Know your workforce

EU nationals are estimated to represent 9 per cent of the workforce in Buckinghamshire, above the national rate of 7 per cent. The rate will vary significantly by sector, with areas such as hospitality and construction having higher percentages of EU workers.

Knowing the make-up of your workforce will allow for better planning and will help in the recruitment and retention of skilled workers. As most HR files now need to include ‘right to work’ documentation, they should prove to be a useful source of this information.

Speak with your employees

Take the time to speak with your employees about their future plans, and talk through any concerns they may have. You don’t have to pretend to know what Brexit will yet mean for your business; by simply talking through potential scenarios you can provide reassurance that you are thinking about your employees.

Contracts and negotiations

The next few months provide a good opportunity to consider the impact of Brexit on current and future contracts, and negotiate clauses as appropriate.

Check if your contracts contain ‘Force Majeure’ clauses and whether Brexit can be used by a contracting party to renegotiate or terminate a contract. Consider including such clauses in future contracts, or ensure all parties can be flexible if significant changes are expected. Consider EU references and regulations in current and future contracts.

Protect your trademarks

Although it is possible that a reciprocal deal will be in place, consider whether you should file parallel UK and EU trademarks if you intend to do business in both markets post-Brexit.

Recruitment, skills & the London effect

Buckinghamshire has a number of good transport links, including with London, where the percentage of EU workers in a number of sectors is significantly higher than the national average. Although there is no indication that the number of EU workers is likely to decrease significantly, it is worth considering the possibility that attractive positions will open up and tempt existing and potential workers to work in London.

Attract and retain talent

Consider how to attract and retain skilled people. Can you ‘grow your own’, invest in apprenticeships, or use innovative offers to recruit talent in hard-to-fill positions?

Worldwide

In 2016, the EU27 represented 18.3 per cent of world GDP, and the UK 3.5 per cent, leaving 78.2 per cent of world GDP outside this geography (USA 25.1 per cent)¹. Whilst any potential trade deals may or may not provide UK businesses with lucrative opportunities for trade, it is clear that there are a number of markets that UK businesses can access more or less freely outside of the EU.

The next few years could be a boom period for pioneering businesses intent on increasing their global footprint, or importers looking for better deals. Do you:

• Have the potential to grow your business globally?
• Have the prefect product or service for an untapped market?

Spread the risk

It is always important to spread risk over a wide range of customers and markets. A larger number of smaller customers represents less risk than a few large ones, particularly if they are export customers. Make sure you are not too reliant on any one customer.

Don’t lose focus of other challenges

Although the uncertainty around Brexit is high, we should not forget all the other uncertainties businesses deal with on a regular basis. Brexit, as seen in a wider context, is one of many challenges and opportunities businesses face, and it could be argued that advances in Artificial Intelligence (AI) and automation will have a significantly bigger impact on the future of businesses in the UK and around the world.

Strive for success - but prepare for adversity

Ask yourself if you:

• Could invest in technology to improve efficiency
• Could improve your business model
• Could do anything better, cheaper, faster
• Are prepared to take advantage of the next big opportunity
• Are prepared for a future recession
• Have a solid financial position to ride out the next storm

Stay on top of sector developments

Make sure you know what’s happening legally, financially etc. in your sector and seek expert advice where necessary.

Questions or concerns about Brexit?

If you have any questions or concerns about the impact that Brexit will have on your business, then Buckinghamshire Business First wants to hear from you.

Speak to a member of the Business Support Team on 01494 927130, or email BusinessSupport@bbf.uk.com.

Visit our Brexit page

Our Brexit hub will be full of the latest news, events and information on Brexit, thoughts on what it means for Buckinghamshire, and advice on how local businesses can prepare for life outside the EU. Visit www.bbf.uk.com/brexit.

 

¹ IMF, 2016