Blog - EMS - Business Consultants

Tradeshows

Geoff — Mon, 30 Jan 2012 13:40:22 +0000

They can be seen as the golden panacea of a business getting more new clients. They can be positive but don’t forget about costs (obvious and hidden), also you need to be operated effectively. Adequately man your stand and follow up leads the next day.

It might also be worth considering geography – do you really want customers in Scotland if your business is in the South of England?

The Demise of Business Links

Geoff — Mon, 30 Jan 2012 13:39:16 +0000

The closure of local Business Links – to be replaced by call centre advice and an expanded website – can be seen as leaving a gap in the business advice market. There are mixed views on Michael Heseltine’s baby – some think the service was great others think it was poor. The services offered by the Business Links were:

1. Free business advice

2. Signposting to consultants with the right skills and experience

3. Identification of and help with grants

Looking at this objectively there are plenty of people out there that also offer these services. Yes they do charge so item 1 above offers advantage. Having said this here at EMS we have a number of meetings with clients (free) before we get to a proposal for work that will help their business improve (payback).So I guess some people will miss the Business Links but there are alternatives.

Old Brand Success

Geoff — Thu, 26 Jan 2012 09:36:54 +0000

Don’t write off that old brand. Our current lifestyle has lead to recession retro can bring fun to customers and success to the re-inventor. The pre-requisite is that the original product needs to have been good and in demand. One possible route to success can be considering packaging and the space the retailer needs to promote the product. Restoring a heritage brand can be cheaper and quicker than creating a new one. The brand cycle is getting ever quicker – from emerging to dominant to residual and the on to retro-emerging.In all of this positive thinking consider intellectual property rights and trademarks.

Beating the Competition

Geoff — Thu, 26 Jan 2012 09:35:05 +0000

With more competition out there – sometimes adopting ruthless tactics – you need to find innovative ways to beat them without cutting your margins.It’s not impossible for retail companies perhaps consider pop up shops – see our blog on the subject. Other ideas are deals, reducing delivery times and of course excellent customer service.It is possible – just think outside the box.

Tribunal Awards to increase…………….

Geoff — Mon, 16 Jan 2012 09:07:14 +0000

From the 1^st February 2012, the limits which apply to Tribunal awards and other amounts payable under employment legislation will increase. The maximum amount of a ‘week’s pay’ will increase from £400 to £430 and the maximum compensatory award for unfair dismissal from £68,400 to £72,300.

Simone Greasley

Rate Increases ………..

Geoff — Mon, 16 Jan 2012 09:06:59 +0000

In April 2012 the weekly rates for statutory maternity, paternity and adoption leave pay will increase from £128.73 to £135.45.

Statutory sick pay rate will also increase from £81.60 to £85.85.

Simone Greasley

Marketing Doesn’t Need to Cost a Fortune

Geoff — Sun, 08 Jan 2012 15:02:57 +0000

We always bang on about doing your marketing in order to make a success of your venture - but it will cost a fortune I hear you say.

Maybe not.

If you have a good product or service you stand a chance of harnessing the power of your existing customers - word of mouth recommendations. They’re very powerful and mean that new clients feel confident in your business and feel less on edge. Search for ways to make it easy for your clients to recomend you.

Whilst “word of mouth” marketing has been arround a long time it has recently had the advantage of online social media. But beware it’s not for all companies (not new start ups) you need a mature product or service.

Another point to remember in the words of “Crosby” it is no longer to offer a good product or service it needs to be exceptional giving your clients something to shout about for you.

Getting the Most Out of Flat Rate VAT

Geoff — Sun, 08 Jan 2012 15:00:45 +0000

If you are using the Flat Rate Scheme for VAT then you will be aware that you cannot reclaim input VAT on your purchases unless they are a single purchase of a capital nature and in excess of £2,000 inclusive of VAT.

However the rules state that purchases of a capital nature made at the same time from the same supplier on the same invoice are deemed to be a single purchase for VAT Flat Rate Scheme purposes.

For example if you purchase a computer package comprising a computer, a printer, external hard drive, digital camera and speaker systems which costs more than £2,000 (incl. VAT) then the VAT can be reclaimed. If these are all purchased from the same store on the same day and are shown on the same invoice if the total cost of these items is in excess of £2,000 (incl. VAT) then you can reclaim the VAT.

So if you use the Flat Rate Scheme for accounting for VAT and are looking to purchase some new assets then you should take the time to shop around to see if you can get the items you require from the same supplier and include them all as one purchase. This could save you a large amount of input VAT you would otherwise not be able to reclaim from HMRC.

Simone Greasley

A Ticking Time Bomb - Warning

Geoff — Tue, 20 Dec 2011 16:56:15 +0000

As you may be aware HMRC introduced penalties for late-paid PAYE and related liabilities back in April 2010 but due to the way that the penalties are calculated the penalties have only started to be levied now.

Unfortunately it is not yet clear how this penalty regime will be applied and this may remain the case until the Real Time Information system is implemented. This is because HMRC’s system does not flag up that a penalty situation has occurred until after the last payment has been made and the year end reports have been filed.

It is only at this point that HMRC will be able to calculate if a penalty is due and the rate at which that penalty should be levied. The penalties will be levied as follows:

· First default – attracts no penalty if it is the only late payment in the year

· 2, 3 or 4 defaults in the year – the penalty levied will be 1% of the total amount defaulted (including the first default)

· 5, 6 or 7 defaults in the year – the penalty levied will be 2% of the total defaults (again including the first one)

· 8, 9 or 10 defaults in the year – the penalty levied will be 3% of the total defaults (including the first one)

· 11 or more defaults – the penalty levied will be 4% of the total defaults (including the first one)

On top of this any amounts that remain unpaid after more than 6 months after the penalty date will be liable to a further 5% penalty with a further 5% penalty applying after 12 months.

As you can see the late payment of PAYE and related liabilities could very quickly become an expensive problem, but is one that can easily be avoided if payments are made on time.

Simone Greasley

Turning Failure into Success

Geoff — Tue, 20 Dec 2011 16:54:28 +0000

Many entrepreneurs first venture fails. Rather than stop you trying again see it as an opportunity to learn. This can lead to finding a more efficient way of doing things and hence early failure can often breed later success. In the States entrepreneurs that have failed are seen to have a badge of honour!

You’ll have your own lessons to learn but common reasons for failure are:

· Poor marketing – do your market research and know who the players are

· Poor brand strategy – make everything you do attractive

· Weak cash flow – know when you’re going to get paid – strong cash flow is a priority

· Uncontrolled growth – know the balance between revenue and costs

Should you still fail it pays to wind up a business legally treating staff and investors with respect.