The Budget 2012

Ahead of last week’s budget, a survey carried out by the London Chamber of Commerce & Industry’s newsletter “Policy Voice” gave a strong steer on what members did and did not want to see in the Budget:

·  73% of members felt that freezing petrol duty should be a high priority for the Government.

·  65% were opposed in principle to the removal of higher-rate tax relief on pension contributions.

·  91% felt that the Government could do more to encourage business growth.

 

Jeremy Frost, MD of Frost Group Limited commented on the Chancellor’s statement as follows:

 

  1. I can see how the Chancellor is striving to encourage smaller business owners to make higher profits.  Not so sure that this will necessarily result in increased employment!

 

  1. There are too many barriers to starting up a business and employing staff.  Whilst these remain, the risk reward profile will not be conducive to wide ranging growth.

 

  1. Why should those who have risked all to generate wealth be expected to do anything else other than seek to minimise the costs of doing business (including the amount of tax that is paid by them and their trading vehicles!)?

 

  1. When discussing the “granny tax” this week I was reminded that the older portion of the population have been funded by the young since the 1940′s.  When you hear the well-meaning expounding the view that those that have paid into the system should at least receive a benefit I am reminded that the road to hell is paved with good intentions.  The amounts paid were spent for the benefit of others as soon as they were paid in!   Sooner or later those being asked to fund both their own position and the benefits of others will cry foul.  And what do we do then; allow the old to starve?   Discuss!

 

Patrick Wadsted wrote as follows:

 

For just under an hour George Osborne, the Chancellor of the Exchequer, spoke to the House of Commons to present his budget for 2012.

 

It wasn’t a great budget but then he only had a limited room for manoeuvre given the fiscal cess pit that the previous administration had left the country’s finances in. Given that he was studiously trying to stick to his deficit reduction plan any serious deviation from that would have shaken the confidence of the financial markets.

 

So what did we get? I’ll stick to the more interesting bits.

 

VAT on hot takeaway sausage rolls (Get cold ones and use a microwave)

Corporation tax down to 22% from 2014/2015 (Got to make a profit for that!)

Stamp duty up to 7% on the purchase of properties worth over £2 million (I wish!)

Stamp duty up to 15% on the purchase of properties through overseas registered companies (Sounds complicated)

CGT introduced on residential property held through “overseas envelopes” (They must be big envelopes!)

From 2014 we will get a personal tax statement showing how the income tax and NI we have paid gets spent (Wow!)

From 2013/2014 my adjusted tax free allowance will go up by £42.50 (Champagne all round!)

No change in alcohol duty until the publishing of a detailed alcohol strategy (That’ll be an increase then)

 

 

He should be commended for increasing the threshold for income tax to £8105 with the aim of getting to £10,000 to take the (very) low paid out of tax all together during the life of this parliament but not for his freezing of age related allowances for pensioners. However he must try somehow to get his debits to equal his credits which they don’t by £96 billion!

 

All in all nothing to get excited about.

 

IMPORTANT NEWS FOR SMALL BUSINESSES

& THEIR ADVISORS

March 2012

 

Federation of Small Businesses

You will be aware that Business Link ceased to exist in November 2011. It was only after their demise that we found out just how valuable the service really was as thousands of small businesses complained. The Government replaced the service with a website. No more one to one contact gone!

Or has it?

 

Britain’s best kept secret is the new ICAEW Business Advice Service (BAS)launched to play a vital role in the business support landscape, offering free advice to SME’s in thousands of locations across the UK.

 

BAS is designed to boost the prospects for a private sector-driven recovery by offering a helping hand to SME’ and start-ups across the country. The Business Advice Service….is excellent said the Rt. Hon. Vince Cable MP, Secretary of State for Business, Innovation and Skills

How does it work?

You are invited to find out free of charge on Monday 26th March over a sit down dinner and a free bar at The Croydon Park Hotel, 7 Altyre Road, Croydon CR9 5AA, 6-15pm for 6-45pm start.

This is a free to attend event that will also lend to superb networking opportunities but registration is essential for catering purposes.

Please book here.

For more information on Frost Group Limited and our services

 

 

Call 0845 260 0101

 

Alternatively please e-mail us at info@frostbr.co.uk

Frost Group Insolvency Practitioners

 

 

 

Jeremy Frost – Thoughts on ‘Managing Business Risk’ presentations

To be munching my way through a bacon sandwich along with so many others, in the full glare of a beautiful late autumn morning it was quite difficult to get my head around what could possibly go wrong with the world.  This was particularly so as the risks usually associated with the Addington Palace tend to revolve around the arrival time of the bride and whether that will allow all the photographs required to be taken before it gets dark and the wedding breakfast to be eaten before it goes cold.

 

As regards the contents of the IOD “Managing Business Risk” breakfast presentations, I think that it was good that I’d already finished my breakfast before the presentations started!  But more seriously;  the possibilities of things going wrong with your business and the payment of insurance to protect yourself is something that most of us know we should deal with, but too many of us switch off when the subject of insurance is mentioned.

 

It is a credit to our presenters that despite the dry nature of the topic, the delegates all felt better informed and entertained by the end of the morning, although it is difficult to be anything other than anxious when you consider the problems our economy faces at the moment.

 

This was a very well attended and good event, both in terms of content and location and well worth the early start.  Now where did I put that insurance renewal form?!

 

CAB Releases Report on Best Debt Collection Practises

Citizens Advice has released a report on best practice in debt collection in collaboration with banks, utility forms, debt collectors, government agencies, bailiffs, creditors & debt charities.

The report uses examples of good practice to demonstrate how people can be helped to overcome debt problems.

Gillian Guy, the charities Chief Executive, said” This report outlines some clear steps creditors and advice providers can take that will benefit everyone concerned, not just those in debt”.

Ms Guy also called for consumers to work with charities and creditors to ensure that the recommendations work.

A copy of the CAB’s report can be found on the CAB’ website at:  http://www.citizensadvice.org.uk/index/policy/policy_publications/er_credit_debt/how_to_do_the_right_thing.htm

 

SMES Failing at Credit Checks

A lack of awareness amongst the UK’s SMEs has been revealed by new research from Experian, the credit reference agency and reported by British SME magazine.

A survey of nearly 700 UK small businesses found that 71% of them did not check their customers’ credit status, exposing them to a greater risk of being paid late or not being paid at all.

The survey also revealed that 39% of small businesses did not know what a credit score was, while 61% have never checked their own score. Businesses that do not check their scores are unlikely to be aware of any issues until they lose out on a contract with a potential new customer, are refused materials from a new supplier or are turned down for finance.

Credit scores provide an assessment of a business’s financial health, with a low score implying that a business is more likely to fail. According to Experian, many low scores can stem from a lack of detailed data about the business or a failure to file complete or accurate information, rather than underlying financial insecurity.

Frost Risk Services’ online business information can help reduce business risks and to gain that critical advantage over your competitors. Online credit searches and solvency reports on all UK and Irish companies are available 24 hours a day. This service can then be further augmented, should you require, by a solvency assessment written by a licensed Insolvency Practitioner. Visit our website at www.frostriskservices.com

 

We Mean Business 2011

 

Frost Group are exhibiting at the We Mean Business show on Thursday 3rd November 2011

(10am – 4.30pm)

Fairfield Halls, Croydon

Come and meet us at Stand 23.


Invitation to Event for Accountants

Do you know enough about NEST compulsory pensions?

With so many myths around employment law, are you sure of the facts?

Are you clear what options you can offer to financially struggling clients?

Does your website appear where you want it to in an online search?

——————

Attend this FREE WORKSHOP
specially designed for accountants and their associates

hosted by
Vivian Slattery, Monetary Solutions
with guest speakers
Helen Colechin of The HR Dept, Simon Cripps of Acvita & Jeremy Frost of Frost Group

Date: Wednesday 9th November 2011 Time: 8.30am – 11.00am
Venue: The Jurys Inn Hotel, Wellesley Road, Croydon CR0 9XY

——————

At this workshop, four local experts will share what you need to know to stay one step ahead of your competitors. Attendance will help your clients to survive and bring ongoing revenue into your practice. Can you afford to miss it?

• If a client asked you to explain the NEST compulsory pension guidelines, could you give an accurate answer?
• NEST doesn’t just give companies a financial burden; it also adds an administration burden. Are your clients ready for it? And, more to the point, are you?
• “Three strikes and you‘re out”, “You can’t sack a pregnant employee.” Do you know the employment law facts around these and other common myths?
• Accountants are often the first to hear when staff issues affect your clients’ productivity. Here is your chance to increase your knowledge of employment law and find out how your clients can access free advice.
• Many companies are currently struggling financially. Do you understand some of the more up-to-date options available to your clients in this situation? For example, the Insolvency and Enterprise Act can be used to save companies in these trying times. Come along and learn how.
• Most people search online to find local accountants. Does your website show up on page 1?
• Do you know all the tools that are available to aid you in marketing your practice online?

Come and join us for a light breakfast, where we will
demystify these complex areas for you

You will also receive a certificate for CPD

——————

NEST Workshop:
What you need to know in order to advise your clients better


NEST is an important milestone in the history of UK pensions, because it is the first time they will be compulsory. Like most things, an early and full understanding can be beneficial over the longer term, so this is a workshop you cannot afford to miss.

Vivian Slattery – Monetary Solutions
Vivian has been in the financial services industry since the late ‘80s and has run her own company since 2002. She will explain:
• What is NEST
• What this means for UK employers
• How you can increase your service proposition by working closely with a female IFA

——————

Employment Law Workshop:
“Three strikes and you’re out” and other employment myths exposed


Employing people is often described as a minefield and many myths have grown over the years. The HR Dept provides simple and effective solutions to help you successfully navigate your way through employment issues. This workshop exposes some of the most frequently heard myths and provides a practical update on current legislative changes.

Helen Colechin – The HR Dept
Helen has had a successful career in Operations Management and as an HR Practitioner with a range of experience across the private, public and not-for-profit sectors. During the session, you will learn:
• Common misunderstandings and concerns about employing people
• Current legislative changes relating to employment law and their practical application

——————

Online Marketing Workshop:
Helping your website up the search engines


In this workshop, you will discover the basic principles and strategy of getting found on search engines and some of the useful tools that are available to monitor and improve your ranking. You will also learn the benefits of social media and why it has become key to your marketing strategy.

Simon Cripps – Acvita
After being an IT team leader and project manager for 12 years at the Royal Bank of Scotland, Simon set up his own company specialising in online marketing solutions. He will explain:
• What online marketing is
• A search engine’s view of your business
• Getting noticed for free

——————

Insolvency Workshop:
Helping you to advise your clients through tough times


Whether a business or an individual gets into financial difficulties, there is always something that can be done – no matter how great the debt or how heavy the burden seems. Jeremy is a licensed Insolvency Practitioner who will suggest some of the solutions for the best possible outcome.

Jeremy Frost – Frost Group Limited
Jeremy began his insolvency career at KPMG and qualified as a licensed Insolvency Practitioner in 1997. In this session, you will learn about:
• Members’ Voluntary Liquidations & ESC C16
• When is a Company Voluntary Arrangement not a Company Voluntary Arrangement?

——————

If you’d like to attend, please leave a comment reply including your email address to be sent more details

Frost South Coast in the Media

Last week it seems that it was all going on with the Christchurch office in the media.

 

Dorothy Brown was in the Dolphin Centre in Poole and was being interviewed by Bay Radio, discussing what individuals and Companies should do if they had financial difficulties.  This is part of a number of events Frost Group are holding with Bay Radio to talk about Insolvency.

 

Emma Swaffer herself was not directly in the press, but her niece is requiring an operation which can only be done in USA and the fund raising to send her to the States is being heavily publicised in the local press.

 

Finally, we have Liz Coveney.  Liz has recently had a pioneering knee operation, which has been covered on local TV and radio and in the National and International press – rumour has it that her notoriety has already reached as far as Vietnam and the UAE.  We are very impressed with her interview technique and her ability to use the Cross Trainer in public.  Her change of outfits also impresses.  Look out for her potentially in the Mail on Sunday.

 

Taking & Passing Exams, by Harjeet Kalsi

Further to her successfully taking the ICAEW Certificate in Insolvency exam, Harjeet Kalsi, an insolvency administrator in Frost Group’s Croydon office, shares her experience with us ……..

 

I commenced the ICAEW Certificate in Insolvency course on 10th February 2011 and the course lasted for 6 months. The content comprised Administrations, Liquidations, Insolvency Accounts and Personal Insolvency. I used all the class notes and did lots of exam questions as the basis of my revision. I got help from my colleagues at work when I was stuck on certain areas, especially the number questions.

The Exam was finally set for 5 September 2011 at 9.00am and was to last 2.5 hours. It consisted of 80 multiple choice questions and covered all areas of insolvency, such as legal, personal, corporate etc. I was quite nervous beforehand, which was only natural, but I felt confident that I had covered all the key areas that would be included.

In the exam room we were all provided with whiteboards to do our workings on, as well as ICAEW accredited calculators. We were all set up on computers and within 2 clicks we were ready to go. We could leave the exam room once we had completed all the questions and the examiner told us that we’d be able to view our results online the following morning.

I really enjoyed studying for the ICAEW Certificate as it provided the flexibility of when I could take the exam and I felt less pressured than those students who were sitting the CPI exam where there is only one sitting each year. It was great because I could study around my work hours and at weekends. The tutors were really helpful and I worked with a great bunch of students, to whom I became quite close during the study period and a number of us still keep in touch.

I would definitely recommend the ICAEW Certificate in Insolvency exam as it was a different experience from doing a normal written exam. It was extremely flexible and you could book the assessment whenever you were ready to sit it. The assessment can also be taken up to 4 times, just in case you don’t make it the first time, like I did!

 

Harjeet Kalsi

 

Insolvency Administrator

Frost Group Limited