Is your business preparing for Brexit?

LogoMania

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I'd expect most large organisations have started looking into the consequences of Brexit and SMEs are starting to follow suit.

The SME company I work for buy a colossal amount of goods from the UK but will soon be undertaking an extensive review of our supply chain and will be exploring alternatives from other EU countries. We were ready to sign up to a long-term service contract with a UK company, but given the current state of play there's a reluctance there to pay the money and sign on the dotted line.

It's hard to plan with such huge unknowns so the worst case scenario of a no deal hard Brexit has to be considered. Would a weaker Sterling compensate for any tariffs introduced? Would the bureaucracy and delays make it unattractive to buy from the UK compared to other EU countries?
 


Congalltee

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Work on the premise there will be a no deal Brexit with bespoken side deals for 50+ industries and the regions of NI, Scotland, Wales and London.
If so, the planes will still fly. The nuclear plants will still process. The cows will milk and their meat will still be bought in Euro, even if with sterling on the floor. Calais will be chaos. The border will be porous.
And ECJ will rule over it all (except Calais and bandit territory).
 

Tribal

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I wish I had saved it but an ad came up on my mobile phone here in England while viewing this forum offering to help UK businesses relocate to the Republic of Ireland, to "Stay in the EU".

This is a displacement event and there'll be winners and losers for sure but I think there'll be more opportunities than challenges for Ireland and the opposite for the UK.
 

gleeful

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Yep. Enterprise Ireland has been helping us plan for 6 months now.
 

Mickeymac

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Some thought required here for business leaders in the six counties, if they complain about the DUP/UDA policy of a hard brexit.....they will have no business to fight for as their premises will most likely end up in ashes.
 

Dimples 77

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Some thought required here for business leaders in the six counties, if they complain about the DUP/UDA policy of a hard brexit.....they will have no business to fight for as their premises will most likely end up in ashes.

Which six counties Mort?

BTW
The DUP is not asking for a hard Brexit.
 

Mickeymac

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Which six counties Mort?

BTW
The DUP is not asking for a hard Brexit.


No one, with any sense, or is familiar with the infamous sick counties should really not believe a word that emanates from the DUP mouth............I say that for their own good Mange.
 

Tribal

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Which six counties Mort?

BTW
The DUP is not asking for a hard Brexit.
The DUP, the Brexit Ultras who expect the WTO to realign to suit Britannia.
 

stopdoingstuff

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Yeah. It's been great for us. Lots of Brits are relocating parts of their operations here. We are cautious though because it is still quite possible it will be all sorted out. We are treating the new business like a short term boost, and are ready either to ramp up or ramp down depending on how the negotiations work out.
 

Zapped(CAPITALISMROTS)

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Rots plan is to buy some property in close proximity to the hard/soft/permeable border and start digging for future success....:rolleyes:
 

robut

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Well, I have been getting soundings down here in Munster area from businesses, SMEs I deal with of all different genres and types.

Interesting many are saying since about June this year turnover and margins have been at best FLAT. Down on last few years. And expecting similar into 2018.

The main reason .. BREXIT, they think. The uncertainty. Many saying firms they deal with holding off on purchase decisions because they in turn are having purchase decisions held back on them by other companies who's big purchase decisions and/or contracts are made 2, 3 years out & might or do involve UK companies, expertise etc. So the uncertainty at the moment has many decisions on hold. going forward, especially now as March 2019 is within that 2/3 year decision period.

Also interesting is .. due to economies of scale, within Ireland, Dublin is not as affected for some reason. I have 3 different firms now thinking of opening an office in Dublin to try and stem the flow so to speak ..
 
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brughahaha

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Well, I have been getting soundings down here in Munster area from businesses, SMEs I deal with of all different genres and types.

Interesting many are saying since about June this year turnover and margins have been at best FLAT. Down on last few years. And expecting similar into 2018.

The main reason .. BREXIT, they think. The uncertainty. Many saying firms they deal with holding off on purchase decisions because they in turn are having purchase decisions held back on them by other companies who's purchase decisions are made 2, 3 years out & might or do involve UK companies, expertise etc. So the uncertainty at the moment has many decisions on hold. going forward.
My experience would be SME annoyance at the political obsession with the North ,which economically is a pittance compared to the East West trade.

Was in my local stationary supply shop and he basically said he gets everything from the UK which started the conversation . 4 small businesses , all in the local Business Association chatting , none of us too happy with how things are going
 
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UK business I have been involved in have made extensive plans to set up manufacturing plants in EU.

WTO trade terms will wipe out ALL profit and that is a combination of Import tax and Export Tax plus cost of administering it.

UK job losses potentially 1000 plus plus but will be done by cutting back on agency use and short term contracts plus not replacing or relocating people.

Genuine uncertainty is holding back decisions and will for another 2 years.

Allied with reduced number of people coming into UK plus those leaving then this will hold back the UK Growth they had been experiencing.
 

gleeful

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UK business I have been involved in have made extensive plans to set up manufacturing plants in EU.

WTO trade terms will wipe out ALL profit and that is a combination of Import tax and Export Tax plus cost of administering it.

UK job losses potentially 1000 plus plus but will be done by cutting back on agency use and short term contracts plus not replacing or relocating people.

Genuine uncertainty is holding back decisions and will for another 2 years.

Allied with reduced number of people coming into UK plus those leaving then this will hold back the UK Growth they had been experiencing.
I think the assumption that the 'transition period' will be business-as-usual is very dangerous. They haven't even started negotiation on it yet.
 

gleeful

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My experience would be SME annoyance at the political obsession with the North ,which economically is a pittance compared to the East West trade.

Was in my local stationary supply shop and he basically said he gets everything from the UK which started the conversation . 4 small businesses , all in the local Business Association chatting , none of us too happy with how things are going
The Irish gov's hope is that the north will be a wedge issue that forces the UK as a whole to reconsider leaving the customs union.
 

brughahaha

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The Irish gov's hope is that the north will be a wedge issue that forces the UK as a whole to reconsider leaving the customs union.
I dont think so ..... they were happy to accept special status for NI until the DUP pulled the plug ........

They've been completely played by Brussels (again) IMO ... and are obsessing about the North ,(feeling big and important throwing down the gauntlet to the UK and suiting the EU agenda perfectly) which is an irrelevance compared to the East West imports and exports and the vital importance of the continued freedom of movement over the landbriddge
 

Victor Meldrew

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We've benefited from the weak sterling, as we import a lot of services , but the sting will be replacing the services with EU (english speaking) service providers. And the other anglophone markets are just too far away (australia), too expensive (the US) , or not really anglophone (India). There are some industries where the brits just dominate, especially in the international sectors where English is the language.

Even with WTO rates, in some sectors, the UK may still be competitive in Europe, considering the productivity gains by only being 1 hour out, and the US being seriously expensive.
 
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I think the assumption that the 'transition period' will be business-as-usual is very dangerous. They haven't even started negotiation on it yet.
At a business briefing of a sizeable entity today, MD unknown even with size of business but its in Agric sector snd they sending 100 Christmas cards to MPs as they have interests in that many constituencies. They meet with MPs across political spectrum all the time and message was nobody knows.

As I know he is a big student of history he likened it to a phony war with the hard stuff still to come.

Any investment is to increase machanisation and take headcount out.
 
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We've benefited from the weak sterling, as we import a lot of services , but the sting will be replacing the services with EU (english speaking) service providers. And the other anglophone markets are just too far away (australia), too expensive (the US) , or not really anglophone (India). There are some industries where the brits just dominate, especially in the international sectors where English is the language.

Even with WTO rates, in some sectors, the UK may still be competitive in Europe, considering the productivity gains by only being 1 hour out, and the US being seriously expensive.
UK business will have to comply with EU guidelines and they will be tweaked to make it difficult for them.

Additionally there is a definite plan to ensure UK pays penalty with zero sympathy anywhere across EU.
 


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