Flying Kites

Insights by Peter Watson.

Another budget looms and the treasury seem to be floating new taxation ideas each week! Speaking to an IFA recently, their clients are increasingly calling to discuss potential mitigation on tax changes that are far from being implemented. We worry about the impact of this “kite flying” on business confidence, even if we suspect much of this speculation is frankly misleading.

Despite some doom mongering, markets are generally performing well after their wobble in April and have more than recovered any ground lost, indicating positivity about future earnings.

The government still needs the economy to grow, and whilst there has been considerable criticism after the National Insurance hike, it seems very unlikely that they will add any new hurdles for private businesses.

Now, as so often, it pays to ignore the press and focus instead on the elements that really affect businesses – staff, customers, products – whilst keeping a weather eye on significant external impacts such as the ever-increasing impact of AI.

In M&A overall deal volume is marginally down, but we see no suppressed appetite for acquisitions and valuations remain at normal levels.

Do join us in October on our live webinar to find out more about the M&A market and what you can do to maximise value of your business when you want to sell. Our expert advice and insight from a former tech business owner, will help you make your business more attractive to potential buyers. If you’re a newsletter subscriber there’s a discount code for you in the email. Find out more about the webinar here.