DATA PROTECTION FOR ME AND EU

/in ,

We all know the age old saying “Fail to prepare, prepare to fail” as one that is consistently thrown around as a saying to live and work by. Here at DCA Accountants we are firm believers in planning ahead and the manner in which forward planning can have a tremendously positive effect on the day-to-day running of your business. Today we will be speaking about a new regulation, which won’t come into full effect until April 2018, but which will require thinking and planning ahead in order to ensure a smooth transition.

As of April 14th 2016, the EU has adopted the General Data Protection Regulation. This regulation is one by which is intended to strengthen and unify data protection regulations for all individuals within the EU. The regulation will also address the export of personal data outside of the EU, a clause which may have interesting repercussions for Ireland in the wake of Britain’s shock departure from the European Union. The EU aims to cut red tape for businesses in the EU by ensuring that there be one set of rules for all to follow. This new regulation will also aim to protect the data of all residents and workers of the European Union.

This regulation will require business owners to be aware and knowledgeable about its effects before finally coming into action in April 2018 following four years of negotiation. Under these new rules individuals will have more control over how their personal data is processed as data protection will now be as default and will require consent. What this means for business owners is that there will be a need for a higher level of vigilance in terms of dealing with the personal data of employees or clients as there will now be more accountability placed on companies regarding the use of personal data. The repercussions of a failure to comply can amount to a fine of up to 4% of the company’s global annual turnover, meaning that this is an issue which will need to be prepared for in order to avoid costly errors.

One highly recommended way to prepare for this incoming regulation would be to review the entire data protection plan for the business and create a new classification scheme in order to ensure that all personal data will be managed effectively and according to the new guidelines. This will also ensure a full and working knowledge about where this data is kept at all times. A risk-based approach is also recommended when dealing with personal data. This requires data sources to be separated into different risk categories in order to assess a better management system.

These new regulations have been a long time coming, and wont yet come into effect until April 2018, however it is important to have any possible data issues ironed out before this date in order to avoid penalties. Should you require any assistance or guidance on these or any other business matters, please don’t hesitate to contact us here at DCA Accountants, where we will be happy to assist and advise in any way possible.

 

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

SOWING THE SEEDS OF INTERNATIONAL GROWTH

/in ,

Success is a very strange beast which appears in different forms for all individuals whether business owners or not. For business owners in Ireland, often the first port of call is to establish some small measure of success on home turf, before seeking to grow the business elsewhere. In the years following the financial crisis we have seen a mass exodus of people leaving our country, visas in hand to find their fortunes elsewhere. It would appear that this has slowed considerably in recent times so today we are going to focus on the other side of the coin, managing to grow your Irish business internationally while remaining on home ground.

 

Recent reports have suggested that since Ireland’s financial recovery has started to pick up some form of speed, many of those who have travelled to Australia or elsewhere and found success there have returned to Ireland in order to utilise their newfound skills and level of success. The Enterprise Ireland office in Sydney is said to be working with more than 150 Irish companies, whilst a vast number of Australian companies are now expanding operations in Ireland. Similarly, Irish recruitment agency CPL created a pop-up office in Melbourne in which it interviewed Irish professionals for positions back in Ireland.

 

So what options exist for growing your Irish business internationally whether you are making your return or have stayed put?

 

The Enterprise Ireland Internationalisation Grant gives Irish businesses the opportunity to grow in international markets. This grant focuses solely on supporting the costs of undertaking new market research which is a valuable asset in growing your business in new areas and the research must focus on an area not already being covered by your business. There are a number of eligibility criteria available through the Enterprise Ireland website including that the business must be based in the Republic of Ireland and employ more than 10 people. There is also an available option for much larger companies. The maximum grant available here is €35,000, which would certainly garner valuable information for growing your company. This grant is open to applications all year round.

 

For smaller companies and SMEs, the Enterprise Europe Network is an invaluable resource which will assist in gaining new contacts and support networks beyond the door of your own business. This is a support network for SMEs and other companies with international ambitions assisting in gaining contacts and providing much needed information about funding available. This is also an important resource when looking to grow your business internationally as it provides valuable information on EU regulations which will ensure that your business is following all appropriate protocol.

 

The Enterprise Europe Network also provide an access to EU funding programme for SMEs to assist in this process as well as giving Irish companies the opportunity to give feedback on EU legislation. This is a resource we would urge all Irish SMEs whether dreaming big or small to engage with.

 

If you have any queries, please don’t hesitate to contact us here at DCA Accountants, where we will be happy to assist and advise in any way possible.

 

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

THE BRUISED APPLE

/in ,

You would have been hard pushed to miss the recent upset in the taxation camp in the last couple of days as it was announced that a ruling took place on August 30th in relation to the tax arrangements of tech giants Apple in Ireland, the ruling stated that the company had been offered special treatment in Ireland. The European Commissioners will be required to raise a tax assessment on Apple in the coming months as the EU rules that the company’s Irish tax arrangements were illegal under state aid rules. This ruling is expected to come in the next couple of days. It is likely that the company could face a bill for back taxes of up to €13billion. Both the Irish government and Apple’s CEO Tim Cook have insisted that Apple were not in fact offered any special deal on taxation.

Whilst from the outward appearances a gain of this magnitude for Irish finances may seem like a bonus for important spending like hospital, schooling and housing, it has been stated that should all appeals be lost and this cash revert to the Irish state, it has been suggested by experts that it be immediately be used to pay down the national debt instead. Finance Minister Michael Noonan insisted that Ireland would appeal the ruling in order to;

“Defend the integrity of our tax system; to provide tax certainty to business and to challenge the encroachment of EU state aid rules into sovereign member state competence of taxation.”

Whilst Apple CEO Tim Cook has staunchly denied that there was any special treatment given, stating that:

“We now find ourselves in the unusual position of being ordered to retroactively pay additional taxes to a government that says we don’t owe them any more than we’ve already paid. […]  We are committed to Ireland and we plan to continue investing there, growing and serving our customers with the same level of passion and commitment. We firmly believe that the facts and the established legal principles upon which the EU was founded will ultimately prevail.”

As well as stating that Apple are not only the biggest tax payer in Ireland, but the biggest tax payer in the world. The issue that arises here would be the damage that could be done to the business reputation of Ireland should this ruling come to pass and Ireland be ruled to have given illegal state aid to Apple in this case. Whilst the cash would be a boon to our debts, the government will not want to damage our international reputation with top global corporations with Minister Noonan going as far as to say that to collect the tax would be like “eating the seed potatoes” as the ruling could have far reaching implications for EU member states and their taxation systems as well as causing havoc for Ireland which has long been a haven for global companies due to the very nature of the taxation system in place.

Should you require any help or guidance with your own business or tax matters (the October 31st deadline for filing is approaching faster than you might think!) please don’t hesitate to contact us here at DCA Accountants where we will be happy to help.

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

PAPA DON’T PREACH – NEW PATERNITY LEAVE SCHEME

/in ,

In the past we have spoken at length about the importance of employers and employees alike maintaining a health work: life balance. Striking the right balance between your work and home lives can be an arduous task but it is one that makes for a smoother runner work day, healthier home life and a marked increase in productivity levels. We have also discussed how parental leave in other EU countries differs greatly from our own and how changes in parental leave can greatly benefit the maintenance of a positive work: life balance. It seems that positive changes are imminent and may start the process of bringing Ireland into line with other countries where the balance has been found to be more positive. From September 1st 2016 a new paternity leave scheme will be brought into effect which will finally introduce a statutory paternity leave. This new law was signed into law by the president late last month.

The new statutory paternity leave will offer two working weeks of leave for employees and works in conjunction with a new paternity benefit, both available for in relation to any child born after September 1st 2016. Tánaiste Francis Fitzgerald was the first to welcome these developments, saying:

“I welcome the enactment of the Paternity Leave and Benefit Bill 2016. The Act provides fathers with two weeks of paternity leave and two weeks of paternity benefit for babies born on or after September 1st 2016. This is a significant piece of legislation which recognises the key role that fathers play in the life of new-born babies and young children.”

The Tánaiste also stated that this new legislation is indicative of the current government’s commitment to investing in the early years of childhood and improving the work-life balance of parents. This will certainly be a welcome development for all working parents as it will lessen the need for new parents to utilise their much needed and coveted holiday days during this time of change. The Tánaiste also stated that it is hoped that the government would be in a position to extend parental leave further in the years ahead which would bring Ireland more in line with other countries.

Crucially, this legislation does not apply only to the father of the child. The legislation provides for same sex couples as it specifies that the applicant must be a “relevant parent” which translates as someone other than the child’s mother who is either the father of the child, a spouse, civil partner or cohabitant of the mother. The leave may also be postponed in some instances such as sickness of the parent or hospitalisation of the child. A critical point is that this legislation will also afford the applicant with similar protections as those available for maternity and adoptive leave.

It is advised that in the interest of fairness, any employers that currently offer a top-up payment for employees taking maternity or adoptive leave should ensure that this is also available to those availing of this new paternity leave.

Should you require any advice or guidance on these or any other financial and business matters please don’t hesitate to contact us here at DCA Accountants where we are always happy to help you take your business to the next level.

 

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

NO DIVERSIONS, IT’S TIME FOR CONVERSION

/in ,

Looming deadlines are rarely anyone’s favourite topic of discussion so it is vital to remain up to date on any action that needs to be taken in regards to your business matters to avoid falling behind and encountering any issues. The deadline for company conversions under the Companies Act of 2014 is fast approaching and it is important to be aware ahead of time of your obligations to the conversion process. To make this process a much less painful one, we have compiled some of the most important points to be considered. It is expected that a great many Irish companies are to choose the “Do Nothing” option (as many an Irish mammy would say is the Irish way) so as a business owner you must stay informed of the implications of all choices.

Companies in existence as of 1st June 2015 must either opt in to the Model Private Company (Ltd.) regime or opt out of this regime and into the Designated Activity Company Regime (DAC).

There has been a provided transition period of 18 months from the date of the commencement of the Act (June 1st 2015), to allow companies sufficient time to comply and for the Companies Registration Office to act on the results and this time is now running out.

Any company incorporated after this date will be registered as one of the new company types under the act i.e. Ltd., DAC, CLG, etc. All existing companies must comply with the rules of the act during this period of adjustment. August 31st will be the deadline for all companies to initiate the conversion process whilst November 30th ends the deadline period. Any companies which have not actively converted to a new company type during this period will automatically be converted to Ltd. Companies will then be required to show their company type in their name which will then be reflected on a new certificate of incorporation

Although there is an option of taking no action and utilising a statutory default, there are many implications of doing so and it is actively advised to take action yourself in order to have full control over the process. Taking no action may result in delays in banking and legal transactions as despite having a new certificate of incorporation, the company will not have an updated constitution, as well as causing possible issues in the future as it will be deemed that directors did not follow the appropriate duties in this case. This is the future of your business at stake and there can be no room for ambiguity. When it comes to your business, you should always be in the driving seat on matters such as these.

Should you require any assistance or guidance on this or any other business or financial matters please don’t hesitate to contact us at DCA Accountants where we can help you make this and many other business matters as quick and painless as possible to ensure the continued success of your business.

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

CLEANING THE BREXIT WOUNDS

/in ,

We have spoken before about the issues and opportunities that lay ahead for the Irish economy in the wake of Britain’s somewhat shocking Brexit vote results. In the weeks since the vote there has been a continuous atmosphere of uncertainty about all things economic both here and across the water.

 

Goodbody’s recent health check for the third quarter of 2016 shows that Ireland’s economic growth having just about managed to get its feet moving, is due to slow in the next 18 months. This is to be expected however as the view on the Irish economic status becomes increasingly cautious due to our tight links with Britain. It is expected that Brexit will trigger some form of a recession in the UK, primarily related to the uncertainty of the situation and lower spending habits as a result. When or how this would hit Ireland remains to be seen but it is undeniable that it will have a knock on effect to our small island with Goodbody predicting that our domestic demand will fall to 4.2% in 2016 and then lower again to 3.7% in 2017. Goodbody’s chief economist Dermot O’Leary has stated that;

“An imminent UK recession, triggered by Brexit-related uncertainty, is likely to take the gloss off a robust Irish economic performance.”

 

It has also been reported this week that some Irish banks are quite vulnerable to a possible downturn with HSBC claiming that they are enter a period of heightened uncertainty as tax profits fall. Despite making significant progress, Irish banks remain vulnerable to any future financial downturns. Recently, stress tests were conducted throughout Europe in order to ascertain how banks would survive a recession. These tests caused some concern for the Irish economic situation as both AIB and Bank of Ireland fared poorly in these tests as the second and fourth worst performers respectively.

 

Again these seem like grim tidings but it is important to remain open minded as analysts have suggested that weak asset quality and recent losses on bad loans might give good reasoning behind these poor performances and that the exercise did not take into account progressions in the last year and that our high level of overall debt skews these results unfavourably against our banks.

 

There was however an unexpected silver lining in Ireland’s economic situation which came in the form of Ireland’s valiant efforts in the Euros 2016 tournament. The tournament has reportedly send grocery sales skyrocketing with stores such as Supervalu and Dunnes recording a 3.4% and a 6.5% rise in value of sales during the latest period, whilst bargain stores such as Dealz also saw a great surge in sales.

 

It is hoped that the weakened sterling will not cause floods of shoppers to cross the border for bargains as we have seen happen before, and that although there is plenty of uncertainty in the air and the reports are laced with dread, that the Irish economy can level out and perhaps even benefit from this uncertainty as we have seen recently that smaller retailers can flourish in these times.

 

Should you require any help, advice or guidance on your own business or financial matters please don’t hesitate to contact us here at DCA Accountants where we are always more than happy to help.

Manager Index, showing a new push towards caution ahead of the Brexit vote.

Whilst the future and coming negotiations between Britain and the EU will be crucial to Irish interests, we will be reliant on the EU side to maintain the best interests of Ireland. This puts us in an interesting position as much of our business is reliant on the UK. It is hoped that in particular, the Common Travel Area agreement that is in place between the UK and Ireland remains in place as new borders would cause chaos for Irish people working in the UK, as well as making our trade routes increasingly difficult.

It will certainly be a long road of uncertainty ahead for Irish and British businesses, but there is still hope on the horizon and whilst business may not resume as normal for all, new pathways will be forged in the wake of Brexit.

As always if you require any guidance, advice or assistance with your own business or financial matters please don’t hesitate to contact us here at DCA Accountants, let us be the one constant for your business in this time of change.

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

WHAT A WAY TO MAKE A LIVING

/in ,

We have spoken many times about being a business owner or entrepreneur in Ireland today. Equally, and sometimes even more importantly for the day to day running of any company are its employees. This week we will focus on being an employee or job seeker in this country at the present time. Following the economic crisis, becoming full-time employed in Ireland became somewhat of a minefield with schemes like the JobBridge scheme offering training in new areas but effectively closing off a large section of previously available paid positions. Likewise, college graduates who were unfortunate enough to finish their studies just as the crisis occurred, may have found their new qualifications of little use. Naturally, we then saw a mass exodus of young workers seeking to utilise their skills on other shores.

 

Now that our economic situation has begun to improve, the question arises about the satisfaction of workers in Ireland. The 2016 LinkedIn Talent Trends report seeks to outline what it truly means to be a worker in Ireland. The report suggests that job seeking remains somewhat of an issue with the biggest roadblocks facing jobseekers including being offered incorrect roles by agencies, whilst not having full awareness of what the job entails is cited as another major issue. This calls into question whether our interview and job posting system is adequate enough for finding the right candidate. LinkedIn’s senior HR director for Europe, the Middle East and Africa (EMEA), Wendy Murphy has stated that

“67% of Irish professionals say that culture and values are the most important thing they want to know about a company”.

 

Again, information which is difficult to ascertain by using our current system.

 

Interestingly, Ireland is among few countries where the fact remains that the people you know are important in gaining access to many areas of employment with 40% of people quizzed stating that they gained their current position through someone they know.

 

Finally, it would seem that Irish workers are quite an ambitious group with this report finding that 45% of people left jobs due to a lack of available career advancement, whilst 40% admit to leaving in order to find a more challenging position.

 

In terms of what this report may mean going forward, rather than turning back on our existing employment methods, the recruitment website LinkedIn have stated that Ireland should embrace this method of gaining access to positions through people you know at the company. According to LinkedIn companies should harness this notion and inform current employees of vacancies when they go live in order for existing employees to become ‘brand ambassadors’ and bring new talent to the company.

 

Should you have any queries or require any guidance on your own employment quest and finances, please don’t hesitate to contact us here at DCA Accountants where we will be happy to help you on your business journey.

 

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

MORE BANG FOR YOUR BANGS

/in ,

Following on from the height of the financial crisis, it may seem to employees that benefits and perks are few and far between with some companies. Now that the Irish market is beginning to find its feet again more and more Irish companies are beginning to once again have the finances to show their employees how valued they are by offering benefits and perks. Some perks come with benefits for the employer as well as the employee such as the cycle to work scheme and the Leap card tax saver ticket plan which doesn’t have an extra cost for the employer to pay. With changes being made in the health sector, health insurance is something which is highly sought after currently with over 2.12 million people now availing of this insurance, and even with some providers offering a low cost family plan, it can often still be a cost that is out of the reach of the normal employee as the cost of living remains high.

 

Recent reports from health insurance experts and researchers suggest that as many as four out of five health insurance customers may be on the wrong plan, and thus paying more than necessary for their health insurance. Dermot Goode of TotalHealthCover.ie has recently spoken out about this issue stating that over 80% of customers are on a plan that is too expensive and which does not truly give them the insurance cover they require despite the additional cost. Some of this can be put down to the digitalisation of consuming as a whole as generally people are going to their computers to input a light amount of data to compile a generic plan which is taken as the best option despite a hefty fee which might not entirely cover your necessities.

 

Goode has stated that “as consumers we need to be more proactive in terms of reviewing our cover properly to bag healthcare savings wherever possible.” This issue is a core one for employers who currently offer health insurance as part of their employment package as larger employers could be spending upwards of six figures to ensure cover for their employees, without knowing if these plans are appropriate or offer the necessary cover. There are a variety of schemes on offer to both families and employers and it would be wise to stay abreast of all changes in this sector to ensure that you as an employer or customer are truly getting the best value for money from your plan. This does require a bit of extra leg work in researching plans and deals but could potentially save your company thousands whilst still providing for your employees.

 

It has been reported that employer plans could potentially save up to 20%. Should you require any help or advice on your own or your company’s business and financial matters please don’t hesitate to get in touch with us here at DCA Accountants.

 

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

WHAT’S A FACEBOOK WHEN IT’S AT HOME?

/in ,

With small and medium enterprises (SMEs) making up a generous portion of all Irish businesses currently, we have spoken at length about the many and varied issues which face these companies. There are a great many difficulties to be faced in setting up and ensuring the continued thriving of a small business, and often it can seem like there are very limited helpful tools at your disposal. Today, we are going to focus on the positives considering how integral SMEs are to the Irish economy, now is a good time to take into consideration how these companies can utilise available tools to ensure the success of your small or medium business from the outset.

 

One of the greatest tools at any company’s marketing disposal at present are those largely free channels which allow a company to get their message to a wider audience known as social media. As we have discussed previously, social media and website marketing can be a key tool for companies of all sizes, with video marketing seeing a massive surge in popularity across social media in recent years. Social media can be a tricky tool to get a handle on at first, but could well be the key to getting more customer traffic into your business.

 

So what happens if you happen to not be the most internet or media savvy small business owner? Finally, there might be assistance on the horizon for you to empower you to harness the power of this medium. Recently, smaller Irish companies have been encouraged to contact their local Enterprise Office to gain assistance in building or improving an online presence for their company.

 

An initiative through your local Enterprise Office can help you unlock the online potential of your business by offering training and the ability to apply for a grant of up to €2,500 to build or update your website. If this seems like an ideal solution to your company’s tech worries, the only condition is that your small business must have fewer than 10 employees. If this is the case, we would advise contacting your local Enterprise Office to find out what your options are and watch your business grow as a result. As it has been estimated that approximately 90% of Irish consumers will research a product or service online before proceeding to make a purchase, it is now almost essential to have an online presence for your business.

 

Minister for Communications Denis Naughten has advised that even companies that already have an online presence should avail of this training to build on their existing presence.

“I would encourage any small business employing 10 people or less to avail of the training to make sure they are using Facebook and Google properly and to be able to receive payments online.”

 

Indeed, in this digital age we would encourage all clients to ensure that their online presence is functional and up-to-date. Should you require any assistance or guidance on any financial or business matters, please do not hesitate to call us here at DCA Accountants.

 

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY

BREAKING UP IS NEVER EASY – BREXIT

/in ,

It has been quite a week for British politics and an interesting one for Irish companies trading with Britain. There has been a lot of upheaval and uncertainty underlying businesses in the wake of the shocking ‘Brexit’ result which saw Britain historically vote to leave the European Union with an incredibly close vote of 52% leave to 48% stay. The instant panic saw stock markets begin a struggle which continues to attempt to right themselves during a turbulent couple of weeks, while the value of the pound itself instantly plummeted. We spoke recently about what this event could mean for Ireland, and considering the news of this is unlikely to filter out any time soon, it is a topic we will all be following with interest.

Amidst the panic, as previously discussed there will be some new opportunities for Ireland to harness off the back of this move, and it is also important to bear in mind that although there will be many far reaching consequences, commerce – like Celine Dion’s heart, will go on. Despite the UK accounting for almost half of Irish exports, there may be a silver lining for Irish markets. On the positive side, despite early turbulence, world stock markets have proven rather resilient and have recovered well this week, despite the continuing weakness of Sterling.

The entire Brexit process is sure to be a lengthy one, particularly in the aftermath of David Cameron’s departure, and it will remain to be seen what this may mean for other members of the European Union. On our own end, growth and activity in Ireland’s services sector slowed by 0.5% in June according to Investec’s Purchasing Manager Index, showing a new push towards caution ahead of the Brexit vote.

Whilst the future and coming negotiations between Britain and the EU will be crucial to Irish interests, we will be reliant on the EU side to maintain the best interests of Ireland. This puts us in an interesting position as much of our business is reliant on the UK. It is hoped that in particular, the Common Travel Area agreement that is in place between the UK and Ireland remains in place as new borders would cause chaos for Irish people working in the UK, as well as making our trade routes increasingly difficult.

It will certainly be a long road of uncertainty ahead for Irish and British businesses, but there is still hope on the horizon and whilst business may not resume as normal for all, new pathways will be forged in the wake of Brexit.

As always if you require any guidance, advice or assistance with your own business or financial matters please don’t hesitate to contact us here at DCA Accountants, let us be the one constant for your business in this time of change.

– – – – –

~ DCA PARTNERS, DECLAN DOLAN & EAMONN GARVEY