There are arguments as to whether the economic crisis has derailed the environmental movement but dramatic moves were made while the matter was still high on the agenda, so start up companies should understand what their legal and ethical responsibilities are.

In this article we will run through some of the green issues that are important to consider when establishing your company.

It Pays to Go Green!

The government in the UK have many commitments to try and reduce the amount of carbon produced in the country by 2020, and if you can prove your green credentials then they may well reward you for it in the form of tax breaks and loans.

The government has produced a website to help businesses find out if their green credentials make them eligible for assistance, so if you are currently flying the environmental flag but not getting your reward, visit the Business Link website .

Not Green? No Contract

If you are one of the lucky few companies that can still bid for public sector contracts, make sure your environmental policies are in check. As part of the same government commitments, many contracts now depend on companies being able to demonstrate that they go about their business in a way that is considerate to the environment.

This will cover everything from insulation and heating to disposal of waste so if you are bidding for government contracts, you may not get past the first stage if your environmental policies are not in check.

Punch “environmental policies contracts” into Google for some good examples of environmental policies from other businesses.

Make The Environment A Part of Your Brand

It can take a lot of effort for a business to establish and maintain a greener way of operating and the importance that many companies place in environmental issues now makes it very appealing to be seen to be green.

Using environmental themes as a part of your brand could well make you very appealing to those companies and individuals who are concerned about ethical matters, so using these themes as a part of your brand image could help to snag you some extra business.

This has even been used successfully in the world of politics as in 2006 the Conservative Party re-branded to reflect its new commitment to the environment.

You can promote your environmentally friendly image by using items such as eco-friendly business gifts but when doing this, just be sure that the company you are buying from are using items that are sourced with environmental concerns in mind.

As brand disasters go, handing out corporate gifts that represent your green aware brand but that cannot be recycled or do not bio-degrade would be up there with the best.

Despite the ongoing economic difficulties, it is still increasingly important for businesses to operate in a way that is sympathetic to the environment. Sometimes it may even benefit your company, so before rolling your eyes at the thought of putting your environmental policy together, investigate how operating in green way could improve your company as well as the planet.

This article is a guest post by Alan Grainger who writes articles for The Promotional Gifts Company. They cover issues surrounding the promotional gifts industry including marketing, advertising and PR.

Guest Blog Disclaimer

Even though it can be frustrating to see businesses not understanding the importance of business interruption insurance it can be even more frustrating to see a well prepared business that had all the business interruption in place still flounder (or even go under) because the insurance company payout was so tight that the business just cannot afford to carry on.

Fire and flood could potentially ruin your business premises and stock, you are going to have staff that are temporarily out of work, you will have contractors to sort – and then on top of that is the insurance claim. It can be emotionally draining and when you find out that the insurance will expect you to deal with your end of the claim yourself – whilst they have a specialist loss adjuster in place to pick the case apart and ‘adjust’ the payout you will receive, it is like a disaster all over again.

You are not going to have the specialist knowledge to take on the big boys, so you should hunt down the services of a firm of loss assessors. Essentially a loss assessor does a similar job to the loss adjuster that has been employed by the insurance company. There is, however, one small difference – the loss assessor works for you. As they work for you they will only have the interests of your business in mind, leaving the playing field completely levelled out.

The key points to remember are:

• That the loss assessor represents your business and no one else, they will be working towards getting you the best possible settlement following a disaster like fir or flood.
• Loss assessors have areas of expertise and the appropriate one will be assigned to your case – this helps ensure maximum payouts.
• They deal with all the paperwork for you; they liaise with insurance company for you. Essentially the loss assessor will take all of the responsibility of the claim away from you and leave you to deal with the more personal aspects of the disaster.

Leaving business interruption claims solely in the hands of the insurance company is never a good idea – you owe it to your business to make the most of a bad situation. You will have spent years of blood, sweat and tears building up the company to get it where is and to see it close through no fault of your own can be equally devastating.

Wayne Barker writes for Harris Balcombe – the UK’s most prestigious claims recovery and claims management company. With a pedigree stretching back over 100 years you can be sure that their loss assessors will help your business be one of the ones that survives following a major disaster. Harris Balcombe specialise in business interruption and fire insurance claims.

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When a business is thinking about buying an asset which can vary depending on the industry the business is involved in but could include tools, plant and machinery, vehicles, or if certain businesses need to make alterations to a building to run their business properly (examples could include a care home or a dentist) they may be able to claim a capital allowance for that expenditure incurred.

Capital allowances can be a complex subject and having an understanding of how your business could benefit requires specialist advice to your specific situation and even if your business can’t claim capital allowance a future company may be eligible (i.e your business currently might be registered under a pension scheme and a future business may trade as a business). It is estimated that around 50% of businesses are missing out on the full benefit that capital allowances have to offer, with the right knowledge and understanding this could all change.

If after reading the above your business could benefit from capital allowances below is a good starting point of where you can identify areas where you could start to help alleviate the tax payable by your business:-

Areas to look at:-

Enhanced capital allowances – environmental based tax relief.

Disposal of assets

Acquiring new assets

Ongoing fixed assets

Plant and machinery is probably the most common for capital allowances claims, machinery has a clear list of areas that are applicable but plant is a little more harder to establish, but there is a list available under Section 23, List C Capital Allowances Act 2001 (CCA 2001) below is a small section of the list to give an overview of where capital allowance could apply to your business:-

Electrical systems (as well as lighting systems), cold water, gas and sewerage systems
Space and water heating, ventilation and air cooling and purification installations
Lifts, hoists or escalators etc
Thermal insulation
Demolition of plant or machinery
Alterations to include the installation of plant or machinery
Advertising; signs, displays and similar assets.

At any time a business should be aware of when it can benefit financially and in this case from tax relief and capital allowances it should look at the above areas and identify whether any assets they have falls into these categories and take the opportunity to claim for them.

Capital allowances have recently undergone a few changes by the current government so it is a good idea to get a current view of what is currently affected by capital allowances and where your business stands. Ideally speaking with a capital allowances consultant and talking through in detail about your business will be the way to understand what you are potentially entitled to.

This article is a guest post written by Helen Parker who has an understanding of taxation allowances and fiscal incentives and feels that more businesses could benefit from capital allowances.

Guest Blog Disclaimer

This means that your business website and external online market campaigns (using social media like Twitter, Facebook or Linkedin) will be subject to the regulation of the Committee of Advertising Practice Code.

This is to ensure that businesses remain legal, decent and honest in all their marketing campaigns and advertisements, no matter the medium used to get the message to the audience.

The central principle for all marketing communications is that they should be legal, decent, honest and truthful. All marketing communications should be prepared with a sense of responsibility to consumers and society and should reflect the spirit, not merely the letter, of the Code. (CAP Code (Section 1 – Compliance)

The CAP Code is thoroughly detailed and covers a wide range of areas. You should check to see which areas of the code might affect your business as there are sections covering everything from alcohol to distance selling and motoring.

Avoiding Misleading Advertising

Perhaps the main thing to take away from the upcoming changes is the focus against misleading advertising. Section 3 of the CAP code covers misleading advertising in detail. Broken down into a number of subsections, it includes guidance on obvious exaggerations (“puffery”), exaggerating the performance of a product, making false claims, marketing things as “free” and even making comparisons with competitors.

The CAP provide guidance services to help you ensure that your business meets the code. So with a little help and advice you can be sure that your advertising is in line with the legal requirements and you won’t be getting any unwanted attention from the ASA.

Of course, even big well-known businesses are not impervious to claims and judgments against them. Coca-Cola recently had one of their adverts banned for claiming their vitamin water is “nutritious” despite containing around 23grams of sugar per 500ml bottle. They tried to argue that the vitamin content of the water was significant enough to warrant the claim, but their plea was dismissed. This goes to show how careful businesses need to be when marketing their products.

Related Reading:

• ASA launches ad campaign to prepare business for new online marketing regulation
• Coca-Cola ad banned for claiming Vitamin Water is ‘nutritious’
• CAP Code
• CAP Services
• How to carry out a successful Drip Marketing Campaign
• Free Secrets to Marketing Success
• Advantages and Disadvantages of Marketing
• Social Media Marketing Important For Small Business

Fulfilling Company Legal Obligations

Registering as a limited company there are a number of legal obligations and accountancy requirements which you are expected to comply with. Failure to meet your obligations could lead to financial penalties and in more serious situations a company may even be struck from the register.

It is important that you keep on top of your legal obligations and submit your accounts on time. Companies House has openly dismissed company pleas that the delay was caused by the extreme weather conditions. In fact they have stated:

“Disruption by bad weather may well be an exceptional circumstance for some companies, but the disruption to the postal services was not uniform across Britain and the majority of companies managed to get their accounts delivered on time, despite the weather […] If a company has received a penalty, we provide guidance on our website on the appeals process.”

Interestingly, FreelanceUK comment on how Companies House accounts show that they generated revenue of £85 million last year from late payment fines.

Supporting You

If you need support to keep on top of your accounts and ensure they get delivered on time, our accountancy services are ideal. Cut down on the potential headaches and keep costs down with our fixed-fee and start-up accountancy services.

Ease your dealings with Companies House by contacting us today! Ring 0800 0828727 and ask for accountancy support or contact our accountancy partners Pinnacle Accountancy directly on 0845 880 2557.

Related Reading:

• “Thousands appeal Companies House fines” (FreelanceUK)
• Fury at Companies House fines (Financial Mail Women’s Forum)
• Late Filing Penalties – GBA5 (Companies House)
• Fury at Companies House fines amid mail delays (Thisismoney)
• What Does It Mean To Be Struck Off?
• Company Compliance – Avoiding Government fines
• Accounting Compliance – Fulfilling Your Duties With The Tax Man
• Accounting Requirements – Legal Obligations and Criminal Offences

The new rules state that all company officers (directors) must have 2 addresses registered the registrar. These addresses are the private residential address of the director and the service address.

Protecting The Directors

The reasoning is simple. Small businesses often start off from a private residence and therefore directors were previously required to give their private home address when registering. This meant that their address and personal details would be freely available to the public upon request.

In order to protect a director’s personal information the law was changed to allow a director to enter a “service address”. This service address is the address which will be available to the public. While the residential address will still need to be registered, it will only be available to specified public authorities (the police and HMRC) and certain credit reference agencies.

So, if you’re starting a new limited company you may enter a service address which is different from your personal residential address in order to protect your privacy. Of course, there is nothing to stop you submitting the same address for both if you don’t have a service address or are not concerned with your private data.

Registered Office Address?

More often than not, people starting a new limited company don’t have access to a separate service address. If you are in this situation, but still wish to protect your private residential address and keep it away from prying eyes you may use a Registered Office Service.

This service is provided by us to help protect your personal details and maintain a professional edge to your business. You can simply register our address as your service address and we will forward your statutory and official government correspondence to your personal address.

Related Reading:

• Directors Service Addresses (Companies House)
• Registered Office Address Service

The European Data Protection Supervisor has released a video to mark the day:

What Does This Mean To Your Business?

A news release from The Information Commissioner’s Office issued today shows the importance of data protection and the potential impact on both business and the individual.

Within the release (“European Data Protection Day 2011”) are the following statements:

80% of people concerned about their personal details online

And

Research commissioned by the ICO has also found that 92% of individuals surveyed are concerned that organisations do not keep their details secure, and a further 60% believe that they have lost control of the way their personal information is collected and processed.

Clearly this demonstrates that as a business you need to be aware of your customers and their concerns about their personal data. Members of the public are likely to be wary of placing orders with your business or online through your website if they cannot be sure their personal data will be handled carefully and in a manner which ensures their security.

How Can You Reassure Your Customers?

Under the Data Protection Act 1998, any business or organisation operating within he UK is expected to abide by the Data Protection Principles and are also required to register with the Information Commissioner’s Office. There are advantages to data protection registration which make this legal obligation appealing to business.

The main benefit of Data Protection Registration is the issue of a registration number. Clearly displayed on your company website and business correspondence it will help reassure customers. Confident that you are complying with the data protection law, members of the public will be more willing to share their information with you.

Find out more about our Data Protection Registration and how it can benefit your business by visiting our website or reading the articles below.

Related Articles And Sites:

• Data Protection Day – Council of Europe
• European Privacy & Data Protection Day
• Data Privacy Day 2011 (International)
• European Data Protection Supervisor
• Data Protection Notification – Your legal obligations
• Advantages And Disadvantages of Data Protection Registration
• Data Protection Breach First Fine Issued £100,000
• Data Protection Registration Service

If we consider your Strategy – what is it you are looking to achieve for your business; where your going and how you are going to get there? Having a business plan in place is essential to capture your objectives and should include specific and measurable targets. The plan should be reviewed on a regular basis (monthly) and not left on the shelf to gather dust – it should be a dynamic, working document!

Finance information should be included in the plan. Cash is king for any business and the focus should be on profits and where and how money is flowing into and out of the business – prepare and maintain a cashflow forecast.

There is no revenue coming in without Sales. It is important to know your customer and know what they want and be clear on your sales proposition – what value you are offering the customer and/or what problem you are fixing for them.

Often overlooked, in the bid to get more and more customers, is who your ideal customer is. If you can clearly identify your market and target prospect, then it will be easier to focus your Marketing to the desired audience without taking a shotgun approach.

So you’ve got your plan, finance is in place and you are successfully identify and closing business – now the challenge is to service those customers effectively. This is where your Operations become important; ensuring that you have adequate business systems and processes in place to support the way your business works and its subsequent success.

Alongside your back office systems and processes, having sufficient Resources is also important. As regards staff, only recruit if necessary, identify any redundancy in the business and remove it; as this is a burden and extra cost to you if people are not working efficiently and contributing to your business. Maybe it is worth considering outsourcing certain functions so that you can increase/decrease as required given the status of the business.

Finally, a key aspect of your business is you! Therefore from a Personal perspective, manage your time and focus on those actions that are moving your business forward and into profit.

Follow your plan, consider all ‘pillars’ of a business, adapt if necessary and you will be successful.

Paul Green is an experienced business expert in strategy, business planning, sales performance and assessment, as well as leadership development. He is the founder partner of UK Business Advisors, Fellow of the Institute for Independent Business and a Personal Business Advisor for Effective Business Group. With a proven track record, he offers practical, hands on support that works to impact the profit and performance of your business.

He is also a columnist for ‘We Know Business’ and ‘Effective Business Today‘ magazines and author of the book: “50 Essential Business Advice Tips To Prevent Your Business From Failing“.

Guest Blog Disclaimer

So, you’ve started your company, developed a life changing product and invited the press come and see it for themselves, but where do you start when it comes to hosting a press conference?

There are many considerations that need to be made when inviting the press to your event but a few golden rules will get you off to the right start. Here are the three key considerations for any press conference:

Choose Your Speakers Carefully

You might think that as the company director it is your job to court the world’s media and be the sole spokesperson for your business. But you should think carefully before nominating yourself as the face of the press conference.

Whatever your news, it is the people who tell it that will make the biggest impression, so your speakers should be confident and have something interesting to say. Think like a journalist, they will have gone to countless press conferences in the past so you need something to make yours stand out from the rest.

Does a certain employee have the type of personality that gets everybody listening? Is someone else closer to the project than you and can therefore handle questions with more authority? Is there somebody in your company who can organise and host a successful event seamlessly?

Ideally there should be a panel of representatives from your company who are equipped to handle every aspect of a press conference. There should be a host to direct the event, an expert on the issue that will answer questions and a master orator to deliver your flawless presentation. Having a company director on hand to answer questions is always advantageous, but think carefully about whether others in your company might have more to give.

Location Location Location

When choosing your location, bear in mind the amount of journalists you are expecting and what their requirements will be. You also need to make a great first impression, so if you are working out of your bedroom then inviting them round to your front room probably won’t grab their immediate attention.

Hotels and conference venues specialise in hosting press events and will have the required presence to leave a good first impression with journalists. You also need to make sure that reporters have all of the services that they might need, so ensure that there are plenty of power points, the acoustics in the room are good, there is free WI-FI and ISDN connections if you are expecting television or radio coverage.

The Press Pack

If you are thinking that printing out a transcript of your presentation and putting it in a bag will do, think again. Press packs have become a vital part of modern press conferences as they give journalists important information that you might not have time or scope to cover in your conference. This should be seen as your opportunity to court the press, make some vital long term contacts and establish yourselves in their minds as an industry authority.

Make sure your press pack contains background information, contact lists and any relevant quotes to hammer home your message. They should be professionally presented and also include brand consistent promotional gifts to provide a lasting reminder of your company.

A press conference should be seen not only as your chance to promote your latest product or service but a chance to establish yourselves as an industry source by gaining vital press contacts who may approach you for stories in the future.

Get the basics of your press conference right and you can set yourself up as a leading industry voice for years to come, guaranteeing a steady supply of free publicity from an authority source for your company.

This article is a guest post by Alan Grainger who writes articles for The Promotional Gifts Company. They cover issues surrounding the promotional gifts industry including marketing, advertising and PR.

Guest Blog Disclaimer

Another problem that new businesses face is the day-to-day admin side of things. Even if you’re an expert in your field you may not be experienced in setting up invoicing and PAYE – these back office processes are necessary for your business but can prove a stumbling block if you’ve never dealt with them before.

The Solution

One solution to both of these issues comes in the form of invoice factoring, also known as invoice financing. With factoring, you raise cash against your invoices. Normally, when you raise an invoice you’d have to wait 30, 60 or even 90 days for it to be paid. With factoring, you can borrow up to 90% of the invoice’s value in as little as 24 hours. This improves your cash flow, giving you an instant injection of capital when you need it most.

The factor doesn’t just lend you money, they can help out with your business admin too. It is common for factor to take over their client’s sales ledgers, meaning that they control your payment collection. They will contact your clients directly for payment, so you may not need a dedicated accounts department to handle this for you.

Some companies prefer not to disclose that they use a factoring service, in which case invoice discounting is also available. This works on the same principle as invoice factoring, only you retain full control of your sales ledger and take care of your own payment collection.

In both cases, once the factor has been paid in full this means your loan has been paid off without you having to hand back any cash.

Where’s the catch?

Of course, because you’re borrowing money there is a fee to pay. Factors will charge a percentage of the invoice value, so you don’t receive the full amount of your invoice. This may decrease your profit margin, but it’s often a small price to pay to improve your cash flow and get access to expert business advice. You don’t have to pay a fee before you’re lent any cash – the money you receive will be the invoice amount, less the factor’s fee.

Am I Eligible?

Factors generally require that you are a low-risk investment with a good trading history. This can mean that you don’t rely on one or two big clients for your business, but spread the risk among several. You may also need to have reliable clients who tend to pay their invoices on time rather than disputing them.

Some factoring companies actually specialise in lending to start-ups, or businesses that use unusual payment and invoicing periods such as recruitment companies. To find the best factoring company for you, get in touch with a factoring broker. They have relationships with both banks and independent lenders and will be able to advise you further.

This article was written by Kedisha from Touch Financial, the factoring specialists.

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• Late Paying Businesses and The Solution – Factoring
• Business Finance – Top 10 ways to fund your new business
• Search The Business Finance Database
• Business Finance – Developing Your Management