In the last six months Old Mill has relocated its Shepton Mallet office to Wells and its Yeovil office to a larger property in the centre of town after outgrowing both buildings and is now taking on an extra floor at its Exeter office.

Old Mill currently has the 3,000sqft ground floor of Leeward House in the Exeter Business Park, but is now to take on the second floor too, doubling the space available.

“The upstairs was being used as an administrative HQ for a firm of estate agents, who have now relocated, which has given us the opportunity to take over the whole building,” said Mark Neath, Head of Old Mill Exeter.

“When we moved here in April 2011, there were only 20 of us, now there are 30, which just shows quickly we are growing and how much we need the extra space.”

Thanks to taking on the extra floor, Old Mill now has the room to continue to grow and expand and create more jobs for local people. 

“This move gives us the capacity to grow by another 20 or so people over the next seven years. There will be at least three new jobs created this year which is a 10 per cent growth in headcount,” said Mark

The extra space has other benefits too –staff have a nicer environment to work in while clients will see improved meeting spaces and more visitor parking.

Old Mill is clearly doing something right; despite the economic woes of the past few years, Old Mill has thrived, continuing to expand throughout the region, opening new offices in  Melksham and Dorchester in 2010 and 2011 and now outgrowing their Yeovil, Shepton Mallet and Exeter offices.

“I don’t think you can say there is one particular ‘secret to our success’ over the past few years,” says Mark, “but our integrated service offering to owner-managers, bringing together advisory and compliance with tax and financial planning is a strong proposition to our clients; and we have a great team here, committed to giving a great service. 

“Of course, we have also benefited from the strong growth of Exeter as a market and there is no doubt that this is clearly a great place to do business.” 

Hosted at The Hilton, on Walcot Street next Thursday (May 2) by accountancy firm Old Mill, BLB Solicitors and HSBC, ‘Going for Growth’ will include a keynote speech from local entrepreneur William Heath and talks from Tim Lerwill, Director at Old Mill, Frank Scott-Ashe, Partner at BLB Solicitors and HSBC’s Commercial Manager Rob Matson.

William, who is chair of the Open Rights Group and Fellow of the Young Foundation, lives with his family in Bath, where he is currently restoring a farm. He will speak on the secrets to the success of the companies he has co-founded, which include market analysis firms Kable Ltd and Ctrl-Shift Ltd and Community Interest Company Mydex, which seeks to help individuals restore control over their own personal data.

Tim will paint a robust picture of how your accountant should be helping you grow your business with a talk focused on business and personal strategic planning, while Rob will be looking at the essential issue of securing funding to support business growth, explaining how best to ensure you can succeed in gaining funding from the banks and also looking at some of the other funding programmes and government schemes that are currently available.

Frank will look at investing for growth from legal perspective, discussing using debt and shares in a private limited company to raise finance and grow the business. His talk will focus in particular on the legal documentation typically involved, different classes of shares commonly used, shareholders agreements, loan security and personal guarantees.

The event starts at 5pm, and there will be time for questions before the evening concludes at 8pm.

Book your place here: http://www.oldmillgroup.co.uk/pages/events/view/going-for-growth/

The new carbon friendly building, which is being funded through the Old Mill Partners’ pension scheme, has 9,000 square feet of office space on the first floor for up to 100 staff while the ground floor has a reception, board room, conference rooms and around 7,000 square feet of office space to let to other businesses.

Old Mill is one of the West Country’s fastest growing accountancy firms. Originally based in Shepton Mallet and Yeovil, over the past six years it has opened three new offices in Exeter, Melksham and Dorchester and more than doubled in size, now employing more than 250 people. The Yeovil office relocated in November 2012, while a new office for Shepton Mallet has been on the cards for many years, as Old Mill’s Head of Finance and Operations Mike Butler, who has overseen the development, explains:

“We started to outgrow the Shepton office, which was formerly a 19th century mill, around six years ago and started to look for a new office in the town. We wanted an open plan design and plenty of room for expansion but after years of searching, we couldn’t find anything suitable, so decided to embark on a project to build something that would fit our needs.

“We chose to build at Cathedral Park because once completed, it will be one of the key business destinations in the region. It is also set in a wonderful rural location, has great access and parking and utilises green and sustainable building solutions, which was important to us.

Mike says although Old Mill is very sad to be leaving Shepton after more than 80 years in the town, the move brings with it lots of new opportunities: “Shepton has been at the very heart of our business ever since it was founded in the 1930s and we will be retaining strong links in the town, but by moving just four miles to the new site, we are able to develop something that is just right for our firm’s current needs.”

Our client service is at the heart of everything we do

Old Mill is not only looking forward to the positive impact the new office is going to have on staff, but also, the benefits to clients, as Bruce Lockhart, Head of the Wells office explains:

“As proactive accountants, tax specialists and financial planners for more than 5,000 private clients and owner managed businesses, Old Mill provides more than just an accounting service. We offer an integrated service, looking at the financial security and long term aspirations of our clients, their businesses and their families.

Because service is at the heart of everything we do, providing staff with the right working environment is vitally important, and in this respect, the new Wells office is such a massive step forward for us.

The open plan layout will allow us to seat teams in a manner that will encourage our accountants, tax planners, financial planners and pension specialists to work in a completely integrated way. This will enable us to deliver even better service levels to our clients through creative and innovative thinking generated naturally by the way in which we operate on a day to day basis. Enhanced technology will also allow us to work more efficiently and collaboratively to help us deliver services that we hope will continue to exceed our clients’ expectations.”

A big thank you

Old Mill is proud of its West Country roots and is pleased to have been able to work with a number of established local firms on the project. Peter White, Director of Charter Land who has project managed the new build office. Tim Wadsworth, Managing Director of commercial property consultants Space, who also managed the relocation of the Yeovil office, has played an integral role, assisting with property strategy, negotiations, coordination of the fit out works and managed the physical move. Other local firms that have been vital to the success of the project include Yeovil construction firm Mike Lock Construction Ltd, Wells based solicitors Chubb Bullied and Yeovil architects Boon Brown.

Old Mill look forward to welcoming any equally progressive businesses who may be interested in joining us as tenants at Bishopbrook House, helping to develop Cathedral Park into one of the most dynamic hubs for professional excellence in the region.

For more information please contact Alan Stone on 01749 335007.

Tim Lerwill, Director of Corporate Services, and Victoria Studley, Director of Tax Planning at Old Mill provided the lead advice to three couples on their acquisition of The Wiltshire Hotel Golf and Country Club, a 200 acre property about two miles from Royal Wootton Bassett. The property was marketed off a guide price of £3.5million.

Comprising of a 58 room hotel, leisure centre with an 18m swimming pool and spa, a restaurant, bar, function suite for up to 200 people and a clubhouse for its 18 hole and nine hole golf courses, The Wiltshire is one of the region’s premier leisure complexes.

The new owners – Andrew and Ciné Dunkley, Andrew’s brother Nigel Dunkley and his wife Julia,  and Haydn and Mandy Barrell – are all highly experienced in the hospitality and leisure industry. Andrew was Managing Director at the Gallagher Convention Centre in Midrand, South Africa for 10 years. Ciné and Mandy also worked at Gallagher and Nigel has more than 20 years experience in financial services. Haydn is a British Qualified PGA golf Professional and for the past four years Julia has run her own successful health business.

The three couples started looking at properties in the UK in June 2011 and by November they had decided to focus on the south west. Andrew and Ciné made a permanent move here from South Africa in May 2012, and heard about The Wiltshire being up for sale within two weeks of arriving.

“When we drove up the driveway to the Hotel, I think we both thought that this was a special place,” said Andrew. “We viewed another 30 or so properties but felt that The Wiltshire had the most potential.”

They made an offer in July, and spent the next six months in negotiations, both with the banks and the sellers. They met Tim and Victoria through one of the banks and stayed in touch.

“Given that we were not overly familiar with the UK accounting, tax and regulatory environment, we asked Old Mill to assist us in various areas surrounding the acquisition,” explains Andrew. “We dealt with Victoria in most of these areas and I am very happy to report that she and her team assisted us tremendously in formalising the most optimal way in which to structure the acquisition. Going forward we are looking at continuing using their services for audit and tax advice.”

The new owners have big plans for The Wiltshire, including replacing a lot of the golf course equipment and machinery and the spinning bikes in the gym. They also plan to do more on the food and drinks side, including a room service for the Leisure Village and converting some offices into a hotel restaurant. This will immediately create new jobs as the existing Pavilion restaurant will also remain but serve more traditional pub-style classic meals.

Other areas of big potential are corporate conferencing and weddings. The facilities look out over the golf course and can accommodate up to 250 people. “Given that our corporate event background is so strong, we believe that this is an area that offers fantastic potential”

 “Our plan for the business is to start realising the potential, as we feel the complex requires fresh ideas and further investment. We want to value our members and make The Wiltshire a club they want to visit and also improve the service for our hotel guests – the present situation needs to be changed to one of member/customer focus.

“Obviously as the business grows, even more jobs will be created; one of the things we are passionate about is customer service – and without the correct staffing levels this is very difficult to achieve.  The Wiltshire presents us with a fantastic opportunity and we are enthusiastic about the road ahead.”

Victoria said: “With years of finance, hospitality, health and leisure experience between them, these six individuals have all the bases covered and I am confident they can significantly improve what The Wiltshire has to offer.”

Tim concluded: “We have really enjoyed working with  the new owners on this deal; our involvement in the acquisition shows just what Old Mill has to offer corporate clients and we are looking to do much more corporate finance work like this in the area.”

Photo (L-R) Cine Dunkley, Andrew Dunkley, Tim Lerwill (Old Mill), Hadyn Barrell, Mandy Barrell

For more information about this release, please contact Alan Stone on 01749 335007

The exchange rate between sterling and the Euro tends to only receive focus twice per year – in the Spring when farmers are completing their Single Payment Scheme forms and can elect for the payment to be made in Euros and then in September when the final exchange rate is set for that year’s Single Farm Payment.  Currency exchange dealers come out of the woodwork to peddle their wares and quite rightly highlight the impact that the exchange rate might have on farm incomes – or at least one (relatively small) part of farm incomes.   

Single Farm Payments only account for around 15% of total UK farm incomes.

In reality, exchange rates have a massive impact on UK farm incomes, far greater than the impact on Single Farm Payments.  On a UK basis, a 1p change in the £/€ exchange rate will result in a £40m change in total Single Farm Payments and £200m on the total income from the marketplace – and it is that £200m that is in danger of being overlooked.  On an individual farm basis, for an 8.6 t/ha (3.5 t/ac) wheat crop, a 1p change in the £/€ is worth around £2/ha (£0.80/ac) but at current wheat prices the same change in exchange rate is worth around £18/ha (£7.30/ac) on the income from wheat sales – i.e. the total impact of exchange rates is around 10 times the impact on Single Farm Payment. 

Surely if it is worth protecting 10% of a farm’s exposure to exchange rate movements, then it is worth considering the other 90%?

The wheat example is deliberately straightforward because that is the market with the most transparency between world traded prices and farmgate prices.  However the principle is identical with all UK enterprises – all UK farm products either compete with Europe for export markets, or indeed face an import threat from European producers.

Generally a weakening currency is good news if you export products, or face competition from foreign suppliers for your own domestic market – and bad news if you import goods.

So for the 7% fall in the value of Sterling since September 2012, then the prices for any products that UK farmers export, or face import competition from – e.g. cheese, lamb, beef, pork – should have increased by 7% (in a perfect and transparent marketplace).  Of course other supply and demand factors might have had an impact either way in the meantime, but UK farmers should not lose sight of this 7% increase when entering price negotiations with their buyers.

Of course, there is also a downside – any products that UK farmers import from Europe or compete for with European farmers (e.g. feed, fertilizer, sprays, semen, medicines, and debt) should now be 7% more expensive in Sterling terms.  Take a spray supplier that supplies both UK and Europe – in September last year, if one litre of spray cost £1 in the UK, then it would have been priced at €1.25 in Europe; today either the price will have dropped to €1.16 in Europe (if the spray was manufactured in UK) or increased to £1.08 in UK (if the spray was manufactured in Europe).

A few years ago, Euro denominated loans were popular and that can occasionally be an effective way to hedge against an adverse exchange rate movement.  In such cases, it may help to view it as the business simply importing a loan from Europe.

Machinery is another prime example – and typically the purchase price (not “cost to swap”) of many items now exceeds £100,000.  The same principles apply and 7% price variation is obviously a considerable sum to be understood and managed.  Interestingly, there is a flip side with machinery in that the export market for the traded-in machines will also have improved in Sterling terms – thus giving some potential merit to splitting the combined swap into two separate deals.  Most arable farmers could have benefitted more by protecting the impact of exchange rates on their machinery replacement policy than on their Single Farm Payment – and it is relatively easily done.

UK farming is of course also affected by the exchange rate between Sterling and the Dollar – and generally a weakening pound against the dollar is bad news, because farmers tend to buy goods based in Dollars, not sell them.  The key examples are oil (and thus all products derived from oil) and soya (and thus all animal feed proteins).  One year ago, one pound was worth about $1.58, today it is worth around $1.575 and during the year it has been worth between $1.53 and £1.63.  Prior to that in 2008, a pound was worth $2.00 and so UK farmers are generally suffering a 25% increase in prices of oil and protein feeds since then, simply because of the exchange rate.

Exchange rates do have a massive impact on UK agriculture and way beyond the Single Farm Payment.  They will continue to fluctuate and predictions/projections (be they from novices or experts) rarely come true.  The most prudent approach for farm business managers will be to understand the full impact of moving exchange rates on the business and then to decide how much, if any, of that impact should be protected against.  Once those questions have been answered, the process of protection (or insurance against the risk) is relatively pain free.

For more information please contact Alan Stone on 01749 335007.

Each year, the Company gives around £100,000 to good causes through its charitable arm, The Chartered Accountants Livery Charity (CALC), and Tim identified Jamie’s Farm as a worthy recipient of funding, as he explains:

“CALC has a particular focus on education and helping the disadvantaged, and I felt that Jamie’s Farm fitted the bill perfectly as it uses farm care and education to help vulnerable and disadvantaged children.”

Jamie’s Farm is a charity located just outside Bath on a farm in Ditteridge, Box. The charity was founded by Jamie Feilden, as a response to his experience teaching at a challenging urban secondary school. Jamie used his background and passion for farming to engage children, firstly, by bringing lambs from his family farm into the school playground for a term back in 2005.

The responsibility of caring for the lambs had a massive impact on the most challenging students, improving their behaviour, attendance and relationships, so Jamie took the initiative forward and for the next three years hosted visits for pupils at this family’s farm in Bath. He discovered that the experience of living and working in the countryside was giving de-motivated and disengaged students a new purpose and direction in their lives and in 2009, he established the charity Jamie’s Farm with the aim to make a difference in the lives of vulnerable children, helping them to flourish in education, at home and in the community.

In 2010 Jamie’s Farm purchased a charity-owned site with a farmhouse and 60 acres of land and now hosts five- day visits from groups of 12 children at a time, aged between 8-18, helping them through care farming and education to improve their self esteem, behaviour and engagement. But Jamie wants to do more, as he explains.

“So far, Jamie’s Farm has worked with more than 1,000 children and 300 staff, and the success rate has been phenomenal, with improved behaviour in 82% of children, improved self esteem in 80% and 68% of those that visit no longer being at risk of exclusion from school on their return home.

“Our 2012-2015 strategy is to take Jamie’s Farm to the next level, expand the charity across the UK and help more and more children. With Tim’s help we asked CALC for £3,000 to go towards the core cost funding required to deliver this strategy and were absolutely delighted when we were awarded the full amount.”

Tim concluded: “Through a residential visit to a working farm offering a unique combination of family, farming and therapy, Jamie’s Farm acts as a catalyst for change that is vitally important to the lives of the young people involved. I am therefore delighted that our funding application was successful, and look forward to seeing the charity’s influence and reach taken to the next level.”

 Picture caption Tim Lerwill (left) and Jamie Feilden

For more information on this release, please contact Alan Stone on 01749 335007.

Although the ten-fold increase in Annual Investment Allowances, to £250,000, offers a golden opportunity to write off qualifying purchases in the first year, the timing may not be right for everyone, saysAndrew Vickeryhead of rural at accountant Old Mill. “For a start, the new rate does not come in until 1 January 2013, so it’s vital that rural businesses delay machinery purchases until after that date.

“And while writing off up to £250,000 in one year is a good way to reduce profits – and hence reduce Income Tax bills – many farmers have had a very difficult year after the atrocious summer, so cash is likely to be tight. It’s important that any investment decisions are weighed up in the whole business context, not just used to minimise tax.”

However, for those who do need to invest or minimise immediate tax bills, now provides an ideal opportunity do so, says Mr Vickery. “The allowance will be calculated pro-rata between January and April 5, 2013, so businesses with a March 2013 year end will be able to spend up to £81,250 between January and March, assuming no previous purchases have been made. However, allowances are likely to be heavily restricted for purchases made before 31 December 2012. The full £250,000 per year will then be available until 31 December 2014, when it will likely revert back to £25,000 a year.”

Farmers with different financial year-ends should seek specialist advice to maximise the relief available, he adds. “And look closely at what you can claim against – people assume that buildings no longer get tax relief, but a lot of the fixtures and fittings are eligible.”

However, rural businesses without the cash or inclination to invest over the next two years – or those who want to spend more than the £250,000 threshold – will still be able to write down purchases at 18% a year, he adds. “You will get the same tax benefit, just spread over a longer period of time. This means you can use expenditure to reduce your tax bills in the long-run, not just in the next two years. For more information on how to plan ahead to mitigate tax, speak to your accountant.”

For more information contact Andrew Vickery on 01392 351314.

In the Government’s autumn statement, Chancellor George Osborne announced that the Annual Investment Allowance would increase from £25,000 to £250,000 for a period of two years from 1 January 2013. This offers a perfect opportunity for companies and unincorporated businesses to gain tax relief on investment in plant and equipment, and reduce taxable profits in this year as well as next.  

It is vital, however, to produce management accounts before making any investment, to ensure that it is the correct financial decision for your business. Saving tax should never be the sole driver behind any business decision. Many businesses have already invested recently to take advantage of the AIA relief in years with good profits, and a decision not to reinvest now will be based on sound economic prudence. 

Businesses expecting to pay Income and Corporation Tax on profits this year can invest in more qualifying plant and equipment from 1 January 2013, and reduce their tax bill accordingly.

However caution needs to be taken. The government has confirmed in its proposal that the increased limit of £250,000 only applies to purchases made on or after 1 January 2013. Early Christmas presents to yourselves are definitely out!

For example, a business with a 31 March 2013 year end would be entitled to a total AIA of £81,250 for the year. The total spend between 1 April 2012 and 31 December 2012 cannot exceed £25k as this was the limit in force before the Autumn Statement announcement, but the full £81,250 is relievable if it is incurred between 1 January 2013 and 31 March 2013. A full £250,000 will available on expenditure for the year from 1 April 2013 to 31 March 2014, and £187,500 for the nine months to 31 December 2014.

Many businesses will have a period that spans the date of change in the allowance, and this must be taken into account when calculating the available relief. For businesses with a chargeable period that began before 1 April 2012 in particular, there will be an additional step to take the reduction of the previous AIA rate in to account.

Before the announced increase to the allowance, tax relief was restricted to the first £25,000 of spending on qualifying plant and equipment. After depreciation has been taken into account, there is a real danger that many farms could face a rising tax bill despite falling profits following the poor weather this year. The increased availability of the AIA provides an opportunity to invest further in the business, and reduce the taxable profits – effectively reinvesting profits in the business rather than paying them over to the taxman.

It is also worth noting that when the £250,000 limit comes to an end after two years, it is proposed that it will be reduced back to £25,000 again. There may be an impact on the taxes due at that point as a result of taking advantage of the increased AIA, as depreciation charges catch up with the timing of the AIA. The issue is one of timing – to reinvest at the level the business needs and can sustain, but also to time the reinvestment of available funds tax efficiently. Farmers need to plan now to optimise the relief, and it may be possible to reduce payments on account in January given higher forecasted investment in the coming tax year.

For more information please contact your usual Old Mill contact or Anne Gardner-Thorpe on 01749 335014.

“International trade and investment is becoming more and more significant in the South West with demand for quality local goods abroad said Tim Lerwill, director of corporate services for Old Mill. “And as many of our clients are already very proficient in the export and import market, Old Mill is keen to support the initiative too.

“Old Mill has joined The International Accountancy Group (TIAG) so we can offer our clients access to accounting and tax services overseas; this way, they can get the advice and support they need to expand globally both at home and abroad.”

The TIAG, the third largest network of its type, has 116 member firms -all large independents like Old Mill – working out of 185 offices in 90 countries. The idea is that the firms in the TIAG meet through network conferences and other events in order to build up meaningful relationships. They can then confidently recommend one another to their own clients who need assistance in another country.

“We recently attended the European conference in Brussels where we established good contacts in many countries where our clients do business, “said Tim, “So whether they are exporting goods, renting holiday lets or building factories or offices abroad, we are now able to help our clients when they trade overseas by personally recommending someone who can assist them in English,” said Tim. “And in turn, when businesses from other countries need support in the UK, we will be able to assist them.”

Peter Appleton Jones, chairman and founder of the TIAG, says the TIAG is thrilled to have Old Mill on board. “Old Mill is an excellent firm. The breadth and quality of their services as well as their reputation and prominence in the South West makes them an attractive resource for our membership; we are pleased to have them as members of the alliance.”

For more information please contact Alan Stone on 01749 335007.

Old Mill has been in Yeovil since 1998, but in that time, staff numbers have grown from around 40 to 85, and the current office is bursting at the seams.  So about a year ago, Old Mill tasked surveyors and commercial property consultants Space to help them move into Maltravers House in the centre of town as Managing Director Tim Wadsworth explains.

“Old Mill wanted a bright, airy and modern working environment, in a great central location with plenty of space and room for expansion. They chose Maltravers House because it has recently undergone a comprehensive refurbishment and has been designed to allow a modern open-plan working environment.

“It also has fantastic views over Central Yeovil and benefits from excellent on-site parking, which is a rarity for many city locations. We have acquired 14,000sq ft over three floors in the building for Old Mill and there is 4,000 sq ft currently vacant in which could be occupied for future growth.” 

Although the move was needed for practical reasons, Old Mill is looking forward to the positive impact that a modern working environment will have on staff. 

“The new Yeovil office will be such a massive step forward in terms of providing a place for our people to work creatively, efficiently and flexibly,” said Stuart Grimster, Head of the Yeovil Office. “The buzz that the move has created amongst our staff is amazing and it is clear people are genuinely excited at the thought of our bright, airy and colourful new offices being their new place of work.”

Stuart, who was born and bred in Yeovil, says he is proud to see such a modern working place springing up in a key location in the centre of the town and hopes it becomes an example of what Yeovil has to offer.

“It is vital that successful companies like Old Mill continue to support the local economy in this way. Fantastic working environments including the latest technology are a key component in being able to employ and retain the best people in the region; our aim is to continue to grow Old Mill and offer great career opportunities for local people so this move is an essential part of our plan.”

The move will happen on November 9,10 and 11 with Old Mill open for business in Maltravers House at 9am on Monday, November 12 .

For more information please contact Alan Stone on 01749 335007.

Bringing together representatives from High Street Banks, Business angel networks, venture capital firms as well as private funders and finance factors, the exhibition will be a chance for business owners to find out about all the funding options available to them.

“It’s tough for businesses at the moment – many want to grow but are finding it really difficult to secure funding in the current climate,” says Mark Neath, director of corporate services at Old Mill’s Exeter branch.

Mark, who specialises in helping and assisting owner managed businesses, says the funding exhibition – his corporate team’s flagship event – is a great opportunity for him to develop his work as a ‘business champion’, helping clients achieve their aims and ambitions.

“We want our clients to know that we understand what they are trying to do and believe that through building good, open, honest relationships and offering timely service and proactive advice, we can help them achieve their aspirations,” said Mark.

“At the moment, what our clients are telling us is that they are really struggling to secure funding, so in response, we have put together this event to go much further than the simplistic question – Are banks lending? We will look in greater detail at a whole raft of alternatives and show them that Old Mill are serious about helping businesses find funding solutions that are right for them.”

The event will include seminars on key aspects of sourcing funding and on how businesses can maximise their chances of securing finance. Business owners will have the opportunity to talk to the banks about how they can optimise their success at being approved for bank finance, as well as speaking to representatives from alternative funding avenues about what they have to offer.

Mark concludes: “Owner managed businesses really are the backbone of the economy, and they need to be supported, whether you are looking for funding now or may do in the future, this exhibition could really help. It is a free event which we recommend all owners of growing businesses to attend.

The event will be held Thursday 22 November, from 4-8pm at Westpoint Arena.

Old Mill is also running a funding exhibition at Cumberwell Park Golf Club, near Bath on Wednesday 21 November, from 4– 8pm.

If you are interested in attending either event, book online at www.oldmillgroup.co.uk/events or contact us on 01392 214635 or by emailing exeter@oldmillgroup.co.uk

Bringing together representatives from High Street Banks, Business angel networks, venture capital firms as well as private funders and finance factors, the exhibition will be a chance for business owners to find out about all the funding options available to them.

“It’s tough for businesses at the moment – many want to grow but are finding it really difficult to secure funding in the current climate,” says Tim Lerwill, director of corporate services at Old Mill’s Wiltshire branch.

Tim, who specialises in helping and assisting owner managed businesses, says the funding exhibition – his corporate team’s flagship event – is a great opportunity for him to develop his work as a ‘business champion’, helping clients achieve their aims and ambitions.

“We want our clients to know that we understand what they are trying to do and believe that through building good, open, honest relationships and offering timely service and proactive advice, we can help them achieve their aspirations,” said Tim.

“At the moment, what our clients are telling us is that they are really struggling to secure funding, so in response, we have put together this event to go much further than the simplistic question – Are banks lending? We will look in greater detail at a whole raft of alternatives and show them that Old Mill are serious about helping businesses find funding solutions that are right for them.”

The event will include seminars on key aspects of sourcing funding and on how businesses can maximise their chances of securing finance. Business owners will have the opportunity to talk to the banks about how they can optimise their success at being approved for bank finance, as well as speaking to representatives from alternative funding avenues about what they have to offer.

Tim concludes: “Owner managed businesses really are the backbone of the economy, and they need to be supported, whether you are looking for funding now or may do in the future, this exhibition could really help. It is a free event which we recommend all owners of growing businesses to attend.

The event will be held at Cumberwell Park Golf Club, near Bathon Wednesday 21 November, from 4– 8pm.

Old Mill is also running a second funding exhibition in Exeteron Thursday 22 November, from  4-8pm at Westpoint Arena.

If you are interested in attending either event, book online at www.oldmillgroup.co.uk/events or contact us on 01225 701210 or by emailing melksham@oldmillgroup.co.uk

The award was announced on Tuesday 16 October at the prestigious Taste of the West Awards Ceremony, held at the Eden Project in Cornwall. Judges commented that The Baking Birds’ soda bread had a “Fantastic rustic artisan appearance, fabulous texture with a wonderful aroma. Packed full of ingredients; can be eaten for breakfast, lunch or tea… even with clotted cream!”

Established only three years ago, The Baking Birds are based in Upwey, between Weymouth and Dorchester. They are attracting attention with their delightful range of cakes and breads, winning both Gold and Bronze Taste of the West Awards this year as well as being the Best of Savoury Bakery category winner.

Bekki Bemrose says, “We were really shocked and delighted to win and we want to thank the judges as well as everyone at Taste of the West and Old Mill. It means such a lot to a small business like ours and we are already using the award to help us promote both the soda bread and the business as a whole.”

The Best of Savoury Bakery award was sponsored by accountancy firm Old Mill, which has one of the biggest food specialist divisions in the South West, including an office in Dorchester.

Daisy Johnston from the Old Mill food team comments, “We have been a sponsor at the Taste of the West Awards for a number of years and are always pleased to support West Country food businesses, many of whom we work with. Once again, the awards showcased the innovation and creativity that characterises the South West’s food industry. Our congratulations to The Baking Birds who did extremely well with their delicious soda bread, which we were lucky enough to sample at the awards ceremony.”

For more information please contact Alan Stone on 01749 335007 or alan.stone@oldmillgroup.co.uk

Around 1600 Milk Link members have just received a shared payout of more than £31m following the cancellation of their qualifying loans. In most cases the whole payment will be treated as a capital gain for tax purposes, meaning producers could stand to incur up to 28% tax, warns Andrew Vickery, director at Old Mill.

“Thankfully, there are ways to mitigate the tax payable, but all can take time to implement so members should speak to their accountant now to maximise their chances of success,” he adds.

“The most obvious way to minimise tax is to offset trading or capital losses against your capital gains in the same financial year. Producers could potentially sell milk quota to crystallise losses, and buy it back to retain in the business for future use. However, if you have recently incorporated, or are planning to change your business structure this year, be very careful as you may not be able to offset your losses in the same way.”

Every individual has a £10,600 CGT exemption, so will only pay tax on gains above that threshold, says Mr Vickery. “If you are likely to make other gains, for example through selling shares or gifting assets to the next generation, consider delaying them into the next financial year, to make the most of your tax allowances.”

Each partner in the business can benefit from this individual exemption – but those trading as a limited company cannot, he adds. “Of course, companies will pay a lower rate of tax, at 20% compared to potentially 28% for individuals and partnerships. There are also other possible options to reduce your tax liability, such as triggering Entrepreneur’s Relief – but each case is different so it’s essential that you take tailored advice. With tax, one size definitely does not fit all.”

For more information contact: Alan Stone, Associate Director – Marketing – Tel: 01749 335007, or e-mail: alan.stone@oldmillgroup.co.uk.

The event, which attracted 1000s of dairy farmers from across the country, was the last for Ian Sharpe, director of rural services at Old Mill, ahead of his retirement in December. Mr Sharpe, who presented the pairs award to winners Jenny and Jessica Ravenhill-White from Umberleigh, Devon, said he was proud to have been part of the show for almost 20 years.

“Throughout my career as a rural accountant I have been passionate about recognising the excellent farmers, livestock and food producers that we are lucky to have in this country,” he said.

“Dairy producers in particular have been through some very tough times, with poor milk prices leading to a devastating exodus from the industry. However, the new dairy Code of Practice, unveiled at the Show, should give farmers renewed confidence for the future.”

Although many livestock producers were facing an expensive winter due to high feed costs, Mr Sharpe remained upbeat about the dairy industry. “Our farmers are among the best in the world, and the introduction of fairer contracts means they should soon be able to capitalise on rising dairy commodity markets.

“It’s been a privilege to work with the industry for so many years, and to have seen Old Mill grow to number 60 specialist farm accountants in five offices across the South West. The firm’s rural team continues to go from strength to strength, with a new office shortly to open in Wells under Mike Butler and Neil Cox’s leadership. I am confident that there is a bright future ahead for the whole of our wonderful farming sector.”

For more information contact: Alan Stone, Associate Director – Marketing – Tel: 01749 335007, or e-mail: alan.stone@oldmillgroup.co.uk.

Ian Sharpe presents the inaugural Interbreed Pairs award to Jenny Ravenhill-White (right) and her daughter Jessica, who led full sisters Whitenhill Fusions Windswept and Whitenhill Fusions Windsale to the top of the class at last week’s Dairy Show.

Old Mill’s Dani Veall has received one of the most prestigious awards made to accounting students for outstanding efforts in her ACA studies. 

Trainee accountant Dani, who works at Old Mill in Shepton Mallet, has won the coveted Carter Prize for successfully attaining the highest mark for her AAT Top-Up in Financial Accounting paper.

The Carter Prize – a National Order of Merit – is presented in memory of Roger Neal Carter, former president of the Institute of Chartered Accountants in England and Wales (ICAEW).

“We are really proud of Dani for winning such a prestigious award. This is an outstanding achievement and reflects her hard work,” said Simon Cole, partner at Old Mill.

Twenty-three-year-old Dani, who has been working at Old Mill for almost four years still has six papers left and will continue to study with Reed.

She said “Studying with others is very motivating and being away from the distractions of home makes it much easier to concentrate, but I was still really surprised to win – I was pleased just to have passed both exams so this is really fantastic!”

Also celebrating are paraplanner Samantha Gratton and trainee accountant Charlotte Parrish, both from the Shepton Mallet office.  Sam, from Rode near Bath won the award for Best Completion – Certificate in Financial Planning for her performance in her CII exams.

The 26-year-old will be presented with the prize at the Insurance Institute of  Bristol 2012 Awards Evening at the Victoria Rooms in Bristol on September 19th.

“I am thrilled to receive the award. I worked really hard on my exams and am delighted my efforts have been rewarded in this way,” said Sam, who has been working at Old Mill for two years.

While Charlotte recently scooped the top prize at a National competition organised by the Association of Accounting Technicians (AAT).

Charlotte was part of a team of three from White Horse Training in Bath who won gold in the World Skills UK accountancy finals in London.

The trio, who beat nine teams in the regional heat and further nine in the national final, successfully demonstrated the essential requirements needed for a successful career as an Accounting Technician.

Simon concluded: “We are absolutely delighted with Dani, Sam and Charlotte’s success. We are committed to providing clients with the best possible service, so we ensure our financial planners are trained to the highest possible standards; these latest achievements show just how dedicated our staff are.”

For more information please contact Alan Stone on 01749 335007.

Victoria, who has worked at Old Mill in Yeovil for 14 years, starting as assistant tax manager back in 1998, and working her way up through to director, has been specialising in working with tax planning for owner managed businesses for the past eight years.

In her new role as head of tax,Victoriabeen tasked with co-ordinating all of Old Mill’s tax operations; the 36-year-old says she is looking forward to the challenges that lie ahead:

“I am thrilled about the promotion and very enthusiastic about moving the expanding team forwards.” 

“The new role involves bringing our tax people together from all five offices to work in an efficient and united way; including sharing of ideas, innovation and ensuring that all of the staff, clients and potential client receive the same message across the firm.” 

“There will be a lot of interacting to ensure that this is done in the most practical and positive manner.  It provides a platform to build upon our already good service to clients and staff alike.”

Victoriais currently in the process of an extensive round of recruitment and has recently taken on two new assistant tax managers -Laura MacDonald, who joins Old Mill Melksham, and Ross Adamswho will join the team at Dorchester.

Laura, 30, is the first dedicated tax specialist to join the Wiltshire office and brings with her a wealth of experience in compliance, capital taxes and planning issues.

“Although Old Mill Melksham has been covering rural tax for a number of years, they haven’t had one of the tax team based there before,” explains Victoria, “Laura’s appointment is excellent news for our Wiltshire clients and we are keen to promote the specialist tax knowledge we can now offer, from personal tax for individuals, VAT and capital taxes to the complexities of company restructures and Inheritance Tax planning for families.”

Ross joins from Dorchester accountancy firm Edwards & Keeping. The 34-year-old says he is really looking forward to becoming part of a firm that is so young, dynamic and ambitious in its outlook.

“I am thrilled to be joining Old Mill, because it is the type of firm that always makes sure it is providing an innovative, relevant and professional advice to its clients. I will be working as part of a small tax team in Dorchester alongside Duncan Perks and Will Payne, but the new set up – whereby we are then all then part of a firm-wide tax team – makes a lot of sense as it will ensure all clients get the best service available.”

Both Ross and Laura’s appointments are part of a bigger recruitment drive which will bring additional specialists to the business and eventually see the tax team increase by about 50 per cent.

“Tax planning plays such an essential role into ensuring our clients are making the most of all the reliefs and opportunities available, so by expanding the tax team, and working as one throughout the whole of Old Mill, we care able to offer innovative ideas combined with up to the minute professional knowledge,” says Victoria, concluding, “this ensures we are providing the very best service to our clients.”

For more information please contact Alan Stone on 01749 335007.

Valuable business resources have been concentrated too much on start-ups and not enough on helping young businesses to grow, according to Tim Lerwill, Corporate Director at leading West Country accountancy firm Old Mill.

“It is probable that in the recent past too much help has been focused on helping small companies to start up and not enough on helping small businesses with a year or two’s experience to grow,” he said.

“If the government expect the private sector to lead the economic recovery giving good advice and help to businesses which are ready to move on to the next stage of their growth is likely to be the most productive ground.”

In response, Old Mill has signed up to the new Business Advice Service (BAS ) in conjunction with the Institute of Chartered Accountants (ICAEW).

The scheme, set up to fill the ‘advice gap’ left by the government’s decision to close Business Link, sees chartered accountants offering businesses professional advice to help them overcome the issues facing their business.

Accountancy practices that sign up to the service will offer businesses a free initial meeting to discuss the client’s business needs. It is then up to the accountant and business owner to decide whether they wish to move the relationship forward constructively.

“It is really tough for SMEs at the moment, and with so many issues to contend with it is vital they have somewhere to go for advice,” says ‘business champion’ Lerwill, a chartered accountant and auditor who specialises in helping and assisting small and medium sized businesses (SMEs) “which is why I am so keen to support the BAS.

“It offers SMEs invaluable business and financial advice on a whole range of issues – from starting a business to turnaround, restructuring, financial management and tax issues.”

Although start-ups and growing businesses can always benefit from professional support, Lerwill, who joined the firm’s Melksham office in May, says in the current harsh economic climate, SMEs need all the help they can get.

“SME growth is crucial to the UK’s economic success. In tough economic conditions, businesses need the right advice and support to succeed. ICAEW accountants are well placed to offer crucial guidance which is why we felt it was so important for Old Mill to become a part of this scheme.”

Jon Blake, ICAEW Regional Director, South West, comments, “Growing small businesses need the best advice to succeed at a time of fragile recovery and limits on public spending, which is why it is so important that firms like Old Mill sign up to the BAS. If SMEs can get easy access to expert business advice, they can start to become the engines of growth that the economy so desperately needs.”

To set up your free consultation with Old Mill, contact Tim on 01225 701221 or email tim.lerwill@oldmillgroup.co.uk

Sponsored by rural accountant Old Mill, the Long Service Awards celebrated rural workers’ dedication to the sector, with the top prize of £80 going to Trevor Wood, who has worked at Bishops Farm, Kentisbeare, for more than 45 years.

With 41 years service as a woodman for Clinton Devon Estates, Stephen Woodley received the next award of £50. In third spot was Graham Heaman, who also works for Clinton Devon Estates as woods foreman. He received £30 in recognition of 39 years service.

“Workers in agriculture, forestry and horticulture are among the most dedicated of any industry,” said Alan Stone, marketing director at Old Mill. “The Long Service Awards are a wonderful recognition of that hard work and passion, and we are delighted to be part of that celebration.”

All those nominated received a framed certificate and engraved Dartington glass tankard, presented by show president Mary Quicke, with Old Mill’s James Harris and Alan Stone. “We would like to thank employers for their nominations, and to congratulate everyone who received an award,” said Mr Stone.

Other award winners were:

• Michael Dennys, who has worked in horticulture for 34 years.
• Graham Dallyn, wildlife manager at the Forestry Commission since 1978.
• Ian Taylor, woodman at Clinton Devon Estates since 1978.
• Peter Stanyon, who has worked in horticulture for 32 years.
• Steven Adams, who has worked at Bowringsleigh Lodge, Kingsbridge as a cowman and gardener for more than 30 years.

Photo caption: James Harris (left) with the eight Long Service Award winners, Show president Mary Quicke and Alan Stone (right).

For more information please contact Alan Stone on 01749 335007.

Based on a sample of accounts from dairy farming clients in the South West, senior partner Mike Butler identified the average cost of production stood at 35.04p/litre in 2011/12 – 1.73p/litre more than the previous year. However, without the single payment, the break-even price increased to 37.09p/litre. “With many milk prices now languishing at around 26p/litre, that’s a real shortfall of 11p/litre.”

While many industry calculations exclude owners’ drawings and capital costs, it is essential that dairy farmers take these real costs into account, he adds. “Retailers and processors wouldn’t dream of investing in facilities without weighing up the cost of wages and funding, and neither should farmers.” Mr Butler allowed a £25,000 annual wage for each full-time proprietor and factored in a capital cost of 5% on farmland at a market value of £7500/acre.

“We found that for a dairy farm to be sustainable, with the proprietors paid a modest wage and receiving an appropriate return on capital to reinvest in the business, the current milk price should be 37p/litre. That may sound unrealistic, but when the Milk Marketing Board was deregulated in 1994, milk prices averaged 20p/litre. Based on Retail Price Index inflation, today’s price should be 39p/litre.”

It is clear that while costs have moved with, and even ahead of, inflation, milk prices have fallen back, says Mr Butler. “Without doubt the retailers are undermining the stability of the dairy sector, slashing their prices and passing those reductions down to producers.”

Of course, supply and demand – both globally and nationally – have a strong influence on milk prices, and this spring’s ample production has allowed retailers to exercise their buying power. “Without fairer contracts the only way farmers will see prices increase is through a tightening of supply. This may be through collaboration to restrict milk output, or, more likely, from the undoubted wave of farmers exiting the industry as a result of these price drops.”

Unless something changes soon theUKwill become reliant on imported dairy products, he warns. “That is not in the best interests of farmers, processors, retailers, or the general public. Everyone in the industry needs to redouble their efforts to express the true position of the market, based on real and defendable figures. Old Mill is happy to engage with any dairy farming group to help get that message across and bring milk prices back up to sustainable levels. If we don’t there will be no dairy farmers left and ultimately everyone will suffer.”

 Graph of dairy costings taken from actual sample of pure conventional dairy farming clients.

 For more information please contact Alan Stone, Associate Director – Marketing – Tel: 01749 335007