Southampton: Home to region’s mid-market ‘companies of tomorrow’, says BDO

Accountancy firm BDO LLP, in the second year of its Central South Mid Market focus, has identified the region’s 20 mid-market ‘companies of tomorrow’, and these include four based in Southampton: Waltet Group, Edigitalresearch plc, Bassaire Holdings and Liddell Holdings (Wessex).

The 20 businesses, all with a turnover between £5 million and £10m, are said to be showing the sustained growth and potential necessary for breaking through the £10m mid-market threshold in the near future. In some cases this has already happened since the analysis was undertaken.

James Tetley, tax director at BDO, explained: “There are limited government incentives aimed at helping businesses break into the mid-market bracket, though such companies contribute huge amounts to the local and UK economy.

“Some of the challenges for companies making this ‘step change’ and preparing for their next phase of growth are how to achieve a more corporate focus, build on the skills of the core management team, and instigate what are often significant structural changes in a business whose very reason for success to date has been its lean structure.

“Companies should be planning and preparing early – whether this means getting the business structure right, considering efficient tax planning, incentivising new management, aligning goals with the founders, or instilling company-wide disciplines that will attract next-stage investments.” 

BDO is hosting a breakfast briefing aimed at ambitious companies preparing for their next phase of growth at Southampton Football Club on April 14.

Speakers include Richard Strongman, managing director of Christchurch-based Harvest Fine Foods, and specialists from private equity firm LDC, the Business Growth Fund, and the Alternative Investment Market (AIM).