MEN accountancy review

8th January 2009

Paul Stansfield, managing partner at Cowgill Holloway LLP, said:

The last 12 months at Cowgill Holloway
“Following the opening of our Manchester office and the relocation of four partners and other key personnel from our corporate finance, business recovery and transaction tax departments, we have seen a considerable increase in our share of the corporate finance and business recovery markets over the last 12 months.

“Advising on some of the region’s most prominent deals, with a total deal value of over £100 million, and a firm-wide increased fee income of 16 per cent, we remain positive in our ambitions to continue to grow the firm organically.

“Our small business unit continues to invest and support entrepreneurial activity in the region. We have also expanded our presence in Lancashire with the opening of an office in Colne.”

Investment in people
“In 2008, we celebrated 25 years in business and, despite the current economic climate, we continue to invest in our people. We have recently appointed another business recovery partner, as well as inducting five new graduate trainees who are working towards their ACA professional accountancy qualifications.”

Responding to the downturn
“In the current economic climate, there has been a natural downturn in deal activity and an obvious increase in revenues from our business recovery and turnaround teams. Regardless of these current conditions, we are extremely positive about the year ahead as we continue to grow our core compliance and tax services, and we remain confident that we will achieve an overall revenue growth for 2009.

“At Cowgill Holloway, we have a focused approach that differs from the Big Four. We are fully aware of the needs, challenges and opportunities that are faced by the SME market and this allows us to tailor our offering and help owner managers to maximise their opportunities for growth.”

Impact of interest rate and VAT cuts
“The recent, dramatic interest rate cuts will have a positive effect on the profitability of our clients, and have been welcomed by most businesses, except for those that were sold last year. It has been a much-needed kick-start to boost business confidence in the economy. The key issue, though, will be whether these cuts are passed on to businesses, but more important is the further availability of funding, regardless of the rate.

“On the other hand, the recent VAT reduction will have considerably less of an impact on many of our clients, as most are VAT-neutral. That said, there are some sectors that will benefit, such as retail and other exempt businesses.

“We do a lot of work in the care sector which is largely exempt. Therefore, the VAT reductions will have a positive effect on this industry – maybe not quite what the chancellor had in mind!”