Case studies
DR Newitt & Associates
DR Newitt is one of Scotland’s leading recruitment agencies. Formed in 2002, the company specialises in the food manufacturing sector across the UK and has also recently added divisions to service the manufacturing, medical and pharmaceutical industries.
The company was founded by Stephanie Newitt who started her recruitment career in 1994. Since then she has gained a reputation in the industry for offering excellent customer service and getting results which has gained her a loyal following of clients including some of the leading brands in the FMCG sector. After a false start with a firm of accountants when she was starting up the business Stephanie discovered that Condies chartered accountants shared the same office building in Edinburgh.
“Condies have really helped me establish the business and grow it substantially,” said Stephanie. “They take care of everything from my payroll and corporate accounts to my personal tax affairs. They are very approachable people and I can pick up the phone and ask their advice which I trust implicitly.”From early beginnings with just four people, HR Hewitt now has 25 employees with revenues of £1.6m and is on target to reach £2m in 2009. Apart from excellent financial advice Stephanie attributes the firm’s success to quality of service, training and treating staff well. “The recruitment business is notorious for having high staff turnover,” said Stephanie. “We treat staff differently. They are well trained to do their jobs efficiently and are very well rewarded as the firm is successful. Success breeds success and I would recommend Condies to any business which has the ambition to grow and is looking for an accountancy firm which can add value.”
SM Bayne & Co. Ltd
Baynes was established in 1921 and has grown to be one of Scotland's leading chains of bakery outlets. The company was also one of the first clients of Condies the leading chartered accountants and business advisers based in Dunfermline.
"From the very early days of the business Condies introduced a system of weekly management accounts which was very unusual at that time," said Stanley Bayne, the current managing director of the family business. "Since then I have found them to be a very progressive and innovative firm always coming up with new ideas."
The company started off with one butchers shop in Glencraig but Stanley's father spotted a gap in the market for bakery products and acquired his first bakery shop in 1954. The group now has 40 bakery outlets and two butcher shops throughout East Central Scotland and employs 380 people. One hundred and twenty employees work at the group headquarters and central bakery in Lochore, Fife.
"What I like about Condies is that they are more than pure accountants. They have become trusted business advisers who I can consult when making strategic decisions for the company," said Stanley. "For example, when building the new bakery and headquarters building they were instrumental in helping us plan the financial resources required."
He added: "Condies offers a broad range of financial services. For example, they have helped us overhaul our pension scheme and advise us on our investment portfolio. They are highly regarded by their peers within the accountancy profession and I have always found their fees to be good value for money. With some accountancy firms you tend to pay a premium simply because of who they are and I don't think they could offer any better service than we have obtained from Condies. As we go forward with our expansion strategy I am confident that Condies will be at our side supporting us."
Visit the Specialisms - Retail page for more information on the services Condies can offer.
H&F Group
The H&F Group is one of the UK’s leading drilling supplies companies. Based in Stirling the company has 30 employees and annual revenues of over £5 million.
Founded 21 years ago by Brian Farrell and John Henderson, the company has grown rapidly and now has customers world-wide. In its first year of trading the company doubled projected revenues and took on the first member of staff within a month of starting.
The firm has worked with Condies since the very beginning when George Primrose, Condies managing partner, helped them form the company and introduced them to commercial banking. The scope of work Condies carries out for the company is wide-ranging from audit and financial planning to tax, business planning and IT. In addition, Condies helped recruit and place the company’s current financial controller and advised on buying a headquarters building using a pension fund.
“We have a solid partnership with Condies. I trust them implicitly and their level of responsiveness has been great,” said Brian Farrell. “At each step in our business growth they have been there to help, support and guide us. I regularly recommend George and his firm to people I know would benefit from working with them.”
Visit the Specialisms - Engineering and Manufacturing page for more information on the services Condies can offer.
Keytech
Kirkcaldy-based Key-Tech (Scotland) Limited, a leading subcontractor to the electronics industry, successfully completed a management buyout in 2005 worth £1.8 million.
Established in 1993, Key-Tech has 71 employees and an annual turnover of £4.4m. It provides electronics manufacturing services to customers around the globe in fields as diverse as oil & gas, medical, CCTV and military systems. Services include printed circuit board assembly, cable assembly, wire harnesses, box build and test and servicing and repair.
New owners of the business were Jim Spence and David Weir who both joined the company seven years prior. The previous owners Dr Jim Brown and Brian Keyte remained on the board as non-executive directors.
Professional advisers for the MBO were Condies, the Dunfermline-based chartered accountants and business advisers and CCW, the specialist business lawyers based also in Dunfermline. Principal funding was provided by The Royal Bank of Scotland.
Key-Tech director Jim Spence said: “We were delighted that the MBO completed successfully. We started planning two years prior and were grateful to our advisors Condies and CCW for helping things go so smoothly. Their expertise in the financial and legal aspects of the deal proved to be invaluable.”
Said David: “Our aim is to build the business to £8m and 100 employees, continue to develop our staff and resources and potentially look for acquisitions of complementary companies.”
Visit the Specialisms - Engineering and Manufacturing page for more information on the services Condies can offer.
Matt McVicars
Previous owner of the Pitfirrane Arms Hotel Matt McVicars has been a client of Condies, the Dunfermline based chartered accountants and business advisors, for over 35 years. Until recently he was the owner of the Pitfirrane Arms Hotel just outside Dunfermline.
After working as an air traffic controller throughout the Middle East and Europe during the 60s Matt returned to Scotland to fulfill his ambition to own a pub. He had worked in pubs and hotels when he was a student and was bitten by the hospitality bug. When an opportunity to take over the Pitfirrane Arms, a small pub near Dunfermline, came up he grabbed it with both hands. Gradually with a lot of hard work he expanded it into a thriving hotel and restaurant business. With an eye for innovation Matt and his wife introduced the first pub lunches and discos in the region.
Each step of the way he relied on Condies to offer sound, practical financial and business advice. "Every time we expanded the business Condies were there to help put together funding proposals and support us in meetings with the bank. This back up was even more crucial during the recession in the 90s when interest rates went through the roof. We had purchased a second hotel and the financial pressure was on. Condies helped us cope and successfully survive the lean times and make the most of the good times," said Matt.
The Pitfirrane was one of the first hotels in Scotland to computerise its accounts and bookkeeping. "Condies helped us put IT systems in place which organised our bookkeeping, payroll and administration leaving us free to focus on our core business of running the hotel."
Matt added: "I believe the benefit of working with such a long-established firm is that they can take a long-term view. Their local knowledge and specific experience of the hospitality trade was invaluable in helping me make key business decisions during the lifetime of the business. The recessions of the 90s presented some very challenging issues but Condies continued to offer support and encouragement throughout."
As Matt began to think about retirement Condies were on hand with valuable guidance. "Selling a business is not just about price, there are many other factors such as timing and there are many ways in which a selling price can be arrived at. Condies certainly made the negotiations between ourselves and the potential vendors much easier and we were able to come to an amicable agreement. The fact that their advice is unbiased and independent helped me decide which purchaser to go with. They had a good idea of what similar businesses had gone for in the local area and therefore helped maximise our final figure."
David Terms, partner at Condies said: "Clients like Matt who work closely with their accountants are the ones we can help most. We value the close relationship we have had with Matt and his family over many years."
He added: "Whilst we have shared the pain during the lean years it has been very satisfying to see his carefully laid plans come to fruition in recent years. As a firm we believe in working in partnership with our clients and trying to add value beyond simply 'keeping the books right'. I like to think it was this way with Matt."
Visit the Specialisms - Licensed Trade page for more information on the services Condies can offer.
Fraser Greenwood
When Fraser Greenwood was in his 20s he made his mind up that he would be able to retire in his 50s.
In 2005 his dream came true when he sold his stake in Dunfermline-based Toolcom Supplies, a leading distributor of tools, workshop and janitorial supplies, for £7m.
Coming from a sales background he joined Toolcom in 1976 and purchased shares in the fledging company which at that time employed less than 10 people. When the company was sold to US corporation Barnes Corp Inc. in 2005 it had 70 people and revenues of £8m.
Helping him along the way has been his accountancy firm Condies. Having used senior partner Ian Condie at a previous company, Fraser quickly transferred all Toolcom’s accountancy requirements across to the Dunfermline-based firm of chartered accountants and business advisers.
Fraser soon realised that Condies could bring more to the table than the usual compliance and bookkeeping services. The firm soon became a proactive and trusted business adviser suggesting ideas for business growth and increasing profitability.
When Toolcom moved to a new headquarters building in Dunfermline, Condies proposed that the pension fund be used a vehicle to fund the purchase of the office. Such schemes are quite common now but in the 1980s it was fairly revolutionary. In the long-run it was a wise move and one which has paid dividends.
“Condies have always been innovative, coming up with new ideas,” said Fraser. “They have provided a solid sounding board for my ideas for moving the business forward. Their advice is always impartial and highly professional. I always feel they have the clients best interests at heart.”
Through hard work and determination Fraser grew the company organically achieving 20% growth year on year winning large national contracts throughout the UK.
When it came to finding a suitable buyer for the business Fraser worked closely with Condies to select the best suitor. “Condies were instrumental in introducing us to a company disposals boutique who presented us to 50 possible purchasers. They also helped us prepare a comprehensive prospectus to present to these companies.”
He added: “Eventually the number of suitors was whittled down to three. The whole sales process took 18 months and Condies were there every step of the way to support and guide us. They also recommended us to other professionals such as business lawyers who were needed to process the transaction. Condies response times were very good and their presentations were exemplary. In August 2005 we passed over ownership to Barnes.”
He added: “Condies have seen us through good and bad times. In the good times they have given us great advice. As with any business we have seen our share of bad times as well. The firm has an excellent ‘bedside manner’ and have helped us prepare a battleplan to see us through difficult patches.”
“I am glad to say my relationship with the firm has not ended. The wealth management division continues to advise me on my investment portfolio and is extremely proactive, providing monthly management reports that have been critical in achieving excellent performance. Unlike most IFAs, Condies Wealth Management have logged my investments on a secure internet site, password protected, allowing me to track my investment performance 24/7. It is intended over time to develop the model to include pension investments, this I believe is a perfect tool giving me confidence that I can personally check investments in real time.
Out of all the professional firms I have dealt with Condies have been the most professional. In 30 years of working with them they have always done what they said they would do.”
Visit the Specialisms - Engineering and Manufacturing page for more information on the services Condies can offer.
Fife Licensed Trade Association
David Terms previously held the voluntary position of chairman of the Fife Licensed Trade Association (FLTA) for two years. The FLTA has been in existence for 26 years and represents the area’s licensed premises and currently has 150 members throughout the county. David Terms has been involved in the licensed trade for over thirty years helping to advise clients in the sector in all matters relating to finance.
John Barclay, secretary of the Fife Licensed Trade Association said: “We were delighted that David accepted the chairmanship of the FLTA. His first-class experience in advising clients in the licensed trade was a huge bonus to the association and our members.”
David Terms commented: “It was a great honour to be appointed chairman of the year for Fife Licensed Trade Association. It is a very challenging time for businesses in the licensed trade at the moment in terms of both the economic recession and the regulatory issues surrounding the new licensing laws. The sector generates substantial revenues for the local economy and employs significant numbers. I was particularly keen to ensure that the Fife licensed trade has representation and a strong voice amongst key policy decision makers”.
Visit the Specialisms - Licensed Trade page for more information on the services Condies can offer.
