Executive Grapevine | Executive Grapevine International Ltd

Brief updates on recruitment's finances

As a result of blanket tax decisions made by public-sector hirers, thousands of contractors...

IR35 fiasco rumbles on

As a result of blanket tax decisions made by public-sector hirers, thousands of contractors may have been taxed incorrectly. This, many argue, is the result of an IR35 self-assessment tool which finds IR35 does not apply. Yet, many fearful public-sector hirers are deciding that IR35 does apply to their hires. This is because the Government still retains the ability to challenge their decision resulting in employers taking precaution and making blanket decisions.

Dave Chaplin, CEO and Founder of ContractorCalculator, said of the situation: “HMRC essentially granted itself the freedom to challenge any assessment that it sees fit. Though hirers and agencies are effectively coerced into using the tool by HMRC, they know that an outside IR35 evaluation from CEST still poses significant tax risk.”

 

Apprentice Winner spends some of Sugar’s thousands

The joint-winner of BBC’s most recent The Apprentice show, James White is spending money to freshen up his business' image using Lord Sugar's £250,000 investment to spark business growth.

Less than four months after White secured the £250,000 investment, his firm has experienced favourable results. Right Time Recruitment has shown considerable growth and has even got enough left over to support other local businesses, hiring a nearby website developer to freshen up their online presence. White said of the success: “We’re very pleased with the new look and we are looking forward to adding even more headshots to our ‘meet the team’ page in the near future.”

 

 

Teeside office praised for record results

North East recruitment group Nigel Wright has witnessed yet another record year, with the Teesside region expected to bring the firm gross profit of more than £13million.

The prediction is an increase on the £12.3million reported a year earlier.

CEO, Paul Wilson said: “I’m extremely pleased with our Teesside office - that’s been a great innovation. We’ve helped a significant number of companies in Teesside to achieve their growth plans.

“Our regional business performed superbly last year and its leadership team is in great shape to help the company continue on its trajectory. Building on our 30-year foundation, the wider business has seen us reinforce long standing relationships with global consumer brands across Europe while establishing new clients across the continent.”

HSBC supports partial buy-out of Major Players

A recruitment firm is giving its employees the chance to own a part of the company, in order to enhance their enagement and boost retention.

HSBC is supporting the partial management buy-out of Major Players with the help of a multi-million pound funding package. The funding will give the Covent Garden-based firm’s 100 employees the chance to purchase equity, totalling 25% of the business.

Victoria Ritchie, HSBC’s Area Director for Corporate Banking in City of London, said: “The partial management buy-out scheme is an exciting development for Major Players.

"By giving valued employees the opportunity to buy in to the business and become shareholders, the company will improve retention of the highly skilled staff members who have helped make the business such a success. We were delighted to support this significant deal.”

Jack Gratton, Chairman of Major Players, added: “Rewarding employees who have dedicated years of service or performed particularly well is something that is hugely important to us at Major Players.

"The multi-million pound funding facility, provided by HSBC and organised by Relationship Director James Dowdall, has enabled us to offer an exciting new prospect to our staff, enabling them to become truly invested in the future success of the business.”