There was concern about the state of the economy before the out vote and now the future is much more uncertain. Although there will be little change immediately, it is difficult to predict what the long term implications will be and the longer that the political uncertainty continues the bigger the impact it will have on both consumer and business confidence.

Until the government decides our new trading relationship with the EU, it is difficult to know how it will affect bank lending, taxation, employment of EU nationals and inflation.

For their own political reasons the other EU members are likely to insist on the free movement of workers in return for access to the single market. This leaves an unpalatable choice of losing access to our biggest market or agreeing to the free movement of workers which would disappoint those who voted to leave.

The impact of the leave vote will be different for every organisation. Whilst the affects are likely to be greater for businesses that trade with Europe, all business owners will need to consider the likely implications. Our key considerations are:

Employment

• If you employ EU citizens, what reassurance can you give them about their employment status?
• Review employment contracts and take steps to secure any important non-UK staff as employment restrictions are likely to only apply to new recruits.
• Review recruitment procedures to check you have evidence that new recruits are eligible to work in the UK.
• If the employment of overseas workers is restricted consider how will you replace that workforce?

Sales

• Review your export exposure. What will the effect be on your business if import tariffs are imposed?
• If your business is dependent upon exports consider whether there are opportunities for acquisitions or joint ventures with EU partners.
• Review which customers or suppliers might be affected by short term volatility? You may not be dependent on exports but your customer might.
• Identify commercial opportunities in non-EU markets.

 

Finance

• Review sources of capital and risks around refinancing.
• Assess future funding requirements and opportunities.
• Consider what to communicate about risks to banks and other lenders.
• Review the cash flow implications of possible changes to VAT and corporate taxation.
• Assess exposure to likely interest rate and exchange rate fluctuation. Consider currency hedging if necessary.
• Review capital expenditure plans

Making ourselves more efficient is something to strive for, especially in the workplace. Here are our top ten tips:

1. Set Weekly Targets – Start the week by deciding what you want to get done by Friday. Then set aside enough time to achieve your target and do not get distracted.
2. Work Less – By making a conscious decision to work fewer hours, it will force you to prioritise and make more use of the time you have.
3. De-Clutter – Not only does it help with keeping on top of the paperwork, it also helps with deciding what’s important and what’s not.
4. Make The Decision – Do not be afraid to make a decision and commit to it. Don’t wait for a perfect solution as there are few occasions where it cannot be reviewed and improved upon later.
5. Delegate – Taking on too much can be draining. Learn to break down jobs into tasks that can be delegated to others. Often they will do the task better than you can.
6. Look After Your Health – No one works well when they are over-stressed or tired so it is important to balance work with relaxation. Everyone is different so you have to find what is right for you.
7. Avoid Pointless Meetings – Everyone should know the purpose of a meeting so that they can be prepared and decisions made. Set a time for the meeting to end so that it comes to a decision and does not go on forever.
8. Be Prepared To Say No – There are only so many hours in a day so if it is not important or it is somebody else’s job then be prepared to say so.
9. Play Nicely – Sometimes it cannot be avoided but no one gains if there is friction with customers or suppliers or between employees. Driving a hard bargain is one thing but take it too far and it will only happen once.
10. Concentrate On What Motivates You – There are always jobs that you cannot avoid but if you focus on what you are really interested in then you are likely to achieve more.

In addition to filing their accounts, all limited companies have had to file an annual return with Companies House. This is being abolished and replaced by a “confirmation statement” confirming the registered office, directors, company secretary, shareholders, share capital, details of where records are kept and a new list of people with significant control (PSC).

Companies may make a confirmation statement at any time but must do so at least once every 12 months. The charge for online filing has yet to be announced.

In practice there will be little difference between the information which a company will have to provide under the confirmation statement and the information already provided in the annual return. The major change is the PSC report. In most cases this will be anyone holding more than 25% of the shares or the voting rights but consideration needs to be given to whether there is anyone else who has the right or actually exercises control over the decisions of the company.