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FREE Please take a copy IN THIS EDITION CONNECT s guide to being your own boss o Read online at www.bailiwickexpress.com o Issue 41 September 2015 Are you worth it Top tips for your next pay rise Ben Shenton Feeling lucky Jersey o Editor James Filleul Welcome FURTHER INFORMATION PUBLISHERS If you would like to appear in Connect have a story to tell or simply want to receive a copy then please get in touch with the publishers Bailiwick Publishing (LCI) 5 Bond Street St Helier Jersey JE2 3NP Telephone 01534 887740 CONNECT ONLINE For the latest news and classifieds straight to your inbox visit www.bailiwickexpress.com and subscribe to our daily news service. EDITOR James Filleul editor bailiwickexpress.com WRITERS Ben Qu r e ben bailiwickexpress.com Martha MacDonald martha bailiwickexpress.com Julien Morel julien bailiwickexpress.com ADVERTISING Mark Ferns Telephone 01534 510309 markferns bailiwickexpress.com SUBSCRIPTIONS info bailiwickexpress.com DESIGN AND PRODUCTION Mark Jackson mark bailiwickexpress.com Artwork under 10Mb in size may be sent to this address. o Cover image by By Glen Perotte EDITION41 GET IN TOUCH... Please email editor bailiwickexpress.com T here s a strong strain of the individual about Connect this month. After all I bet many have come back from their summer break with a plan to approach work differently more strategically calmer less reactive to minor events - remember that s the plan which lasts until midmorning on day 1. You probably and I accept this might have been after a second bottle of holiday wine thought ...and another thing I m worth more than those small black numbers on the foot of my payslip Maybe. But if that s where your holiday mental meanderings took you this year then you really do need to read page 22. Employers beware. In those pages this month you ll find the Connect guide to getting a pay rise guaranteed. Ok I made the guaranteed bit up but there s still some fine advice in that article from two local business figures who have sat on either side of the negotiating table. Now here s an argument which I suggest you don t use very soon we re all going to have pay more in tax (sorry charges ) so on that basis your pay needs to go up to cover it Quite so. I would normally say you need to turn to page 58 to find out what the former Senator and Health Minister Ben Shenton has to say about our forthcoming fiscal black hole (which according to the previous Treasury Minister isn t black and while we re on the subject really has nothing of the hole about it either). But given the fact he s a Shenton you can probably hear his thoughts from here. If you re of a sensitive disposition on subjects like regulation the invasive tentacles of the State reaching into most areas of local life the morality of government borrowing or the likelihood of meaningful public sector reforms actually ever materialising - then you might want to put your holiday dark glasses back on hum those Spanish disco tunes slightly madly to yourself and flick quickly through to the next feature. But there s no fun in that. These are the debates which will shape the next couple of years of Island life. So now that you re rested ready for the fray be brave and take a peek. Welcome to Connect. 01 Please recycle this magazine. Like Bailiwick Express connectjersey www.bailiwickexpress.com jsy CONNECT AUGUST 2015 Contents SPECIAL REPORT Copyright Bailiwick Publishing LCI. All rights reserved. Reproduction in whole or in part without written permission is strictly prohibited. Views expressed by our contributors are their own. Editorial opinions expressed in this magazine are not necessarily those of Bailiwick Publishing. Bailiwick Publishing does not accept responsibility for the advertising content. While every effort is made to achieve total accuracy Bailiwick Publishing cannot be held responsible for any errors or omissions. SEll me a life in... 22 REGULARS LOC AL NE WS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 06 LEG AL MAT TERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Voisin Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 TR ADING PL ACES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 SELL ME A LIFE IN . . . BEING YOUR OWN BOSS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 TECHNOLOGY Lisa McLauchlan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 PIC TURE THIS . . .PORTS OF JERSEY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 LINKEDTO Moira Ashby . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 BUSINESS ADVISER John Shenton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 UNPLUGGED Ben Shenton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58 VIE WPOINT Recruiting the best staff . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 WHO S THE FOOL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 NO ORDINARY DAY JOB Lee Coote . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70 MARKETING FORCES Christopher Journeaux . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77 HERE S THE THING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78 DE ADLY DIARY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81 THE ADVISER Olaf Blakeley . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82 02 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT 28 L AW FEATURES FINANCE Appleby . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .38 RECRUITMENT Rowlands Recruitment . . . 40 TELECOMS JT Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .42 Ogier . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Viberts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .36 BUSINESS START UPS Jersey Business TM Legal Services Purpose Moore Stephens . . . . . . . . . . . . . . . . . . . . . . . . . . .83 Special Report Because you re worth it . . . . . . . . . . . . . . . . . . . . . . . .22 At the last count Islanders were doing almost 58 000 jobs ranging from fund management to retail and from catering to marketing. You probably wouldn t think that there s many things that all of those people have in common but we re willing to bet we ve found one they d all like a pay rise. Employers beware - Ben Qu r e has found out how to give them a helping hand. You can read this magazine plus the latest local UK and business new online with UNPLUGGED 58 84 48 16 64 38 83 www.bailiwickexpress.com jsy CONNECT AUGUST 2015 03 www.chanel.com JERSEY NEWS Airbnb tAkes off in Jersey There s one constant with the news it gets smaller. Back in the olden days national newspapers used to be great big things that spread out like roadmaps full of long-winded stuff about What It All Means instead of just being full of Stuff You Saw On The Internet Yesterday the radio used to be all about interviews and features instead of subMoylesian wittering and the less said about 24 hour news TV channels the better. But that s the way things are and no one can fight it. It is the fastest growing accommodation provider in the world covering 190 countries offering bedrooms in owners homes private apartments and even entire houses - and now it s hit Jersey. Since Airbnb launched in 2008 its listings have doubled every year and out of the million-plus properties listed on the site there are now 32 properties available for rent in Jersey. Prices for Airbnb rentals in Jersey range from 39 a night for a double room overlooking Gorey pier to 825 a night for a fourbedroom granite farmhouse. A spokesperson for Visit Jersey said From a tourism perspective we welcome the option of people having lots of different types of accommodation on the island. Airbnb is growing in popularity with people so we would encourage it. Provided people are working within the law with what they are doing we would welcome it for diversifying the range of accommodation on offer in the Island. The accommodation on offer in Jersey is diverse. In the centre of the Island you can get the top floor at Kevin 06 and Vanessa s house with its own shower room and kitchenette for 40 a night. Danny will let you stay in his gorgeous newly-renovated cottage for 50 a night while Matt offers a double ensuite room in his St Brelade s bungalow for 65 a night. Spend 70 a night and you can get a spacious private room with its own bathroom in a country house in St Mary s a king-sized room in an interior designer s top floor apartment in St Aubin s or a double room with its own luxurious bathroom 10 minutes walk from town. Listings indicate whether hosts have been identitychecked a process which involves sending Airbnb a copy of your passport or driving licence and linking to the site through a recognised social media account such as LinkedIn or Facebook. A Visit Jersey spokesperson added It s great for people to have new places to stay however it s not as simple for hosts as simply deciding to rent out a room. They need to make sure they are doing everything correctly for example by checking with the planning department and the population office to ensure they are within the law. So Connect is going to go with the flow and imagine a world where every story comes down to a single 140-character Tweet. When this is how the entire news industry works in about six minute s time just remember that you saw it here first... Mourinho Medic than the Jose hits out at Dr rather ly makes injured player who sudden es miracle recovery prioriti Calais Migrants late. Dave Cam Too many too little too e of Calais mipledges to stem the tid e grants goodlucktheredav US re-opens embassy in Cuba the first time US flag flies in Havana for in Washingsince 1961. Cigar shortage ton puffonthatfidel Got a suggestion for Tweet Me You know where we are... For all the latest business news follow connectjersey Follow us on Twitter AUGUST 2015 www.bailiwickexpress.com jsy CONNECT Investment Outcome Char ting your own Course South of France N43 16 38 E7 3 12 Where will your investments take you Your world isn t con ned to a single set of geographic coordinates. Neither should your investments be. Our experts have access to investment ideas around the globe wherever they happen to be. Contact us to learn about the wealth management services we offer. 44 (0)1534 708090 canaccordgenuity.com Investments can fall in value and you might get back less than you invested. To us there are no foreign markets.TM Canaccord Genuity Wealth Management is a trading name of Canaccord Genuity Wealth (International) Limited ( CGWI ) which is licensed and regulated by the Guernsey Financial Services Commission the Isle of Man Financial Supervision Commission and the Jersey Financial Services Commission and is a member of the London Stock Exchange and the Channel Islands Securities Exchange. CGWI is registered in Guernsey no. 22761 and is a wholly owned subsidiary of Canaccord Genuity Group Inc. Registered of ce 2 Grange Place The Grange St. Peter Port Guernsey GY1 2QA. NO MEN IN HIGH HEELS. NO TOY ROBOTS. NO MEERKATS. JUST THE MONEY YOU NEED AND A REPAYMENT PLAN YOU CAN AFFORD. You can now apply for a loan with Jersey s leading lenders at bailiwickexpress.com Simply go to bailiwickexpress.com jsy finance JERSEY NEWS & CLASSIFIEDS JERSEY NEWS Civil servants vote for industrial action over cuts plans Ministers plans for huge cuts to fill the deficit in public finances have been dealt a blow after civil servants voted overwhelmingly to reject a pay freeze and take industrial action. Of those members of the Jersey Civil Service Association and Prospect who voted 89.2% voted to reject the 12-month pay freeze put forward by ministers. And of those who rejected the deal 87.1% voted in favour of industrial action. The industrial action might not mean strikes the ballot paper made it clear that it could mean withdrawal from the jobmatching initiative that will see some member s salaries reduced to match other similar roles. Although the other public sector unions such as Unite had adopted a hostile position in respect of ministers plans to cut the States pay bill by 65 million as part of a package of measures to fill the 145 million structural deficit expected by 2019 the JCSA had normally taken a more moderate tone. Its members include civil servants managers and staff in specialist roles. The union has made no public statement on the ballot result which was leaked to Bailiwick Express. The union wrote The responses indicate a very strong refusal to accept the imposed 2015 pay deal and very clear support for some type of action. In light of the results we will be writing to the employer seeking an urgent meeting to commence further negotiations on the issues. For more on this issue see the Unplugged feature on page 58. ogier.com To the p int. We get straight to the point managing complexity to get to the essentials. It is a collaborative approach. We listen actively asking the right questions focused on what really matters. We deliver targeted pragmatic advice with absolute clarity. Legal services in British Virgin Islands Cayman Islands Guernsey Hong Kong Jersey Luxembourg Shanghai Tokyo www.bailiwickexpress.com jsy CONNECT AUGUST 2015 09 JERSEY NEWS 1 TAKE FIVE Five reasons according to You don t need reminding about this but if there was one reason alone that could justify the scientific fact that 2015 is a better year than 2014 it would be this this is the year that Back to the Future II was set in. Yes. Yes it is. And that means it s better than 2014. Of course we still have a few weeks until the actual date of the film 21 October 2015. And that means that in just the next few weeks we ll finally have hoverboards. Of course it ll take DVS another 25 years to licence them for use in Jersey but the important thing is that they re on their way. There s also a new Star Wars film this year. And there wasn t one last year. So 2015 is better do you see Another good thing this year there s less Ed Miliband who has gone off the boil a 2 deadly diary 2015 is better than 2014 bit since early May. Admittedly there s also less Nick Clegg which is a bad thing. But there s also less Ed Balls and that s good. Ditto Vince Cable. Admittedly locally there s less Ian Le Marquand. Which is very bad. And less Francis Le Gresley also bad. But on the plus side there s also less Rob Duhamel Gerard Baudains and Nick Le Cornu. On balance 2015 is better. Two major points 3 4 5 Chelsea are champions again and The Ashes. We ll just leave this here. Right joking aside 2014 was actually horrible. Wall-to-wall awful. There was the Ebola outbreak war in Ukraine the MH 370 airline crash that left 239 dead the 276 schoolgirls abducted by Boko Harum who then killed 300 in a terror attack in Nigeria there was ISIS s terrifying rise to power the war in Gaza and the shooting down of the MH17 that left 298 dead in Ukraine. For fatalities 2014 was the worst year for air crashes in a decade. Not saying everything is vastly better this year but for awful gut-wrenching horror stories from around the world 2015 is not as bad as 2014. Want more read deadly diary on page 78 Let it Go. It s gone. It s over. The reign of terror has come to an end. We have until 2018 before Anna and Elsa are back along with the worst song attached to a film since the appalling Bryan Adams (Everything I do) I do it for you atrocity back in 1991. Enjoy the peace and quiet while you can. VISION 800 TALENTED PEOPLE Behind the facts and figures you will find one cohesive firm. Appleby one of the world s largest offshore law and fiduciary groups. With strong connections and skilled teams we deliver a seamless service across jurisdictions sectors and international borders. It s this combination of talent and global presence that sets us apart. CONNECTING THE RIGHT PEOPLE AND PLACES applebyglobal.com Bermuda British Virgin Islands Cayman Islands Guernsey Hong Kong Isle of Man Jersey London Mauritius Seychelles Shanghai 10 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT JERSEY NEWS Jobs go as feelunique confirms warehouse closure Up to 50 people are thought to have lost their jobs with the news that feelunique is closing its Jersey warehouse and distribution centre. The announcement by the company signalled in a statement back in June follows a review and restructure of their Jersey and UK operations. Feelunique Europe s largest online beauty retailer was founded in Jersey in 2005. The company say some of the 50 staff whose jobs are being cut will be given alternative roles in the company. In a statement CEO Joel Palix said This has been an extremely difficult decision to take but in order to compete on an international level we know that this move is in the long term interests for feelunique. As a business we have sought to minimise redundancies as far as possible and have worked hard to find alternative employment for colleagues affected by this decision elsewhere within the organisation. Feelunique say that the decision will not affect their online team or their stores salons and spa in Jersey. The company was reported to have seen sales growth of 20% in 2014. They offer 20 000 products and 500 brands. The founders - Aaron Chatterley and Richard Schiessl sold a majority stake in the business to private equity firm Palamon Capital Partners in a December 2012 deal which valued the business at 26 million. Moss Bros CI Our new store is now open at Liberty Wharf St Helier Come and meet our Suit Experts. Men s Suits Coats Shirts and Jackets to purchase or hire for your special occasion. Open Monday Saturday 9am 6pm Sunday 10am 4pm DigitAl sector reAches for the clouDs More than 100 jobs have been created so far this year in the tech sector according to Digital Jersey and they say there s another 250 in the pipeline. New positions are being created in fintech e-commerce consultancy data analytics and e-gaming according to the latest report from the agency set up to promote a new digital sector. Chairman Paul Masterton said that the news from the fledgling digital sector was encouraging and getting more and more positive. In an update sent out to Digital Jersey members he said So far this year the digital sector has seen steady growth for established companies and new startups including both on-island new ventures and inward investment. Our CRM reporting indicates that over 100 new positions have been created to date with 250 in our pipeline of development opportunities. In the message he added that the Population Office that is responsible for determining which businesses can employ skilled immigrants was supporting the sector adding that an internship programme was being established for UK university students with Island tech firms. Before the end of the year Digital Jersey aim to launch an incubator programme to support tech start-ups. The programme called iStart is aimed for launch by September but Digital Jersey acknowledge in their six-month report card that funding is problematic. www.bailiwickexpress.com jsy CONNECT AUGUST 2015 11 JERSEY NEWS No real changes made 12 months after damning report on States spending A year after a damning report showed that the States were failing on basic financial management standards a follow-up has found that almost no improvements have been made. WHAT HAVE YOU BEEN READING a QUicK looK at the big stories last Month on bailiWicK eXpress Youth detention for driver who left teenager paralysed and unresponsive An uninsured driver who left a young musician and surfer completely paralysed and unresponsive after slamming into his car at around 70 mph has been sentenced to a year in youth detention. www.bailiwickexpress.com jsy news youth-detention-driver-who-leftteenager-paralysed-and-unresponsive Director used company funds to buy a Ferrari A company director facing charges related to frauds totalling 2.5 million including an allegation that he used company money to buy a Ferrari has appeared in the Magistrate s Court. www.bailiwickexpress.com jsy news director-used-company-funds-buyferrari The 2014 report by the States spending watchdog highlighted failures in the way that the Treasury department s rules on spending were communicated followed and monitored. At the time the report was accepted by the then Treasury Minister Philip Ozouf who agreed all 13 recommendations. But when the Public Accounts Committee came back to check on progress a year later they found that very little had happened. PAC Chairman Andrew Lewis said that the rules encouraged old-school public sector thinking and spending and said that the failure to deal with the problems with spending rules were unacceptable. And he added that the old rules had allowed for example the Port Galots project to drift while the budget approved by the States was slowly burned up by departments. He said Financial Directions are overly complex full of tick-boxes and they do little to encourage the kind of innovative financial thinking the States need to get our finances back on track. They hard-wire the old public sector approach to spending. We also know from the C&AG s work last year that there are some compliance issues to resolve not least in terms of States spending on travel and consultants. The rulebook needs rewriting and quickly. It is frankly unacceptable that PAC is having to report such limited progress on the implementation of recommendations made by the C&AG one year ago and which were almost entirely accepted by the then Minister for Treasury and Resources. get this latest neWs & classiFieds straight to yoUr inboX Every day we send our top stories directly to the inbox of each of our subscribers that database includes a diverse readership or thousands from senior professionals looking for business news to house hunters in the property market. Our current email services are DAILY NEWS EMAIL Goes out everyday to our largest database keeping them up-to-date with our top stories. WEEKLY RECRUITMENT EMAIL Getting the right staff is key to all local businesses and our Wednesday e-mail is just what they are looking for. WEEKLY PROPERTY EMAIL Targeted at our readers looking specifically for property. Published every Friday it catalogues open viewings over the coming weekend so property-hunters can plan their itinerary. WEEKLY MOTORING EMAIL Goes out every Tuesday to everyone looking for a new set of wheels. Our weekly e-mail makes sure they know the latest deals and are up-to-date with what s on offer. GUERNSEY BUSINESS NEWS EMAIL Goes out everyday to a Guernsey database keeping them up-to-date with our Guernsey business news stories. 12 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT Update Court evacuated over bomb threat The appeal hearing over Darren McCormick s life sentence for murdering a man with an axe last year was suspended this morning after a bomb threat was phoned in. www.bailiwickexpress.com jsy news update-court-evacuated-over-bombthreat NEWS News RE view New virtual campaign to attract visitors to Jersey People thinking about booking a trip to Jersey can now try before they fly with a virtual experience of what to expect. Visit Jersey have launched a new interactive video campaign so that people can get a taste of what the Island can offer them before they even leave the sofa. Local cameramen have spent the last few weeks capturing the essence of Jersey with footage of the beaches at St Ouen to shots of the dramatic views from Mont Orgueil Castle. Everyone who logs on to www.escapetojersey. com gets to answer some questions about the type of holiday they are looking for - whether it s a Five Star break or one under the stars relaxed or energetic beach caf or Michelin starred party time or me time someone looking for a bargain or ready to splash their cash. Email us on editor bailiwickexpress.com Got News Jobless rise Unemployment rose slightly in July to reach its highest number since March. There were 1 490 people registered as Actively Seeking Work with the Social Security department at the end of July. That number is ten higher than June but 60 down on where it was 12 months ago. Figures released by the Statistics Unit show 82% of the total were born in Jersey or Britain. 26% were under 25. 51% had been unemployed for three months or less. 13% had been unemployed for over a year. The figures do not capture everyone who is unemployed but they do include everyone on Income Support who is not exempt from full-time work because of illness or disability. Jersey Alzheimer s Association is here to support people living with dementia their families friends and carers. Join us at one of our weekly events specifically for people with dementia these are just a few happening throughout the island Saturday Club Saturdays 9am - 3.30pm A stimulating environment for people of all stages of dementia and offers a break for carers. Wednesdays 11am 1pm Specifically designed for people living with dementia and members of their families and carers. Fridays 2pm - 3.30pm Music therapy for people living with dementia together with their carers. Arts Exploration This September we mark To find out more visit Musical Memories World Alzheimer s Day www.jerseyalzheimers.com Call us 443075 24 HOUR ANSWERPHONE HELPLINE Drop in Hilgrove St St Helier Online www.jerseyalzheimers.com 14 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT Jersey s new Flexible Working rights (for employees with at least 15 months service with their employer) From 1 September 2015 employees have the right to request a variation to their terms of employment in respect of their Hours of work Times of work Place of work An employee can request more than one variation to their terms and conditions provided the reason for the change is to enable the employee to provide care for another person. EMPLOYEE SUBMITS A REQUEST FOR FLEXIBLE WORKING State the change applied for & the date the change State if the employee will be employed by the person they are caring for. Whether the employee will receive any type of remuneration for the care provided. State the reason for making the application. EMPLOYER CONSIDERS REQUEST FOR FLEXIBLE WORKING 28 DAYS The employer must hold a meeting to discuss the application within 28 days (unless it is agreed). SIX WEEKS The employer should give notice of its decision within six weeks of the request. If a request is refused the employer should state and explain the grounds for refusal and set out the appeal procedure. GROUNDS FOR REFUSAL INCLUDE the granting of the application would create a burden of additional costs. the application would have a s ability to meet customer demand. the employer would be unable to re-organise work among existing the granting of the application on the performance of the business. for the employee to do during the periods the employee proposes to work. the granting of the application would s the employee receives or would receive remuneration for the care that he or she provides or would provide to care for another person. LODGING AN APPEAL An employee may lodge an appeal against the employer s decision within 14 days the employer must respond within the timescales set out within the law. This infographic is only intended to give a summary and general overview of the subject matter. It is not intended to be comprehensive and does not constitute and should not be taken to be legal advice. If you would like legal advice or further information on any issue raised by this infographic please contact one of your usual Mourant Ozannes contacts. BVI CAYMAN ISLANDS GUERNSEY HONG KONG JERSEY LONDON Follow us on mourantozannes.com LEGAL MATTERS Legal Matters Carey Olsen advises on the sale of Cimandis Carey Olsen has advised SandpiperCI on the sale of its Channel Islands wholesale food and distribution business Cimandis to the Bidvest Group. The Bidvest Group is a global group of companies employing over 145 000 people in five continents. Its main UK business Bidvest Foodservice employs more than 4 500 people and provides a comprehensive range of products and services to the food service distribution and retail sectors from 28 regional distribution and support centres. Carey Olsen advised SandpiperCI on the pan-island corporate and Guernsey and Alderney property elements of the transaction. The firm s team was led by corporate partner Mike Jeffrey assisted by senior associate James Willmott and associate Paul Tominey with specialist support from property partner Jason Morgan and employment counsel Huw Thomas. Mike Jeffrey said To be selected to advise on one of the most important M&A transactions in the Channel Islands this year is testimony to our team s unparalleled reputation and expertise. We are pleased to be able to support our long-standing client on such a significant transaction. SandpiperCI Group Finance Director Stephen Harrison said Carey Olsen s M&A team has a proven track record in advising us on pan-island acquisitions and disposals and we were confident in their ability to take the lead role on this strategic transaction. Their lawyers bring valuable offshore and onshore experience to the table. Ogier Cayman advises on the 150 million financing of Golden Star Resources Ogier has acted for Golden Star Resources in connection with its 150 000 000 financing obtained from Royal Gold. The 150 000 000 financing consists of a 20 000 000 term loan from Royal Gold Inc. and a 130 000 000 stream transaction with Royal Gold Inc. s wholly-owned subsidiary RGLD Gold AG. Golden Star Resources Ltd. is an international gold mining and exploration company producing gold in Ghana West Africa. The financing will facilitate the development of the company s Wassa and Prestea underground mines located in Ghana. Ogier worked with Fasken Martineau Canadian counsel to Golden Star Resources. Managing associate James Heinicke partner Bradley Kruger and associate Ridhiima Kapoor provided Cayman Islands advice on the financing. Bradley Kruger said I think we will continue to see a number of non-traditional funding transactions in the mining sector. We have the experience and expertise to assist our clients in these types of deals in addition to capital market transactions. Ogier Cayman and BVI advises on the recommended cash offer for Promethean World plc Ogier has acted for VSA Capital Limited in its role as financial adviser to Digital Train Limited a company incorporated in the BVI and its group company parent NetDragon Websoft Inc. in connection with the announcement of a 84.1 million recommended cash offer under rule 2.7 of the City Code on Takeover and Mergers for the entire issued (and to be issued) share capital of Promethean World plc a company listed on London Stock Exchange. Promethean World plc is one of the market leaders in the global education technology market with significant sales in North America and Western Europe of front-of-class interactive display. NetDragon Websoft Inc. is a company incorporated in the Cayman Islands whose shares are listed on 16 the Hong Kong Stock Exchange and is a leading online game and mobile internet platform developer and operator in the PRC. Ogier worked with Squire Patton Boggs UK counsel to VSA Capital Limited. Partner Angus Davison and senior associate Mark Santangeli provided Cayman Islands law advice on the offer with partner Simon Dinning and senior associate Wendy Walker advising on BVI law. Angus Davison said The involvement of Cayman and BVI companies in public M&A transactions is becoming more widespread. This is an excellent example of the ability of our crossborder corporate practice to advise not just bidders and issuers but other participants on public M&A deals. AUGUST 2015 www.bailiwickexpress.com jsy CONNECT LEGAL MATTERS How to make sure buying your dream home isn t a nightmare Assistant conveyancer at Voisin Melanie Guest delivers a guide to buying freehold property in Jersey . It doesn t have to be a stressful time buying a property in Jersey. If you ve got the right conveyancing team behind you then their expertise should allow you a pleasant experience when you ve finally found your dream home. Once you ve decided to buy a property what do you do next The most important thing is to consult your lender to see exactly how much you will be able to borrow. This will depend on the amount you earn and the savings you ve accumulated. To be in a good position with your lender make sure all debts are paid and tax payments are up to date. We find that the main reason for delays occurring is that some buyers haven t had lender approval before putting in an offer on a property. Once you ve found a property and your offer has been accepted obtain a quotation for conveyancing costs and remember the cheapest quote is not always the best and you get what you pay for. Ask family friends and colleagues whether they can recommend someone they ve used who provided a good service. When you ve decided which law firm to use (hopefully Voisin ) contact the Estate Agent and let them know which lawyer conveyancer will be dealing with the transaction. The Estate Agent will then arrange to complete an Inventory of Contents and schedule a date for completion (most transactions take approximately four weeks from the moment you put in your offer to completion but there are always exceptions). The Estate Agent will then write to your lawyer conveyancer advising them of the details of the transaction. At this stage the law firm acting for you will require a certified true copy of your passport or driving licence two recent utility bills and a copy of your Registration Card showing your Housing qualifications. It is advisable to obtain a survey of the property. If you are borrowing money your lender will usually arrange a basic survey to confirm that the property is worth the amount you are paying for it. If you want further piece of mind obtain a full survey to ascertain any defects works required to the property. When your lender has full details of the property they will provide you with an Offer or Facility letter outlining the amount of your loan interest rate etc. This must be signed by you and sent back to the lender as soon as possible as any delay in doing so could result in a delayed completion date. You will be required to complete and return any proposal forms for life insurance or endowment policy cover and arrange for insurance cover for the property to be effective from the date you purchase. Whilst you are arranging all the above your lawyer conveyancer will check title to the property (to make sure the Vendor owns exactly what you are buying) ensure the property is not affected by any onerous restrictions or conditions (rights of way or building restrictions) examine what rights are attached to the property and check that all necessary rights are possessed check if there are any outstanding mortgages and charges which may be due by the seller or his predecessors and secured on the property undertake a site visit to the property to ensure that the boundaries are correctly described and no breaches of rights covenants and Common Law exist and make sure that the property does not encroach upon any neighbouring property. Once your lawyer conveyancer has received the loan documentation you will be asked to attend their offices to sign the paperwork and for them to explain the terms of your contract of purchase and point out where the boundaries are. The Royal Court sits at 2.30pm on a Friday afternoon and this is when completion will take place. You can either attend in person or appoint an attorney to represent you. Be aware that possession is not usually given straight away as the Vendors may need to arrange for their possessions to be removed first. It is quite usual for possession to be given the following day or over the weekend. Legal Matters Commercial Law Property Transactions Matrimonial & Family Law Wills & Probate Litigation Are you looking for a legal bursary Get a head start in the legal world by applying for the Voisin Bursary Scheme. If you are interested and want to know more please contact Emma Stewart - T 01534 500357 E emmastewart voisinlaw.com www.voisinlaw.com 37 Esplanade St Helier Jersey JE1 1AW Channel Islands. Tel 44 (0)1534 500300 Fax 44 (0)1534 500350 mail voisinlaw.com www.bailiwickexpress.com jsy CONNECT AUGUST 2015 17 APPOINTMENTS Trading places Elian appoints new associate director An accountant with 10 years industry experience has joined Elian Corporate Services. Julia Hoskinson has an extensive background in offshore financial services experience. She has advised on diverse matters such as GST EUSTD tax planning for high net worth individuals moving to Jersey and due diligences exercises as part of wider mergers and acquisitions activity. Ms Hoskinson joins Elian having spent five years as a senior manager in the tax team at KPMG in Jersey. She trained in audit with Deloitte in the Isle of Man where she worked for three years servicing major financial institutions. She also spent two years with KPMG in the UK before moving to Jersey. Her role in Jersey saw her providing compliance and advisory services to complex offshore Visit www.bailiwickexpress.com for all the latest business news Want more structures often coordinating multi jurisdictional projects for these clients. At Elian Ms Hoskinson will work with a team that establishes and administers all forms of onshore and offshore vehicles including companies trusts and partnerships. There were many things that drew me to Elian in particular the company s reputation. Elian is known within the industry for having a quality client base and intelligent corporate culture. It s also going through an exciting growth phase following the management buyout from Ogier last year I am looking forward to being part of that growth and getting to know and develop my team said Ms Hoskinson. Simon Mackenzie Group Director within Elian Corporate Services said Julia s extensive and diverse experience in the world of offshore financial services will be a huge asset to Elian. Having worked in the Isle of Man and Jersey she has comprehensive experience of a broad range of clients that operate offshore. I am delighted to welcome her to the team. Radisson Blu appoints two managers R adisson Blu Waterfront Hotel has made two manager appointments. Nicoleta Avarvare who has worked for the hotel for two years has been promoted to bar manager and Alexandru Dragan has been appointed meeting and events manager. In her new role Mrs Avarvare will oversee the coordination and development of 10 bar staff ensuring the team provides an exceptional experience for customers. Mrs Avarvare has a BA in marketing from the RomanianAmerican University in Bucharest and has six years experience in the hospitality industry. Mr Dragan leads a team of five employees with responsibility for delivering bespoke creative and professional events for customers. Mr Dragan who joined Radisson Blu Waterfront Hotel four years ago holds a management and marketing degree from the Romanian-American University. Radisson Blu General Manager Fergus O Donovan said Nicoleta and Alexandru are both outstanding team leaders who have demonstrated great commitment to their career development and their respective area of the hotel. These promotions recognise their dedication and I wish them every success in their new roles. InfrasoftTech appoints technology expert The former head of technology at RBSI Ian Goddard has joined Fintech firm InfrasoftTech as its new Head of Crown Dependencies. Mr Goddard took up his post at the beginning of August and leads a team of over 50 staff the vast majority of whom are based in Jersey but the company also has a presence in Guernsey and is actively exploring opportunities in other jurisdictions. InfrasoftTech provides software solutions professional and managed services for the finance legal insurance and public sectors to assist them in gaining a sustainable competitive advantage and internal efficiencies. 18 The new Head of Crown Dependencies has been given a remit to significantly grow the size of the business within three years and it is expected that much of that growth will be achieved through enhanced local services and solution development. I am looking forward to working with the talented team at Infrasoft and taking the business forward he said. Mr Goddard said that the firm would also be recruiting as it embarks on the growth path. Some of that recruitment is likely to be local. It is vital to nurture and support the development of local talent where it is practical to do so he said. AUGUST 2015 www.bailiwickexpress.com jsy CONNECT INSIGHT A practical guide to race discrimination sex discrimination and family friendly rights You are invited to join Advocate Zoe Blomfield and Senior Associate Claire Kingham for an engaging training session on the latest changes to employment law. Zoe and Claire will explain in practical terms how to tackle the following employment law issues Sex discrimination Race discrimination Maternity paternity rights Adoption rights Flexible working Venue Viberts House Don Street St. Helier JE4 8ZQ The sessions are held on the following dates Tuesday 15th September Thursday 17th September Tuesday 22nd September Thursday 24th September Tuesday 29th September Thursday 1st October Times 08 30 - 10 00 12 30 - 14 00 08 30 - 10 00 12 30 - 14 00 08 30 - 10 00 12 30 - 14 00 Breakfast lunch will be provided. We would be delighted if you could join us. Book online at http viberts-race-sexdiscrimination-training.eventbrite.co.uk and choose your preferred date. If you are unable to attend any of these dates but would like to benefit from the training please let us know and we can make alternative arrangements. Contact us 44 (0) 1534 632205 employment viberts.com www.viberts.com Follow us vibertslawyers google.com VibertsLaw linkedin.com company viberts youtube.com c VibertsLaw COMMERCIAL EMPLOYMENT FAMILY LITIGATION PERSONAL PROPERTY GUERNSEY NEWS Carey Olsen announces three new partners resolution practice as counsel in 2012. She advises local and international clients on commercial litigation employment and intellectual property matters and is recognised as a leading voice in employment IP and complex trust disputes. Natasha Kapp joined the fiduciary practice as a senior associate in 2009. She deals with all aspects of fiduciary law and regulation as well as contentious and noncontentious trusts issues and non-contentious insurance matters. Guernsey-based Advocates Elaine Gray Natasha Kapp and Tony Lane have been promoted to partners at offshore law firm Carey Olsen bringing the firm s total partner number to 45 across the British Virgin Islands Cayman Islands Guernsey and Jersey. Elaine Gray joined the firm s litigation and dispute Nerine shortlisted for international awards Nerine Group of Fiduciaries Guernsey and Hong Kong offices have been shortlisted to win the Trust Company of the Year category in their respective jurisdictions at the Citywealth International Financial Centre (IFC) Awards 2016. Now in their fifth year the Citywealth IFC Awards were established to highlight the excellence of private wealth advisors and managers in major international financial centres. Online voting has now opened and will run until 30 November 2015. This is the third year running that Nerine has been shortlisted for the Trust Company of the Year Hong Kong award winning in 2014 and placing as runner-up in 2015. This year Nerine is also Saffery Champness in Guernsey has had its ACCA Approved Employer status successfully renewed and upgraded from silver to platinum. The ACCA Approved Employer programme recognises high standards in three key areas Trainee Development Practising Development and Professional Development for employers ACCA members and trainees. The platinum status provides formal recognition that Saffery Champness is committed to providing 20 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT one of eight firms listed in the Trust Company of the Year Guernsey category. The winners will be chosen by a panel of expert judges with experience of working with advisors from all the jurisdictions covered and by the number of votes received through online voting. Nerine Executive Chairman Keith Corbin said We re thrilled to see Nerine learning and development opportunities for its staff and ensures that the firm s training and development meets a global best practice benchmark. Saffery Champness recently hired experienced human resources practitioner Viv Roussel as its learning and development manager. Ms Roussel said To be awarded platinum employer status by ACCA a global professional body which awards internationally respected accountancy qualifications is a wonderful endorsement of Saffery shortlisted in two categories for this year s awards. Our Hong Kong office has been particularly successful in making its third appearance on the list. Across all our jurisdictions we strive to build enduring client relationships and provide excellent service. This ethos is upheld by our talented teams and recognition like this is a direct result of their hard work. Saffery Champness awarded platinum employer accreditation Champness commitment to improving empowering and developing its people. She worked alongside audit manager Lindsey Dean who is responsible for managing the firm s ACCA Practical Experience Requirements and mentoring scheme to evidence that all the necessary criteria had been met. 3 jurisdictions 1 provider complete peace of mind Whether you need a data centre in Jersey Guernsey or the Isle of Man Sure s the only data centre provider to offer resilient purpose-built data centres in all three jurisdictions - giving you complete peace of mind. From disaster recovery to enterprise email management to harnessing the power of cloud computing all our data centre solutions are backed by our global network and highly qualified network services team. Trust our experts with the security of your business data. Contact us at datacentresales sure.com international.sure.com Because you re worth it at the last coUnt islanders Were doing alMost 58 000 jobs ranging FroM FUnd ManageMent to retail and FroM catering to MarKeting. yoU probably WoUldn t thinK that there s Many things that all oF those people have in coMMon bUt We re Willing to bet We ve FoUnd one they d all liKe a pay rise. eMployers beWare - ben QU r e has FoUnd oUt hoW to give theM a helping hand. First the bad news since around about 2001 Jersey hasn t really had a pay rise. The rise in average earnings over the last 14 years has been pretty much cancelled out by increases in the cost of living so yes we ve been paid more but the effect has been effectively wiped out by inflation. Second the good news that looks like it s about to change. Profits were up by 25% in the crucial financial services sector over the last 12 months the GVA figures out in the next few weeks are widely expected to show the first actual growth in the overall economy since 2007 and there s the glimmer of a feeling of renewed optimism and buoyancy in the Island. That s great news for the economy but it s all a bit academic until it starts to really affect you personally in your pocket. But if you don t ask you don t get. And that s why Connect has been speaking to two people with a real insight into how to go about getting a pay rise recruitment specialist Tina Palmer from ASL and Kevin Keen whose CV includes roles as Jersey Post Chief Executive Executive Chairman at Jersey Water Jersey Dairy Managing Director and Executive Director at Le Riche Group. Both have knowledge and experience about how individual pay negotiations work Tina from the perspective of advising clients on getting the right deal from their employers and Kevin from the other side of the table with the 22 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT 2 words Ben Qu r e perspective of evaluating whether someone s actually worth more money. Tina s advice can be boiled down to two simple points 1. look at the whole remuneration package and perks not just salary 2. do your research before you start negotiating. She said My advice for anyone looking purely for a pay rise is that they need to look at the whole picture. Ask yourself firstly are you working longer hours do you get paid overtime Have you taken a qualification and not seen an uplift in your salary The advice first of all would be to speak to HR or speak to a good agency to have an honest conversation because some places will pay you SPECIAL REPORT more but you get no paid overtime so you won t be better off. It s not just about money. It s not what you say it s how you say it. Don t go banging on the HR door and demand a pay rise. You have got to have done all of your research before you have that conversation. Don t demand. Do not go in and say I need a pay rise and then when asked why have nothing to back it up. You can t be saying I can t afford to live. You have got to say I have done my qualifications I ve been here for three years I m looking after my own portfolio and I feel like I ve moved up. I have had a couple this year who have had a lift in salary purely because they have been qualified and felt they had not had the recognition. In a regulated environment such as financial services it s all about qualifications. Qualifications equals a pay rise. Kevin s advice boils down to just one simple point if you re an employee looking for a better package you have to think of yourself as a product and build a case around what makes you valuable to your boss. He said An employee needs to think of themselves as a product and then work out how to make themselves stand out so employers want to buy them. To be the Ferrari of employees not the Yugo Are you really making yourself stand out by going the extra mile for customers being at work on time every time investing in your own professional development showing enthusiasm for what the business is trying to do and being aware of what else is happening in your industry responding www.bailiwickexpress.com jsy CONNECT AUGUST 2015 23 b Don t demand. Do not go in and say I need a pay rise and then when asked why have nothing to back it up. SPECIAL REPORT positively to feedback in your appraisal passing any relevant exams first time bringing properly thought out ideas to your boss as to how the business could do better - in short making yourself totally indispensable. He also echoed Tina s point that employees need to think flexibly and see beyond the headline salary figure. Kevin said Don t forget it is not all about a pay rise now what are the prospects for the future What is the professional development like Are you in the best place to pursue your career longer-term Most businesses will be reluctant to increase their fixed costs ie. their salary bill but maybe more willing to pay a one-off bonus for significant achievement. So if you don t get any luck on the pay rise maybe you can make a case for a bonus Got a new customer sorted out a big problem came up with a great idea to make money for the business That s how you make your case. And for many people there s another factor that means that the time is right job security. With some companies shedding jobs a lot of employees have opted to sit tight where they are not just because they want the reassurance but also because redundancy payouts are based on length of employment. That motivating factor is starting to change as the economy brightens up. Tina said Security during the recession has outweighed looking for more money. That s now changing very slowly as people are feeling more confident in the market. We have got candidates we have got one lady who is leaving the Island in a couple of years and she is looking for a contract at a better hourly rate and no package. An increase is not just about what s in your pay packet. There s dental study leave commission critical illness cover medical insurance overtime your holiday entitlements what package in terms of car phone and parking. If things like dental plans and critical illness insurance cover you and your family it can change the picture. If you re in trust or funds or financial services then the agencies have a really good ball park of what your salary expectation are and where you might fit. The good ones will sit down and give you a good line as to what to do. You need to be clear about whether you are thinking about leaving just because of the money or are you querying it because you are not happy actually there is a difference. If you b Security during the recession has outweighed looking for more money. That s now changing very slowly as people are feeling more confident in the market. are just chasing cash but love where you are you have to take it really carefully but if you are not happy then get looking. The negotiation itself depends on the relationship. Some HR people at the moment are very removed from the business because they may be in the UK and may not have a physical HR presence in the Island. If you are working in a smaller company that is going to be easier. I would never go in and have a conversation without having the facts. We are also getting people that are downsizing. People have been made redundant and they are saying I don t want all of that responsibility I ll take a lower-paid job . In trust funds accountancy and banking there are people who have been at a very senior level who have wither been made redundant or taken early retirement. They are saying do you know what I ve got the skills but I don t want the hassle and the hours of working at a senior level but I don t want to hang up my boots. To convince employers to take someone like that is proving a challenge. One HR person told me that they bring these senior people in and some can adjust to a lower role but some find it hard to leave the seniority behind. And some line managers struggle to manage or give instruction to someone who is older than they and who is more experienced. That s more about personalities than anything else. the recrUitMent specialist s advice... ASL Director Tina Palmer s Five Steps to Consider... 1. Ask yourself what you want and why you want it. If it s about your salary and package then get ready to start preparing your case for a rise. If you re not happy in the work www.bailiwickexpress.com jsy CONNECT AUGUST 2015 25 SPECIAL REPORT b Do ask - nothing ventured nothing gained. Don t make the reason that you need more money do explain why you re worth it to the business and don t make ultimatums you can t follow through environment perhaps think about moving on. 2. Consider the full package. There s a lot more to consider than your basic salary pension contributions dental plans over-time commission critical illness cover study leave medical insurance car allowance phone cost and parking arrangements. You could get a bigger salary but lose out on some of those things and end up worse off. 3. Go and see an agency for the industry context. Employment agencies can give you a solid idea of what you could be earning and what the market is like for someone at your level in your field. 4. Decide whether you want to talk to move on or if you want to stay. This is the crucial decision what do you really want If you want to stay and negotiate a better deal you need to put your research together decide how you re going to make your case and pick your moment to have the most impact. 5. Have the conversation. Don t demand anything. Be calm be clear and don t be shy there s nothing wrong at all with asking the question but you have to put your case forward in a reasonable way. dedicated to the business and their own further development. What makes you think negatively about a request Poor reasons for asking. How often is it reasonable to make a request After your appraisal after your pay review is announced or after some success which can be attributed to you either for the business or your own development. But not on all of those occasions As a boss what s your big concern when someone asks for a rise The impact of not being able to do something for an employee who deserves one. Can you give us an account of when you ve asked for a rise how you went about it and whether it worked To be completely honest I never have Can you give us a horror story of someone asking for a raise in a terrible way Most employees are pretty nervous about having to ask but I have experienced the odd few of people asking for more money because they wanted to go on holiday Can you give us an example of someone making a compelling case for a raise I really always hope that those kind of people are recognised before they have to ask but it can happen in those cases the employee has achieved something significant usually though their own initiative. How big a part in all of this is played by prevailing economic conditions A big part first because the business may just not be able to afford it secondly in those times there will be plenty of great people looking for a new job thirdly if you ask at a time when things are difficult it shows you are just not paying attention to what is happening in your business and the industry. END www.bailiwickexpress.com jsy CONNECT AUGUST 2015 27 hoW the boss sees it... Business leader Kevin Keen s Q&A on How to Get Paid More... What are the fundamental do s and don ts Do ask - nothing ventured nothing gained. Don t make the reason that you need more money do explain why you re worth it to the business and don t make ultimatums you can t follow through ie. Give me a pay rise or I am going to a new job. The boss may say good luck in the new job... As a boss what makes you think favourably towards a pay increase request Good performance good attendance someone CAREERS o By MARTHA MACDONALD Being your own boss Alex Morel Founder oF ALX TrAining Sell me a life in... W ith the mounting pressure on young people to get better grades go to university and climb the career ladder I decided as a real life young person to go out into Jersey businesses and investigate the employment opportunities available in the Island. The world of work can be a scary place and contrary to popular belief career paths aren t always neat and tidy. I ve done the school thing the PE lessons the cringeworthy proms I ve worked hard for my grades and now I m claiming my right as a school leaver to ask the question What can this industry offer me If you re fresh out of school or uni and you feel as lost as I did when suddenly no one was structuring my time for me anymore this feature will hopefully show you the diverse ways in which you can arrive at the same employment goal. The month of September brings many changes the start of a new season the beginning of the next academic year and now the alternative autumnal breeze is rustling through this month s instalment of Sell me a life in... This month I was lucky enough to visit not one but two businesses that on the face of it could not seem more different they were ALX Training and Dandy coffee shop. Wipe that look of mild confusion off your mug because there is one imperative thing that unites them - they re both start-ups. I spoke to entrepreneurs Alex Morel and Jamie Hooker about being your own boss and whether they could sell me a life in starting my own business. 28 down to ...what skills do I have that I can use I came from a teaching background so I thought I d use those skills. I started teaching a little bit and I realised that there was a gap in the market. MM How did you handle the transition from teaching out the back of your car to becoming the established company you are now AM That was difficult. I would say that transition started when I had to take on a first employee. That s a really big commitment and responsibility because having been made redundant the last thing you want to do is to commit to somebody then ever getting into the situation of having to let that person go. So taking that person on was a big risk but I was able to mitigate that risk at the very beginning by using the Back to Work Schemes which was brilliant because we took people on who d been out of work for two years. We also had an Advance to Work trainee Claudia she joined us at 17 she s now an office manager but the first three months we didn t have to pay her a salary so it s a really good way of a small businesses reducing their risk. MM What kind of challenges did you come up against as a female entrepreneur AM I do think that is particularly difficult for women who want to start a business because if you have a child society labels you a bad mother . You re just juggling more. I must say that you ve got to have your family behind you and my husband Kirsten is so supportive. As a woman and with a really young child you do feel guilty for working and I had to wrestle with that feeling of I shouldn t be Martha MacDonald Could you explain what led you to start your own business Alex Morel So I started it in its very smallest form about ten years ago. I was working for a charity and I was made redundant because they lost a grant. So I thought I would use what I was doing already (teaching people English and IT) and just do it for myself. Initially I did it around another job so I could minimise my risk. A bit later I worked for an IT company but I was made redundant again. After that I started as a sole trader. I was based out of the back of my car I had all my laptops with me. I didn t have any overheads because it was just me and my laptops. I would drive to different businesses and set up and teach them whatever they wanted. I actually made a profit the very first week. MM What s behind your success AM I just think there was no one else doing what we did there were was no one providing the service that we were. In the early days it was language literacy and IT. Back then if you wanted to do an IT course typically in Jersey you had to do a whole day on Excel with a lunch in some location. Whereas I turned up with my laptops to their premises and taught a two-hour lesson and then was gone. I taught them everything they needed in two hours. So it s a really focused and tailored service. I suppose really it came AUGUST 2015 www.bailiwickexpress.com jsy CONNECT CAREERS working I should be at home. Ultimately I really wanted to do this so if I hadn t had Kirsten telling me I should keep going I probably wouldn t have done it. MM Do you think that young people see setting up their own businesses as a viable career option AM In some of our lessons I do mention being your own your boss. But I think you do need to have experience of something before you can do it. We see a lot of teenagers who have never had a Saturday job have never had an evening job have never worked ever and that s a real disadvantage when they get to the end of their schooling. I d say our teenagers who are out of work they would never think of working for themselves. One of my first jobs was selling golf balls. We used to go down to St Clements put our hands in the stream to pick up all the golf balls clean them up and then we d go back and sell them to the people who d lost their golf balls. So any experience people can get at a young age is good. And if you can t find paid work do voluntary work work is work. It s all skills that will help you in the future. MM Sell it to me Alex AM You are in control of your life and nobody is going to suddenly make you redundant. If you haven t got enough clients you go out and get them. You re in charge of your own destiny and success is down to you. You get to choose your colleagues - that s the best thing ever Running a business for me feels very creative. Martha s verdict It s amazing to think that just six years ago ALX Training was just Alex in her car and a few laptops. Crucial to setting up on your own is a can-do attitude and a real passion for what you re trying to achieve. If it s what you want to be doing - you ll be prepared to put the graft in to see your dream realised. www.bailiwickexpress.com jsy CONNECT AUGUST 2015 29 CAREERS Jamie Hooker Owner of Dandy Coffee Shop Martha MacDonald Do you think the nature of Jersey s small economy makes it a good setting for this kind of business Jamie Hooker Yeah I think there s loads of gaps in the market over here for all sorts of service-led businesses. There s a lot of businesses over here that have been established with a prime focus of profit. We don t use things because they re trendy we use them because they re good. For example our coffee is about three or four times the wholesale price of anyone else s coffee and we use twice as much but we charge the same price or less than most of the competition. I think there s a lot of people in Jersey that could probably question what they re serving. They know that they re using cheaper produce because that s what makes sense for them from a business perspective. MM It s clearly working because within the first year you re number one on Trip Advisor - what s behind this success JH I guess it goes back to our passion for it. We ve got a good work-life balance. Ultimately a lot of the people that we serve are from the business community who don t work weekends. That s why we don t do six days. I think that s really important not to give up your entire life for work we love what we do but we don t want to do it seven days. A lot of our customers in the business community go away through 30 the week so they re obviously exposed to the quality of produce available in England. That level of service and quality of produce should be available here. I think I ve also been lucky enough to have a team with hospitality experience and we re all business owners or former business owners so we all understand the work ethic required. MM Was there ever a specific moment where you realised that this was definitely going to be a success JH It took us two or three months worth of solid work. We did the whole fit out of the of the shop but ahead of that we had done a huge amount of work and research in the background. I was sat here from five in the morning with a clicker just counting foot traffic. Ultimately again I have probably been lucky but we ve been really well received from day one. We ve always just followed our passion and just hoped that people would pick up on it. MM What kind of qualities are important if you want to be your own boss JH Speaking more about at the start Dustin is a qualified Town Planner and he s a very organised person so he spent lots of time reading up on rules regulations and laws. I was more creative. So that worked really well as a partnership because together we ticked all the boxes. I think for one person going it alone you d have to be a pretty incredible person to have all of those qualities. Everything that I brought into the business totally goes against every that Dustin brought to the business and that s why it worked so well. Where I ve been really lucky is having Hannah and Dan they both offer another version of skills sets that cover everything that Dustin brought and everything we lacked between the two of us. MM Is customer service a crucial part of running a business like this JH Initially because people didn t know this model for a coffee shop people thought it was mental that (a) we were so small and (b) there were so many staff. We have three people on the counter in the morning basically just standing in a row making coffee but we are a production line. We re all working as effectively as we can but the absolute focus is customer service. I think if you want to be different over here that s quite an important thing to bring to the table with genuine care to treat people individually. MM Do you think young people see setting up their own business as a viable career option JH I ve got to be honest I think being a business owner is difficult because it s case by case. Our initial advice from Planning was that we were allowed to trade as a take-away coffee shop as a retail premise. We built up our menu around that rule based on Planning s advice and then just as we signed the lease they tell us we had do a change of use. I guess to answer your question for young people looking to go into business over here when that s what you re up against and they re the professionals that are really meant to be helping you. We were lucky we had experience. Dustin knows planning law inside out and back to front. Opening a business is difficult over here. There s no grants. There s so many people who have got such a desire to do it that end up moving away and we lose them because they go away to Uni and they don t come back. I think it s a shame you know we lose people unnecessarily when I think there s a lot of people that would maybe stay here and add to the Island with slightly more diverse younger businesses. MM Sell it to me Jamie JH Now that we re the other side of it we ve built the business that we want it to be and we re all proud of what we ve done. Every day we re happy to be doing what we re doing because we know that people are grateful for the service we re providing. AUGUST 2015 www.bailiwickexpress.com jsy CONNECT CAREERS Martha s verdict Being your own boss is no easy task especially in the hospitality industry where you need to set up premises. You re going to come up against bureaucracy on a grand scale but you ve got to be prepared to fight for your place in the market. Providing a quality service and produce is key - and everything else will fall into place. Martha s Top tips Focus on your skills If you re thinking about starting your own business then YAY But make sure you maximise the start-up s potential by identifying what you re good at harness those skills and make the most of them. There s no point in opening a catering business if you don t know what a whisk is you know And if there are areas in which you re lacking - find a partner or team that make up for the gaps in your skills set. Fill a need If anything is clear from these two case studies is that their success is down to their initial idea. In Jersey there are areas in the economy that are more dominant and there are areas which are somewhat thinner find a gap in the market and be the first one there to fill it. If you re doing something which people want need and can t get from anywhere else then you re guaranteed success. Stick with it Starting your own business is never easy but make sure you re in it for the long haul. There s nothing worse than abandoning a good idea because the going got too tough. Believe in your business and give it the space and time to flourish. PHOTOGRAPHY Robbie Dark PROMOTIONAL FEATURE Skills Accelerator Government continues to support training for local businesses Since its introduction in September 2013 the Skills Accelerator programme has helped more than 170 people in Jersey to develop their professional skills. Set up by the Economic Development Department the programme offers local businesses grants of up to 4 000 for qualifications or training that will improve the viability or diversification of Jersey s economy. Aimed at employees of small to medium-sized organisations (typically up to 30 employees) the Skills Accelerator not only encourages businesses to increase their productivity providing a boost to the economy but also enables individual employees to realise their potential. One such employee Emily Devon a graphic designer at Uba Studio has benefitted from the scheme. On completing a qualification in video editing Emily noted that thanks to the Skills Accelerator she was able to ...apply the skills learnt on the training course to my job role which has allowed the company I work for to offer essential video editing services to our clients. The Jersey Employment Trust (JET) also recent recipients of a grant from the programme have reported similar success. Steve Pearce General Manager at JET said The Skills Accelerator grant has helped the Jersey 32 MAY 2015 www.bailiwickexpress.com jsy CONNECT Employment Trust to invest in two members of staff who are now better skilled to undertake their roles within the Acorn Woodshack. He added that ...the skills learnt on the training have improved the efficiency and productivity of the operations. Chris Kelleher a member of the panel that reviews applications to the Skills Accelerator has been impressed by the diversity of applications submitted so far. We have been able to support training from a variety of providers he said ranging from courses relating to the finance sector to health and safety training. Having received an encouraging number of applications in the first half of 2015 the Skills Accelerator team are now looking forward to a similarly productive latter part of the year. They noted that ... in lieu of the natural trend for September start dates we encourage applicants to get their submissions in promptly to ensure adequate time for the panel to review their application which must occur at least 15 days prior to the training itself. However applicants shouldn t be put off by the thought of extra red tape or bureaucracy Jersey Business have been working alongside the Skills Accelerator offering practical support and impartial advice to applicants. Based at 31 The Parade the team at Jersey Business can provide guidance to applicants prior to submitting their application to the Panel guaranteeing that all candidates receive adequate opportunity to put their business case forward to the best of their ability. Successful applicants are eligible for a grant of up to 75% of the cost of training to a maximum of 4 000. To qualify for the programme businesses must have been registered in the Island for six months or more any organisation is eligible to receive up to a maximum of three grants within a 12 month period. Further information regarding the application process and employee employer eligibility can be found at www.gov.je SkillUp. Alternatively please call Katie Arden on (01534) 440654. www.bailiwickexpress.com jsy CONNECT MAY 2015 33 FEATURE by head oF eMployMent ogier Michael little It is commonplace to see posttermination restrictions in contracts of employment. Employers expect and lawyers advise such restrictions are an essential part of the contract (particularly senior contracts) with protection afforded to the employer. That protection seeks to safeguard against loss of staff staff going directly to a competitor loss of clients and essentially protection from the misuse of confidential information and trade secrets. The time period applying to these restrictions is also key with 6 possibly 12 months considered to be realistic and a reasonable period (as the law requires). An employer may also rely upon the periods that have worked (but perhaps not been tested) historically. The employer may also believe if it works for one employee it will be the same for another. All of the above is an understandable approach particularly when attention is upon recruitment and the arrival of a new employee. What impact there will be when that employee leaves is not necessarily the focus. Of the usual restrictions put in place non-dealing and non-solicitation of clients and employees is perhaps the most clear. Confidentiality both during and after employment also has clarity but a non-compete restriction i.e. the prevention of an employee working for a competitor is the most invasive of all posttermination restrictions and the Court will scrutinise it with great care and detail. Specifically it is this evidential detail that will be essential in successfully enforcing this restriction. Therefore what is important to know First non-competition restrictions are enforceable in Jersey and can be upheld as an appropriate means of policing obligations to preserve confidentiality and prevent solicitation - but this will ultimately depend on the facts. Second the burden of proof is on the employer to show that the covenants are no wider than necessary and that they protect a legitimate interest. This means there must be clear evidence of what business interest is being protected. Even if an employee s new employer is held to fall within the meaning of a competing business and the duration of the covenant is reasonable if there is not a legitimate interest to protect a trade secret the contract may have no binding affect. This last point is perhaps the most critical. A distinction will be drawn between general knowledge and a trade secret. Only the latter can be protected and without sufficient evidence to identify this and separate it out from the employees general knowledge and skill the restriction will not be enforced. Third an enforcement period of 12 months is likely to be enforceable but is not definitive. Ultimately it is defined by the legitimate interest being protected. Taking this into account what is to consider and recommend When drafting a contract and reviewing the application of a noncompete clause challenge and articulate why such a restriction is needed in respect of what legitimate interest and what evidence you have to support that interest. Examples of the types of interest and how they could be evidenced would include trade secrets business plans company processes or other information that can be properly regarded as confidential and therefore capable of being protected. Also whenever a change in role or promotion occurs or when time has elapsed the covenant should be reviewed and the legitimate interest assessed for relevancy. Finally document this information for reference reliance and use in the future. Why Because if challenged at a later date a post-termination clause and the supporting documentation will be reviewed in respect of the interest being protected at the time it was entered into albeit in the context of whether that interest should still be protected at the date of enforcement. 34 MAY 2015 www.bailiwickexpress.com jsy CONNECT FEATURE LAW Your Business - How protected is it OR The Devil is in the Detail www.bailiwickexpress.com jsy CONNECT MAY 2015 35 FEATURE A modern workplace diverse family friendly and flexible. So says the new law. Is your business compliant by Zoe bloMField Managing partner and claire KinghaM senior associate viberts eMployMent laW teaM. 1st September 2015 saw the introduction of a range of legislation relating to sex discrimination and family friendly rights making it essential for employers to identify and tackle discrimination in the workplace and get to grips with employee rights relating to maternity adoption and parental leave as well as flexible working. Start with an equality and diversity policy and an action plan or strategy to back it up. Set dates by which you will carry out training with a view to improving communication and changing workplace behaviours. Review existing policies and procedures particularly in relation to recruitment promotion and redundancy to ensure that they are compliant with your equality and diversity policy. When it comes to recruitment informal procedures including limited advertising failure to provide a job description and person specification lack of standard application forms and standard interview questions are a recipe for a discrimination claim. This could expose businesses to reputational damage potential financial compensation awards of up to 10 000 legal costs and time wasted. To ensure that your equality and diversity policy and action plan are working for your business monitor your workforce by gathering individual personal information on the diversity of your potential recruits or existing employees and compare that information to other groups of employees in your business or the broader national market to get an accurate picture of your workforce and identify any inequalities you need to address. Diversity Whilst taking steps to comply with the new legislation may appear at first glance to be a time consuming and costly exercise there is a strong business case for equality and diversity in the workplace. People want to work for employers with good working practices and to feel valued at work. Diversity in recruitment and training ensures that a business attracts and retains the talent it needs to be successful in increasing creativity and productivity. Conversely perceived discrimination can lead to negative outcomes lowers job satisfaction and results in higher work tension and greater absenteeism. A diverse workplace opens it to new opportunities markets and ideas which will allow a business to improve its market share and broaden its customer base in particular amongst customers who value such diversity and fair employment practices. 36 MAY 2015 www.bailiwickexpress.com jsy CONNECT Family friendly In terms of family friendly rights the maternity leave entitlement offers a minimum level of protection two weeks compulsory maternity leave plus six weeks unpaid where the employee s length of service is less FEATURE LAW than 15 months and 16 weeks where the employee s length of service is in excess of 15 months. Many large employers are likely to have in place maternity benefits well in excess of that now offered by the law. Small employers particularly those who do not have the benefit of employing HR personnel will need to familiarise themselves with the provision of the new legislation. In addition they will need to ensure that they have the necessary policies and procedures in place to prevent them falling foul of the law. The new legislation offers clarity to employers and employees in terms of what should happen when an employee wishes to return early from maternity leave what is appropriate in terms of keepingin-touch and contact between the employer and employee whilst the employee is on maternity leave. Many small employers will benefit greatly from this as in our experience difficulties frequently arise in this area because the employer is unsure as to what is appropriate in terms of contact whilst an employee is on maternity leave. Statutory parental leave is a huge step forward for Jersey in terms of family friendly rights and will positively impact on many families particularly those where the parents are unmarried or one of the parents is not the child s parent. We have an increasing number of different family structures in our society and it is right that legislation is enacted to protect those family structures. We must remember that whilst family friendly rights were first introduced in the UK over 40 years ago it was only in the last five years that Jersey recognised the right of illegitimate children to inherit from their father where he did not make a will providing for them. The decision not to introduce shared parental leave at this point is in our view a sensible one. It can only be advantageous to Jersey to wait and see how shared parental leave which was introduced in the UK in April of this year progresses and review this as an option for us at a later stage. survey of over 3 200 women by the Commission in which 11% of the women interviewed reported having been dismissed made compulsorily redundant where others in their workplace were not or treated so poorly they felt they had to leave their jobs. If replicated across the population as a whole this could mean as many as 54 000 women losing their jobs each year. The survey is the largest of its kind with a total of more than 6 000 mothers and employers across Great Britain taking part in interviews about their experiences and practices. The local Employment & Discrimination Tribunal is gearing up for the Discrimination Law and the new amendments to it. It has employed new Chair people and increased the number of Tribunal rooms. It will be an inevitable consequence of the new law that more employment claims are brought against employers and given the nature of the new protected characteristics it will be more difficult for employers to know that they are discriminating. Something as simple as asking a prospective female employee if they have children could potentially become a problem in the future. Whilst there may be a lot to take on many organisations including Viberts are offering free training sessions to endeavour to assist businesses to ensure compliance with the new law. 37 Flexibility The flexible working provisions provide for a statutory procedure which again gives a degree of certainty as to how such matters should be handled. The decision not to extend the right to request flexible working to all employees just those with care responsibilities is in our view a good one given that the legislation is aimed towards families. It is very interesting to note that The Equality and Human Rights Commission reported in July 2015 that new research suggests that around 54 000 new mothers may be forced out of their jobs in the Great Britain each year. These findings are based on a www.bailiwickexpress.com jsy CONNECT MAY 2015 FEATURE Wealth Planning goes back to the future FINANCE by david dorgan partner and groUp head appleby jersey private clients and trUsts 2015 sees the 30th anniversary of the original Back to the Future motion picture and rather disappointingly we have not seen the introduction of flux capacitors flying cars or even the hover-board. So what has changed since 1985 Attitudes have changed. The Thatcher years have ended but the consequence of those years was a sustained period where the economies of first world counties generally boomed and as they did big businesses and some beneficial wealthy sought to lower (at best) or evade (at worst) their tax responsibilities. Since the onset of the global recession indebted governments require every penny of tax owed. Consequently offshore finance centres have been too readily used as scapegoats for political expediency by leaders of world economies who have been clamping down on tax evasion and avoidance. However governments focus of ending tax avoidance and evasion does not change the genuine reasons the wealthy look to offshore structures. Indeed with client due diligence automatic exchange of information and public beneficial ownership registers we now live in a world where transparency is a fundamental aspect of our lives. Putting aside Orwellian thoughts wealth planning has and continues to return to a time where offshore structures are not fundamentally driven by tax reasons but to preserve and enhance wealth. Typical examples for establishing structures are the size and dynamic of the family requires third party professionals who are neutral in the family s affairs and can act in the family s best interests as a whole the wealth is so vast it requires full time management for its distribution for specific charitable aims (for example the Bill & Melinda Gates Foundation) the wealth is so vast it requires fulltime management and careful planning for different branches of the family and each branches future generations for entrepreneurs to structure their business affairs during their lifetime whilst taking practical measures to ensure their businesses descend to their family to keep the multi-generational family business within the family for future generations to educate minors or care for those who suffer from a disability or addiction the political and or social instability of certain countries within which people reside the risk of kidnapping or assassination of family members. Successive reviews by the International Monetary Fund (IMF) have confirmed that the Crown Dependencies have a very good story to tell it being previously accepted by the IMF that Jersey has been the most compliant jurisdiction in the world with modern international standards. Furthermore economist Professor James Hines is of the opinion that offshore finance centres generally promote good government and enhance economic growth elsewhere in the world. This combined with the political stability comprehensive laws strong judiciary professionalism and integrity of finance professionals means that the islands are an ideal place for the wealth planning clients. The wealth planning industry continues to live in a time where offshore finance centres are scapegoats for onshore economic problems without looking at the facts or the real root of the problems. The true fact is that there are genuine and essential reasons why a wealth planning industry exists and that industry continues to exist in a time where offshore structures are not fundamentally driven by tax. 38 MAY 2015 www.bailiwickexpress.com jsy CONNECT Recapture the excitement of being in a job you love. Call us or chat online to our experts to discuss roles that might suit you best whether you are looking for the next step in your career a specific challenge or flexible working hours. Perm & Temp Employment Executive Careers Graduate Services Salary Survey Psychometric Testing Pre Employment Screening Call 626777 www.rowlands.co.uk jobs rowlands.co.uk Trinity House Bath Street St Helier JE2 4ST FEATURE RECRUITMENT Staying Ahead of the Jersey Headhunting Game Headhunting or more formally known as executive search is playing an increasingly prominent role in the Jersey job market with growing numbers of UK-based agencies approaching talented sought-after individuals for the most high demand roles in the Island. Headhunters play an intermediary role for their clients companies scouting out potential candidates across any given industry making contact with them and trying to rally interest for the company they represent. High-end executive search firms work on a retained basis with their clients while other headhunters only receive their fee on securing a successful candidate. The dawn of social media and an unprecedentedly mobile job market has altered the face of headhunting fundamentally. What was previously a matter of a phone call to a tight knit circle of personal contacts has now evolved to a more open approach where prospective candidates are found through a variety of digital platforms and rarely through direct references. Knowledge of the local job market has always been essential but recruitment in some sectors relies less on networking now. After all in a competitive market it s difficult to know who exactly to call when everyone is looking for the same candidate or is trying to retain them This shift from a personal approach is illustrated by the fact that most headhunting firms operating in Jersey are UK-based. Jersey has 40 developed somewhat of a reputation as being up for grabs in the headhunting world given its size with a job market which is experiencing high growth but only has a limited pool of experienced candidates. This is especially the case for the very high level positions and in the most innovative industries such as digital. The world of headhunting is a bluntly pragmatic one in many ways. Particularly for those who are not on retainer or aligned to a particular client company surviving in a competitive market means anyone and everyone is fair game in securing recruitment. While some headhunters can and do build up a client relationship employers must be mindful that there can sometimes be a conflict of interest especially when sourcing in such a captive job market. Given this is a highly targeted service the fees for headhunting firms are often higher than for local agency work and by turning to the UK for these services all revenue is directed off-Island. While disappointing from a local economy perspective it s understandable that with a relatively limited pool of candidates employers want to use as many methods as they can to secure the best talent. As an employer it s important to understand exactly what headhunting entails but it s also crucial that candidates fully understand what headhunting means for them. The ease with which candidates receive information about a new opportunity (which they weren t necessarily looking for or probably wouldn t know about without the headhunting contact) is clearly an advantage for them. Receiving a phone call from someone enthusiastic about your professional qualifications and extolling your potential is obviously an exciting prospect and of course having options open and presented to you is part-and-parcel of rising through senior positions or possessing a rare skill set. Candidates must keep a clear head about it all however. While some more reputable headhunters are genuinely interested in your professional trajectory for others you are just one name on a list of people mined from LinkedIn and other databases. While a headhunter will present the opportunity in question as particularly special or rare you also need to be very clear about your worth as a candidate in the current job market. Explore other avenues and ensure that you keep every door MAY 2015 www.bailiwickexpress.com jsy CONNECT FEATURE open as it s very likely there are other businesses interested in your skill set if you re looking for a new position. It s also important to ask whether you actually want to leave your current position. It s one thing when you have little job satisfaction and the suggested role is the push you need to explore new horizons it s another if a headhunter has made you question your current position for the first time. Ask if it s because you re unhappy with your current work or if it s because they sold the new role to you well. Remember that their responsibility is to their client first and foremost. Sometimes headhunters will give their client the impression that the candidate got in contact with them first a number of Jersey companies have stated that UK headhunters have done this only for the truth to transpire at interview. This can be particularly problematic in a small market where poaching between companies can get personal and political very quickly. While it s clear that headhunters are playing a growing role in Jersey and this development is entirely understandable and to be expected given the Island s current job market both employers and candidates must take a well-rounded view of what it is exactly they re getting out of the service. Having loyalty from your recruiter is assuring. Rowlands don t headhunt because this would inevitably mean that at some stage we would be taking candidates from client companies. Being based in the Island we are attuned to the nuances of each industry and understand where when and how to recruit successfully. We are also committed to our candidates and their longer term prospects and see our service to them as a huge part of what we do. It s safe to say that headhunting is here to stay but it s important nobody loses their heads playing the game Managing director roWlands recrUitMent by jeralie pallot www.bailiwickexpress.com jsy CONNECT MAY 2015 41 FEATURE TELECOMS Reaching new heights in customer insight by staFFord hUnt head oF coMMercial developMent at jt groUp liMited With 75% of people claiming that a week without Wi-Fi would leave them grumpier than a week without coffee (Source Iconic Displays) the news that free WiFi has been launched on Mount Fuji to allow climbers to send selfies and update their social media mid-climb should come as no surprise. It s just the latest destination to choose to offer its customers an important on-demand service (even at heights of 4 000 metres) however as a business have you considered the potential return on investment Would you like an enriched view of your customers and information to help you make key business decisions Well installing Wi-Fi might just be the answer. Check into any hotel and you can expect to be automatically given the Wi-Fi code along with your room key. However visit a department store and you might be surprised when logging onto their Wi-Fi and providing your details to receive an automated welcome message on your mobile device with money-off vouchers. That s all set to change as more and more businesses particularly those in retail and hospitality begin to harness the power of emerging Wi-Fi technology and interaction between businesses and guests users increases. JT has provided managed WiFi solutions for some time to customers across sectors. However we ve now gone a step further in enabling them and new customers to benefit from the latest advances in improved customer engagement and analytics through a partnership with market-leader Purple Wi-Fi. And 42 MAY 2015 www.bailiwickexpress.com jsy CONNECT that same technology is also now being piloted in JT s own Jersey retail store with an objective of continuing to support JT s drive for an improved customer experience and the highest quality of customer care. Purple Wi-Fi is a solution which provides guest Wi-Fi hotspot software and already boasts 3 million users across 134 countries. It allows customers to gain access to a public Wi-Fi network through their existing social media accounts or via completing a short form. But it also does much more whilst the user gets access to family-friendly Wi-Fi the business hosting the service also benefits. Through this unique software they can access valuable analytic insights into the profiles and movements of their customers whilst also having the ability to access a sophisticated built-in marketing platform. It is this rich customer insight that is driving our own trial in our Queen Street store and we have also already used it to power community events like Jersey Live and our presence at key business events like the Institute of Directors annual debates. We hope that through understanding how our customers behave in our stores we can better map out our layout and our available staff to ensure we meet their needs quickly and efficiently. Liz Swain heads up our retail division which welcomes over 2 500 customers each week in Jersey. She said that while the emphasis is on providing our customers a free but valuable service during their visit with us this new Wi-Fi software will also enable our retail team to better understand how our customers shop with us. She said FEATURE We re very pleased to enable free Wi-Fi in our shop as a benefit for our JT customers to enjoy. However equally important to us is the data we can access (on a confidential basis) in terms of helping map how our customers shop what platforms they use whilst in store so giving us an opportunity to tailor their shopping experience in the future. Facebook Snap Chat and Twitter are the most popular so far and as our trial extends we also aim to trial realtime offers tailored to their needs. Although it s early days trialing and using software like this will certainly help us shape our retail experience of the future and ultimately continue our journey of improving our relationship with customers. Once we gather and analyse this information we hope to use it in a number of ways. From improving our queuing system to enhancing account information through CRM interaction and indirectly in time a further developed level of personalised customer service where each customer feels they are unique. When customers login to our Wi-Fi through their social media accounts we re able gather these insights so that in real-time we can understand customer demographics and behaviour such as how when and why they move around a physical space. In September we ll also be taking Purple Wi-Fi to Jersey Live where we ve always made Wi-Fi freely available however this year we hope to take it one stage further. Our guests will receive useful reminders about what s coming up next on the main stage and we ll be able to track their journey during the event. Another strong example of JT s leadership in this area is the Wi-Fi demand in Jersey which we saw during the NatWest Island Games. As Technology Sponsor JT were proud to make free super-fast Wi-Fi accessible across all the major spots venues. During the Games we saw over 85 000 Wi-Fi connections made during the six days almost 12 000 unique visitors who used over 2.1 Terabytes of data that s the equivalent of around 2 million photos and represents a huge demand Partnering with leading global experts like Purple is central to positioning JT as the partner of choice for global telecoms innovation. This particular partnership enables us to deliver fast and secure Wi-Fi for customers and addresses the key visibility and compliance issues around it. In addition to our global Cisco Meraki Wi-Fi hardware and solutions we are now presenting a very strong portfolio of solutions for local businesses whatever their needs. The Wi-Fi Alliance stated in 2014 that 71% of all mobile communications flows over W-Fi this is no doubt set to rise as even more venues become hotspots. In return for investing in providing a free service businesses like JT will start to develop real-time analytical insights gather customer demographic data and information on visitor footfall in turn that will enable them to enjoy all-important greater returns on their investment. 43 www.bailiwickexpress.com jsy CONNECT MAY 2015 PROMOTIONAL FEATURE Jersey Alzheimer s Association Helping people with dementia to live well Jersey Alzheimer s Association is here to support anyone in Jersey who is concerned about or living with dementia as well as carers families and friends. We raise awareness about dementia and campaign for easily accessible information and services for people with dementia. As an independent charity we work in partnership with Health and Social Services and other voluntary organisations. Jersey Alzheimer s Association is passionate about person-centred care which means seeing the person first rather than their diagnosis. Meaningful activity is also vitally important based on a person s wishes ability and potential. Introducing Sian WareingJones Counsellor and Family Support Co-ordinator Sian Wareing-Jones is an experienced and qualified counsellor having trained in both cognitive behaviour therapy and personcentred counselling. She has been awarded an MA for her research into carers experiences of dementia and is now undertaking a PhD which focuses on health care professionals experiences of caring. Sian provides the much needed Counselling and Family Support service for those with dementia and their families. Sian tells us... As soon as I started working with people with dementia and carers I knew this was for me. Looking after someone with dementia can be difficult both physically and mentally and it is not usually something we expect to have to do nor are trained to do. Similarly people with dementia can find things difficult. For both it can sometimes be hard to think straight but a counsellor can help people work through how they are thinking and feeling and help them find new ways to deal with difficult situations or feel stronger. It can sometimes also be about paying attention to what has happened in the past. For someone with dementia it can be really helpful to have someone to listen or to just be there with them. More about counselling... People can see a counsellor for just one session or a number of sessions over several weeks or months. These sessions usually last for about an hour and can be one-to-one for couples or families attending together. In counselling people are always in control of what they say and will never be asked to talk about things they do not want to discuss. More about family support... This is to help support families or individuals going through a difficult time. It can be for just a brief chat or for more practical support to help you understand the literature you may have been given or maybe visiting a relative in a care home. If we cannot help you we will always try to enable you to find the help you need. Sian is available to provide help if you or a family member has dementia or you think you or they may have dementia. Our counselling and family support services are free and you do not need a referral from your GP or the Memory Clinic. Appointments are held at our Hilgrove Street Centre but if this is difficult we can come to your home or any other convenient location. Our services include Office Drop-in Centre in Hilgrove Street St Helier - open from 10am until 1pm Monday to Thursday inclusive. Call in for a chat and pick up information leaflets. Tel 01534 723519 Website www. jerseyalzheimers. com and follow us on Facebook 24 Hour Answerphone Helpline 01534 443075 Friendship Group a monthly carers support group for families friends and carers. Meets every second Saturday at The Poplars from 11am to 1.30pm often with invited speakers. 44 MAY 2015 www.bailiwickexpress.com jsy CONNECT Sian can be contacted on 07797 907 753 ...or by emailing jaa.cfs hotmail.co.uk WE RE YOUR PASSPORT TO TRAVEL All you need for a good holiday cash credit and cover WORLD TRAVEL CURRENCY CARD A safe easy and cost e ective way to spend abroad. Online in-store or via our ATM HOLIDAY CURRENCY TRAVEL INSURANCE Single trip policies from as little as 9.99 For more information on any of our travel services please contact us or call into Broad Street post o ice today t 616616 e customerservices jerseypost.com www.jerseypost.com passport Jersey Post Limited is regulated by the Jersey Financial Services Commission in the provision of Money Service Business. MasterCard and the MasterCard Brand Mark are registered trademarks of MasterCard International Incorporated. The Card is issued by Wirecard Card Solutions Ltd ( WDCS ) pursuant to licence by MasterCard International Inc. WDCS is authorised by the Financial Conduct Authority to conduct electronic money service activities under the HYPERLINK http www.FCA.gov.uk register 2EMD 2EMD_MasterRegister.html Electronic Money Regulations 2011 (Ref 900051) Insurance products are arranged and administered by Cherry Godfrey Insurance Services (Jersey) Limited which is regulated by the Jersey Financial Services Commission in the carrying on of general insurance business. Jersey Post Limited holds a Class R licence under the Financial Services (Jersey) Law 1988. Jersey Post sta are unable to o er any advice on insurance business. All advice is provided by Cherry Godfrey in accordance with their appropriate authorisations from the Jersey Financial Services Commission. TECHNOLOGY Technology T The unstoppable rise of the smartphone oday more people in the UK use their smartphone to connect to the Internet than any other type of device. This is the first time that smartphones have risen above laptops tablets and PCs to become the communications device of choice for UK consumers. The figures released by Ofcom in its Communications Market Report 2015 show that for 33% of adults their smartphone is ... the most important device for connecting to the Internet. This compares to 30% for whom their laptop is the most important Internet device. Whilst you may not be shocked by the popularity of smartphones it is the speed of the smartphone s rise to the top of people s preferences that you may find surprising. Last year just 23% of BY LISA MCLAUCHLAN Head of Commercial Operations Sure people said that their smartphone was their most important Internet device and 40% said it was their laptop. Looking at the report which gives an excellent insight in to the way UK consumers use technology it appears that 4G has played a key role in boosting smartphone adoption. 4G users are more likely to go online more often than non-4G users says the report which goes on to say that 4G users are also ...more attached to their smartphones. This combination of 4G and smartphones is proving very powerful and is changing our behaviour the way we watch audio-visual content is changing as 57% of 4G users use their pocket devices for watching videos and films and even more over 50% use them for shopping online and banking. Google What s in a naMe It may have been announced quietly in a blog post last month but that didn t stop the news that Google is changing its name from travelling around the world in minutes. That Google one of the few company names that has made it into our everyday language is changing its name was never going to stay quiet for long - but now that we know Google is actually Alphabet does this mean the end of googling forever Unsurprisingly it doesn t. It would be an incredibly bold (some would say crazy) move had the company got rid of one of the world s most famous brands. Anyone worried that they would be alphabeting when they searched the Internet in the future has no cause for concern. The news as exciting as it seemed was essentially just a corporate restructure aimed at keeping the investors happy. For us humble users Google will still be the most popular search engine and it will remain tied to YouTube Android Maps and of course those moneymaking Ads. The new name Alphabet will be a holding company that will own a number of firms of which Google will be one. The other businesses will range from Google X with its driverless cars and drones to among others Google Ventures and Calico a health business. It is hoped that this will keep the investors happy because they ll be able to see more easily the non-search investments that Google Alphabet is making. One day (who knows ) the name of one of those firms could become its own verb. Now that would make Alphabet s investors happy 46 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT TECHNOLOGY Gadget poWer in yoUr pocKet Excellent value combined with superb power can be difficult to find in a smartphone but if they re the qualities you re after then you ll find both embodied within Microsoft s Nokia Lumia 635. Driven by the easy-to-use Windows Phone 8.1 the Lumia 635 is both a powerful workplace tool and a multimedia hub that keeps you close to your family and friends. At work you ll find you have a new personal assistant in the shape of Cortana who will make sure you are never late for an appointment or forget anyone s birthday. As you use the phone she will learn more about your specific interests giving you the information you need to stay on top of the job and living your life to the full. As Cortana assists you so Microsoft Office will make sure you have the tools you need to do the job and are able to keep everything together by constantly synching all of your devices with OneDrive. Every file is just a click away. Although phones are increasingly being used for activities other than communication at heart we still use them mostly for keeping in touch. Over 70% of the time spent using smartphones is for communicating in one form or another whether that be conversation email text or social media. Of course as that list shows smartphones have changed the way we communicate. Whereas once we used our mobiles for talking today 81% of users use their device principally for emailing and just 18% say that phone or video calls are their main form of communication. We know that Jersey has far higher 4G coverage than the UK and also has extremely high levels of smartphone use making a similar report invaluable to the Island as it tries to build a strong digital sector and develops plans for eGovernment. Unfortunately the data available on the Channel Islands communications markets is not as up to date as the UK data. When you see how quickly the digital landscape changes and how our behaviour changes as a result it suggests that more timely publication of this information would be helpful. w Technology Packing a 5Mp camera and a 4.5 screen the Lumia 635 takes quality photos and videos that you ll want to share with friends. Visit www.bailiwickexpress.com for all the latest technology news or subscribe to get the latest news straight to your inbox www.bailiwickexpress.com jsy CONNECT AUGUST 2015 47 Looking for more Technology News PICTURE THIS Up to end of July 2015 Jersey Airport has handled 860 862 commercial passenger an increase of 4.4% on the same period in 2014. Sea passenger numbers have also increased by 2% welcoming 453 525 travellers so far in 2015. There can t be many more important parts of Island life than ports the start end of holidays a welcome return after a tough business trip or perhaps that takes delivery of every single thing you eat each day . So kneel down and give thanks to the Ports of Jersey (just make sure you can still see the following pictures in CONNECT) PICTURES Gary Grimshaw 48 MAY 2015 www.bailiwickexpress.com jsy CONNECT PICTURE THIS A picture this.. with Ports of Jersey www.bailiwickexpress.com jsy CONNECT MAY 2015 49 PICTURE THIS Passengers arriving for the annual Battle of Flowers Parade were greeted with floral garlands to get them in the carnival mood Free Ice-Creams to departing passengers on busy Summer Saturdays having been proving popular with all age groups 50 MAY 2015 www.bailiwickexpress.com jsy CONNECT PICTURE THIS www.bailiwickexpress.com jsy CONNECT MAY 2015 51 PICTURE THIS Jersey welcomed a number of visiting cruise ships this summer including Ocean Princess which visited the Island three times in August Visitors can now take advantage of the refurbished Albert Pier Pontoon making it more accessible for visiting yachtsman and cruise passengers 52 MAY 2015 www.bailiwickexpress.com jsy CONNECT PICTURE THIS The eyes and ears of Jersey Harbours - Crew from Jersey Coastguard and VTS keep a watch 24 7 www.bailiwickexpress.com jsy CONNECT MAY 2015 53 LINKEDTO Home People Contacts Groups Jobs Inbox Companies More People Moira Ashby ASSOCIATE DIRECTOR CORPORATE HAWKSFORD What are the greatest challenges and opportunities in your role Hawksford has traditionally been known as a private client focused business but we are keen to change this perception to reflect the true nature of the range of work we do. Hawksford has the experience and expertise of working in the corporate space but we have never shouted about it before. The company has realised its potential and talent in the corporate arena these skills combined with our client-centric approach make for a very interesting opportunity for the business. How do you motivate your team I try to lead by example and be both supportive and approachable. In my opinion an effective team is one where there is mutual respect and trust combined with good communication and this is what I aspire to be a part of. What s your remit at Hawksford I will be helping to define build and grow Hawksford s corporate business and my career experience will bring new dimensions to Hawksford s corporate team. The majority of my experience has been tax-focused however I have been lucky to get involved in a broad range of advisory projects over the years working exclusively with corporate vehicles including due diligence structuring and restructuring advice Sharia-compliant structuring transactions UK real estate fund reporting and more recently FATCA CRS advisory. 54 What attracted you to Hawksford There were several reasons for the move to Hawksford. Firstly the company is embarking on an interesting journey to redefine and expand its international corporate offering so it is a very exciting time to join. Secondly the people - I knew quite a few Hawksford employees before this opportunity presented itself and they were the best ambassadors for the company. What are you like to work with I believe I am hardworking reliable and fair but have been known to be too honest at times What motivates you I love a challenge and tend to work best when under pressure. I like exploring new avenues finding different ways of doing things or navigating through a complex technical area. What would you be doing if not your current role Whilst doing my PhD I considered a career at GCHQ in mathematics and cryptography before embarking on a very different path which led to a career in accounting and tax What is the best advice you have received If at first you don t succeed try harder AUGUST 2015 www.bailiwickexpress.com jsy CONNECT Tune in to Jersey s online radio station ...And best of all NO ADS Listen to six non-stop music stations at bailiwickexpress.com radio This is where music lovers in Jersey can listen to the best of the 60 s 70 s 80 s 90 s 00 s and very latest chart music. To listen via your mobile download the tunein App JERSEY NEWS & CLASSIFIEDS BUSINESS ADVISER Business Adviser GET IN TOUCH... If you ve got a business question you would like to put to John please email editor bailiwickexpress.com Time for Change Are you stifling the growth of your own company Y ou have labored long and hard to develop your own company. You have built it from nothing into a good business - but have you managed to take the next step and grow it into a great business We can all tell stories where businesses have grown from nothing to become incredibly successful but there are far more that have grown stalled and then gone backwards. For many the company is the owner s pension pot and he she has treated it as such. However if one simply had money invested in the stock market would flat-line growth or no growth at all be acceptable Would someone appoint a fund manager who was dabbling in areas in which they had little expertise Of course not. So why do many tolerate it in their own business Sometimes one needs to look in the mirror for the answers and some home truths. A business is usually created through innovation or finding a gap in the market. Entrepreneurs are typically very focused on their core business they are driven and work quickly. Those qualities are great for spotting opportunities and starting businesses but entrepreneurs often either keep tight control of their operations or allow the operational side to run riot. It is rare for an entrepreneur to have both the necessary drive and innovation and possess the right management skills to allow the operational side of the business (Finance HR IT) to function at the same level. A business owner expects their staff to play to their strengths why is the same philosophy rarely applied to themselves This sums up a common problem for private businesses - just because someone has a great business idea does not make them a great businessman. To allow the business to develop further should the entrepreneurial 56 owner hand over the CEO s reins to someone else Or seek expert guidance from outside his business Handing over the CEO s reins is one of the toughest transitions an entrepreneur has to make however failing to do so successfully can act as a brake on business growth. As soon as a business grows to more than a dozen people then if one has not created a leadership or CEO role where the focus is on building a team getting people motivated and giving them a sense of direction the business will not grow and thrive. Decentralising control and devolving power to others is crucial to this process. Someone needs to be tasked with bringing some order to the chaos induced During that transition entrepreneurs often unconsciously tread on the incoming CEO s toes. This is to be expected but they must work together to allow the business to prosper with the owner taking a backwards step. The reporting lines and responsibilities need to be clear to ensure that employees and clients are not confused about who was in charge of what. The respective roles need to be clearly defined with usually the owner stepping back from operational detail and assuming the role of a strategic owner who could articulate a vision and direction for the company. Why is all this important The issue is far more fundamental than simply ensuring efficiency and growth. The key is value. If the business relies solely on its owner then what value does the business have if the owner wishes to retire If all the power rests with him then so does the majority of the value the conversation with the fund manager about investing the retirement proceeds then does not take place for a different reason not because the retiring owner is dabbling in areas outside of their expertise but simply because they have no funds to place. Putting the right management team in place in your business is only one of many steps that you need to consider when planning for growth and succession. The succession plan should be considered earlier rather than later. It is an essential part of your growth strategy. I have seen at Grant Thornton many clients come to us for advice within two years of their expected retirement date. This is too late as a significant amount of value may have already been lost. So if you want to continue to prosper act quickly and seek advice early. 7 o Columnist JOHN SHENTON Grant Thornton Business by the rapid growth of a successful startup. But there is a problem having built up and cared for the company day and night the entrepreneurial owner will struggle to stop themselves from taking CEO-level decisions. Having founded and created their business it becomes part of their identity. Owners sometimes talk about their business as one of their children. Accepting that someone else needs to make the day-to-day decisions is a significant step change but necessary to allow the business to flourish. Employees need to be able to take the initiative or contribute to the development of the business this is usually difficult if the owner retains all the controls. AUGUST 2015 www.bailiwickexpress.com jsy CONNECT Would you work with this business TWITTER FACEBOOK LINKEDIN Put a face to your business. We all know the importance of creating a good first impression. At Photoreportage we bring fresh photography to the world of advertising and PR. Working with many of the Channel Islands top corporate companies to produce high quality images that not only support their communication and creative teams but enhance the perception of their business. If you re looking to raise your profile... Contact Gary Grimshaw on info photoreportage.co.uk or call 01534 858 571 COR PORATE C OMM ER C IAL WEDDING JOURNALISTIC Y Unplugged In each edition of Connect we enable someone in the news to speak directly to you in their own words... Unplugged. What you are about to read is a transcript beyond minor changes to punctuation and syntax to aid clarity these words come directly from the person who uttered them. Ok so when you ask someone with the surname of Shenton for their views you can expect them to be...how shall we put it...clearly expressed Well this month s Unplugged is certainly no exception. Ben Shenton stands purposefully at the crossroads of politics community and financial services being a former Health Minister and the current Managing Director of TEAM Asset Management as well as being the President of the Channel Islands Cooperative Society. So given that mix of roles we thought he might have something illuminating to say both on the future for financial services (and specifically regulation) but also on the approaching annual deficit of 145m in public finances and the plans put forward by the Ministers to fill it in with a mixture of cuts and new taxes. He did. So if you re sitting comfortably we ll begin. BenShenton o Photography By Glen Perotte Adapt or Die James Filleul How has the financial services sector changed since you went into it in 1978 BEN SHENTON What has happened is due partly to regulations the banks and other institutions have started treating their customers like tick boxes. They don t offer the personal service. They re quite rude to them in many instances when it comes to making sure they have the due diligence and there s absolutely no common sense behind some of this due diligence. I ve grown up in a world that s gone from the sort of the Captain Mainwaring bank manager to one that is very much compliance-led from a world where freedom of expression has largely gone and now everyone is guilty until proven innocent whereas in fact I would like to go back to everyone being innocent until proven guilty. Got a story to tell Get in touch email us at editor bailiwickexpress.com UNPLUGGED JF Where does that leave Jersey s competitive edge BS Well where we do have an edge is in the ability to structure more complex deals in ways that are efficient without breaking any tax or compliance laws. What that means is that you need personnel within the finance industry of a certain educational standard and any society will only actually produce a finite number of people of a particularly high standard. As a result of that the industry is lacking the resources to fulfil certain key roles and to be quite frank we re coming to the stage where we have to decide whether we re going to be an international finance centre or not. Because if we are we need to open up the doors to the people that we need to push the finance industry forward which means more immigration in respect of highly qualified individuals that can do specific tasks. People that we can t source locally in sufficient numbers. JF You started work in finance in 1978 in Jersey would you do that today BS Well back in 1978 there were probably seven or eight reasons why would you do business in Jersey. For secrecy for confidentiality for the tax reasons for the fact that there were few questions asked and so on and so forth. 60 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT Over the years all those have been eroded to the extent where to be honest we could take this business and set it up in Winchester or somewhere else because we could still look after our non-dom clients through doing something clever with the overseas custodians. So we don t actually have to be in Jersey. The only reason that TEAM is in Jersey is because I was born in Jersey as were most of our staff. There is no advantage and Jersey needs to realise this. It s all very well saying that we re going to be better (at regulation) than everyone else but to give you an example if the world tells you jump out of the first floor window it s fine if you jump out of the first floor window but if we re going to be so stupid and say we re going to do much better and we re going to jump out of the third floor window instead then you re going to kill yourself. Sometimes I get the impression that we re looking to kill ourselves as a finance centre. JF Why is that BS I think when you grow up on an Island you do have this strange Island mentality when you become involved with the micro part of life. You know it appears that one of the Ministers was heavily criticised because he was running UNPLUGGED b his department and deciding what went inside the goodie bags at the Battle of Flowers. You know when you re a politician you re in charge of strategy the high level stuff but all our politicians they micro-manage and I think this is true of most of government. It micro manages and it s true of the regulator as well. The regulator itself becomes too involved in the minutiae of business rather than looking at a more holistic level. JF But if you don t pay attention to detail mistakes will be made. BS It s not the job of the regulator to make sure that there is no dodgy business at TEAM. It is my job as Managing Director to do that and providing the regulator makes sure that the compliance culture at the top of every firm is there and every firm is run well then the regulator doesn t need to come in and micromanage. It s making the regulator too expensive and it s putting too much pressure on business. JF Doesn t that put a dangerous level of trust in the senior executives BS We ve had an awful lot of regulation over the years which means that if something happens at TEAM there s a good chance I m going to end up in La Moye Prison. Now that is a fairly strong incentive to make sure that I can have a lovely retirement with a lovely new hospital which is earmarked to go next to the Castle Quay site and I can lie on my death bed thinking I ve done really well and my legacy to my children is probably a 40% tax rate things are run properly here. Now if you need to go beyond that and say as a government ...not only do we have to threaten to lock up people that don t have the right culture but we re actually going to go in there and micro manage their businesses too that s not right. There was a recent case which I was very concerned about. What you have to make sure is that we don t criminalise incompetence. Being incompetent is not a criminal offence and it should never be a criminal offence. If incompetence was a criminal offence a lot of our politicians would be in prison. What this particular case did was it seemed to try and criminalise incompetence and it brought the criminal bar down to such a level that it would have made it quite dangerous to be a financial services company in Jersey. They ve put up the fees for the investment business significantly because the number of investment businesses licences on the Island has www.bailiwickexpress.com jsy CONNECT AUGUST 2015 61 UNPLUGGED dropped. As a result we have to pay more to the regulator in fees. Now actually if the number of licences has dropped you would have thought there would be some adjustment to the size of the regulator. If you were running a business and said ... all the customers aren t coming in this week we re not making as much money so let s put all our prices up you wouldn t have much of a business going forward. Our competitors at TEAM are probably going to be people like Apple and Google and other entities because they will eventually move into the investment management arena and where you re placed as an investment manager will become fairly irrelevant and this is what Jersey has to watch out for. What Jersey has to do is carve itself a niche where it can offer something that is specific to Jersey. JF So we have to re-define how we approach financial services BS Exactly. What we need to do is have businesses within Jersey that can compete on their own grounds not hiding behind any local legislation and on that basis you need an environment which is conducive to setting up business. Now when we were setting up TEAM we had to wait to get our permit because the chap who dealt with that had glandular fever. Government doesn t seem to realise is that the world is changing and it s changing fast. Gone are the days when you can rely on Jersey as an entity to attract business you now need to have individuals attracting business and individuals building businesses. JF Let me take you on to the deficit what s your view of the former Treasury Minister saying there is no black hole 62 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT BS Well there is a black hole. On a personal level if your expenditure exceeds your income then it s only sustainable for a short period of time. If you re a government you can sustain deficits for a long period of time because what you do is you run your government almost like a ponzi scheme in as much as you just keep building up the debt for the next generation to pick up. The question is do we want to take action now and sort this out One of the last speeches I did before I left the States was called adapt or die which basically said either the States adapts to the way it does its spending or we die and that was back in 2011. We ve done no adapting so far. The part of the problem is the people charged with cutting down the deficit tend to look after themselves before they look after the Island. There s lots of areas where efficiency can be made. I mean there s not that many countries in the world that run the telephones the Airport the ports the Opera House the sports centres the schools the Hospital the parks the gardens the gift shop in the post office the electrical retailer up Queen s Road. I don t think even communist countries would go that far. The senior management that are paid to do the changes are well rewarded and they hide behind the Unions and that has to stop. The Unions allow themselves to get used because they know if they can stop cuts being made they protect themselves. The fat cats within the public sector have been using the Unions and the Unions need to wake up to that. JF Has the Council of Ministers got it right with their package of cuts reforms and new charges BS No they haven t. I dug out an old Jersey Evening Post cartoon and it was myself and Chris Swinson (former Comptroller and Auditor General) who had just produced a report on States inefficiencies and how inefficient it was run and I d done my adapt or die speech - we re peering out and all the ministers are walking off in the other directions because they don t want to get involved. Of course Ian Gorst is one of those people that didn t want to see any cuts to his Social Security budget back in 2011. I sat down with Chris Swinson we both ended up leaving the political arena about 2011 and I remember having a coffee with him and saying ...it s a little bit like watching a car crash waiting to happen but you re absolutely powerless to do anything about it and the car will crash we ve probably got about two or three years before the car crashes. JF But the Ministers are proposing a substantial cuts programme BS We ve had substantial cuts programmes in the past but we ve never had the substantial cuts. JF So you don t think this one will be followed through BS Not if you re looking at it on the evidence on what s happened in the past and certainly when you re analysing a company you look at that company and how it s performed in the past as a guide to how it goes forward there is absolutely no evidence that the people in senior management roles within the public sector have the ability or the appetite for cuts. JF And what about the new charges BS Well they will certainly come in. JF What about borrowing potentially for the new hospital to add to the existing housing bond. All governments do it why not Jersey BS If you borrow money you have to pay it back. JF You don t though do you. Many governments just roll it over. BS Well you can do but ultimately with any ponzi scheme you run out of people to pay. Now we can borrow our way of this. I can have a lovely retirement with a lovely new hospital which is earmarked to go next to the Castle Quay site and I can lie on my death bed thinking I ve done really well and my legacy to my children is probably a 40% tax rate and the legacy to their children will probably be a 50% tax rate. Now morally I don t think it s right. END VIEWPOINT E Viewpoint We all want to recruit the best people. WHAT are the three things we do to make sure we get them vieWpoint pUts ForWard a Key QUestion Facing one oF the island s Main indUstry sectors and then a groUp oF leading practitioners give their taKe on the ansWer and What it Means For jersey. iF yoU WoUld liKe to be inclUded in a FUtUre panel oF eXperts jUst eMail editor bailiWicKeXpress.coM 1. Before recruiting it is crucial that we truly understand the business we are in its strategic direction financial situation desired corporate culture. We also need to gain a thorough understanding of specific teams looking to recruit. We want to know what makes them tick and what would make a person ideal for the required position not only in terms of qualifications and skills but also specific behaviours and personality traits. This process empowers us to identify and attract the right people. 2. It s not all about external recruitment. We look at the talent we have already got and assess what we can do to help them progress and grow professionally. Once you ve got fantastic people on board you need to try to hang on to them so it s important to keep an eye on their job satisfaction whether they want need further training and whether they want to move up the ranks or to a different part of the business. This level of professional support is a strong selling point when recruiting and is vital for retention. 3. Rather than just waiting until there is a vacancy to fill we go out looking for the types of people we might need in the future. We are interested in speaking to people who might not be ready to make a move yet but think they might like to in six months or a year s time. We want to have those conversations now. Then it s a case of staying on first name terms until the time is right. Helen Baxter head oF talent ManageMent First naMes groUp rather than jUst Waiting Until there is a vacancy to Fill We go oUt looKing For the types oF people We Might need in the FUtUre. We are interested in speaKing to people Who Might not be ready to MaKe a Move yet bUt thinK they Might liKe to in siX Months or a year s tiMe. 64 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT VIEWPOINT We provide a diverse range of services across a number of different sectors so the scope of work is varied and interesting and this means to provide the best service to our clients we need to be dynamic creative and innovative. Therefore we aim to attract people from a variety of different backgrounds and we do the following three things to make sure we get them overlooked too. For a person leaving education we offer a fantastic opportunity to acquire a globally recognised professional qualification while gaining invaluable work experience. We promote flexibility and wellbeing striking a healthy balance between lifestyle and work is something we are committed to supporting. More and more people are looking for flexible working to meet the needs of changing lifestyles and family. As a firm we believe flexibility and wellbeing is a huge attraction for talent as well as a core platform for retention. Jason Laity Managing director KpMg channel islands liMited We offer rewarding roles and international opportunities - as a global network of firms we offer people the opportunity to further broaden their horizons by working in different countries and experiencing different cultures. We currently have people on international assignments in Hong Kong New York and London to name but a few and one of our senior managers is about to leave for a secondment to San Francisco. We invest in training and development providing the right balance of technical skills but ensuring that personal development and non-technical learning is not Wellbeing We proMote FleXibility and striKing a healthy More and More people liFestyles and FaMily. balance betWeen liFestyle and WorK is soMething We are coMMitted to sUpporting. are looKing For FleXible WorKing to Meet the needs oF changing Helen Seery head oF hUMan resoUrces MoUrant oZannes Using recruitment channels such as LinkedIn and the professional networks of our employees can be useful in helping us to fill a vacancy. However we recognise that the best candidates might not always be the ones who are actively looking for a new challenge at the time our advertisements hit the press. For this reason building and nurturing relationships with recruiters and executive search firms in each of our locations is a key approach we take to help us unearth the top talent. When recruiting the best people it is important to be clear of the strengths you are looking for in a candidate. It is no good hiring someone who is exceptionally talented at doing something if it doesn t match with the skills gap that exists in your organisation. We take time to identify candidates that possess the skills experience and approach that we need. And finally our people tell us that the work we do and our collegiate and supportive environment helps us to stand out in the market as an employer of choice. Our reputation in the legal world and the obvious opportunities that exist from working with us are the two reasons most frequently cited by new starters for joining Mourant Ozannes. When recrUiting the best people it is iMportant to be clear oF the strengths yoU are looKing For in a candidate. it is no good hiring soMeone Who is eXceptionally talented at doing soMething iF it that eXists in yoUr organisation. doesn t Match With the sKills gap We taKe tiMe to identiFy candidates that possess the sKills eXperience and approach that We need. www.bailiwickexpress.com jsy CONNECT AUGUST 2015 65 VIEWPOINT Having a set of protocols in place that covers minimum qualification levels and the track record of previous firms and work is all pretty standard stuff these days. Any interview should be a two-way process where both parties really have to understand whether you will get the best out of the new hire. They also test whether the culture and environment you have will really allow them to excel and perform at their best. You then layer on the fact that a number of your new hires are likely to be coming from another country and that environmental aspect becomes even more important. The three critical steps for ensuring we get the very best new team members are as follows. 1. Have a structure in place for the hiring process so those involved are prepared know what it is they need to test and look for and most importantly have engaged with the process. At Rosscot we truly believe the interview is a two-way process and that the candidate will be assessing us as much as we are assessing them. Our interviewers are trained as we want potential candidates to have an enjoyable experience and to leave the interview enthused by the role. Our people will always take the time to share their passion for the company and this can send a powerful message to potential employees. We are constantly re-aligning our proposition to ensure that we recruit the best people. The first thing we do is identify what we need. We do this by looking at our existing resources and evaluating how they currently measure up and whether they will be able to fulfil our future requirements. Identifying the gaps helps us to visualise what a high performer would look like and enables us to clearly define the role. The type of person is equally important. Not only do they have to have the right 2. Get the team that the new hire will be joining involved in the recruitment process to really test if there is a connection and mix the hiring process up a little with informal lunch coffee chats as well as the more formal testing. This allows for a little spontaneity and flexibility in the process. 3. When you know you have the best candidate move quickly to secure them and invest time in the onboarding process to make them feel part of the team from the very start. Raulin Amy ogier partner have a strUctUre in place For the hiring process so those involved are prepared KnoW What it is they need to test and looK For and Most iMportantly have engaged With the process. technical knowledge but they have to be a fit for the team and promote our values and ethos. In truly understanding what it is we need we are able to write a relevant job description and person specification and have a clear selection process. We clearly differentiate the opportunities at Rosscot from those of our competitors. Depending on the role our value proposition might range from job rotation to non-financial benefits professional development and real opportunities for individuals to shine. Patricia Redmond practice Manager rosscot chartered accoUntants We trUly believe the intervieW is a tWo-Way process and that the candidate Will be assessing Us as MUch as We are assessing theM. oUr intervieWers are trained as We Want potential candidates to have an enjoyable eXperience and to leave the intervieW enthUsed by the role. 66 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT VIEWPOINT Charles Clarke thoMas and dessain The benefits to an organisation from the input of the right Non-Executive Director (NED) are beyond doubt. Industry experience a fresh and independent perspective and a strong network can all add value to the leadership team no matter how large or small the organisation. The challenge lies in choosing the right NED particularly when there is a requirement for him or her to be resident in an offshore jurisdiction. A NED is such an important role that selection should be driven by judgement rather than luck. The first step has to be defining clearly the skills experience and personal attributes that are sought and then select from a number of candidates who meet these requirements. In a small community it is also essential that potential candidates are given the confidence that their interest remains confidential until the last possible moment. In a way it is like match.com the higher the level of compatibility the greater the chance of a long term successful relationship between organisation and NED. A scientific approach to marrying the right candidate with the right organisation extends beyond the corporate and commercial world it is equally relevant to other bodies such as charities or public sector organisations seeking to enhance their governance by using external skills in a non-executive capacity. The combination of scientific analysis of the organisation s need and objective assessment of the candidate s ability to meet the relevant criteria creates a sound cultural match. For the organisation it will reap the benefits for the candidate the personal and professional rewards can be outstanding. a ned is sUch an iMportant role that selection shoUld be driven by jUdgeMent rather than lUcK. the First step has to be deFining clearly the sKills eXperience and personal attribUtes that are soUght and then select FroM a nUMber oF candidates Who Meet these reQUireMents. TAKE PART Would you like to be one of the industry experts contributing to Viewpoint If so please contact us via e-mail on editor bailiwickexpress.com SMALL INVESTMENT BIG REWARDS At Thomas & Dessain we know how to find the right people to meet your requirements. It is a small investment that can reap significant rewards. Call Charles Clarke or Rosy Dessain on 888345 to find out more about how we can help you. www.thomasdessain.com An experienced Non-Executive Director can make all the difference to your business no matter how big or small. www.bailiwickexpress.com jsy CONNECT AUGUST 2015 67 WHO S THE FOOL Who s The Fool Reality is too taxing for the populists o Illustration By Mark Jackson A recent Freedom of Information request from our friends in the People s Front of Jersey (or is it the Jersey People s Front I struggle to keep up) has thrown up some interesting facts about inequality in Jersey. earnt over 100K and in total paid 174 million in income tax or 47% of the total. 45 654 people 75% of all taxpayers earned less than 50K and paid 24% of the total income tax take. So far and depending on your perspective so fair. You earn more you pay more. What is interesting however is to look at the average income tax bill for each of the bands. Now given that we are all entitled to the same level of services that our taxes purchase the vast majority of individuals appear to be getting a pretty good deal for their outlay. To misquote Monty Python sanitation medicine education public order irrigation roads the fresh water system and public health (plus a granite road surface to drive over in St Mary s) for an annual tax bill of 1 944 doesn t appear like bad value. Of course when you begin to reach the upper echelons of earners you are paying upwards of 24 000 (or in extremis 351 754) per head for the same services that a fair majority of those earning less than 50 000 per year actually get for nothing. (The average wage in Jersey is around 34 000 per annum on which the tax bill after allowances is likely to be negligible). But given the paucity Now certain inequalities are more obvious than others. Some live in palatial spreads with ocean vistas and get to drive the latest Italian supercars whilst others have to make do with something much more compact and much less bijou and get to take the bus. Where you sit personally on this particular axis will I m sure determine your concept of the fairness of society. The recent report no doubt requested by our comrades to justify their latest crusade highlighted something a little different however and that was the amount of income tax paid by people in differing income bands for the year 2012 (I m assuming no doubt due to the effects of austerity on public services these were the latest available figures). So what did we learn 533 people representing 0.88% of total taxpayers paid nearly 18% of the total income tax bill. 4 535 people representing just over 7% of taxpayers 68 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT WHO S THE FOOL predicated on completing a number of major projects and as such is a relatively short-term problem. If we decide to So what of recent ongoing proposals from our Popular ramp up tax rates for the fortunate few what happens a People s Front that says we ought to start squeezing few years down the road when our new hospital police the wealthy in order to fund our little fiscal difficulties in station and essential parish speed-calming measures are coming years An extra 5% tax on those earning over all complete Care to hazard a guess on the likelihood of 100 000 per year and the lifting of the social security cap a politician getting elected on a proposal to reduce the -what s not to like The majority pay no more income tax tax rates of the wealthy now that our outgoings match our income Governments match their Earnings Band Number of Taxpayers Average Tax paid spending to their 50 000 45 654 1 944 income and once 50 000 - 100 000 10 295 10 542 they get used to 100 000 - 200 000 3 396 24 172 higher revenue they find ways to 200 000 - 300 000 606 45 429 spend it. Which 300 000 - 400 000 198 66 036 unless I m wrong 400 000 - 500 000 105 85 911 is exactly the 500 000 - 999 999 171 130 762 source of our present problem. 1 Million Plus 59 351 754 (Cough. Average pay rise in the public sector last whilst the high earners have to make do with a little less year 4.7%. Average pay rise in the private sector 2.2%). Foie Gras with their pheasant and get a light shoeing into Whether it s information or economic promises if the the bargain for being so successful. government appears to be giving something for free it s of local media articles focussing on the wealthy decrying their tax bills they seem to pay with a stoic acceptance. If only it was that simple. always worth looking a little deeper. Other than at a stroke making our tax rates 26% for those earning below 100K and 31% on earnings over 100 000 (hello competitor jurisdictions have lots of our business) there are a couple of obvious problems with the supposed quick-and-easy way out of our problems. Firstly if you have the earning capacity to pay a big income tax bill you will find numerous jurisdictions willing to open their doors and make life easy for you to move. In population terms for every person who pays an income tax bill of 351K per year and decides to leave you need 180 more people earning less than 50K per annum to compensate for the loss of tax. Even if you take the average tax bill paid by all of those earning over 100K per annum ( 60 090 take my word for it I ve crunched the numbers) you d need 31 additional people earning less than 50K to make up the shortfall should one of them decide to take their earnings elsewhere. Now I m far from the brightest intellect in the room but our spending problems appear to be largely predicated upon too many people wanting to live here rather than too few. So implementing a policy that has the potential to scare off both the people who already pay more than their fair share and those considering moving here in the future and having to rapidly increase our population to compensate is not going to make things better in the long run. Will people decide to leave Who knows but who do you imagine will pay the heaviest price if they do (Here s a clue. It s not those earning over 100K per annum). Secondly our over-spending alarming as it is is largely WHO S THE FOOL Connect s insider in the finance industry sits at a desk somewhere near you. He s unspinnable unbiddable and very strictly anonymous. Don t expect marketing speak don t expect a rosy feeling inside and don t expect to like him (we re not entirely sure about him ourselves). Only expect this every month he ll bring you the unvarnished truth from the heart of the finance industry... DEFINITION The Fool A privileged position held at an ancient king or queen s court the fool was not taken seriously by the high and mighty but was the only person able to speak the truth to power. The Greater Fool Theory The belief held by one who makes a questionable investment with the assumption that they will be able to sell it later to a greater fool . www.bailiwickexpress.com jsy CONNECT AUGUST 2015 69 g Risky Business 2 words No Ordinary Day Job Ben Qu r e NO ORDINARY DAY JOB I f you don t think that security is a major issue for your business try to imagine working in the PR department at Sony Pictures Entertainment on 25 November last year just after thousands of emails and files were hacked by either North Korean intelligence operatives or disgruntled former employees. Or perhaps you d prefer to imagine working in marketing at eBay in the early part of last year at the time that 145 million accounts were compromised and supposedly private email addresses physical addresses phone numbers and dates of birth belonging to customers were leaked. Obviously that small stretch of water around Jersey doesn t protect us from similar attacks but how many local companies take adequate steps to ensure they aren t the next target Ben Qu r e set up a covert rendezvous with a local man whose job it is to keep them secure. hearts and minds ops in a warzone looking out for pirates from the deck of an oil tanker or covertly trailing drug dealers as they meet suppliers - and dealing with corporate security. But the key skills of assessing risk contextual awareness working under pressure and the ability to plan flexibly are the same as Lee explains. The business deals with bespoke security solutions and that s all-encompassing he says. We will focus on penetration testing and that can be electronically or physically and then from that we highlight and give recommendations to the company on exactly what we believe is best for their set-up to maintain the provenance of their company as a branded name. Then we can look to bring specialists in and put in place the recommendations that they choose. We will always give a belt and braces response but it s important for the company to make their own decisions. I m not here to sell fear I m here to educate people about a different kind of threat. He gently declines to explain how that penetration testing works in a practical sense - It would be a bit silly for me professionally to explain how to do it in a magazine wouldn t it but he says that it s the only way to get a realistic understanding of how a company works when you get beyond the policies and staff handbooks and find out how the people in the business actually behave and whether their behaviour is exposing their employer to risks. And Lee says that when businesses start to see the extent to which that penetration testing can produce results their response is always one of shock. He said We go in and say we can do x y and z . And their response is always no way . I don t do the technical side I ve got a guy that does that. There is always someone who can do something but we only tend to work with people who we know from previous careers and backgrounds which is important for provenance. And of course if we don t get what we were looking for we look to the positive side. I m not here selling fear to make money. If they re doing a good job and that s what our assessment says then that s what we ll feedback to them. Sometimes it s as simple as changing locks on doors. Sometimes its changing covert or overt cameras and sometimes it s a policy change. It can get tasty particularly the IT boffins. They don t like feeling that their job is under threat. But that s not what we re trying to do. We are trying to give them the education and knowledge and to give them the weight with management to put in place the things that in some cases they want to do. I m not here to compete with an in-house IT department. Look there s not ten different James Bond-types out there covertly running around Jersey getting data from people. But if it s a big enough deal or a big enough www.bailiwickexpress.com jsy CONNECT AUGUST 2015 71 We Will FocUs on penetration testing and that can be electronically or physically and then FroM that We highlight and give recoMMendations to the coMpany on set-Up to Maintain the provenance oF their coMpany as a branded naMe. eXactly What We believe is best For their You don t have to be a huge company like Sony or eBay to have to take security seriously. What if you run a small business in Jersey and an employee leaves taking with them your entire client list all your sales leads or your top account files Or perhaps your staff have been leaving the back door to your building unlocked during the day to make it easier to get in and out for a smoke break leaving files on desks overnight while cleaners are in the building or not checking ID of people delivering water or office supplies Like most other questions for a business if you want answers to these then you go to a professional. One of the few professionals in that field in Jersey is Lee Coote the Managing Director of Talis Solutions a firm that specialises in risk management. Lee started the firm after a career that has taken in spells in the Drugs Squad in the States of Jersey Police and as a Royal Marine in Afghanistan in 2010 and as a team leader protecting ships from pirates around Africa from 2012. Fair enough there s a difference between conducting NO ORDINARY DAY JOB looK there s not ten diFFerent jaMes bond-types oUt there covertly rUnning aroUnd jersey getting data FroM people. bUt iF it s a big enoUgh deal or a big enoUgh target don t be na ve enoUgh to thinK that the Water aroUnd jersey is going to be enoUgh to protect yoUr data. target don t be na ve enough to think that the water around Jersey is going to be enough to protect your data. Protecting your data is a far cry from what Lee was doing as a detective on the Drugs Squad or as a Corporal in the Royal Marines but exposure to those experiences and the training in those organisations clearly informs his work today. He says I did my time in the police over here I specialised in countering the illegal importation of illicit substances I was on the Drugs Squad. That involved inter-agency co-operation with Customs and also collaboration with the National Crime Squad. I did six years there involved in surveillance operations. As a detective in the Drugs Squad I have an investigatory background and I have experience with complex investigations and methodologies used by the police. Going on from there I went into the Royal Marines I worked in a specialist role as part of an Operational Mentoring and Liaison Team (OMLET) in Afghanistan in 2010 where I was mentoring and conducting Hearts and Minds operations. I did a linguistics course for that role and a specialist medics course and worked with several other nationalities and with specialists. The best way to describe Afghanistan is it s a group of lads going out there and doing the ultimate job with the ultimate training and having the ultimate fun right up until something goes wrong. And then I suppose reality hits. And you carry those memories for the rest of your life. That s sounding a bit depressing. Everything s just really surreal. When you come back from there you appreciate everything. You appreciate not having to sit constantly alert. Not having to worry about never seeing the people that you care about again. The transition has probably been the hardest thing that I ve ever done in my life. I wouldn t wish it on anyone. Every day in the Royal Marines it s like you re 18 again it s a bit like Disneyworld www.bailiwickexpress.com jsy CONNECT AUGUST 2015 73 NO ORDINARY DAY JOB iF yoU re operating a sMall teaM environMent everyone has to bring soMething to the table and everyone has to have a sKill set. yoU also have to be able to second-gUess and assess the What iF Factor. really. When you step out of the theme park it s a different existence. After the military I went into the private contracting side of things so I worked all across shipping that transits everywhere from the Red Sea and from Cairo down to Durban and up to Sri Lanka and to anywhere from Sudan to West Africa. That job is a risk management role but it had no mental challenge there was no problemsolving save from generic day to day issues. There was team management but all the guys were from the military so you didn t have to babysit anyone. The boom has hit that industry but I needed a mental challenge as well as a physical challenge. In 2013 I went to Pakistan and I worked on a project for an extremely high net worth individual teaching in a hospital in Karachi. It s a cheeky place there s a constant Taliban threat and a constant threat of bombing. But I ve met some of the nicest and some of the most intelligent people there and some of the people I ve most enjoyed spending time with. They love the British ethos 74 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT NO ORDINARY DAY JOB It s just a military type of thinking he said. If you re operating a small team environment everyone has to bring something to the table and everyone has to have a skill set. You also have to be able to secondguess and assess the what if factor. What do we do if the vehicle breaks down What if we come under contact It s general military methodology that they teach at a leadership capacity but that thinking is useful in civvy street in business you can apply it to everything. If you are prepared for the worst case scenario and you ve tried to guess every eventuality when something happens you can fall back into the plan. They always say that the best-laid plans don t survive first contact with the enemy. That s why you need that malleable way of thinking but if you can put something in place where you adjust if something happens and you have a strategy for it you can stop things falling out of hand you can stop that pregnant pause. On the ships it s about minimising the risk. It is not gun fighting at the OK Corral. It s not an Afghanistan scenario. It s risk management to keep insurers and charterers happy that s it. But what it does give you is experience of travel. It keeps you aware that sometimes there s more pirates on land than there are at sea It gives you more of a rounded character and experience. END www.bailiwickexpress.com jsy CONNECT AUGUST 2015 75 and the British way of life every day is a shirt-and-tie day. Maybe it s not quite the same with the Americans. What becomes clear from all of this is that the mental challenge is critical. What Lee brought back from the Drugs Squad Afghanistan and maritime security consultancy was not just memories and stories but a set of hard-wired skills of which he says the most important is analytical thinking. We advertised for new staff on Bailiwick Express and were really delighted with the number of excellent CV s we received in fact we got so many we had to close the campaign early. Express was really effective and delivered excellent value for money. Alistair J. Rothwell Bracken Rothwell Reach 1 000s of Jersey jobseekers for just 25 per week Getting the right employees is key to all businesses and our jobs website and email is just what they are looking for. If you need to recruit simply go to bailiwickexpress.com jsy jobs create and post your jobs online TODAY JERSEY NEWS & CLASSIFIEDS Today was a special day for me it is exactly ten years since I was headhunted for the first time sought out specifically because I had a skill set that a firm needed. I was not looking for a new position but the simple fact that I was being approached rather than trawling through the many recruitment notices was empowering. Obviously they wanted me. The only question was why it had taken them so long to know that they needed someone of my standout abilities and experience. I waited ten minutes before responding to the slightly cryptic email not wanting to look too keen and trying to appear vaguely disinterested. Their return email was an eye-popper for someone used only to working for a charity. There were attachments that included something called a benefits package. They would be paying for someone to take care of my health my teeth and my eyes. A bonus and profit share document looked good. So good I did wonder if it was really me they wanted. Finally a telephone number to call the man who would meet me and battle to secure my services. Actively working to lower my heart rate I telephoned. We chatted I was the very exemplar of cool and collected save for a sudden stutter and strange habit of leaving out key words from my sentences. No one noticed I am sure. Before signing off and having agreed a day and time to meet there came a question and of course you have partner experience. A little thrown I immediately regretted the recent break-up with a girlfriend. Clearly I was dealing with a conservative firm. Despite the immense skill with which I hid my ignorance of the term something in my voice must have betrayed me. He asked if I knew what that meant. I then made the fatal mistake when marketing oneself I told the absolute cold truth. I admitted the term was alien to me. On learning it meant working with a firm s partner structure I fired back that I did not have any experience of it. That was that. My show-stopping abilities were nothing against this void in my CV and the headhunting was over. I had failed the most basic test of marketing the self. Honesty is rarely the best policy when avoidance options are readily to hand. The partner test of course is ridiculous. In the main it is part of how some professional services support their belief that they inhabit a unique space that only the elite few can be part of or contribute too. An absurd belief but it is one they cling to with the need of those either insecure or deluded. Having worked across a wide range of firms from finance to law I like most marketers know that Y Marketing Forces o Columnist CHRISTOPHER JOURNEAUX the principles of marketing are key and product knowledge can be picked up swiftly. But that is not the point my readiness to accept defeat is. Why do so many of us struggle to market ourselves Having reviewed many CV s over the years and trained professionals on how to leverage professional benefit from LinkedIn I have many examples of individuals clearly not adept at prostituting their abilities to a prospective employer of client. This includes me. I was once asked by a recruiter if I actually wanted a job because your CV is insipid and devoid of life. So what makes it so hard for any of us to market our skills to employers colleagues and perhaps even ourselves Simple actually. We have all forgotten the very basics of marketing. These can be stripped down to the following The product us the market the sector in which you fancy working the communication a huge list of options and the packaging the bit where gaps and flaws are segued smoothly into strengths and skills . To start then is to understand you as the product. Honesty is not required here (although lies are not wise) rather a simple re-imaginings of facts into a usable form. Whilst there is little merit in becoming a ninja in your sector so irritatingly common in LinkedIn there is space to look in on yourself and consider what your target employer might want. Dump the rest no one cares but your mum. Then which employment segment is right for you Prior to being dropped from the headhunting process I managed to ascertain the name of the firm and review their website. Although caught up in the giddy joys of being hunted I couldn t help seeing the senior team pictures as a warning of unbridled boredom and cheerlessness. I mean aside from the upsides to being paid a lot they were clearly either a) not a happy bunch or b) seeing who could suck the most lemons. Question would I want to work there with them Answer no. Action move on. The communication and the packaging can be rolled in large part together. Where do people find you or look for you. Likely it is online and likely it is through social media. Which means the bubbly crack-addicted persona you carefully cultivated on your Facebook account is likely not such a smart move. There you have it. Be as honest about yourself as augmentations of the truth allow target companies for whom you actually want to work and tidy up your public profile. Now you are selfmarketing. www.bailiwickexpress.com jsy CONNECT AUGUST 2015 77 Here s the Thing Here s A hospital. We need one. So let s build it. We ll find the cash. Everybody happy Great. Job done. Here s the thing. Not so fast. The question of how we pay for the hospital is not a meaningless academic one which doesn t make any difference to anyone. It s a very very big one. The basic choice is this we could take a hit cough up what s looking like 400 million ripping out about half of the Strategic Reserve and the income that it produces from dividends or we could effectively stick it on HP. Sticking it on HP (or in ministerial language a bond issuance ) as both Chief Minister Ian Gorst and Treasury Minister Alan Maclean have pretty heavily hinted they plan to do in Scrutiny hearings flattens the payments over a series of years. And that s how they ll spin it using words like investment (not spending dear me no) and phrases like spreading the cost and long-term financial planning. But what they re likely to be less eager to admit is that it also adds around 150% to the cost. That 400 million hospital becomes instantly and for no discernible improvement in the actual building a 1 billion hospital once you take the interest payments into account and that s a big number. So big in fact that those flattened out payments are still significantly on the lumpy side. In fact assuming the same terms for the first States bond were agreed again 78 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT we d be paying 25 million a year for 40 years to cover the interest with the capital repayment still to come at the end of it. To put that into perspective that s the same amount of money that we spend every year on the police force. In fact just the interest payments alone (the money we d give a bank just for the privilege of not paying it all at once) would be 15 million per year which is 50% more than we spend on Overseas Aid. And all of that sounds pretty bad until you notice that it skirted very quickly past one particular point that 400 million price tag. As far back as October that price was estimated as 297 million which (and I m not an expert here) is quite a bit less. It s worth noting at this point that 400 million is more than the cost of the New Royal Liverpool Hospital being built right now. They re aiming to spend 335 million on a three-year project to build a new hospital which will have 646 en-suite single rooms and 18 theatres serving a population of... drum roll...750 000. Jersey s hospital is getting on towards ten times the cost per head of population which is um a little odd. The Health department has got a bit of a twitchy reputation when it comes to answering questions particularly where large sums of money are involved but that s something that they re going to have to justify in the weeks and months ahead. Yes property prices are probably different in Liverpool to Jersey s waterfront (which is where elsewhere in this magazine a former Health Minister says the new hospital is going). Yes the populations have different needs. Yes it s easier to share services and cut costs when you have three hospitals (as they do in Liverpool) and not just one. But getting on for ten times the cost per person Really And yet and yet... We do need a hospital. We need to build it. We need to find the cash. The choice that faces ministers the States and to a lesser extent the public is a horrible one. It s a nightmare. Either answer is horrendous. But the Council of Ministers have to be honest about it. And on this their recent track record is good they ve fronted up about the deficit they ve been clear about the kinds of job cuts that are likely to be needed and they ve been honest about the extra charges that are needed. Go back a bit and their record frankly isn t so good. The 250 million housing loan sailed through the States without any serious scrutiny at all and a worrying approach to being honest about the cost one politician just one raised the question of how much interest would be paid during the debate. Technically I guess he s still waiting because the then Treasury Minister didn t respond. (The answer s 375 million by the way you re welcome.) It was the same former Treasury Minister who presumably having missed a few pages in the economics textbook told the States that the new hospital would be delivered free of cost to taxpayers by using income from the States reserves as if that money didn t belong to taxpayers anyway and as if it couldn t have been spent on anything else. That plan is gone now like so many other things and so the problem rears its head again. And yes the Council of Ministers have got the muscle and the votes to get just about anything they want through the States right now. They could revert to type put forward the loan bang on about investment and our health and probably our childrens health and then sit down and wait for the inevitable green light and crack on. They should do more than that. They should justify the cost of the building. They should be honest about the cost of a loan. It s the hard way to do it and it won t be popular everywhere. But it s the right thing to do. They should hold their collective nose and take the medicine. Have your say... Connect s political columnist Ben Qu r e spent far far too long covering the States during his 13 years as a noted news reporter and commentator. In Here s The Thing... he takes on a key subject each month drawing on his experience knowledge and contacts to lift the lid and stir things up If you want to contact Ben Qu r e please email ben bailiwickexpress.com www.bailiwickexpress.com jsy CONNECT AUGUST 2015 79 4 September Fiscal Polic y Panel publish their review of ministers spending plans Hmmm. In times gone by DD would have been buzzing with unres trainable excitement about the notion of a panel of exper t economists giving an independent review of macro -economic policy in Jersey. Now frankly not so much. The FPP are a bit ...softly softly catchee monkey for DD s taste back in January they would only go so far as to say that there was a significant risk of a structural deficit. Within weeks it turned out that that the truth was a bit more serious and clear cut than that. Anyhow the cool thing about the FPP is that the minis ters get zero advance warning of what s in the repor t so they ll be just as surprised as we are. If we re surprised at all. You get what DD means. start slow after EIGHT WEEK S OFF. Really Again How odd. Let s crack on DD regrets to inform you that the most interesting bits of the Order Paper cover the incorporation of the Airport deposit schemes for rental flats and the protection of open spaces at La Collet te flats. There are ten others and they re less exciting than that. Truly. 9 September UK Jersey Price Comparisons DD will get the magic crystal ball down from the shelf and gaze deep within it to tell you the future. The repor t will say that food (particularly meat and fresh vegetables) is far more expensive in Jersey than in the UK. Like it does every year. And then there ll be headlines about Rip-Off Jersey. Like there are every year. And then shopkeepers will get angry and say it s all terribly unfair for no specified reason whatsoever. Like they do every year. And then some publicity-hungry politician will claim that they re going to do something about it. Like they do every year. And they won t. Just like every other year. And then we ll all move on. Like we do every year. You re welcome. 8 September States Oh bless their little heart s their little cotton socks and their pointy little heads our glorious leaders are coming back from their EIGHT-WEEK summer break ... apologies DD seemed to have accidentally lent on the caps lock when typing that bit about THE FACT THAT STATES MEMBERS GET AN EIGHT-WEEK BREAK in the summer. Gosh it happened again. How odd. Lots of terribly dull stuff on the agenda unfor tunately but maybe it s best to 15 September Chamber of Commerce lunch Harvey Biljon DD doesn t get out to the rugby much Deadly Diary Will be FlicKing careFUlly throUgh the FUtUre calendar oF political and bUsiness events ...and cheWing over What it Finds there. every Month connect 80 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT there s a very real risk there of bumping into half the Economic Development depar tment congratulating each other about what a marvelous job they re all doing and frankly that s something DD can live without. But DD remains a fan nonetheless of Harvey Biljon. Good hones t chap who s open about challenges and failures as well as success who has realis tic aspirations who demonstrates clear ideas of how to get there and who is widely respected by his peers all good. Which is interesting if you think about it because that s pretty much a description of most of the things that the aforementioned States depar tment isn t but DD digresses. Anyway. Go to this. Should be good. of the Council of Minis ters. Expec t a set of minor well-crafted amendments by intelligent politicians who want to actually shift policy and make a difference to peoples lives and a set of nonsensical ill-thought-through bilge by grand-standing idiots who will make no attempt at all to get anything through but who want to just make a name for themselves. EIGHT-WEEK BREAK Now it s just happening on it s own... 30 September GVA and GDP Figures 2014 Ooohh a big one DD loves GVA stats so much DD would have them on toast for break fast with pasta for lunch and on a pizza for dinner. Last time around the numbers were flat but that was a significant improvement on the 4% and 1% drops over the last two years. The economic tide is rising and Jersey is rising along with it and we can expec t a better result this time around. That s not to diminish the contributions of minis ters or government if the numbers are good that means they haven t messed it up which isn t a small accomplishment. Expec t them not to see it that way obviously. Nor to mention that last year the economy was the smallest it had been since 1998 or that the all-important finance sector has shrunk by a third since 2008. 22 September Deadline for Medium Term Financial Plan amendments The good thing here is that politicians have had an EIGHT-WEEK BREAK to come up with their proposed revisions... and there it s happened again. Most strange. Anyway. DD was saying this is the deadline. And that s a thing that matters. This is the big moment for politicians to actually make things changes rather than just gob on. If they can secure funding through the MTFP then stuff s actually going to happen. They ll have to get the support of the majority of the States which in practice generally means getting the support Want more read taKe Five on page 10 www.bailiwickexpress.com jsy CONNECT AUGUST 2015 81 Estate Agents Terms and Matters of Principle. I was recently approached by a reader who told me a tale of woe concerning a local estate agent and payment to them of commission. The reader considered some of the agent s terms to be unfair. So I spent some time mulling over this question and considered it might be worthy of discussion. We all know estate agents charge the vendor of a property commission relative to the sale price in consideration for their work in marketing the property and finding a purchaser. In simple terms instead of selling your property yourself you ask the agent to do it for you. That comes at a cost. What s wrong with that If you asked a garage proprietor to sell your car on their forecourt should they not be entitled to charge for doing so The same must be true of estate agents. Yes the sale may be easy or it may be difficult but so what If you don t like the thought of having to pay the commission then don t engage the agent. If you ve agreed to the agent s terms I say you can t complain later. You certainly can t say ... they only needed to do one showing and it was snapped up. I don t see why I should pay them 6 000 for doing that What if it took 40 viewings Would you say I thought it would sell quicker. Since you ve done so many viewings I think I ll pay you double the commission I doubt it. But what if the agent showed a few people and hadn t found a buyer but luckily two weeks after going on the market your next door neighbour knocked at your door and offered to buy it and you accepted Should you pay the agent commission Well that is almost exactly what happened to the reader of my column. He sold the property privately (but not to a neighbour) and the estate agent - pointing to the terms of his agreement demanded 1.5% commission on the sale. The terms said that for so long as the agent was instructed commission was payable on ANY sale and 8 weeks notice was required to cancel the agent s agreement. The reader was incensed. My starting point is La contrat fait la loi des parties this is a well known legal principle trotted out in almost every Jersey contractual dispute. It simply means the terms of the contract - agreed by the parties - binds those parties. I am a very firm believer of the principle. Anyone who has read my comments on the Royal Court s interference with interest rates in contracts will know only too well I think the Royal Court is wrong or the law is wrong as a matter of principle. If parties have freely agreed terms between themselves it is wrong in my opinion for one of them to later say a particular term is unfair. Why should you be able to wriggle out of an agreement So applying that thinking to the present problem the term was set out in the agent s letter of instruction and the reader accepted it. Oh yes of course he says well I didn t read it but that s not a sufficient excuse. I ll come back to that in a moment. However ignoring what I have just said about terms binding the parties on a philosophical standpoint is the agent s term fair At first I thought it was harsh. No-one would expect that sort of term to exist and the agent didn t actually close the sale the reader did. But then I thought about it for longer. Actually the agent put the property on his website and put adverts in the newspaper. He also put up a For Sale board outside the house. How did the purchaser come to learn of the property being on the market ESP Or was it that he saw it on the website in the paper or saw the board It may have been total coincidence that the purchaser decided to knock on the door but I suspect the purchaser learnt about the property through the agent s efforts. So that being the case I think it is entirely reasonable for the commission to be payable. So this is where I get to I think there is nothing wrong with such a term. I think it should be tweaked a bit. I think the term should require any private approach by a purchaser to be referred though to the agent. This often happens in commerce. Manufacturers often refer buyers to one of their authorised agents and will not sell to consumers direct. At least by approaching it this way the agent carries out the work negotiates the price organises viewings etc. But I do think that to avoid the situation of someone saying I didn t read that bit special attention should be drawn to the term. I don t think the term is the normal type of term and therefore I think attention should be directed to it. After all we are trying to achieve a situation in which two parties agree terms and not to agree them by default. To ensure 100% agreement simply draw attention to it. There will then be no wiggle room. The Advisor Olaf Blakeley is an Advocate specialising in litigation and commercial law If you have a legal question you would like to put to Advocate Blakeley please email editor bailiwickexpress.com 82 AUGUST 2015 www.bailiwickexpress.com jsy CONNECT Business Start Ups WIN an iPad mini The latest way to enjoy the latest news from Bailiwick Express At Bailiwick Express HQ we re always looking to thank our readers for well reading So this month we re giving away an iPad to one lucky reader. If you d like to be in with a chance and you don t have an account with us simply SIGN UP for FREE today. To create your FREE account go to www.bailiwickexpress.com. Closes 1st November 2015. The winner will be announced on our Facebook page. Jersey Business is the go-to advisory service for homegrown start-ups businesses wanting to grow improve or in some cases exit their sector altogether. But with local markets being limited Jersey Business is also a big part of the Island s efforts to develop its export economy. The advice they give is free and covers everybody. Initially the perception was that Jersey Business was all about start-ups but the Island is now realising that helping to shape a eureka moment is only one part of the service they provide. Julien Morel put the finishing touches to his proposal straightened his tie and then went to pitch his idea for the next global media empire to Business Manager Nick Steel. Here to help amounts of money in certain circumstances usually on a 50 50 basis. But that doesn t mean that their work is dull or insignificant. In fact Jersey Business is at the forefront of helping Island businesses establish themselves in far-flung markets from Beijing to the Middle East offering alternative export industries to our long-established financial services. One of the team at Jersey Business which is facilitating these efforts bringing exporter and importer together ensuring that local customs are honoured and promoting collaboration to profit from economies of scale is Business Manager Nick Steel. As a former Managing Director at M&S in Jersey and then Business Development Manager at Sandpiper CI Nick has over 30 years experience of launching and building new businesses. Jersey Business was formed in 2012 taking on the work of Jersey Enterprise and Jersey Business Venture. Nick joined in 2013 I think it s fair to say that in my early days here I was mainly dealing with people who were keen to start a new businesses at mostly a junior level and in fact a lot of time was spent advising them not to start up. Here we are just over two years later and it is a totally different dynamic. We still work with start-ups but we actually spend our time in other growing areas in a much bigger way. Personally my most satisfying story was when three hairdressers came to us. I soon realised that they knew how to cut hair but they had never run a business in their life. We worked patiently with them for nine months before they opened working step-by-step to make sure they were involved in all decisionmaking and research. Together we built a business plan in bitesized chunks to make sure they understood what they were doing. Their confidence grew and they then found a property ending up getting a very good deal and managed their fit-out to a very high standard. I kept in contact with them If you thought the team at Jersey Business sit in a row of high-backed chairs while local entrepreneurs pitch clever inventions in a bid for financial support and guidance then I m afraid think again. Dragon s Den it isn t. And in fact the States-funded advisory service will only grant small I www.bailiwickexpress.com BUSINESS IN 2015 CONNECT after opening. Their first year finished in March so I carried out a review of their performance. And they had done incredibly well and had been able to take on more staff. Now they are earning good salaries and have a good dividend. But the journey never ends. Recently they said that they were going to a conference in the UK so I had to explain about business expenses. That s another thing they can now do themselves. It is incredibly gratifying. We are approachable friendly honest and have more that 200 years of business experience between us. And if we don t know the answers we will go out and find them for you. We will come to you and meet you anywhere if needs be and everything is in confidence. Our personal creditability is as much as stake as Jersey Business as a whole and even our Board isn t aware of who our clients are. So looking first at efforts to promote island companies internationally what help can they expect from Jersey Business Export is very topical at the moment. We are working on helping many Jersey businesses export products and services to places like Hong Kong China South Korea France and the UAE to name a few - there is action on the ground in these places right now. The most noticeable success so far has been Jersey Dairy exporting milk to Hong Kong and ice cream to China but there is a lot of other work going which we expect to see good things come from in the next 12 to 15 months. So far our exporters form four main pillars - oysters ale dairy and specialist foods and drink. If we can get those four trading successfully then other products can be bolted on. Later this year we will be actively looking for more businesses that could become exporters. We ve come a long way - two years ago we couldn t have helped anyone. Jersey Dairy had started exporting before they came to us but one of our first roles was to work with them to ensure that they were exporting profitably. One of the reasons that we are trying to get into the countries like China is because the UK market has changed dramatically in the last seven or eight years since the recession. It has split two ways with Waitrose and M&S selling premium products and then you have Aldi and Lidl at the value end and the guys in the middle Tesco Sainsbury and Asda have been kicked badly. Of course the guys who supply the middle have also had a tough time and their margins have been put under immense pressure. One thing we are trying to do here is wean people off this natural empathy with going north of Jersey all the time. We seem to have this fascination with doing things north of us yet we do very little to the south and there are some incredible opportunities II CONNECT BUSINESS IN 2015 www.bailiwickexpress.com The most noticeable success so far has been Jersey Dairy exporting milk to Hong Kong and ice cream to China but there is a lot of other work going which we expect to see good things come from in the next 12 to 15 months. III www.bailiwickexpress.com BUSINESS IN 2015 CONNECT We will tend to be at the premium end of the market as we don t have the land mass or the volumes but if people think they have some form of export potential then speak to us. in places like China where the middle class population is predicted to increase from 100m to 500m by the year 2050. In ten years time 40 of the biggest cities in the world will be in Asia and ten of those in China. I won t say it is easy to make money there but there are certainly clear opportunities. And interestingly the cost of sending goods out there is not as much as you might think. In fact the cost of shipping from Southampton to Shanghai is cheaper that shipping from the UK to Jersey. For a Jersey business it can get produce out of the Island at a better value than bringing it in. Even with airfreight which you might think is wildly expensive when you start breaking it down it is incredibly affordable to move high-value items out of Jersey. Fundamentally our job is one of facilitator. In some cases we have to sell the idea and opportunity to the potential exporter. Or we tend to work with other agencies such as Locate Jersey or the States External Relations team. We were recently able to meet the Deputy Chairman of the ChinaBritain Business Council via Locate Jersey with our interested parties and had a round-thetable meeting with her. We were also at the Chinese Embassy in London a few months ago where we were able to match our exporters with their importers and all of a sudden they were having a fruitful conversation about opportunities. But the Island s sights aren t just set on China. In October Jersey Business is leading a delegation to the UAE where it is hoped that residents and visitors will have a taste for Jersey oysters and dairy products. Two clever inventions by Islanders the Babyhub mobile cot and Magicup a cup that won t spill its contents even if tipped over will be showcased at the same time. For smaller businesses collaboration is the future. The chances are that a sole trader or small firm are unlikely to have the knowledge or resources to export to say China. I can think of about 15 people that have great products that could do well outside of Jersey but they would never get there is they were exporting on their own. If you bring them together then suddenly life becomes a lot easier. I see collaboration as key for any small Jersey business. If we get oysters into three or four key markets they would be airfreighted to major cities around the world probably five days out of seven. You also have amazing lobster and crab in Jersey you but we don t catch enough to market directly to restaurants in say Hong Kong or Seoul. But if you can ship them with oysters that will work and it becomes economical. We also work quite closely with Waitrose and the Co-op on IV CONNECT BUSINESS IN 2015 www.bailiwickexpress.com info jerseybusiness.je 01534 610300 www.jerseybusiness.je product development. Waitrose will come to us with a shopping list and ask us what we can do to fulfil it. We also have a close relationship with Genuine Jersey and the Environment Department and we work on a whole range of different products and projects to see what we can do to either create new products or present what we have already in a different form. We will tend to be at the premium end of the market as we don t have the land mass or the volumes but if people think they have some form of export potential then speak to us. We exist primarily to create jobs and profit. Our aim is to help Islanders to become profitable so they pay tax and employ people who also pay tax and social security. Closer to home we are also working with service providers including the digital sector to export our services to France and beyond. We recently had a meeting in Brittany with representatives from a number of sectors including retail and construction and they said we were way ahead of them in terms of development. And remember not only is Brittany on our doorstep but its economy is bigger than Belgium s. So if helping to build fertile export markets is the international focus what about close to home in Jersey There are plenty of local companies whose customers live within ten miles of them and Jersey Business needs to offer useful support and advice to help them either to grow improve or in some cases exit or sell-up. One area where we are spending more time and energy is how do we make businesses more efficient. Are you making as much money as you should be Have you gone back and reviewed your trading terms Have you looked at your cost centres Have you renegotiated your leases They are sometimes harder to identify because if I rang you up you may well tell me to get lost because you re quite happy with how much money you re making. But we see plenty of established businesses that perhaps haven t embraced new ways of working whether that be technology or the latest thinking. We came a cross a business recently which was very technologically focussed but when it came to their own administration they were still spending significant sums of money on postage stamps. We can look at where margins are poor or whether someone is overpaying on administration or leases ... there is a whole raft of business activities which may have been passed over because the business overall is still producing a good return. Anyone can come in for a free health check as can anyone who s had the eureka moment. One common problem that people tend to face is presenting a business plan. Just because you ve got a great idea why should you be the person who can put the financial plan together Why should you know about margins or break clauses in a lease When it comes to businesses in real trouble unfortunately they tend to come to us too late. Thankfully we don t see much of this in 2015 but in previous years it was pretty dramatic. People sadly were facing problems but they didn t tell anybody and instead went looking for fresh sources of funding like credit cards. And like going to doctors men are particularly bad in asking for help. We have to see them at least a year before they would otherwise contact us and only that way might we be able to help. V www.bailiwickexpress.com BUSINESS IN 2015 CONNECT HUMAN RESOURCES The HR issues faced by start-ups Changes in Discrimination Law have been introduced at an alarming speed for all small and medium sized enterprises (SMEs). New legislation has placed a great burden of both cost and personnel resource on businesses trying to weather the economic storm and look forward to viable growth. The challenge that must be faced is bound up in managing the legislation now in place and legislation still to come. It is imperative that SMEs do not make the mistake of believing that the new law will have no effect on them it will and it will cost money. Dealing with unsolicited CVs alone will have enormous consequences. In the current economic climate many employers receive CVs from candidates in the hope that a position may exist. Regardless of whether or not a job actually exists the discrimination law requires that employers be ready and prepared to explain why an individual has not been hired on any given occasion even when the application was not requested. The current challenge Do you know the risks involved in preparing a recruitment notice for your business Preference cannot be given to locals and you cannot require qualifications specific to Jersey or the UK for example. Ignoring these points can now find you up in front of the Tribunal probably wondering why you bothered launching. The simple fact is that discrimination legislation demands that all businesses in Jersey devote time and money to ensuring that they are fully compliant. There is no defence in ignorance or lack of time. Discrimination is defined in two forms direct and indirect. Direct discrimination is when a person is treated less favourably than others on either racial or other protected grounds. A simple concept perhaps but the devil is certainly in the detail of being clear as to what constitutes less favourable and which grounds are pertinent. However this element of the legislation is relatively simple when considered with indirect discrimination. This is where a practise or criteria adversely affects a person of a particular group preventing a claimant from being treated the same as others. This covers race (for now) and when the employer cannot be shown to be using a proportionate means of achieving a legitimate aim they are in trouble. Legislation to come new threats to SME s In September of this year discrimination legislation will continue to roll out and cover sex discrimination sexual orientation and gender reassignment. Sexual orientation covers men s and women s sexual attraction to persons of the opposite sex or gender the same sex or gender or to both sexes or more than one gender. It is generally considered to be heterosexuality homosexuality and bisexuality. Asexuality the lack of sexual attraction to others is sometimes identified as the fourth category. There is some assistance from government with this next wave of legislation. Employment Law will not affect new recruits for the first year and this is well worth noting given the fears voiced by SME s that a wholesale introduction of the law would simply cut off any appetite they may have had for growth. What does the legislation mean in practical terms Ali left college and joined a builder s firm. After a period of training she was assigned to head up a small contract. The site manager made clear he resented having a woman assigned to his site. He made disparaging sometimes lewd comments about her appearance. Ali verbally complained to her manager. The site manager s behaviour failed to improve. One day Ali came into work and overheard a colleague bragging to other crew members that he had slept with her. Although untrue some of the team believed him which made it increasingly difficult for her to manage them. Ali started having trouble sleeping at night and her VI CONNECT BUSINESS IN 2015 www.bailiwickexpress.com Lindsay Edwards-Thatcher Lindsay has been at the forefront of lobbying for employers since 2010 when she began identifying the significant deficiencies and challenges that the Tribunal system presented to small and medium business in Jersey. She specialises in Employment Law across the Channel Islands and UK and successfully represented a business client in the first employment tribunal in Jersey. Lindsay knows how businesses work and only works for employers. This means that she is not only an employment law specialist but one with a sharp focus on employer relations and business. She believes strongly that employers cannot live their business lives frightened by the reach of the Tribunal. GP told her she was suffering from work-related stress and signed her off work for one week. Ali then contacted her union who advised her to lodge a formal written complaint to her boss using the grievance procedure. Ali s boss assigned another site manager an old drinking buddy of her site manager to investigate the complaint. He did actually remind everyone about the policy on harassment and discrimination in the workplace but did little else. One of the builders did speak up. Regardless a report was filed that there was no problem on site and the behaviour got worse. Ali began suffering from severe depression and was signed off for another week. During her time off she filed another grievance. Nothing further was done. Ali resigned and took her claim for constructive dismissal and sex discrimination to the Tribunal winning a six figure sum. Employers must remain vigilant about these new rights and not forget the considerable cost of getting it wrong in hours worked arranging the case and up to 10 000 for financial loss of the employee and up to 5 000 for hurt feelings. Go it alone or seek professional support Clearly there are advantages to having an in-house HR function not least the day-to-day contact between the senior team. However the drawbacks are equally clear. With costs to employ an experienced HR practitioner reaching 80 000 per annum this option can prove prohibitively expensive. Despite this the need to be able to draw on this specific set of skills is beyond doubt. SME s cannot function safely in the current and future legislative environment without them. You might expect that we would recommend the external option because this is the core function of TM Legal but there are sound reasons for doing so. We can offer the full suite of HR support skills needed at a fraction of the cost. These include 1. HR support including advice on staff contracts and handbooks 2. representation at Tribunal should it be required 3. mediation a form of alternative dispute resolution (ADR) and a way of resolving disputes between parties with fabulous effects. Typically the mediator assists the parties to negotiate a settlement. In the workplace this is hugely beneficial before matters escalate. The benefits of mediation include cost confidentiality control (the parties control it not a Tribunal) and support for the parties from the mediator. 4. In-house training in relation to Employment Law and Practice in an easy to understand format. VII Lindsay Edwards-Thatcher. Employment Law specialist. contact tmlegalservices.com 01534 499449 www.thatchermackenzie.com www.bailiwickexpress.com BUSINESS IN 2015 CONNECT BUSINESS DEVELOPMENT So you re a business owner but do you have a job or a business confidence to start up and try to build something of value. I m also not going to do the typical There are lots of requirements of starting a business so go and see an accountant as the tax return deadline is this and the accounts requirement is that and the GST threshold is blah blah blah... You ll need to go and see someone for all that and most local accountancy websites have all that all over them and Jersey Business are very good at helping start-ups with the legal requirements. So why regurgitate The question I want to pose is in 5 years time do you want to have a Job or a Business A job is doing the client work looking after the financials and marketing yourself. It s not a revelation that in most small businesses the owner is often all things Head of Sales Operations and Finances as well as the person who makes sure all the little things get done. A business is an organisation of people working together towards a common goal. You work towards a point where Head of Sales Operations and Finances are all different people. In most cases I encourage the owners to become head of sales. Operations can be bought or taught and finances can be outsourced very cost-effectively. Sales provided they have been priced correctly are the bedrock for all successful business. From here on I am going to focus on how to develop a business but as an aside if you do have a lifestyle business I suggest you look at Receipt-Bank and Xero which will cost effectively make your life easier and reduce your tax compliance costs overall. Back to businesses the clients we have who are growing well have people who are excellent at communicating to potential customers the benefit of what the business can do for them and they build relationships with them. Operational and financial issues do not need technical know-how and can easily be bought in. If you are not focussing on sales because you are worried about the cost of someone else doing operational or financial tasks then you are reducing the speed with VIII If you re reading this having just started a small business for the first time or thinking of doing so I bet you are great at what you do. You re confident that you can do the work much better than you ve seen it done elsewhere and that should be enough. There s little point in anyone talking you out of starting up. So I m not going to. I m always delighted to see someone have the CONNECT BUSINESS IN 2015 www.bailiwickexpress.com which you grow and increasing the amount of time it takes for the business to become sustainable. The opportunity cost of doing the bookkeeping instead of business development or delivering those orders or picking up that stock rather than reviewing your prices meeting prospects or improving customer service is huge. A lot of people give cost as the reason for not doing those things and it is the case that spending money wisely is vital when it is scarce but I recently had lunch with a friend who has run a successful caf for a long time. What they said really resonated with me. I wish that 17 years ago someone had told me to focus on what I was good at and to spend money with others that know what they are doing. I completely get this. I am an accountant who outsourced his bookkeeping for almost two years when I started up as it was cheaper to get someone else to do it than for me to. Right now I want you to think about what hourly rate you would have to be paid to go back into employment. It may be 25 per hour it could be 50 it Luke Smith. Director. might even be 100 per hour. Every time you are doing something that takes longer than 3 hours a week that is not related to sales I want you to think about your opportunity cost of doing that activity. 3 hours 50 150 per week. Could someone else do that thing just as well or even better for less than the true cost of you doing it What about when you factor in potential extra profits from sales with the extra time What I am saying is make the right investments of your time and your resources and do not be afraid to invest in the future. If you have accurate and up-to-date financial information from which to make decisions you can weigh up the risks of investment much better. In order to have that information up to date and at your fingertips I recommend cloud accounting through Xero. Why Give Xero your online bank details and it will feed the transactions into the bank reconciliation and manual errors become history. When a customer pays or you pay a supplier online Xero highlights the transaction to be reconciled. Regular electronic payments can have bank rules applying them to the right account automatically. Sales wise the mobile app allows emailed invoices to customers whilst out on the job leading to quicker debt collection and massively reduced admin costs. Staff expense claims can be done by photo massively reducing the admin effort with paper receipts binned and through another app supplier bills get automatically posted by either scanning from a photocopier taking a photo or your supplier having an email address. Another app makes direct debit for small Jersey businesses a reality. Apps like these are great investments to reduce cost and increase time and resources for your business to focus on business development. If you d like more tips to make your business better please feel free to go to www.businessbitesize. com purpose and sign up to my blog. My business purpose is to improve the businesses and lives of our customers and as a result improve our own. We re very good at it and we d love to help you. All it takes is a phone call. Good luck IX luke.smith purpose.je 01534 766233 www.purpose.je www.bailiwickexpress.com BUSINESS IN 2015 CONNECT ACCOUNTING What can your accountant do for you It seems everyone is an entrepreneur these days. We re constantly being encouraged to take the plunge and set up our own businesses making the most of our creativity and winning ideas. Organisations like Jersey Business Digital Jersey and others all want us to grow the economy create jobs and foster innovation. Many people have a big idea. But do they have the practical skills and knowledge to take that idea to market At a recent networking event on the future of business funding sponsored by Moore Stephens and Close Finance the expert panel agreed that an idea can only take you so far a good business needs evidence - cold hard facts and a clear business plan to succeed. The most creative business idea can be scuppered by a lack of careful attention to the details. Launching a business requires careful planning organisation and management. There are many things to think about such as organising finance writing business plans choosing the right business structure creating a business name and developing marketing strategies. But entrepreneurs don t have to do this all on their own. Finding the right people and partners to work with is important. A good accountant can tackle the administrative burden helping to ensure everything is done right and on time leaving the entrepreneur to focus more on the creative side of the business. This is a winning combination. business and hiring more staff to Funding your business Getting investment for your business is not as simple as walking into the dragon s den and wowing investors with your best pitch. Shrewd investors (the ones you want ) need cash flow projections and accurate and up-to-date reports and accounts. If you cannot demonstrate the value of your business investors will not have the confidence to provide funding no matter how much they like your idea. An accountant can accurately and quickly prepare this information ensuring that your brilliant business idea can be taken on its own merits. manage it or acquiring another business outright to assume their existing market share. Both routes to growth pose practical problems. If you are growing your workforce it comes with an added administrative burden. Employment contracts payroll IT back office support all come at a cost that can be alleviated by working with a good supplier that already has the expertise needed. Ensuring your employees are paid on time with the correct amount and a pay slip is essential but can take a lot of organisation. Professional help can establish and run payroll systems including calculation of overtime payments and deductions preparation of wages and salary slips together with the operation of direct credits to staff bank accounts and ITIS and Social Security payments for both Jersey and international payrolls. Likewise if you are in the Growing your business If you ve succeeded in getting your business off the ground and things are going well you may be looking at expanding your operation. This can often be done in one of two ways growing organically by winning new X CONNECT BUSINESS IN 2015 www.bailiwickexpress.com market for an acquisition how do you know how much another business is worth Are you getting the best deal or are you overpaying for assets An accountant can give you an accurate picture of a business value factoring in assets owned and leases held against debt obligations and cash flow commitments. This is essential information for any acquisition decision and will be needed if you are seeking investment to fund the purchase. form to the Population Office if you are planning to employ staff and consider social security implications and other requirements. Tax (GST). Yet another day to day task that can take up your time is keeping on top of payments to creditors. Third party help can often be beneficial allowing you to focus on running your business. On the other hand businesses need to collect payments. Unfortunately not all clients will pay on time. This can create stress and worry for business owners as well as putting a strain on their time by constantly chasing for payments. Business planning & development It is important to continually check that your business is on track. The best way to do this is to prepare budget and management accounts on a monthly or quarterly basis highlighting any variances between projected and actual amounts. Independent audit services are another way of monitoring your business and can help provide guidance to ensure you are conducting your business in an efficient way. An audit may also be a regulatory requirement if your business is a regulated entity or if it is required by 3rd party investors. Legal requirements Will you need to register for GST An accountant can tell you whether your business will be required to pay the Goods and Services Tax. This is not as simple as it sounds with various requirements coming into play. There are legal requirements as well when establishing a business together with submission of documentation to the Jersey Financial Services Commission and if you are planning to handle customer data you will need to register with the Office of the Data Protection Commissioner. You will also need to submit a Jo Gavey. Associate Get advice to get ahead All types of businesses whether they are run by a sole trader or partnership or whether they are a small medium or large company need help to get by. In the early days of trading entrepreneurs may think that a DIY approach to company management can save them money. After all doing things yourself rather than paying a professional must be cheaper However just like building a house there are some things where you shouldn t cut corners on professional expertise if you want your business to last a lifetime. Tax & Payments Arranging personal and business tax returns can be an onerous task and if you have a turnover of 300k or more you will also need to consider Goods and Services XI mail moorestephens-jersey.com 01534 880088 www.moorestephens-jersey.com www.bailiwickexpress.com BUSINESS IN 2015 CONNECT Question What s the best business to business platform in Jersey (show working out) Answer High footfall areas x 6 000 print Delivered to 7oo key locations (inc. airports hotels etc) 10 magazine stands x 155 000 1 000 mailed direct to business leaders Online at www.bailiwickexpress.c om x 6 000 social media audience (2 000 business tweets) 2014 8 000 e-publisher edition readers 1 000 Guernsey business email subscribers 14 000 readers 7 000 Jersey daily news email subscribers (read online worldwide) CONNECT How business should be done If you d like to advertise in CONNECT magazine please contact Mark Ferns on 01534 510309 or email markferns bailiwickexpress.com 34 510309 4 510309 030 0309 30 309 The Skills Accelerator grant has helped me to attend a course in London to learn video editing software and develop my design skill set. I have been able to apply the skills learnt on the training course into my job role which has allowed the company I work for to offer essential video editing services to our clients. Emily Devon ba Studio Employees. Employers. Grants up to 4 000 still available for skills training. Skills Accelerator grants provide support to employees of local businesses (SMEs) to access training that will make a difference to the viability or diversification of their employer s business. Grants could support personal development vocational or specialist training and training for employees looking to progress to a new role. Successful applicants are offered a grant of up to 75% of the total balance of their training costs up to 4 000. Closing date for applications is Monday 14 December 2015. To be eligible for a grant applicants must be able to demonstrate their residential status and businesses must have been trading for a minimum of six months. For further information about the Skills Accelerator and how to apply visit gov.je Skillup Boosting Skills. Growing Business. A Skills Jersey Initiative