The start ofa new eraINDIACould yourbusiness benefitfrom looking east?PHARMACEUTICALSOur region leads the way ininnovationHULL ANDEAST RIDING A great location in whichto work MAY 2012£3.50YORKSHIRE & LINCOLNSHIRE’S LEADING BUSINESS MAGAZINEwww.blmgroup.co.ukVOLUME 27ISSUE 05The start ofa new era01:Layout 1 27/4/12 15:11 Page 102:Layout 1 26/4/12 15:12 Page 114ContentsMay 2012On the coverPhotograph courtesy ofSaltend Chemicals Park www.blmforum.net4218284446Features7St John AmbulanceA defibrillator in your workplace could be thedifference between a life lost and a life saved14Commercial Property / RelocationWhen times are tough, your office probably feelsjust big enough, but expansion can mean a rapidintake of staff or the need for a location elsewhereto cover more ground18Hull and East RidingHull and the East Riding is a place brimming withbusiness potential - the renewables industry will seethe area becoming synonymous with success, andits a location for leisure and the arts too• Saltend Chemicals Park• Total Training Solutions GB25Chamber Expo 2012For the sixteenth successive year, Chamber Expo2012 returns to Hull. The largest business event inthe region takes place at the Bonus Arena, onTuesday 12th and Wednesday 13th June26REYTAThe third Remarkable East Yorkshire TourismAwards, held at the Country Park Inn in Hessle,illustrated again the very best in local hospitality27Picture Your Venue28Business BankingBig changes are afoot for British banks – withpotentially huge advantages for SMEs30IndiaIndia is one of the fastest growing Countries, thegovernment is urging companies to export to.Business Link finds out why32PharmaceuticalsLed by innovation and collaboration, thepharmaceuticals industry can be one of the mostlucrative to be involved with.34Cat Tech InternationalA leading Scunthorpe-based specialist industrialservices group that supports the global oil andchemical industries has been acquired in amanagement buy-out43Printing and PackagingHow can businesses ensure extra security withoutexcessive packaging?46Warehousing and DistributionYorkshire and Lincolnshire continue to invest inwarehousing and distribution, despite the rest ofthe country stallingEnvironmentalBusiness Link Environmental is your ultimate guide tothe rapidly expanding world of green business.38Environmental newsThe latest news from this fast-moving sector40Green Logistics and TransportYorkshire and Lincolnshire is certainly well-placed tobenefit from the increased interest in renewableenergy – but it’s reliant on an effective supply chain42Carbon FootprintSoaring energy bills and new regulations require amore mature look at the size of businesses’ carbonfootprintsRegulars4From the Editor5News8TaxationSalary and dividends – a tax efficient remunerationstrategy by Erica Manderfield, Tax Manager, StreetsChartered Accountants44AutoLinkThree convertibles that are not exactly conservative, orcheap, but are the crème de la crème of theconvertible market – in our eyes anyway!58EventsWe take a look at business events happening aroundYorkshire and Lincolnshire60Classified61Appointments62And finally…03:Layout 1 27/4/12 15:12 Page 1So according to the latest figures we’re back in recession – butthere’s something of a resigned feeling about the announcement.Certainly it would have been hard to imagine many people jumping upand down with excitement had we avoided dipping back into the red,given any signs of growth would doubtless have been virtually invisibleto the naked eye. At the very least, these latest figures do at least stopthe government from crowing over a “recovery” that would doubtlesshave been little other than a positive spin on some fairly unimpressivefigures.The news that this is now the weakest recovery for over a century heaps further bad newson the government, especially as their apparent economic prowess was a major draw forvoters in the first place. Indeed, given that a former PR man is in charge, the number ofgaffes and miscalculations from the government in recent months has been astonishing –and it’s no wonder recent polls have highlighted the impression of the cabinet as an out-of-touch gang who have got to the top thanks to public school and privilege.The recent chaos over the potential fuel tanker drivers’ strike sums it all up – with thepublic flocking to panic buy petrol thanks to some “helpful” advice from the governmentwho appeared to forget the whole nation doesn’t have several acres in which they can storejerry cans. Perhaps most surprising about the whole event was the government officiallysuggesting we all grabbed as much petrol as we can – and this from a supposedly greengovernment! Given the regular attempts by those in power to show off their environmentallyfriendly credentials – such as Cameron’s notorious cycle journeys to work – how come theofficial line wasn’t to make only essential journeys? It seems “every man for himself” is thetheory now.Away from Whitehall, though, Yorkshire and Lincolnshire are quietly getting on withworking together and trying to solve problems, and in this issue we have numerousexamples of that. Our special feature on Hull and the East Riding illustrates how the city islooking towards Europe – and certainly, having attended the first events of the Humber LEP,we can confirm there’s an air of practicality and pride in the air that should help the regionto new heights. Those attending the Chamber Expo this month should see thatdemonstrated in spades.Good reading as always,W S FisherEditorEditorSteve Fisher (s.fisher@blmgroup.co.uk)JournalistsSteve Williams (s.williams@blmgroup.co.uk)Mike Shields (m.shields@blmgroup.co.uk)Elis Ballard (e.ballard@blmgroup.co.uk)Michael Fisher (m.fisher@blmgroup.co.uk)Editorial contactnewsdesk@blmgroup.co.ukTel: (01472) 310305 Fax: (01472) 310317Sales DirectorTeri Cooper (t.cooper@blmgroup.co.uk)AdvertisingTel: (01472) 310310Kim Collins (k.collins@blmgroup.co.uk)Hannah Hogarth (h.hogarth@blmgroup.co.uk)Accounts & SubscriptionsAngela Sharman Dawn CookTel: (01472) 310301 Fax: (01472) 310311Design & ProductionGary JorgensenMark CassonRachel GreenTel: (01472) 310304 Fax: (01472) 310314(studio@blmgroup.co.uk)E-Mail:yorks-lincs@blmgroup.co.ukWebsitewww.blmforum.netAddressHaychart Ltd,Armstrong House, Armstrong Street, Grimsby,N.E. Lincs., DN31 2QE.ISSN No:1462-2092All rights reserved. No part of this publication may bereproduced, transmitted, photocopied, recorded or otherwisewithout express permission of the copyright holder, for whichapplication should be addressed first to the publisher. Whileevery reasonable care is taken, neither the publisher nor itsparticipating agents accept liability for loss or damage toprints, colour transparencies, negatives or other material ofwhatever nature submitted to this publication. The viewsexpressed in this publication are not necessarily the views ofthose held by the publisher.This magazine is now fully recyclable. By recyclingmagazines, you can help reduce waste and add to the 5.5million tonnes of paper already recycled by the UK paperindustry each year. Before you recycle your magazine,please ensure you remove all plastic wrapping, free giftsand samples. If you are unable to participate in a recyclingscheme, then why not pass your magazine onto a localhospital or charity?From theEDITORThe magazine that caresWE CARE because we want to leave our world a better place than wefound itBusiness Link believes that being socially and environmentally responsible is the key tomaintaining a flourishing business that our customers will be pleased to use and our staffwill be proud to be part of.Community-From a very local point of view, we strive to be a ‘good neighbour’. We alsoextend that into the much broader local community, through financial support of local causesand charities. Environment-Our actions extend to: conservation of energy and natural resources,minimisation of waste and ensuring our trading partners do likewise.04:Layout 1 27/4/12 14:42 Page 1Double celebrations for LincolnenterpriseThe team at theLincolnshire & RutlandEducation BusinessPartnership has plentyto smile about afterpicking up twoprestigious awards.Excellent systemsand practices haveresulted in theorganisation achievingthe Investors in PeopleBronze level Standard, and the EBP has also been honoured with the Jobcentre Plus’Two Ticks mark, for its positive approach to disabled people in the workplace.The IIP Standard, which is reviewed every three years, recognises that a business ororganisation has a long-term strategic plan for improving its performance and that this isclearly understood and adopted by every employee.EBP HR Officer Kerry Pestel says, “In order to achieve the Bronze Level Standard, we had tomeet a wider range of criteria than the Standard. We had to meet an additional 26 evidencerequirements, on top of the standard 39. In total, we actually achieved seventy. Ourcommitment to the ongoing development and needs of our staff are recognised in this award.”Non-domestic Solar PV now apermitted developmentLeeds Solar have welcomed UK planning regulations change, made at the start of April whichmeans Solar PV installations are now generally classed as permitted development for mostcommercial and industrial premises. They are also permitted in domestic situations, so planningpermission may well no longer be needed.When combined with the G83/1 regulations, this allows micro-generation systems of up to16amps per phase to be connected to the grid without any advance permission being required.This means that up to 11kW solar PV systems can now be installed at commercial/industrial siteswith 3 phase electricity supplies without needing any form of advance permission to be granted.This simplifies the situation for commercial industrial solar PV installation, and should lead to asignificant increase in Leeds Solar’s commercial solar PV installations in the region this summer.www.blmforum.net5newsyouryourBradford businessman goes theextra milePaul Cribb has raised£900,000 for charity aftercompleting fifteen marathons ineighteen days in the UK,Australia and New Zealand.This is an amazing feat initself, but when Paul wasaffected during training byplantar fasciitis, a common footcondition, he thought he wouldnot be able to take part in the marathons he had been planning all year. Thanks to a series oftreatments at Spire Leeds Hospital he was able to run without pain and achieve hisfundraising goal to benefit Christians Against Poverty.Paul ran with Martin Cowles and John Kirkby, founder of CAP. Paul says, “Before thetreatment I had reached the stage where I couldn’t run at all. I was in a lot of pain and it wasaffecting my training. I was given steroid injections to get me through training and anotherbefore the event. The effect was amazing and it brought the fast results that I needed tosurvive the challenge.”New buzz inLincolnA US-based internet company is reportingsignificant growth in business following the launch ofits UK office in Lincoln. WebHostingBuzz, a webhosting company which boasts an annual growth rateof over 33%, has seen its UK business grow by astaggering 50% since opening its Lincolnoffice.The company now hosts over300,000 websites from around theworld at its data farms in NewYork, Atlanta, Phoenix andAmsterdam. This recession-defying growth has been in bothbusiness and personal websites,and has led to WebHostingBuzzlooking to expand its data farmsin the East Midlands area.Matt Russell, ManagingDirector of WebHostingBuzz,says, “We were alwaysconfident that our excellentcustomer service and technicalknow-how would put us in astrong position to win newbusiness, and I was sure Lincolnwould prove to be a great location tobase our UK operations. Having apresence in a city with a growing reputationfor entrepreneurial vision and expansion has played abig part in our success.”Stamford’sCorn ExchangeTheatre Companyhas been namedSmall Employer of theYear in a region-widecompetition organised bythe Lincolnshire & RutlandEmployment and SkillsBoard. The theatre iscommitted to developingskills in education and thearts, works with scores ofvolunteers and hascreated opportunitiesfor twoapprentices.05-07:Layout 1 26/4/12 15:15 Page 1newsyouryourFunding boosts development of newsuper-tough material XeraCarb, a spin-off from Sheffield HallamUniversity, has devised a new ceramiccomposite material that is lightweight butsuper-tough. Resulting from advanced materialsresearch at the University’s Materials andEngineering Research Institute, XeraCarb islooking at the commercial opportunities ofits composite ceramic, which combines thebest properties of a number of ceramicsystems including silicon carbide, siliconnitride and alumina.To support the development of thecompany, XeraCarb received an investmentfrom Finance Yorkshire’s Seedcorn Fund, together with funding from the Worshipful Company ofArmourers and Brasiers. XeraCarb will use the finance to continue product development, explore differentuses of the material and set-up the right management team to take it forward.Ashwin Kumaraswamy of Finance Yorkshire says, “A real bonus is that the team are confident that partscan be made using a low-cost and highly flexible manufacturing technique. We see XeraCarb as an excitingnew start-up business which has huge potential for growth.”Businessesacross Sheffieldare being given thesupport they need to growtheir exports. The newSheffield Export SupportProgramme, created by theSheffield Chamber of Commerce, isworking with more than twenty SMEsfrom the region to increase their salesaround the world. Utilising funding leftover from Business Link South Yorkshirereserves to start it off, the programmebrings together business advisors atSheffield Enterprise Agency with staff atSouth Yorkshire International TradeCentre. The advisor team has beentasked with identifying potentialexport opportunities and toadvise companies accordingly,working with SYITC todeliver the relevanttechnical supportneeded.6www.blmforum.net05-07:Layout 1 26/4/12 15:15 Page 2www.blmforum.net7newsyouryourKier on winning streakKier Sheffield iscelebrating after winning atrio of prestigious industryawards. The awardsrecognise Kier’scommitment to health andsafety, customer serviceand training, as well as thesupport the companyprovides to local residentsthrough apprenticeshipschemes and community events.The company’s dedication to being a good neighbour was recognised atthe Considerate Constructors Scheme National Site Awards, where it wasrecognised with a Silver and Bronze award. Paul Hodge, Site Manager atKier, is pictured with Nick Baveystock, Director General of the Institution ofCivil Engineers.Kier also won a Gold award in the prestigious RoSPA OccupationalHealth and Safety Awards for the seventh year running. As a successfulpartnership between Kier and Sheffield City Council, Kier Sheffield has alsobeen presented with a distinction from the British Safety Councilrecognising their commitment to health and safety while carrying outrepairs and maintenance services to more than 42,000 council properties.ST JOHN AMBULANCEEvery secondcountsA defibrillator in your workplace couldbe the difference between a life lostand a life saved10:05:54– Your colleague complains of feeling unwell andshort of breath.10:16:21– Suddenly, he collapses on the floor.10:16:29– You run over, call his name and gently turn himover.10:17:37– Your trained first aider arrives and asks you to call anambulance while she delivers CPR.10:18:42– The emergency services operator asks whetherthere is a defibrillator in your workplace as the ambulance ismore than four minutes away. There isn’t.10:22:07– Despite your first aider delivering CPR for morethan four minutes, without defibrillation, your colleague’schance of survival has plummeted by 50% by the time theparamedics arrive.FACT:With 13% of all workplace casualties being cardiac arrestvictims, according to British Heart Foundation statistics, thesurvival rate increases by more than 50% if a defibrillator isused within the first four minutes.Using a defibrillator is really simple -* It automatically diagnoses and treats cardiac arrhythmias* There are clear instructions with voice prompts* It is a reliable and technologically advanced portable device.Defibrillators are easyto use and could bethe best investmentyou make. St JohnAmbulance can giveyou a free on-sitepracticaldemonstration, costeffective training anddefibrillator packagesand guidance andsupport. Call0844 770 4800 formore information andto arrange a freedemonstration onyour companypremises.05-07:Layout 1 26/4/12 15:15 Page 38www.blmforum.netTAXATIONYou can now read Business Linkon thego!Digital Editions now available on iPad & iPhoneWWW.BLMFORUM.NETIdeal for those who spendtime away fromtheir officeSalary and dividends –a tax efficientremuneration strategyby Erica Manderfield, Tax Manager,Streets Chartered AccountantsIt’s increasingly common,particularly in owner-managedcompanies, fordirector/shareholders to takeremuneration by way of a modestsalary, topped up by dividends.This helps minimise the overall taxposition on the remuneration paidwhile optimising rewards for thedirectors’ endeavours. As long asthe correct paperwork is prepared,the payment of dividends in thisway is perfectly acceptable.For some, the approach may be relatively new, having onlyrecently become ‘limited’. For others it may have become thenorm for many years. Yet there is a risk with businessesshowing a decline in profitability the dividend payments maynow fall foul of the Companies Act. While there may be cash inthe business to make the dividend payments, the profit andloss account may show insufficient levels of profit, ordistributable reserves, for payments to be made. There’s a presumption dividends may be paid out of anycash that happens to be in the bank at the time – but it’s not assimple as that. The basic principles are to be found in theCompanies Act. In general, a private company can distributethe whole of its accumulated realised profits less itsaccumulated realised losses. As well as the statutory matters,account must also be taken of any provisions in the company’sMemorandum or Articles restricting dividends.It is a fundamental rule of law dividends may not be paid out ofcapital. For example, a dividend based on accounts which showavailable profits would be ultra vires if made after subsequentlosses eliminated those profits. Directors who make an unlawfuldividend may be held personally liable to account for it.Hence, before declaring a dividend the directors must becertain sufficient distributable reserves are available, taking intoaccount any corporation tax on profits earned since the lastannual accounts. This may necessitate reliable managementaccounts being prepared using the same accounting policies asthe annual accounts to give a true and fair view of profits,losses, assets and liabilities, share capital and reserves. It would be worth considering a dividend payment as part ofyour remuneration strategy. Certainly, the start of the financialyear may be a good time.Erica Manderfield is a Tax Manager, with Streets CharteredAccountants, a top 40 UK accountancy firm. Telephone0845 880 0320, email info@streetsweb.co.uk or visitwww.streetsweb.co.uk 08:Layout 1 26/4/12 15:17 Page 109:Layout 1 26/4/12 15:17 Page 1Next >