Month: September 2018

Morningside Pharmaceuticals Ltd’s Chief Executive, Dr Nik Kotecha OBE, has been named Businessman of the Year at this year’s Niche Business Awards.

The annual ceremony, organised by Cross Productions, recognises outstanding Leicestershire businesses and business professionals.

The Businessman of the Year  Award acknowledges an individual ‘who has achieved concrete results while inspiring others along the way, as well as demonstrated the ability to help others succeed’.

Dr Kotecha said: “Leicestershire is a great place to do business and we’re immensely proud to be based here.

“The county has an abundance of strong businesses and excellent business leaders, so receiving this award is a great honour.

“Morningside Pharmaceuticals Ltd has grown and become a successful company in Leicestershire because of the help and guidance we have received from the local business community, who I would like to thank for their support.”

On the night the Business Woman of the Year category was won by Eileen Richards OBE, from Eileen Richards Recruitment, and the Community Champion in the Above and Beyond category was won by Mike Kapur MBE, Lord Lieutenant of Leicestershire.

Jenny Cross, the event’s host, said: “We are continually amazed with the number and standard of entries for the awards.

“Leicestershire businesses are going from strength to strength, providing innovative solutions, excellent customer service and great value for money to their customers. These awards are a great way of celebrating that.”

Morningside Pharmaceuticals Ltd  was one of nine in the Midlands to receive a Board of Trade Award, from the Department for International Trade.

At a special ceremony Dr Nik Kotecha OBE, Chief Executive of Morningside, received the award from Secretary of State, Dr Liam Fox.

Speaking about why Morningside has been chosen to receive the award, Dr Fox said: “As a leader in the medical field, Morningside Pharmaceuticals Ltd is a fantastic advocate for international trade. Having exported to over 100 countries worldwide, the company represents the best of British on the global stage.

“I am delighted that my international economic department is presenting Morningside with a Board of Trade Award, paying testament to its continued exporting growth over the last few years.”

The judges were particularly impressed with how Dr Kotecha OBE used “his experience to champion the benefits of International Trade in the Midlands” through his work as a Department for International Trade (DIT) Export Champion.

After receiving the award Dr Kotecha said: “It’s a great honour to receive this award, particularly as it’s about working within the community to deliver prosperity and to champion free trade.

“I am very proud to be one of 28 Export Champions for the Midlands, which involves offering expertise and advice to inspire companies to export and to support existing exporters, who are looking to expand into new markets. In particular, I have been working to promote exporting to countries outside of the European Union, which is essential if the UK is to make a success of Brexit.

“I hope our work will help maximise the potential of the Midlands engine to drive this region’s exports to new heights, as well as to support businesses with exploring successful trade opportunities around the world.”

Morningside Pharmaceuticals Ltd, which is based in Loughborough, specialises in manufacturing and supplying generic and branded medicines to UK hospitals and pharmacies, as well as essential supplies to global aid agencies.

The Department for International Trade (DIT) works with thousands of businesses, and set up the Board of Trade Awards, to help celebrate those individuals who are showing exceptional innovation, delivering prosperity to their local communities, and championing free trade.

The Board of Trade Awards allow civil servants working for the Government department to recognise businesses that they believe deserve special recognition for their role within their communities.

The Awards are given out on an annual basis at Board of Trade meetings, as they travel around the UK, during domestic visits and missions, and at an annual business reception.

Award recipients are nominated and selected by Civil Servants from the Department for International Trade.

A group of keen colleagues have taken part in a gruelling evening of softball cricket to raise money for a local children’s hospice.

The nine players came together to form the Morningside Howzats Team and took part in the charity event at Leicestershire County Cricket Club’s Grace Road grounds.

Softball cricket consists of 8 teams, all made up of players from local businesses, playing 4 games at a time – side-by-side. Following each innings of eight overs, the game lasts around 45 minutes, the teams then rotated to play another opponent.

All money raised from the event, which was kindly provided by the businesses taking part, was donated to Rainbow’s Children’s Hospice, in Loughborough.

Morningside HR Assistant and team captain Joe McLaughlin, said: “Knowing that we were rising money for such an amazing charity really spurred the team on to keep going right until the end of the very last game.

“There is such a great team spirit at Morningside, which really shone through during the cricket matches. Although we didn’t win, we all had a great time and were really proud to be taking part in such a worthwhile event.”

Dr Nik Kotecha OBE, Chief Executive of Morningside Pharmaceuticals Ltd, is also Chair of the East Midlands Chamber of Commerce Brexit Advisory Group.

The Chamber recently drew-up a Brexit Checklist to help all East Midlands firms undertake a Brexit ‘health check’ and a broader test of existing business plans.

In this blog Dr Kotecha, who is also a Board Member for the Leicester & Leicestershire Enterprise Partnership (LLEP), examines East Midlands businesses’ resilience to the possible changes brought about by Brexit. He also considers what key questions all businesses should be considering, as we approach the March 29, 2019, leave date.

“Leaving the European Union is one of the most challenging issues facing East Midlands companies for a generation and there is still so much uncertainty on what the terms of the final agreement, if there is one, will be.

“The good news is that East Midlands businesses are robust and, due to a large number of smaller businesses being based here, we are responsive to change. We also have lower unemployment than the national average and are the manufacturing spine of the UK. As a region the Midlands is in a strong position, but for the Midlands engine to continue to be successful, the East and West must work more closely together.

“But there is a danger that businesses are so busy with current activity that they don’t take the necessary action to prepare for the changes to come. Some of these big changes could be to supply chain access, regulatory rules and potentially changes in customers. It also means they may not be best placed to take advantage of the opportunities which arise.

“A survey conducted by the Chamber’s Brexit Advisory Group also found that many businesses are yet to start properly thinking about what the wider implications on their current business activity could be.”

Key Questions to Ask Yourself

“Brexit is complex and there are so many unknowns that it’s difficult to understand where to start.

“My advice and the advice of the East Midlands Chamber’s Brexit Advisory Group is to ask yourself three key questions.

“The first question is ‘have you devoted time to considering the indirect and direct consequences of Brexit’? There are a wide-range of issues to consider here, including: your workforce and the future skills needed by your organisation, cross-border trade, taxation; and changes in currency, intellectual property and contacts. I will go into much more detail on all of these in my next Brexit blog.

“Secondly, ask yourself: ‘have we consulted our board of directors on Brexit’? It’s essential that Brexit is put on the agenda of your Board and Executive Team meetings, so a proper risk assessment and strategy can be drawn up and then followed through.

“Thirdly, ‘have we mapped out our supplier and customer base’? Here you will want to consider how changes in the UK and European Union’s relationship will affect them. Once you have fully mapped out the changes and you have all of the information available, you will then be able to plan for each eventuality.”

In his second blog Dr Nik Kotecha OBE, Chief Executive of Morningside Pharmaceuticals Ltd and Chair of the East Midlands Chamber of Commerce Brexit Advisory Group, provides top tips on preparing for every Brexit eventuality.

These tips are authored by the East Midlands Chamber in their Brexit Checklist for businesses.

“In my last blog we advised that one of the key questions businesses should be asking themselves is ‘what are the direct and in-direct consequences of Brexit on my business’?

“There are four key areas we will look into here, which are: workforce and future skills needed, cross border trade, taxation; and currency, intellectual property and contract changes.

Workforce Changes

“Freedom of movement is one of the main reasons why the UK voted to leave the European Union, but for East Midlands businesses this does present a number of potential challenges.

“At present any EU citizen is allowed to move to, live in and work in any member state, which is likely to end at some point after March 29, 2019. The Government has come to some agreement with the EU that all EU citizens currently, here until the leave date, may be allowed to stay and work after we leave. However, any EU national arriving after March 29 and during the proposed 2 year implementation period may need to register if they wish to stay longer than 3 months. It will thus fall upon your business to check they have a right to work in the UK and that they have registered.

“Also consider what your future staffing needs will be over the next few years. If you have to employ people from outside of the UK, then understand what steps you may need to take.”

Cross Border Trade

“There are three key areas, which will affect any business which buys, or sells with the EU. These are: customs checks, trade tariffs and rules of origin on UK-EU trade.

“Customs checks may mean that all UK exporters to the EU have to make a customs declaration, which may mirror the current arrangements of trading with countries outside of the EU. The issue here is also the resilience of your supply chain, as there maybe border delays. So ask yourself – ‘will I need to change my arrangements with my logistics provider’ and will I need to buy additional storage space or increase my inventory’.

“Tariffs may also be an extra cost, although all UK chambers are advocating for zero trade tariffs between the UK and EU. If there are tariffs you will need to know the International Classification codes for your products and which EU MFN (Most Favoured Nation) tariff is applicable to your products? Also ask yourself what the impact on tariffs would be on your costs?

“Rules of origin changes would mean that preferential trade terms are no-longer available. This may mean that lower EU import/ export duties are no longer accessible, so how will this impact on your costs? Look at which markets where the EU has trade agreements, are applicable to your business, and plan to apply for duty relief, customs relief and trusted trader schemes. Having a member of staff who is knowledgeable in customs and exports would be helpful here.”

Taxation

The Government has recently provided more clarity on VAT by introducing postponed accounting for imports, and has gone further by saying that these arrangements will cover imports from EU and non-EU markets alike

“If ministers had not acted, firms faced the prospect of having to pay VAT immediately on each cross-border transaction – creating significant cash flow issues for businesses. There is no further information yet on how this will work.

Currency, Intellectual Property and Contracts 

“The last area to consider covers the impact on currency fluctuations and leaving the EU regulatory regime.

“Currency fluctuations are likely to return and may affect your contracts. With regards to the regulatory regime, it’s still unclear whether UK regulators will be able to provide licenses for the EU market post-Brexit. It’s also unclear whether notified bodies in the UK can conduct conformity assessment checks on goods destined for EU markets.

“Businesses should think about the steps they have to take with separate UK and EU regulations in the future. If you have intellectual property rights, have you contacted trademark bodies or solicitors about protecting your property? Do you need to amend your contracts once the UK leaves the EU?”