the Government propose that you’ll be able to take it how you want, subject to your marginal rate of income tax in that year. 25% of your pot will remain tax-free.

There will be more flexibility. People who continue to want the security of an annuity will be able to purchase one and people who want greater control over their finances can drawdown their pension as they see fit. Those who want to keep their pension invested and drawdown from it over time will be able to do so.

You should also remember that Company contributions into your pension plans are a tax deductible expense and help reduce your Corporation Tax bill.

www.foxgroveassociates.co.uk

Graham KeepenPartner

Foxgrove Associates

Specialism: Independent Financial Advice

T H E P RO F E S S I O N A L SWhether it be legal, financial, sales or marketing, our experts are here to guide you and your family business in the right direction.

QOur family business is nearly 100 years old and we have 3 generations of my family

working in the business. I’d like to do a Family Constitution so that we all know why we are here, what the business stands for and how we go about dealing with complexities. But where do I start?

APutting together a Family Constitution is not a finite exercise. It is a journey over many months

and with the input of many people; it will constantly evolve. As well as using a family business advsior to help put it together, it’s always a good idea to speak to another family business who have been through the process. Although every constitution will be different, there are some fundamental things to think about:

• The family creed• Our vision• Family council• Succession• Family assemblies• Employment of family members• Development of family members• Rights and responsibilities of shareholders• Realisation of assets• Transfer and buying of shares• Philanthropy• Board of directors

www.familybusinessplace.com

Anita Brightley-HodgesManaging Director

Family Business Place

Specialism: Family Constitutions


panel

If you would like to be

a part of the panel,

please email the Editor:

[email protected]

for more information

QI’ve heard that the government have set out proposals to overhaul capital gains tax on

profits generated on residential properties. I have more than one property – will I be affected?

AYes. Until now, homeowners with more than one residence have been able to choose which

property they would like to qualify for PPR (Principal Private Residence relief). CGT was not payable on the sale of your main residence, only the sale of your second property. So if you had a holiday home, or purchased a second home during the year, you could choose which property you wanted to elect as your ‘main residence’ for the purposes of tax efficiency. Now the government is proposing changes that either:

• Removes your ability to choose which residence, instead determining this based on the facts and evidence available; or

• Replaces your ability to choose with a rule which identifies a person’s main residence, for example, by reference to the property in which you spend more time.

Guidance has yet to be provided as to how any current elections you have in place might be treated in the future.

www.wellersaccountants.co.uk

Norma StewartPartner

Wellers Accountants

Specialism: Finance & Tax

QI’ve recently taken over the family business from my father and we’re going through a

rebrand. Do you think our website should include photos of the family or just the business?

AThere are lots of businesses around who claim to be ‘like a family business’. You don’t have to

pretend – you are! Most family business are born with core founding values such as integrity, trust, loyalty and longevity. Why not bring these to the fore by including imagery of the family in your marketing material?

People do business with people they know, like and trust. The easiest and quickest way to build up these relationships is to be honest about who you are as a business and let people see who they are dealing with. In this day and age of technology and online shopping, customers like to be able to put a face to a name.

What’s more, it gives you a chance to tell your father’s story. The business he has worked so hard to grow and which is now in your hands. Let people see the face of the man who worked day and night to build a business for his future generations.

Photography doesn’t have to be extortionately expensive. But make sure your photographer knows exactly what it is you are trying to capture so that he can translate your vision into great photographs.

www.nickgillott.com

Nick GillottOwner

Nick Gillott Photography

Specialism: People & Places

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This is a great little book containing all the basics of leaving money to loved ones. It especially describes what will happen if you haven’t made a conscious decision to get your house in order before you die! An event we put to the back of our minds as we get on with the business of living! Dennis lays out the range of options and alternatives available, the good the bad and the ugly if the state takes possession upon death. He deals with the terminology which often befuddle us and lays out clearly and simply what can be done to protect your family’s assets. The book also discusses financial planning for family, education, charity and the like. I hadn’t realised quite how straight forward things could be and this guide gives the basics and shows you how.

An aspect I hadn’t really considered is the psychological and physiological affects of bereavement. The trauma of losing a spouse in particular can significantly delay rational thinking and decision making for days, months or even years. And of course financial and legal advisors as well as family and friends can force decisions that are not necessarily in the best interest of the widow or widower. Women are particularly vulnerable as the relationship with men and their financial advisors is often a close and confidential one.

I like Dennis’ use of real life stories to contextualise how different people manage their finances. Some sadly come really unstuck through fear and others hope the burden of financial and tax responsibilities will just go away. Dennis also allows us to see his compassion for those who are vulnerable and have nowhere to turn. A remarkable book with a human touch. In his dedication to his mother Christine Hall, Dennis writes ‘If only I knew then what I know now’. A lesson to us all.

Anita Brightley-Hodges

WHO WILL IT HURT WHEN I DIE?Author: Dennis Hall

Most people would rather stick pins in their own eyes than talk about money and death. So Dennis had his work cut out for him. Without a doubt, I can say that he rose to the challenge and produced an excellent piece of work!

It was really hard to put the book down once I started. Dennis’ fluid, conversational and non-judgemental writing style made it easy to follow; the chapters were short and succinct, each with a unique message. I found the stories of individuals in this book touching and easy to relate to. In fact I found myself wanting to know more about them.

I think this book is an incredible resource for anyone, including solicitors and financial planners. If you are finding it challenging to get through to clients in this area, just hand them a copy of this book and encourage them to read the first few chapters.

Likewise, if you are finding it difficult to talk to your own partner or parents about the morbid subject of death and money, this book is probably the easiest and most effective way to get through them. Hand them a copy and encourage them to read it. I can’t recommend this book highly enough.

Abraham Okusanya

I was expecting to struggle to read this as it is such a sensitive subject I thought it might be heavy going. I could not have been more wrong. It is a warm, insightful as well as practical book that I believe every person who wants to do the best for their loved ones financially could really benefit from.

Georgette Roland

There are countless books out there that tell you how to manage your investments. Most of them are simply rubbish and full of noise. There are very few books available that deal with the REAL life financial issues facing REAL people on a day to day basis.

This book does that. As a fellow financial adviser, I can relate to all of the “real life” stories that Dennis tells throughout this book. He deals with the very emotional side of bereavement well but also talks through the practical issues that the general public have to deal with everyday in our very complex financial jungle.

This is an essential read for....ANYONE (with or without an adviser). I just wish I had written it myself!

Damien Rylett

“I like Dennis’ use of real life stories to contextualise

how different people manage their finances. ”


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35th

T: 02871 265963/0207 9379773 E: [email protected] www.martin-construct.co.uk


Was joining the family business always your plan?Not really! Like most boys I was football mad and that’s all I wanted to do. But that obviously didn’t happen and my parents business wasn’t in a position to take me on after I finished school. So I went and got a trade under my belt and I became a qualified carpenter which I did for 6 years. I then joined the family business in 1999 after having enough of working on building sites.

What values have you learnt from working with family?How to transfer our family motto into the business “If a job’s worth doing it’s worth doing well”

What’s the best bit about working with family?You can trust family implicitly and generally everyone is more reliable and decicated.

And the worst?If anything went wrong with the business it would affect the family – therefore we have to plan for adversity as well as success.

How do you spend your free time?I try to split my free time between playing golf (badly at the moment!) going to the gym and spending time with my wife Natalie and boy Freddie.

What would you advise someone thinking about joining their family business?You definitely need to set out some ground rules as you’re always going to react differently to how your parents talk to you in a business environment.

24For instance if you come in for some criticism, the way you talk back would be so different to that of a “normal” boss.

Therefore things can get heated sometimes, we always said to each other that if it gets like that all the time that we would have to go our own separate ways as it can’t split the family up, which sounds so harsh but being a happy family is more important.

Who inspires you?My parents, what they’ve achieved since setting up doing alterations from home is nothing short of extraordinary.

Does money motivate you?Not at all, achieving recognition as one of the best bespoke tailors in the world motivates me, although the money does come in very handy!

Describe your typical day in the family business? The days do vary quite a lot depending on what appointments we have but if I need to cut a suit I’ll be in at 6:30-7 if not I’ll be in at 8, always start off with a strong coffee! I get changed into my work clothes at work at 9, staff meeting at 9:30 to see who’s coming in for fittings, collections or orders and make sure all client accounts are done. It would then be a mixture of seeing the clients booked in along with serving people coming into the shop off the street with a quick lunch usually at 1pm. 5:30 balance the till and close shop, make sure all orders are processed and cloth ordered, I usually leave at 6pm.

www.sousterandhicks.com

A day in the life of Scott Souster

Souster & Hicks

HRS

24

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Generation Magazine - Autumn/Winter 2014

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Transcript of Generation Magazine - Autumn/Winter 2014