Category Archives: Business

SME developer funding business Avamore predicts record year ahead

London-based principal development and bridging lender Avamore Capital has reported a record year of growth and is predicting another year of unprecedented completions in 2021.

Driving a large proportion of its growth is a sharp rise in demand for its Finish and Exit product, designed for part-completed development projects, where it has seen a 62 per cent year-on-year rise in completions. Similarly, compared to 2019, it saw 2020 enquiry volumes increase by c.£1.2bn year-on-year, reaching £5.1bn.

The business that specialises in SME developer funding this month surpassed the £300M in loans mark. It has expanded its team by a further five individuals in the past 12 months and has another four members joining across 2021, taking its team to 26.

The lender predicts another year of growth after implementing further product developments, which respond to current market needs. The recent announcement of its Planning Flexibility feature makes the most of relaxed planning rules and provides borrowers with a solution to cut through the bureaucracy of local government.

Philip Gould, Principal at Avamore Capital, said:

“Avamore’s achievements this year have been phenomenal especially given the disruption within the developer market and such high levels of uncertainty.

“Success has been bolstered by our capabilities to work closely with borrowing and broking partners and to remain responsive and dynamic to accommodate ever changing requirements. Our specialist products have certainly helped developers to navigate the past few months.

“Borrowers and brokers are looking for certainty and security, which can be reflected in the stability of a lender’s credit performance and operations.

“Demand for our Finish & Exit product has also been exceptional. We were the first ever lender to introduce this type of solution, which provides developers with funds to complete their scheme if they have faced cost overruns or unexpected delays during the build. This has become increasingly prevalent throughout the pandemic; workforces have been reduced to adhere to social distancing measure and PPE requirements have driven costs up over the past year. The Finish & Exit has therefore provided an answer to real time challenges.”

Philip added: “Reaching the £300M milestone loan figure follows our recent announcement of £150M worth of loan repayments in full, and we’ve experienced no losses to date. Of the loans which have been redeemed, Avamore has seen repeat business from a number of borrowers and brokers. In 2020, we closed £13M worth of deals with the same borrower, these are now split between redeemed and live loans with further transactions in the pipeline.

“Given the growth in the team, we certainly have the infrastructure in place across all departments to service loans to a continually high standard. Growth in the sales, credit analysis and underwriting departments means that the team will be able to work with more of the market whilst maintaining its market leading due diligence levels.

“Earlier this year we were also delighted to promote Toran Selim to Head of Asset Management and there are four additional hires expected to start by June 2021.

“In 2021, we hope to achieve even more by listening to what the market needs, delivering high quality products and services and, consolidating relationships even further so that we can grow with our partners.”

Cambridgeshire Packaging Company enhances green credentials with HSBC UK support

Huntingdon manufacturer Lil Packaging has upgraded its production capabilities thanks to a seven-figure facility from HSBC Equipment Finance UK. The investment will help the company meet increased customer demand after seeing a surge in sales throughout the pandemic.

The funding from HSBC UK will not only allow the company to meet increased demand but also enable it to adapt to a rapidly changing market, by upgrading its existing production lines to increase volume and automation.

The family-run business began trading in 1983 and became Europe’s largest independent producer of packaging for internet retailers. Lil Packaging is well-known for its plastic-free, 100 per cent recyclable e-commerce packaging. The company has also invested in a range of patented inventions to reduce the use of single-use plastic in packaging.

The pandemic has seen a huge increase in sales for Lil Packaging and a requirement to increase both volume and lead times. The company has also seen a distinct shift in consumer behaviour, with the consideration of a product’s environmental impact playing a greater role in purchasing decisions.

Fred Lill, Director of Lil Packaging, who owns the company with his brother Barry Lill, said: “HSBC UK has always been there for us supporting our efforts to increase production and champion our green initiatives. We are delighted to be a signatory of ‘The Climate Pledge’ which demonstrates our commitment to achieving net-zero carbon by 2040. We would like to thank in particular our HSBC Equipment Finance Relationship Director Chris Larkin and Corporate Relationship Director Matthew Long, who have provided consistent support and understand the needs of our business as it continues to grow.

Chris Larkin, Relationship Director at HSBC Equipment Finance UK, said: ‘We are delighted to have supported Lil Packaging as the company enjoys further growth and adapts to increasing customer demand. As the sector embraces a shift by consumers to more sustainable products, HSBC UK is proud to support the business as it continues the production and development of environmentally friendly packaging and prioritises reducing its carbon footprint.”

Lil Packaging’s entire range is now FSC certified, accredited plastic free and 100 per cent recyclable. The glue the company uses is also specially formulated to have the highest organic based content to meet plastic free guidelines, while also meeting the quality demanded by the fast-paced nature of the e-commerce packaging sector. 

London bathroom supplier expands during pandemic with HSBC UK support

London-based bathroom supplier, VR-Bathrooms, has purchased new premises to facilitate its continued expansion with the support of a seven-figure commercial mortgage from HSBC UK.

Founded in 2008, VR-Bathrooms had previously rented a small site in Feltham but now has moved into a warehouse unit four-times the size in Bracknell, occupying 13,000 sqft. The new site will not only allow the company to hold additional stock on site but will also support the organisation’s future growth strategy.

Rav Reehal, Managing Director at VR-Bathrooms, said: “It was really hard to find a unit that gave us the size requirements we needed whilst staying within a relatively local radius to our previous offices so that we could take our existing staff with us. The staff are excited with this new phase of growth for the business during uncertain times. The additional space will enable us to bring in greater volumes of current and new product lines and help us concentrate on growing the business and increasing our current market share.”

VR Bathrooms has seen shopping habits change over the last 12 months, with a dramatic rise in online orders over the course of the pandemic recorded and expects this to remain constant in the future.

Rav Reehal added: “The commercial mortgage has helped me secure the future of the business, as well as allowing me to achieve my own personal objective of why I started the business in the first place. HSBC UK has supported the development of our current business model and helped us quickly react to the increased demand we have seen over the past year. We now have a great facility in place and online retail will remain a key part of our business model moving forwards.”

Raj Yadav, HSBC UK Senior Commercial Manager for South West London Business Banking, commented: “Whilst the retail sector has faced a challenging period, it’s great to see that the team at VR-Bathrooms have adapted to the changing landscape and pivoted their approach to ensure customers – both trade and members of the public – have been able to continue to secure products and services throughout the lockdown periods. The new site will support their future growth strategy and we look forward to continuing to work with them to help realise these ambitions.”

Free business programme boost for micro firms in north east Wales

MICRO businesses with staff can sign up for a fully funded leadership and management qualification that would usually cost £4000.

People living or working in Flintshire, north Powys and Wrexham are eligible to join the 20Twenty Business Growth Programme’s Level 4 CMI (Chartered Management Institute) course in September.

Taking place virtually, there will be an initial two-day schedule followed by four days over the following months, with modules including innovation, creativity, and marketing strategies, making a difference in the workplace, managing finance, coaching, and action planning for success.

Funded by the European Social Fund (ESF) through Welsh Government, 20Twenty Business Development Manager Jackie Whittaker said they are looking to attract micro firms, charities, and social enterprises which might previously have found the qualification inaccessible.

“Since last summer, the 20Twenty Business Growth Programme has been fully funded and the response has been incredible,” said Jackie.

“All modules have been held online due to the Covid-19 pandemic but for many that has been a positive as it has cut down on time and travel.

“We have welcomed businesses of all sizes and for this upcoming cohort would like to see more micro businesses join us, companies that might not previously have signed-up because of the cost or other barriers.

“Now more than ever having access to a fully funded place on the programme would be recommended; the advice and support available is second to none, to have this experience to call on and learn from would be invaluable for many businesspeople after the unprecedented challenges of the last year.”

Delegates also have an opportunity to progress to the CMI Level 7 programme, aimed at directors and senior managers, with strategy, growth, and future-proofing business among the pivotal themes – that is 70% funded and also starts this September.

Among those to have benefited from 20Twenty is Beatriz Albo (pictured), Director of Wrexham-based Sabor de Amor, a Spanish sauce company.

She attended the Level 7 and said it was useful in helping her “learn new management and leadership techniques”, adding: “When I started to employ people, I realised that I needed to know how to manage staff.

“I especially wanted to join the 20Twenty programme to develop a strategic growth plan for the business, which was invaluable. I think all micro businesses would benefit from signing up.”

Jackie added: “We have had up to 200 people on these programmes over the last three and a half years and continue to be amazed by the impact it has had on their organisations.

“As well as learning from the speakers and via interactive workshops, they share best practice and create their own networks, discussing ideas and being there with support and advice.”

“This is a great opportunity for micro businesses, to help them grow – any business that has been struggling, especially over the last year, will have the opportunity to access a free toolkit that will bring benefits for years to come.

“20Twenty has made a real difference to so many companies, from operations and profits to managing staff and culture – we hope you will join us and see for yourselves.”

For information and to register for a fully funded place on the 20Twenty Business Growth Programme, visit www.20twentybusinessgrowth.com or email j.whittaker@bangor.ac.uk.

GS Verde Group Expands into Ireland

Fast-growth multi-discipline GS Verde Group has announced further expansion, with the opening of its first office outside of the UK, with the launch of GS Verde (Ireland) in Dublin.

The new office is located in Dublin 2, Dublin’s premier business district, and follows client led demand with both new and existing client agreements in the Country across industries including Aviation, SaaS and Technology.

Nigel Greenaway, CEO of the GS Verde Group said:

We are very excited to be expanding into Ireland. Some of the world’s biggest brands including Google, Facebook and Microsoft, have a presence here and we are delighted to join them as we continue to grow our own disruptive, fast-growth business.”

The Ireland venture will be overseen by newly appointed Director, Peter Franklin, who will also join the newly formed board of GS Verde (Ireland).

Mr Franklin has over 12 years of experience in the medical devices industry, managing business compliance and mergers and acquisitions and will be supporting the GS Verde Group with its plans to continue its buy and build strategy, to grow GS Verde (Ireland).

Speaking of his appointment Mr Franklin said:

“I am delighted and honoured to join the board of GS Verde (Ireland). Being entrenched in successful corporate merger and acquisition deals for many years, the timing is right to bring a firm of this stature to Ireland. Despite the effects of the current pandemic, the Irish economy remains resolute and determined to not only survive, but to continue in a healthy upward growth trajectory, now exceeding the EU average”.

The GS Verde Group has become renowned for its corporate finance led deal-making services, advising on corporate transactions across the UK, the group consists of award-winning corporate law firm Greenaway Scott and M&A specialists Verde Corporate Finance, among others.

Mr Franklin added:

“Ireland’s corporate environment is now ready for a key player, one that will effectively facilitate, advise and deliver on better corporate activity, such as mergers, acquisitions, growth strategies, finance and legal advisory services. A specialist area very often underserved in the Country, companies interested in exploring these horizons now have the option of engaging with a dedicated and accomplished firm.”

In the last year, the GS Verde Group has seen tremendous growth, including the acquisition of Bristol-based Astrum Accountants, the addition of marketing and communications agency, Dragonfly Marketing and the launch of fintech investment platform, Elevate. With this growth has also come a number of high-level appointments across the group.

Mr Greenaway concluded:

“It has been a tremendous start to 2021 for our Group and there is much to come, with announcements to follow in due course. We are delighted to welcome Peter to GS Verde (Ireland), having known each other for several years, I am delighted the opportunity has arisen to welcome Peter to our Group, he will play a key role developing our business in Ireland in the coming years.”

Call for businesses in South East Wales to shape the support they need for future growth

The Cardiff Capital Region Business Council is reaching out to businesses to determine the services they want for future growth.

The Business Council board is responsible for articulating the needs of business, identifying priorities for existing support services and designing future support programmes, ensuring that the voice of business is at the heart of the Cardiff Capital Region’s strategy and decision making.

Committed to determining and facilitating access to the tools and services needed to help businesses in the region develop and grow, the CCR Business Council has launched a survey to determine what businesses believe are the key drivers for business success.

Businesses in Blaenau Gwent, Bridgend, Caerphilly, Cardiff, Merthyr Tydfil, Monmouthshire, Newport, Rhondda Cynon Taf, Torfaen and Vale of Glamorgan are invited to share the challenges and opportunities they face. Feedback from the survey will then be used to shape and deliver programmes of value.

Nigel Griffiths, Chair of the Cardiff Capital Region Business Council, said: “I’m very excited about making a practical and sustainable difference to businesses across South East Wales. I understand the challenges being faced by SMEs in particular as I’ve been there myself on numerous occasions.

“2020 was extraordinarily difficult for many companies, but out of turmoil comes opportunity – and we want to help businesses grab that opportunity. Imagine taking 500 SMEs in our region and making them 25% more effective, creating a billion pounds of additional profit and 10,000 new jobs. These are the type of things that need to happen.

“We have a new, re-energised board bringing fresh acumen, energy and passion to help direct, inform and shape the future of business in our region but we also need input from businesses. The insight that this feedback will give us will ensure that we put services in place that are of true value to our business communities and help us all be the very best we can.”

To participate in the survey, visit: https://www.surveymonkey.co.uk/r/8QXBNV8

Employers could face more tribunals when the furlough scheme ends, warn experts

Employers could face more tribunals when the furlough scheme ends, warn experts

  • The volume of redundancies is expected to rise when the furlough scheme ends in September
  • Over 60% of businesses are expecting litigation to remain at the same or increase this year[i]
  • “Employers need to be very mindful of how they manage the messaging and process of redundancy consultation”

As the UK approaches the end of the furlough scheme on 30 September, experts have warned of an increased risk of litigation, as the number of redundancies are expected to rise.

Renovo, a leading outplacement specialist, has called on businesses to be mindful of how they conduct the redundancy process and to provide support for those made redundant quickly, in order to decrease this risk.

The Government’s furlough scheme, which has supported approximately 11.5 million jobs from 1.3 million different employers across the course of the pandemic, is due to end on 30 September. [ii] On 31 January, 41% of employers had furloughed staff.[iii]

Experts have predicted that levels of employment-related litigation and redundancy claims will rise after September, when many employers will be forced to make cuts to staffing that they had previously held off on.

Analysis by insurance broker Gallagher found that 64% of organisations are expecting business litigation to either remain the same or increase in volume this year.[iv] More than half (56%) of businesses have already faced accusations or claims of unlawful behaviour.[v]

Renovo has warned the risk of litigation will rise alongside the length of time employees have spent on furlough.

Chris Parker, MD at Renovo, explained:

“Many employees who will be impacted by redundancies will have been on furlough for a long period of time and may already feel disconnected from the business.”

“More than ever, employers need to be very mindful of how they manage the messaging and process of redundancy consultation. It will also be very important to look at how they provide support to employees to move on positively post redundancy, and quickly.”

Parker advised:

“Clarity is key. Be direct and honest, be as clear as possible regarding the situation, the possible outcomes and likely next steps. There is a huge amount to consider, so it’s vital that employers allow time to plan the process.

“It’s also worth thinking about bringing in an external third party to operate as a sounding board and test assumptions and process before beginning.”

Renovo is the UK’s leading outplacement services specialist.

Vizibl Appoints Chief Marketing Officer to Drive Growth in 2021

Experienced marketing and procurement professional, Sarah Clarke, hired to accelerate Vizibl’s expansion plans

Vizibl, the leading SaaS platform for Supplier Collaboration & Innovation, today announced the appointment of Sarah Clarke as Chief Marketing Officer. Reporting to CEO, Mark Perera, Sarah will be responsible for overseeing the strategy, planning, and execution of Vizibl’s marketing initiatives in order to deliver on key business objectives.

Sarah comes armed with over 15 years’ experience in the marketing and procurement sectors. She previously served as Field Marketing Director for Northern Europe, Middle East, North Africa, and Asia Pacific at BravoSolution (acquired by Jaggaer in 2017). In this role, Sarah was responsible for establishing the strategic direction of marketing across these regions and target markets in close alignment with BravoSolution’s wider business strategy. Her work over her 12-year tenure was instrumental in growing the company from €10 million to €100million in annual revenue.

Before joining Vizibl, Sarah was Director for Global Marketing at TSA Solutions, based in Singapore.

Commenting on her appointment, Sarah says: “I’m extremely excited to join Vizibl. I believe it is ahead of its time in delivering a robust strategic Supplier Collaboration & Innovation solution, unrivalled in the market, which can address the business, societal, and economic challenges that procurement professionals are facing. I’m looking forward to working with the entire Vizibl team to continue delivering tangible business value to the procurement community.”

Mark Perera, CEO of Vizibl, adds: “I know from first-hand experience that Sarah is the perfect fit for Vizibl; I’m delighted that she has joined as our new CMO. With her extensive supply chain and procurement knowledge, I’m confident that Sarah – and the wider marketing team – will deliver exciting and innovative initiatives that will help the business achieve our ambitious growth targets.”

Who Made Your Shoes?

Workers may know where their shoes will take them, but do they know where they came from? As the world calls for greater supply chain transparency, it may matter more than ever before.

Supply chain transparency and ethical production are no longer marketing buzzwords but corporate commitments demanding the attention of businesses across a broad spectrum of industries. Consumers, non-governmental organisations, governments and other stakeholders are ramping up the pressure and the consequences of failing to share supply chain related information are mounting.

Tragedies such as the Rana Plaza disaster leading to the Bangladesh Accord, the 2018 Transition Accord and the RMG Sustainability Council, offer a grave reminder that businesses need to know where and how their corporate workwear is sourced, manufactured, transported and stored.

Workwear procurement forms part of a company’s Corporate Social Responsibility strategy as its suppliers’ ethical standards are increasingly considered as part of its own value system. Businesses should ensure that their workwear suppliers use procedures to minimise social and environmental impacts, factory workers are safe, and working conditions are fair and hygienic.

Global footwear manufacturer, HAIX®, made a corporate responsibility promise over seventy years ago focussed on ‘Made in Europe’ manufacturing, which encompasses fair working conditions, sustainable practices and modern testing facilities.

Simon Ash, UK Sales Manager at HAIX®, shares how the family business has stayed true to its promise since its founding in 1948.

What does the Made in Europe label mean?

The ‘Made in Europe’ label was created to demonstrate that a product was manufactured following European regulations, making products safer and less damaging to the environment. However, European regulations can be lax and repeatedly allow for loopholes. For example, if the upper and sole of a shoe are put together in an EU member state, the shoe is allowed to bear the ‘Made in Europe’ label – regardless of whether the two components were originally manufactured in Asia or Africa. HAIX® shoes, however, are 100 per cent manufactured in Europe and adhere to socially responsible guidelines. Looking for the label is one thing, but businesses still need to ask questions, for example, where different product parts are manufactured and put together.

Why would an organisation choose to manufacture every part of a shoe in Europe?

Although European manufacturing is frequently associated with higher costs, HAIX® chooses Europe because regulations protect worker rights and ensure a certain level of environmental and social consideration. For example, leather tanneries in certain parts of the world use toxic chemicals and dyes that place workers at risk of cancer, eczema, blindness and asthma and put the environment at risk of pollution should these harmful substances transfer to water waste. Leather is the most important material in our shoes, so HAIX® only uses certified suppliers that guarantee animal welfare and toxin-free processing.

How can a business ensure its suppliers meet sustainable practices?

Businesses can look for the relevant certificates, for example, HAIX® production sites have been awarded the ISO 14001 environmental certificate. This means HAIX uses high-quality materials to extend the service life of its footwear and save valuable resources through low-pollutant processing, short delivery routes and optimal use of energy such as solar systems and heat recovery.

How does HAIX® ensure its materials are high quality?

HAIX®’s production sites in Mainburg, Germany and Mala Subotica, Croatia are among the world’s most modern shoe production facilities. HAIX® shoes are put through their paces to ensure that they exceed the minimum standards as much as possible, including undergoing a series of over 100 material and quality assurance tests, replicating the day-to-day challenges of wearers, who spend most of their time on their feet. Every year over 300 million pairs of shoes are thrown away by the UK public[1], but using high-quality materials can extend the life of footwear and encourage prolonged use.

How does HAIX® safeguard fair working conditions?

HAIX® believes in equal opportunities, education, and respect. HAIX® offers its employees extensive training and further education programmes. All its production facilities exceed the legal requirements and are certified according to the EN ISO 9001 standard. Additionally, all facilities are socially audited according to the Business Social Compliance Initiative (BSCI), an industry-driven movement that aims to monitor and assess workplace standards across the global supply chain. This ensures workers are protected from common perils of the retail industry from extremely low wages to health problems and insecure work.

What does the future of workwear production look like?

Both suppliers and buyers will need to demonstrate ethical practices to ensure products are being manufactured in a responsible and sustainable way, that the workers involved are treated fairly and safely, and environmental and social impacts have been considered. It will be no longer be a ‘nice to have’ but a necessity as a businesses’ employees, customers and other stakeholders demand action against issues such as climate change, modern slavery and achieving a circular economy. The Made in Europe label may have loopholes, but those who live out its true meaning are and will continue to make a difference to our people and planet. When choosing your footwear, take it seriously, because when the reputation of your supply chain hangs in the balance, it won’t just be factory workers and the environment paying the price.

[1] https://www.dover.gov.uk/Recycling–Waste/Recycling/What-Happens-Next/Shoes/Shoe-Recycling.aspx#:~:text=Every%20year%20over%20300%20million,big%20difference%20to%20the%20environment.

 

Protect Line Appoints Pedro Coimbra Fernandes as Chief Financial Officer

Award-winning life insurance broker Protect Line welcome Pedro Coimbra Fernandes to their ever-growing organisation as Chief Financial Officer.

Protect Line have grown to 270 employees in 2021 and reported a turnover in excess of £20 million in 2020. The business is also gearing up to become directly authorised with the Financial Conduct Authority (FCA) later this year.

As CFO Pedro will work with Founder-Directors Jo and David Brewer to drive the company forwards and achieve the businesses strategic growth objectives.

Pedro has also held the position of CFO a number of organisations but is well known at AIG (American International Group) where he covered the UK, US, Latin America, Caribbean, Middle East and North Africa, Central and Eastern Europe at various points in his tenure. He has experience of working specifically in the protection market globally gives him a unique insight into the market.

Pedro joins Protect Line from Hiscox LTD, a Bermuda-incorporated insurance provider, listed on the London Stock Exchange where he was Interim Chief Financial Officer of London Market and Hiscox Syndicates Limited.

Pedro has an MSc in International Finance, BA (Honours) in Economics and has studied Executive Leadership at Darden Business School and Said Business School, Oxford University.

Co-Founder and Director David Brewer said; “We are delighted to announce this key appointment to our business. Pedro comes with a wealth of knowledge and experience which we know will be invaluable in achieving our strategic growth objectives. We are looking forward to working with Pedro and helping take Protect Line to the next level.”

Jo Brewer, Co-Founder and Director said; “Pedro joins us at an important point in our growth plan. His pedigree of experience is rare to find the Insurance space, let alone in the life insurance industry. We believe Pedro’s wealth of experience will help us build and refine our structure. His appointment gives us an opportunity to enhance our control of the business growth during this next phase.”

Pedro commented; “I’m delighted to have met David, Jo and some of the wider team already. After working for global PLC’s in leadership roles, I wanted a new challenge. I’m impressed with what Jo and David have achieved at Protect Line already. The foundations of the business give me a great platform to help them achieve their growth plans.”

About Protect Line

Protect Line is one of the UK’s fastest growing Life Insurance Brokers. Established in 2010, the business was the result of pure passion and entrepreneurial drive, underpinned with a core focus on doing the right thing first time, every time. They have protected over 200,000 families with life insurance and protection products.

Their founders have a clear mission which is to protect as many UK families as possible, preventing financial hardship for loved ones left behind. They pride themselves on transparency and simplicity. Clients are provided with honest and impartial information as part of the fee-free service.

Their specialists are based in Bournemouth and London. https://protectline.co.uk