SME Safari Leeds: ‘The Universe sifts things out’
This week saw us in Leeds for September’s SME Safari and the title of this newsletter is dedicated to Nisha Katona who uttered the words, and that reflect sentiment from businesses met on how they want the universe to align to their entrepreneurial ambition.
As a reminder, SME Safaris are monthly visits connecting civil servants to entrepreneurs in their real-life trading setting. Sincere thanks to all those who gave us their time; Becky Palfery & Andy Gray, Ian Marwood Sharon Kaur Jandu OBE Victoria Tomlinson FRSA Richard Michie Dan Foley Luke Sculthorp FCICM Brian Gibson FCICM Julie Fewkes Jo Wilkinson Ola Oni, Chris Harding, Ben, & John Atkinson. Here are the key points:
Cost of doing business
This is a topic that has come up on visits over the past four months; the impact of increases to National Insurance, minimum wage, energy and supplementary business costs like travel. Businesses told us the increase in costs is squeezing margins and adding pressure.
Bring back New Enterprise Allowance?
Two of the business owners met started their companies over a decade ago after being made redundant and both were supported by the New Enterprise Allowance which was a programme that eased claimants out of unemployment and into self-employment. The UK does not have any such current provision – in view of the sustainable businesses it created, should it be brought back?
Incentivise entrepreneurs
Another repeated theme I’m hearing from across the UK; founders want to be recognised and rewarded for the risks they take and work they put into building businesses that create opportunities and employment. There were calls round the table during the lunchtime discussion for careful consideration on capital gains tax. One founder had started and exited his business through an Employee Ownership Trust and when Entrepreneurs Relief existed – he questioned whether he should take his gains and start another business in the current environment with limited such incentives.
The freedom to choose
On the upside, all founders spoke of how they enjoy the freedom to run their business according to their values; from Colours May Vary who take a curated and careful approach to who and what they stock, Richard Michie who wants to grow his agency at a pace where he still personally delivers for clients, and Nisha Katona who has built a 26-site operation with Mowgli Street Food, still designs the restaurants, and has been able to channel her commercial success to helping others through raising £3m through the Mowgli Trust.
One founder, Victoria Tomlinson, is on a mission to ensure the UK makes the most of the business and life experience of older people who have retired but still want to contribute to the next generation of entrepreneurs. Victoria followed up with a pitch; that her book ‘Age is the New Superpower’ is available for a limited time for 99p here!
As ever, I return from SME Safari with utter respect for the founders who trade through trying conditions and stay true to the values that got them started in the first place. You should indeed be recognised for all you are and do.
Emma