John Melotte

Today’s budget announcements reveal a challenging landscape for UK entrepreneurs and SMEs, as Chancellor Rt Hon Rachel Reeves’ first budget underscores a range of new tax measures set to impact business owners across the country. With a community of over 30,000+ SMEs, E2E Enterprise has been a vocal advocate for the needs and growth of small and medium-sized enterprises, yet today’s budget highlights a concerning shift in government support for the business sector.   The proposed increase in Capital Gains Tax (CGT), along with the hike in employers’ National Insurance (NI) contributions to 15% starting April 2025, directly affects larger SMEs, who are the backbone of economic growth and job creation. Additionally, changes to Business Asset Disposal Relief, and the capping of Business Property Relief at £1 million (with a 50% discount on the remainder), could challenge the sustainability of family-owned businesses, further straining SME cash flow and growth prospects.   Moreover, the 20% Inheritance Tax (IHT) now chargeable on most AIM shares, previously a 40% benefit, threatens to reduce market liquidity and limit funding options for SMEs reliant on AIM investments. Combined with the end of Non-Dom Status, VAT charges on private schools, and increased stamp duty, these policies may deter foreign entrepreneurs from considering the UK as a viable location for new ventures.   These changes have sparked significant concern within the E2E Enterprise community, with many members expressing frustration and even reconsidering the UK as their primary base of operations. The sentiment from our network is clear: the government’s stance may lead to a decline in new business formations and a potential exodus of high-growth SMEs to more business-friendly regions.   E2E Enterprise stands committed to advocating for a business environment where entrepreneurship can thrive, calling for policies that recognise and support the essential role of SMEs in driving economic growth, innovation, and employment across the UK. #E2E #AutumnBudget #TheBudget #CGT #SME

475

93 Comments

Recently, Jason Dorsett (NHS CFO) provided a thoughtful analysis on the impact of inflation on NHS purchasing, highlighting the significant challenges that NHS hospitals face in the current economic climate. With UK CPI at 2.3% for the 12 months to April 2024 and predictions of CPI staying between 1.9% and 2.6% for the next two years, the pressure on NHS budgets is palpable. Public sector budgets, constrained by a GDP deflator inflation measure, assume non-pay inflation of just 0.8% for the 2024/25 financial year, creating a substantial gap between available funding and rising costs. We understand that this economic environment creates complex challenges for NHS trusts, especially in categories like medical equipment where maintenance is often specific and options are limited. Our commitment to supporting the NHS goes beyond providing medical equipment and repair services. By working closely with our partners, we have developed cost-effective solutions that help our clients manage and reduce expenses, ensuring that they benefit from below-inflation costs for equipment and repairs. Our approach includes: - Open Dialogue: We engage with NHS trusts early in the process, understanding their expectations, funding limitations, and the specific challenges they face. - Value Creation: We collaborate to find innovative ways to create value, focusing on reducing waste, enhancing energy efficiency, and streamlining processes. We recognise the importance of evaluating interventions based on their contribution to patient outcomes and overall system value. - Regulatory Compliance: We acknowledge that regulation is a key driver in the medical device industry. Our solutions are designed to meet regulatory requirements while controlling costs. - Exploring Alternatives: We help NHS trusts explore alternative suppliers and brands within established framework agreements, ensuring that patient care and clinical practice standards are maintained. We’re very proud to be a reliable partner to the NHS, ensuring that we navigate these challenging economic times together. By working closely with our partners, we ensure the sustainability and efficiency of NHS services, despite the economic pressures we face. #Healthcare #NHS #Inflation #CostManagement #ValueDriven #MedicalEquipment #Tenacore #RegulatoryCompliance

5

As the UK’s largest domestic investor in UK venture and venture growth opportunities, we are increasing access to, and the availability of, long-term, patient finance. We do this via three schemes, each one addressing specific market issues ⤵️ https://bit.ly/46AnNw8

8

It was 30 years ago today... that Chancellor Ken Clarke introduced VCTs in his 1994 Budget! Since then they've raised over £12 billion to support the best of British innovators. To mark the occasion, we have launched a report, 'Giving great companies a flying start' to highlight the crucial economic role VCTs play in nurturing high-growth companies, providing finance, business expertise and ongoing support to help entrepreneurs bring their vision to life. Find out more here: https://lnkd.in/e9sJ7YKn Annabel Brodie-Smith Vanessa Booth Nick Britton, CFA, MCSI Nick Gardner Juliet Webber Richard Stone Chris Lewis Venture Capital Trust Association (VCTA) British Smaller Companies VCT2 PLC BRITISH SMALLER COMPANIES VCT PLC Blackfinch Group Blackfinch Ventures AMATI VCT PLC Hargreave Hale AIM VCT OCTOPUS AIM VCT PLC Octopus Ventures AlbionVC Baronsmead Venture Trust plc Baronsmead Second Venture Trust plc CALCULUS VCT PLC Foresight Group Fuel Ventures 🚀 Gresham House Ventures Gresham House MAVEN INCOME AND GROWTH VCT PLC MAVEN INCOME AND GROWTH VCT 4 PLC MAVEN INCOME AND GROWTH VCT 5 PLC MOBEUS INCOME & GROWTH VCT PLC Molten Ventures NORTHERN 3 VCT PLC Octopus Titan VCT Oxford Technology Management Pembroke VCT Praetura Ventures Proven Growth and Income Vct Plc Proven Vct Plc Seneca Growth Partners THE INCOME & GROWTH VCT PLC Triple Point #VCTs #VentureCapital #VentureCapitalTrusts #InvestmentCompanies #Investing

13

excellent guide and insight from Growthdeck regarding EIS for investors.

5

2 Comments

Role clarity is key to fractional CFO pay https://lnkd.in/ekJe366M Though this article is geared towards practitioners, it offers up insight to those looking to buy services provided by fractional and interim financial professionals. It's important to understand what the professional is offering. Ask questions. Get clarity. Compare providers. Know what you need. When you chat with our team at RecBooks365 | Fractional & Interim Controller Services, we attentively listen to your story and collaborate with you to deliver the necessary accounting solutions, leveraging the strengths of your existing team. Understanding your future plans is crucial for us, and we actively keep those in mind as we solve your finance-related challenges. Our commitment to clearly outlining these items in our scope-of-work ensures we continuously refine and adapt our services to fit your evolving needs. Even if you are simply shopping for services, we can help you better sort through your needs. Send us a note today: [email protected] | +1.713.730.9178 #FractionalCFO #Fractional #Interim #Controller #Accounting #CorporateFinance #PrivateEquity #Venture #FinancialStatements #Profitability #SMB #MiddleMarket #Turnaround #Growth

2

For anyone interested in investing into EIS / SEIS opportunities, you might be interested in our guide

8

🚀 New on our Substack: Insights for Policymakers and the Tech Industry Our white paper, What Scale-Ups and Funders Expect from Policymakers dives deep into the critical challenges facing the UK's tech ecosystem. Drawing on conversations with tech founders and venture capitalists, we've outlined actionable recommendations for policymakers to foster innovation and growth. 🔗 Read the first chapter on funding support here: https://lnkd.in/eJKFZ4t9 We’d love to hear your thoughts—what do you think are the most pressing policy needs for the tech sector? 💡 We'll be posting a different chapter from our white paper each week, covering everything from global collaboration to skills, so stay tuned! #TechPolicy #ScaleUps #VentureCapital

2

Hargreaves Lansdown has partnered with the Calculus Capital VCT to launch it's new VCT online investment service. Greater accessibility to VCTs benefits both UK entrepreneurs and investors looking to navigate a post budget tax landscape. Calculus Capital is excited to be 1 of 3 VCT managers participating in the launch. https://lnkd.in/e4UxsXg7

16

For businesses in North Yorkshire, there are some grants available from the UK Shared Prosperity Fund -https://lnkd.in/eatN3nhC "Woohoo!" I hear you cry. Well that was my initial reaction until I read that this didn't include businesses in the City of York, where the City of York Council's share of the UK Prosperity Fund is being spent on programmes and other activities - more on that here: https://lnkd.in/esspA3cW I don't see a problem with this approach, I just find it strange that the actions of City of York council and North Yorkshire Council don't align when they are pretty well linked, for example through the York and North Yorkshire Growth Hub. There are many small businesses and individuals ready to start their business journey in York, many of whom will already have a business plan and just need financial support to help them make their next move. For example, there are many creative businesses that may need this support to get themselves started or level up their existing business, which could help strengthen York's position as a UNESCO Creative City of Media Arts. In the meantime, I might just have to move my small business down the road to Escrick if I want to apply for local grant funding🤷‍♂️

10

9 Comments

We are dedicated to integrating ESG (Environmental, Social, and Governance) targets into our core strategy. We strive to reduce our carbon footprint to a healthier planet and society by focusing on these critical areas. Our environmental initiatives are geared towards our commitment to sustainability. ESG targets are regulatory requirements and strategic imperatives that drive efficiency and innovation. We believe that collaboration is critical to achieving a sustainable future. Our Impact Partnership Program empowers businesses and organisations to make meaningful environmental, social, and governance (ESG) improvements. By partnering with us, you can access a wealth of resources, expertise, and innovative solutions tailored to your unique sustainability goals. #ESG #Sustainability #bigpicturebanking #workingtogether #makinganimpact

18

In response to Lord Darzi's report on the state of the NHS, Hema Purohit, FBCS Purohit said: "The review's recommendation of a 'major tilt towards technology’ in the NHS can only be achieved with a long-term, consistent strategy. "We back the three goals outlined by the health secretary of moving care from hospital to community, from analogue to digital, and shifting the focus from the treatment of sickness to prevention. However, these goals must be adhered to if they are to have any real impact and benefit over the coming years. "Tackling the legacy debt of outdated IT equipment and systems is a priority for improving efficiency, as is investing in innovations such as AI in MRI scanners. We would welcome an opportunity to work on a 10-year plan with Wes Streeting, bringing our vast technological expertise in this sphere to the table.” "We would also recommend that shifting the focus from treatment to prevention is much bigger than just the NHS and would require its own thinktank to consider best to achieve this." Link to report: https://hubs.ly/Q02PJgJY0 #NHS #NHSReport

39

1 Comment

WHAT IS A TRANSACTION? We know there is a mix of experience across the CFO and FD Community when it comes to Exits, be they ⭐️ Trade sale to Private Equity ⭐️ Private Equity sale to Trade ⭐️ Private Equity to Private Equity ⭐️ IPO And variants on a theme (sometimes it’s not a complete sale, it’s a partial sale for fund raising). At NOVA Community we believe in sharing knowledge, so we have a brilliant collection of events where our members plus great speakers share their experience with the community. We do not believe in the outdated concept of “knowledge is power”, we believe in sharing experience, moving all forward, putting down the latter so others can follow. Events coming up in this theme: ⭐️ 15th May - a breakfast with Niall McBride and Keeren Shah discussing their experience specialising in their time in IPO exits. A blend of Investment Banking and CFO experience. Wait list available. ⭐️ Teams based 2pm 30th May - Sanvri Nathu and Billie O'Connor will walk through “what is a transaction” and some of the experience in a sale process from a CFO and Transaction Director perspective. Sign up out soon! ⭐️ 12th June - a breakfast with Ignata Finance - a ZRG Partners Company and NOVA Community for FDs and CFOs in Consumer and Retail. 2 great speakers with extensive M&A experience in these sectors. Invites to follow in the next 2 weeks. Plenty more to follow - we have an exciting event list starting for Sept and Oct too so you can plan ahead 👏🏻👏🏻👏🏻 Have you joined the community yet? [email protected]

4

What should businesses anticipate from the forthcoming Chancellor's budget? In this video, Neil Fletcher shares his insights on the potential changes in the upcoming budget, their implications for UK businesses, and his expectations for additional announcements on 30th October. Discover more here: https://okt.to/76dC04 #Tax #UKTax #Budget #Business

10

📊 Transforming NHS Financial Decision-Making: Live Anaplan Demo for NHS Finance Leaders - Thursday 28th November @ 10:00AM Join us for a practical demonstration on how NHS Trusts can revolutionise their financial governance and board-level reporting. In this hands-on session, we'll show you how to: 🖥 Monitor trust-wide financial performance in real-time 📊 Track CIP delivery with automated updates 📈 Analyse agency spend and WTE trends dynamically ❄ Model winter pressures' impact on your financial position Perfect for: ✓ CFOs and Deputy CFOs ✓ Directors of Finance ✓ Financial Controllers ✓ Board Members Stop spending hours preparing static board reports. See how integrated data and automated reporting can transform your financial decision-making meetings. Aligned with Lord Darzi's recommendations for evidence-based financial governance in the NHS. Register here: https://lnkd.in/e8n7sNGe #NHS #Healthcare #Finance #FinancialPlanning #Healthcare #NHSLeadership #DigitalTransformation

15

1 Comment

🚀 Webinar: Supreme Court Decision and why it's relevant for all UK Businesses. 📅Thursday 19th Sept, 12.30pm Join us to dissect the crucial Supreme Court ruling on the tax status case involving Professional Game Match Officials Limited (PGMOL). Whilst this wasn't quite the decision everyone hoped for after 15 months, there are areas to look at. This webinar will: - Help you understand the details of the PGMOL case and its broader implications. - Give you an opportunity to address your specific concerns with me in the Q&A session To keep up to date register your free place now: https://buff.ly/3LYxoVn Please share. #IR35webinar #webinar #IR35 #IR35compliance #compliance #tax #HR #HRNews #Contractors #Contracting #IR35awareness

4

🚀 Looking to connect with the UK’s largest private active investor community? Through Edison’s partnership with ShareSoc (UK Individual Shareholders Society), you’ll gain direct access to a financially savvy, engaged private investor network. Share your story through bespoke webinars designed to foster connections, showcase value, and drive long-term growth. 💼📊 Let’s make it happen – get in touch with Edison today and take charge of your success: [email protected] #EdisonGroup #ShareSoc #Investors #InvestorRelations #BusinessGrowth #Webinar

18

2 Comments