Waikato Business News October/November 2022

22.11.2022 Views
8 WAIKATO BUSINESS NEWS, OCTOBER/NOVEMBER 2022 Waikato businesses showcase growth on Deloitte Fast 50 indices Hamilton-based concept development and prototype production company Torutek has been ranked the fastest growing Waikato-based company, placing sixteenth on the Deloitte Fast 50 index with 305% revenue growth over the past three years. The annual Deloitte Fast 50 index ranks businesses experiencing rapid revenue growth over three years and sets the benchmark for high growth businesses in New Zealand. Auckland-based game design, development and publishing studio Legend Story Studios Trading took out number one spot on the 2022 index with an unprecedented 6416% revenue growth. “This year we’ve seen a number of organisations catapult to the top of the Fast 50 index, as well as the highest growth percentage we’ve ever seen,” Deloitte private partner Bill Hale says. “It’s clear that some organisations have continued to thrive despite some tough economic times in recent years and have shown that what would have once been thought impossible, is indeed possible. It has also been interesting to see the mix of industries featured on the indices this year, with retail, technology, industrial products and construction, and food and beverage seeing particular growth.” It’s clear that some organisations have continued to thrive despite some tough economic times in recent years and have shown that what would have once been thought impossible, is indeed possible A number of Waikato-based businesses also featured on the Master of Growth index which ranks the 20 fastest growing established businesses achieving longer term sustained growth. It ranks businesses starting from a larger revenue base, and over five years of revenue growth. Civil construction firm Waipa Civil saw 277% revenue growth over the last five years, with outdoor and adventure equipment brand Zempire Camping achieving 208% growth, and clothing and accessory design production and supply company Global Velocity Group rounding out the Waikato representation with 180% revenue growth. “The Deloitte Fast 50 is a celebration of fast-growing Kiwi businesses right across the country, of all shapes and sizes. And once again, has showcased the innovators and entrepreneurs of New Zealand business who have, against the odds, adapted to thrive in the current market,” Hale says. To learn more about the Deloitte Fast 50 programme and all of this year’s winning companies, visit www.fast50.co.nz CELF bringing leaders and community together CELF alumni Class of 2020, Power Farming coowner and executive director Brett Maber found friendship, validation and personal growth on the Elevate Leadership Programme. The eight-week programme, delivered over the course of eight months brings together established leaders from different kinds of organisations, in an effort to increase the elevation and social impact of all participants. CELF believes in the positive impact that connected, responsible leaders have on their community. Brett describes his journey as a business leader like building a Lego set without the instructions. He knew Power Farming was achieving at the top of its game in New Zealand as well as keeping pace with international players in the farm equipment field. “With CEFL it was like someone had run me through the instructions and it was nice to know that through trial and error, and experience that I had worked out a lot of the ways to do things over the 20 years in the business. For my own personal growth there was that validation aspect to it which was quite nice,” he says. Spending time on the CELF journey, affords participants the time to step into a setting that is separate from their day-to-day business life to reflect on what they’ve achieved, what they want to achieve and the vison they have for their business and their team. As well as validating what he was already doing, CELF gave Brett a space to check in on Power Farming’s business model and success, alongside a group of people from a diverse range of businesses and organisations. “It really invigorated you to go back and use a lot of the things you've learned on your business. That’s one of the things that I found really cool about CELF is that 99% of the content was really relevant. You almost had steam pouring out of your ears after most sessions because it really ignited that spark to try new things and to be able to implement things throughout the business.” Every CELF business alumni is matched to a not-for-profit leader who they sponsor thought the programme and walk alongside them in the same year-long leadership journey. “Tanya and the team put two or three applications in front of you. There's no real tie up apart from the acknowledgement from that person that this business is the one that's actually funding you through.” In Brett’s case, the match with Thomas McNabb from The Waterboy couldn’t been a better fit. The Waterboy’s goal is to make sport and personal development activities an achievable option for every kid. A rugby fan and junior coach, Brett knew this was a charity he could easily get behind. To top it all off they both attended St Pauls’ Collegiate, albeit Thomas was there several years after Brett. “Thomas is the nicest guy you'll ever meet. I totally get the charity that he runs and think it's fantastic,” he says. The pair developed a good friendship over the year on CELF and Brett still considers Thomas a good mate. “Just seeing his passion for what he does and the kind of person he is, it's really neat that we can we can help support his cause as well.” Brett and Power Faming also got behind another of Thomas’ initiatives, the Taka Wairua Tupu Program, a personal development for rangatahi youth aged 16- and 17-year-olds at schools in the Piako area. “To actually hands-on see what that programme does for some kids that could be heading down the wrong paths and to see them graduate is awesome.” Witnessing the transformation of a young woman they sponsored on the programme made such an impact that she was recently offered fulltime work at Power Farming. “She's doing really well, is proactive and one of our up-and-comers which is pretty cool, right? She really excelled despite a tough home life sometimes and now to be able to offer her the opportunity. I'd love to continue that story on and see where that goes. But that's exactly why we do it.”

Chamber welcomes new board member The Waikato Chamber of Commerce welcomes a new board member Caroline Batley, while Peter Nation and Emily Zhang have been re-elected. They join current board members Senga Allen, Jason Cargo, TJ Asiata, Tracey Clark, Andrew Boyd and Quinton De Bruin who weren’t up for re-election this year. The chamber board had three positions available. Peter Nation, Phil Monahan and Emily Zhang being at the end of their three-year term were standing again for re-election and were automatically nominated. In addition to Peter, Phil, and Emily’s nominations, there were four other nominations: Caroline Batley, Grant Coombes, Janey Haringa and Tim Pearson. Caroline Batley has worked as a solicitor at Bell Gully and is currently a banker for ANZ. She has governance experience through Otago University academic boards, as a sheep and beef farm trustee, president of Auckland Young Professionals, and committee member for Seddon Cricket Club and Waikato Women's Fund. Peter Nation has been on the chamber board for three years, Ebbett Volkswagen support mental wellness Ebbett Volkswagen’s WE LOVE VW initiative has been supporting NZ Thoroughbred Breeders Association so that they can help with mental wellness initiatives for their staff, friends and colleagues within the industry. The Ebbett Volkswagen team supported the NZ Thoroughbred Breeders Association by donating their WE LOVE VW campervan as an auction item at the NZTNA National Breeding Awards in July. The and is currently CEO at NZ National Fieldays Society Inc. Emily Zhang has 12 years’ banking experience, is a founder of several businesses and has also been on the chamber board for three years. The chamber extends its appreciation to Phil Monahan for his three years of service on the board, and all those that stood this year. Chamber chief executive Don Good says he was encouraged by the high standard of business people who had put their names forward for election. “The competition for places donation of the VW Campervan was greatly appreciated, and it was part of a “Wicked Weekend Wairarapa auction” which raised $2,800 for mental wellness support within the Thoroughbred Breeders Association. The NZ Thoroughbred Breeders Association will be able to continue to support the mental wellness of the people in their industry. Both Ebbett Volkswagen and the association believe this is important after the WAIKATO BUSINESS NEWS, OCTOBER/NOVEMBER 2022 9 and the quality of the candidates this year is validation of the strong position the chamber is in. “Despite the disruptions by Covid, the chamber has managed to successfully hold a twice-delayed Waikato Business Awards, the first standalone Hall of Fame and dozens of other events for members. “The chamber is in good heart, with good people, strong finances and a large body of work ahead to support out members and improve their prosperity. And to top it off we have a board comprised of highly competent people who each bring their own unique skillset to the table and, collectively, they will help the chamber to build on our success in the coming year.” challenging last few years for the racing industry and their wider community. For the people who work in the thoroughbred industry it is a lifestyle, not just a job. It is great knowing that together we can help take a proactive approach to create a thriving workplace by starting conversations around mental health and wellbeing. Find out about all the great community initiatives the Ebbett Volkswagen team do. www.welovevw.nz CONVERSATIONS WITH MIKE NEALE OF NAI HARCOURTS HAMILTON Banks – We Need Them, More Than They Need Us ? The most common topic of discussion in relation to commercial and industrial real estate over the last month or so, has been around finance and borrowing – or increasing difficulty with this. To be clear, what follows might seem an unfair assessment of the banking industry, that is full of good people, but seemly constrained by the banks increasingly restrictive internal credit policies. We are having discussions every day, so it’s fair to say that where there is smoke, there is likely to be fire. Consistently we are being told by the banks that they have the ability to lend money, but what is the saying ? - actions always speak louder than words. Their appetite certainly seems to have diminished over the last nine months or so. Finance and the ability to borrow is a critical element for development, whether it be residential, commercial, industrial or infrastructure, to enable us to develop and continue to grow as a city, and also as a country. Without capital it’s also incredibly difficult to invest in, upgrade and modernise assets. Invariably banks are now requiring much greater security and assessment of cashflow serviceability in order to lend. Tightening lending restrictions, along with rising interest rates is already causing some pain, which appears only likely to increase in the short term. Even as land and construction costs have increased through 2020 and 2021, the ability to borrow at viable interest rates, still paved the way for development continue. Second mortgages are now being put under the spotlight, along with second tier non-bank lenders either charging near uneconomic interest rates, wanting repayment or charging penalties. “It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before morning” – Henry Ford While it seems highly unlikely that we are going to see an avalanche of mortgagee sales, we are already seeing signs of vendors being “instructed” that they need to get their house in order. Put simply, they will need to sell assets, often their best assets, as these are likely to realise the best prices. The Reserve Bank’s CFR (Core Funding Ratio) was cut in April 2020 from 75% to 50% in order to support banks lending during the economic uncertainty caused by Covid. On 1 January 2022 this limit was returned to 75% - the issue is that the tap, often due to Reserve Banks decisions, seems to either be turned on fully or turned off completely, rarely having times where there is a nice steady flow of finance causing neither a flood nor a drought. Talking to a particular developer last week, banks are not looking to lend on many development projects and second tier lending at 12% plus, make many projects unviable. They have resorted to sourcing private funders at around 8% - not ideal, but they can make projects work at this level. Once a project is completed, first tier bank lenders come back into play. To be clear, many of the parties with these issues are not new to the market or fly by nighters. Hamilton remains extremely fortunate to have an extensive pipeline of development at various stages of actual construction and well underway, as often its ‘proposed’ developments that are delayed or put on hold. They may say they are lending, but to many it obviously doesn’t feel like it – for our financial institutions to consistently back their development horses for the entire race – particularly the stayers with proven or reliable track records. Different if it’s a horse on its first outing, with no pedigree or previous race experience. Every horse will have a bad outing or two, but the most successful trainers and owners know a good thing when they see it. The challenges we have are unlikely to be long lasting and financial institutions will want to retain these clients as the market returns – Hamilton and the Waikato have strong fundamentals for the future, so the risk seems minimal. We are increasingly a desirable place to live and to conduct business, we have strong geographic benefits within the golden triangle and the likelihood of a major disaster is negligible. NAI Harcourts Hamilton Monarch Commercial Ltd MREINZ Licensed Agent REAA 2008 Cnr Victoria & London Streets, HAMILTON 07 850 5252 | hamilton@naiharcourts.co.nz www.naiharcourts.co.nz

Page 1 and 2: OCTOBER/NOVEMBER 2022 VOLUME 30 ISS

Page 3 and 4: WAIKATO BUSINESS NEWS, OCTOBER/NOVE

Page 5 and 6: User experience experts helped Hami

Page 7: Pacifika director breaking new grou

Page 11 and 12: Business awards celebrate success,

Page 13 and 14: 13 X-TRAIL ST-L FROM $39,990 +ORC*

Page 15 and 16: Five-page plan or back of an envelo

Page 17 and 18: Google’s Latest Algorithm Changes

Page 19 and 20: WAIKATO BUSINESS NEWS, OCTOBER/NOVE

Page 22 and 23: 22 WAIKATO BUSINESS NEWS, OCTOBER/N

Page 24 and 25: 24 CONFRENCE AND EVENTS WAIKATO BUS






Page 36: “To achieve what Fosters did, wit

confrence

events

construction

accounting

law

employer

employee

communitcation

tech

cbd awards

cbd

economic

fieldays

region

marketing

content

businesses

awards

zealand

hamilton

Waikato Business News October/November 2022

Delete template?

Save as template ?