< Previous20 Business Link www.blmforum.net INVOICE AND FINANCE SOLUTIONS Businesses within or serving this sector grapple with an excruciating average wait of more than 137 days, equivalent to over four months. Once again, the ramifications of such delays extend beyond individual businesses, impacting quarterly financial results and casting uncertainty over forecasts and projections. While the onus often falls on the party responsible for settling the bills promptly, companies themselves bear a share of the burden. Many operatives who need and deserve their pay hesitate to take action against lateness, fearing the potential damage to client connections. In response to this financial conundrum, invoice finance emerges as a vital lifeline, letting businesses sell their outstanding invoices to a third party. In return, the business receives an upfront sum, albeit at a cost. This financing model empowers thousands of businesses to maintain a healthy cash position, providing a means to regain control over cash flow issues arising from tardy and unpaid invoices. The allure of invoice finance lies not only in its simplicity but also in its expediency. Businesses can receive a substantial portion of an invoice’s value within a mere 48 hours, a stark contrast to the customary 30-day payment period specified on most invoices. However, like any financial tool, businesses must carefully navigate the landscape, choosing the right type of invoice finance tailored to their needs and selecting providers that align with their operational ethos. The financial toolbox available to businesses extends far beyond the realms of invoice finance. Asset-based finance, a specialised method, utilises accounts receivable, inventory, machinery, equipment, and real estate as collateral for working capital and term loans. This option proves invaluable for bridging gaps in cash flow, supporting growth strategies, and navigating scenarios such as start-up financing, refinancing, mergers, acquisitions, and management buy-outs. Private equity, another avenue for businesses seeking capital, involves investors injecting long-term equity capital in return for shares, a percentage stake, and sometimes, a seat on the board. While advantageous for financing management buy-outs or supporting growth plans, securing private equity is a time-consuming process with no guaranteed outcomes. Angel investors, high-net-worth individuals deploying personal funds, provide not just capital but also bring valuable experience, knowledge, and contracts to the table, providing more worth for the wait than your average stakeholder. Their involvement proves particularly enticing for early-stage businesses, but they must keep in mind that the process of securing an angel investor can be protracted and challenging. Management buyouts (MBOs) present a compelling transactional model in which a company’s existing management team acquires its assets and operations. This strategic move offers managers enhanced control and autonomy, elevating them from employees to owners. Sellers, on the other hand, can shed non-core divisions or retire, benefiting from a lucrative exit strategy. Management buy-ins (MBIs) instead involve external management teams acquiring a company, replacing the existing management structure. While MBOs enjoy the advantage of an inherent understanding of the business, MBIs require external teams to acclimate to the company’s operations, build relationships, and navigate the intricate www.blmforum.net Business Link 21 INVOICE AND FINANCE SOLUTIONS dynamics with clients and staff. As the economic lifeblood, cash flow sustains businesses, and its interruption, caused by delayed payments, impairs growth plans. Outside the need for solutions to immediate financial strains, mounting late payments pose a serious threat in this area too. Executing growth initiatives necessitates a healthy cash flow, an element vital for translating plans into tangible actions. While growth plans often involve months or even years of meticulous strategising, delayed invoices can consign them to the realm of abstraction. Fortunately, collaborating with strategic partners or forming new alliances can bring in beneficial resources, expertise, and access to a wider network of markets. Agreements like distribution partnerships can be one pathway to expanding reach in promoting each other’s services, or leveraging a pre- existing distribution channel for mutual benefit. Joint marketing or venture efforts also provide short and long-term opportunities to cross-promote while sharing resources, risks and rewards alike. These partnerships are the best help through times of financial struggle in their vast potential to accelerate growth without the need for significant capital investment. Amidst myriad challenges, businesses can always turn to equity experts, solicitors, and lenders for guidance and support. These professionals, operating in various regions, offer valuable advice to ease the strain caused by late payments. Their expertise becomes particularly crucial in navigating complex financial landscapes and devising strategies to fortify businesses against economic uncertainty. Businesses must adapt, evolve, and seek equitable solutions to sustain the harmonious balance that drives collective prosperity. But cunning exploration and employment of strategic financial management, local initiatives, complementary partnerships, and a rich diversity of financing options are there to combat delays in payment whenever your business may need them. © stock.adobe.com/crizzystudio22 Business Link www.blmforum.net HEALTH AND SAFETY According to research, 1 in 10 workers will experience work related mental health struggles, 10 times more common than chemical exposure, and almost 9 times more often than head injuries. Given most people’s first idea of a workplace injury is a slipped disc or broken wrist, these findings warrant scrutiny by businesses. Experts are advising employers to reassess mental health provisions for employees, to be in line with sickness benefits. It is also a cause for workplaces and workers alike to consider business and personal disability insurance, and whether they are covered for mental illness. Studies have determined that the risk to mental health is in line with the expanding tertiary sector, where employees increasingly rely on cognitive reasoning, as opposed to physical ability to do their jobs. Considering this, it is within a company’s best interest to prioritise and protect mental wellbeing. To tackle this growing issue, experts recommend that employers focus on creating an open culture regarding mental health issues, in which employees feel comfortable discussing periods of distress. Creating the ability for frank and honest conversation with one’s line manager about the issue, and available resources should be a paramount concern. A growingly popular example of resources for workers is the offering of a free course of therapy sessions. The studies have also highlighted that the inclusion of mental health coverage within workers’ compensation insurance should be a paramount concern. Current protocols often render it exceedingly The biggest killers at work New research for workplace health and safety in 2023 is out, and the biggest cause of injury is unlikely to be what you think. This year, the definition of “injury” within a workplace context has been re-calibrated to include mental health problems. It is in fact our mental, not our physical wellbeing that we put most at risk on a daily basis. New research for workplace health and safety in 2023 is out, and the biggest cause of injury is unlikely to be what you think. This year, the definition of “injury” within a workplace context has been re-calibrated to include mental health problems. It is in fact our mental, not our physical wellbeing that we put most at risk on a daily basis. www.blmforum.net Business Link 23 HEALTH AND SAFETY challenging to initiate a workers’ compensation claim for mental health- related issues, unlike the more straightforward process for physical injuries that secure medical attention and wage compensation. Advocates stress the necessity for employees to seek legal counsel to explore the extent of available benefits. Notably, should a worker experience mental health challenges stemming from a physical injury, a seasoned workers’ compensation 24 Á24 Business Link www.blmforum.net HEALTH AND SAFETY attorney can append a supplementary claim to the primary injury case. Moreover, if a mental health condition traces its origins to a specific workplace incident, individuals might qualify for additional benefits. Yet, whilst some things change, others appear to stay the same, both for better and for worse. 2022 research conducted by the UK Health Security Agency (HSA) showed that, in a notable decline, the recorded work-related fatalities have hit a historic low, marking a significant milestone since the establishment of the HSA back in 1989, with only 28 reported deaths. Although these numbers have exhibited volatility, contrasting with the 38 fatalities in the preceding year of 2021, they align with the consistent long-term trend pointing downward. Startlingly, the sectors of agriculture, forestry, and fishing constituted half of these 28 fatalities, revealing a disproportionate representation of older male farmers among the deceased. Statistics unveiled that nearly three- quarters of the individuals who tragically lost their lives were aged 55 or above. A noteworthy detail arises in the fact that eight out of the nine individuals over 65 years old who passed away were engaged in agriculture, forestry, and fishing. Contrarily, while construction has shown an improved safety record, seven fatalities occurred within the industry in the previous year. The overall trend does paint an optimistic picture. In 1998, the fatality rate stood at 3.8 per 100,000 workers, a figure that dramatically plummeted to just one last year. However, examining specific sectors, the statistics reveal a varied landscape. Construction boasts a fatality rate per 100,000 workers a mere quarter of what it was 25 years ago, a substantial improvement, while agriculture remains largely unchanged in this aspect. These figures underscore the sectoral © stock.adobe.com/andranik123Bespoke training solutions Lincolnshire & Counties Training Solutions (LACTS) deliver high-quality training solutions across the UK that are typically delivered at your business premises, ensuring the most cost- effective and efficient use of your personnel’s time. We are recognised and authorised by the leading UK governing bodies such as, QNUK, FAIB and BALI to train accredited Food Safety, Health and Safety, First Aid, Fire Safety, ROLO and a host of other qualifications throughout the whole of the UK. www.blmforum.net Business Link 25 HEALTH AND SAFETY disparities in workplace safety, highlighting both achievements and areas that necessitate further attention and improvement. Given the escalating injuries and fatalities observed predominantly among older, self-employed men engaged in manual labour, there is an obvious necessity for targeted interventions within this specific demographic. Despite registering the lowest count of fatal incidents, 28 individuals tragically lost their lives in 2022 due to preventable work-related incidents—an improvement on record, yet a sobering reality highlighting the critical need for continued vigilance. The HSA report pointed to the positive impact of the advisory committee on construction, attributing increased safety standards and notable transformations in managing construction sites to its existence. These resulted in visible improvements, like controlled site access through safety passes, reinforced perimeters, and the shift from precarious ladders to safer scaffolding. However, challenges persist, primarily among smaller companies attempting shortcuts, emphasizing the importance of sustained efforts to mitigate risks and enhance safety standards across the board. 26 Business Link www.blmforum.net PORTS AND LOGISTICS F reight logistics in the UK is poised for a transformative journey driven by the potential of freeports, like the Humber’s launched earlier this year. With the major hubs of Hull, Goole, Immingham and Grimsby taking centre stage in our innovative global trade, it’s a great time to look at how ports across the nation are ushering in economic revival, and enhancing global competitiveness despite challenges to supply chain efficiency and international trade. The Humber Freeport alone is set to inject a collective £650 million of investment across the UK. This infusion serves as a catalyst, creating a ripple effect that resonates in job growth, urban regeneration, decarbonisation, and technological innovation. Acting as vital gateways for about 17 percent of the nation’s trade, Hull, Goole, Immingham and Grimsby play strategic roles in fortifying the UK’s economic resilience. But beyond regional confines, freeports open doors to a diverse range of investment opportunities spanning sectors such as green energy, chemicals, and advanced manufacturing as well as logistics. The collaborative dance between public and private sectors positions UK ports as drivers of comprehensive economic transformations that transcend geographical boundaries. At the core of this transformation lies the understanding that freeports are The Freeport revolution The freeport status is set to reshape the landscape of freight logistics across our region and more. We explore their transformative effect on economic revival, job growth, and sustainability. www.blmforum.net Business Link 27 PORTS AND LOGISTICS © stock.adobe.com/Arild zones where conventional tax and customs regulations no longer apply. Whether maritime or airport facilities, these designated zones offer simplified customs procedures and tariff exemptions. Businesses lucky enough to be operating close to these ports will find themselves empowered to export free from otherwise extensive procedure. However, a certain balance of responsibility must be maintained, as goods exiting freeports bound for other parts of the country need to adhere to the complete import process, including tariff payments. Freeports are different from free zones or ‘enterprise zones’, in that they are designed to incentivise businesses engaged in importing, processing, and re-exporting goods, unlike broader initiatives with a focus on general business support or regeneration objectives. This refined economic strategy positions freeports as engines for trade specialisation, their unique advantages ripe to be harnessed for sustained economic growth. Amid the promise of freeports, challenges persist for all UK ports. The aftermath of Brexit introduced complexities in trade regulations, customs procedures, and border checks, which have collectively led to a prolonged adjustment period to our new 28 Á28 Business Link www.blmforum.net PORTS AND LOGISTICS norm. Ports grapple with the need to adapt, raising concerns about vulnerabilities in port connectivity, and the long-term efficiency of trade flows. Regardless of the additional system and administrative requirements introduced by Brexit however, ports have benefitted from increased scrutiny of routing choices by shipping stakeholders. There has been a noticeable uptick in services to various areas as individuals explore different routes for moving goods to and from the EU. It’s important not to make too many assumptions on what this means for the future, as the complete set of requirements, particularly on the UK’s side, has not been fully experienced. But looking ahead in a post-Brexit landscape, the trend of shifting trade patterns is expected to continue, with stakeholders consistently assessing their supply chain routing choices and recognising that traditional approaches may no longer be the most optimal. Fortunately, the simplified customs procedures inherent to freeports reduce administrative burdens for businesses navigating our changing relationship with the EU, minimising the complexities associated with customs documentation and clearance. Imports can enter without paying tariffs, which provides an incentive for businesses to explore different routes without immediate financial risk. More flexible and potentially cost- effective routing solutions are matched by flexibility to import, process, and re- export goods without facing the full range of tariffs or administrative hurdles. This flexibility enables stakeholders to adjust their routing choices based on changing market conditions, regulatory environments, or other external factors. It also encourages innovation in the spirit of change, the incentives of reduced tax and regulatory constraints attracting businesses and stimulating investment, while encouraging value-added activity such as manufacturing, assembly, or processing of goods within designated zones. The collaborative nature of freeports involves the public and private sectors working together to achieve economic goals. This collaboration can lead to the development of efficient logistics networks, optimised transportation routes, and shared resources, further supporting businesses in adapting to changing requirements. In the context of post-Brexit challenges, ports can serve as strategic hubs for businesses looking to work together to navigate the new trade landscape, especially with the extra benefits freeports provide. The overarching goal of freeport innovation is to stimulate economic activity nationwide. By attracting inward investment, these ports become crucibles for the construction of new facilities, including manufacturing plants or research and development centres. The www.blmforum.net Business Link 29 PORTS AND LOGISTICS resulting employment opportunities can heal labour shortages and skill gaps in the maritime and logistics industry, the excitement of being part of industrial change attracting, and providing inspiring challenges to, the valuable skills of incoming personnel. While the Humber Freeport will build on Lincolnshire’s established might in renewable energy, advanced manufacturing and clean economic expansion, Freeport East—positioned in Harwich International Port, the Port of Felixstowe, and Gateway 14—is fast becoming another key hub for trade, manufacturing, and green energy. Strategically positioned with access to the North Sea, Freeport East aims to be a centre for offshore wind manufacturing and a hub for the emerging green hydrogen sector. As the largest container port in the UK and a major ferry port, it offers a direct link to global markets and connections to both London and Cambridge, making it an attractive gateway for international investors and fertile ground for ambitious businesses. Integrated into the East Coast green energy cluster, Freeport East aligns with the clean energy transition, serving as a strategic location for clean energy manufacturers, innovators, and investors. Covering a vast area, it extends beyond industrial prowess to include some of the UK’s finest landscapes and historic towns, offering an exceptional place to live to anyone who moves there to make the most of booming opportunities in the sector. This reconsideration of what ports can mean to advancing our singular position in global trade, technological advancement, careers, and a greener economy, holds bountiful promise for a bright future. Our new breed of freeport presents a dynamic and forward-looking economic ecosystem, inviting businesses to join a transformative journey toward growth and sustainability, while continuing to supply our country’s best to the wider world. © stock.adobe.com/Virtual Art Studio© stock.adobe.com/a4stockphotos Keeping Your Business Moving Hire, Service & Repairs Commercial Trailer Specialists in Stallingborough, Grimsby Next >