2. • Institute of Place Management (IPM): “international body that
supports those who are committed to developing, managing
and making places better.”
• Benefits of IPM CPD include:
• Demonstrates a commitment to the place management
industry.
• Provides national and international recognition of individuals’
learning.
• Receive an IPM CPD Certificate & self-assessment record that
allows you to “bank points” with IPM if you’re a member. Sign
up @ http://www.placemanagement.org/
3. BIDS: Statistics and Optimising Growth
BIDS CPD Workshop
Wednesday 23rd November 2011
Steve Halsall, Partner
Simon Power, Managing Consultant
www.caci.co.uk
5. Who are CACI?
Owned by CACI Inc ($3.6bn)
Over 30 years providing targeted marketing solutions based
on customer and market analysis
The first and largest market analysis business in UK
Turnover FY11 £74m
Growing & acquiring companies
6. CACI: 3 Key Strengths
Consultancy
Europe’s largest independent location planning team
Automotive, Retail, Finance and Public Sector & Commercial Property
Data
Data interrogators not data collectors
Huge depth and breadth of data
Data integrity and quality of paramount importance
Software
Unique market analysis tools: InSite, Impact Modeler
Designed specifically for market analysis and scenario planning
Used internally by CACI consultants
6
11. BIDS: Role of Statistics in Optimising Growth
Strategic planning
Vision for the BID (and role in local hierarchy)
Business mix
Target occupiers
Performance Monitoring
Position relative to strategic plan
Customer perceptions
Vacant properties
Tactical marketing
Consumers
Occupiers
Provide an evidence base for on-going funding
11
13. Retail Footprint 2011
Retail Footprint is a gravity model that
replicates the pattern of shopper behaviour to
identify how centres perform.
It is a gravity model that defines catchments for
shopping centres selling Comparison Goods in
Great Britain.
The gravity model approach replicates the
decision-making process consumers use when
they shop.
Retail Footprint calculates comparison
expenditure and shopper populations for each
centre based on the principles that:
People are more likely to visit
larger, more attractive centres.
People are more likely to visit centres that
are easily accessible to them (based on a
combination of distance and drive-time).
Using the location of survey respondents the
performance of a centre can be analysed by
comparing the distribution of actual customers
with that predicted by the gravity model.
This is a valuable tool in identifying areas to
target for marketing in the future.
14. Gravity Methodology
Retail Centre B
1. Centre attractiveness
2. Centre type
Score: 100
3. Demand
40% - £200 £290
4. Competing centres
5. Distance to Centre
Residential Zone 1
Retail Centre A 60% - £300 £500 90% - £90
Score:
Score: 25 50 Residential Zone
2
£310 £100
10% - £10
14
15. Stirling: Current Status
Stirling is currently classed as an ‘Average Centre’ in Retail Footprint 2011, which forms part of the ‘Major Centres’ category.
It currently has a Retail Footprint (RF) score of 847.
Major Centres are large ‘traditional’ High Street centres located in the middle of either large towns or ‘secondary’ regional
cities.
These are the second tier in the regional shopping hierarchy, in terms of both the number of Comparison Goods outlets and
shopper numbers.
Major Centres have an average Retail Footprint attractiveness score of 789 and a catchment market share of 9.6%.
106 retail centres are classified as Major Centres and average comparison goods expenditure is £256 million.
‘Average Centres’ are typically mass-market in profile, displaying some element of all three retail offer types.
These centres display neither a premium nor value retail provision bias, though there is usually more of the latter present.
Average retail centres include such locations as Stirling, Doncaster and Hemel Hempstead.
18. Stirling: Current Catchment Summary
Current market potential of £225 million per annum
Total Comparison Comparison Goods Market
Total Shopper
Catchment Goods Expenditure Market Potential Share
Population Population
(£m) (£m) (%)
Primary 57,075 £151.1 43,213 £114.3 75.6%
Secondary 41,708 £109.3 20,849 £55.0 50.4%
Core Catchment 98,783 £260.4 64,061 £169.3 65.0%
Tertiary 73,855 £184.8 13,733 £33.9 18.3%
Quaternary 394,201 £1,025.2 8,306 £21.8 2.1%
Total Catchment 566,839 £1,470.4 86,100 £225.0 15.3%
Source: CACI Retail Footprint
19. Stirling: Category Expenditure
Total market potential of £450.1 million per annum
Expenditure per Household Spend Index v
Annual Household
Category Annum
Spend (£) UK Scotland
(£m)
Clothing & Footwear £66.3 £1,753.5 106 104
House & Home £8.7 £230.7 97 106
Leisure Goods £45.3 £1,197.8 109 104
Personal Goods £12.7 £335.6 108 106
Personal Care £24.6 £650.0 94 104
Durable Goods £67.4 £1,781.6 103 106
Comparison Goods £225.0 £5,949.1 104 105
Convenience £173.5 £4,587.4 101 103
Catering £51.7 £1,365.8 101 105
Total Retail Spend £450.1 £11,902.3 103 104
Source: CACI Retail Footprint
20. Stirling: Retail Category Mix
% of
% of Retail % of RF
Count of % of Retailers -
Retail Category Footprint Score - Index
Retailers Retailers Index vs
Score vs Scotland
Scotland
Clothing & Footwear 83 25.1% 153 44.3% 146
House & Home 4 1.2% 63 2.7% 104
Leisure Goods 38 11.5% 159 23.0% 148
Personal Goods 34 10.3% 136 12.7% 147
Personal Care 51 15.4% 97 8.0% 64
Durable Goods 19 5.7% 59 4.3% 26
Convenience 29 8.8% 61 4.2% 36
Catering 73 22.1% 82 0.7% 43
Grand Total 331 100.0% 100 100.0% 100
Source: CACI Retail Footprint
21. Stirling: Leakage to Competing Centres
Market Market
RF Distance
Retail Footprint Centre Retail Footprint Class Share Share
Score (Miles)
(Core) (Total)
Glasgow National Centres 3,374 21.6 7.9% 19.2%
Falkirk Average Centres 753 10.0 2.9% 15.5%
Stirling Average Centres 847 0.0 65.0% 15.3%
Falkirk - Central RP Major Shopping Parks 239 9.9 1.6% 6.0%
Edinburgh Principal Centres 2,495 30.8 0.3% 4.8%
Dunfermline Average Regional Towns 497 18.7 0.1% 4.0%
Cumbernauld Value Metropolitan Towns 393 12.0 0.3% 3.5%
Stirling - Springkerse RP Large Retail Parks with Fashion 210 1.0 12.1% 3.1%
Livingston Designer Outlet Major FOCs Mass Market 220 23.0 0.0% 2.3%
Tillicoultry - Sterling Mills Medium Sized FOCs 66 7.8 3.0% 2.1%
Livingston Mall-Dominated Town Centres 507 23.0 No Core 2.0%
Alloa Average Local Centres 181 5.6 3.7% 1.7%
Glasgow - The Fort SP Super Parks 339 18.7 0.3% 1.5%
Edinburgh - Gyle Centre Average Purpose Built District Centres 358 27.1 No Core 1.3%
Airdrie Average Metropolitan Towns 201 17.5 No Core 1.0%
Perth Quality Regional Towns 780 27.4 0.1% 1.0%
Bathgate Average Local Centres 107 18.8 No Core 1.0%
Silverburn Urban Regional Malls 581 25.8 0.2% 0.9%
Crieff Rural Centres 53 18.0 No Core 0.9%
Glasgow - Braehead SC Urban Regional Malls 671 23.6 0.3% 0.8%
Coatbridge - Faraday RP Large Retail Parks with Fashion 177 18.3 No Core 0.6%
Dunfermline - Halbeath RP Retail Parks Minority Fashion 92 20.5 No Core 0.5%
Perth - St Catherines RP Large Retail Parks with Fashion 206 27.2 0.1% 0.5%
Linlithgow - Stockbridge RP Retail Parks Minority Fashion 44 15.6 No Core 0.5%
Callander Very Small Urban Centres 29 13.9 0.1% 0.5%
Source: CACI Retail Footprint
22. Market Position
Premium Mass Value
Stirling 7.9 66.7 25.4
Glasgow 30.6 52.5 16.9
Falkirk 2.8 66.4 30.8
Falkirk- Central RP 0.0 66.9 33.1
Edinburgh 40.8 50.0 9.2
Dunfermline 3.7 60.7 35.6
Competing Centres
15.6 59.3 25.1
Average
Stirling Index 50.6 112.5 101.1
Source: CACI Retail Footprint
23. Stirling: UK RF Ranking
Stirling currently ranked 138th in the UK
Comparison
RF
Rank Centre Name RF Minor Class Goods Market
Score
Potential (£m)
129 Warrington Average Centres 841 £241.8
130 Batley - Birstall Shopping Park Major Shopping Parks 509 £240.6
131 Chesterfield Lower Average Centres 805 £237.4
132 Cheshire Oaks - McArthurGlen Outlet CentreFOCs Premium Brands
Major 300 £232.9
133 Falkirk Average Centres 753 £232.0
134 Cheapside Quality London Non-Residential Centres 613 £229.2
135 King's Lynn Lower Average Centres 825 £228.4
136 Truro Quality Regional Towns 857 £228.2
137 Enfield Average Conurbation Towns 638 £225.2
138 Stirling Average Centres 847 £225.0
139 Stockton-on-Tees - Teesside Shopping Park
Super Parks 424 £224.3
140 Uxbridge Average Conurbation Towns 921 £223.0
141 Inverness Average Centres 820 £221.8
142 Cambridge - Grafton Centre Average Purpose Built District Centres 490 £221.7
143 Street - Clarks Village Outlet Centre Major FOCs Premium Brands 141 £221.5
144 Ashton-under-Lyne Average Conurbation Towns 729 £220.6
145 Hastings Average Centres 574 £220.5
146 Freeport Braintree Outlet Centre Major FOCs Premium Brands 155 £219.4
147 Banbury Average Centres 815 £219.3
148 St Helens Average Centres 780 £218.7
Source: CACI Retail Footprint
24. Stirling: Scotland RF Ranking
Stirling currently ranked 8th in Scotland
Comparison
RF
Rank Centre Name RF Minor Class Goods Market
Score
Potential (£m)
1 Glasgow National Centres 3,374 £2,471.0
2 Edinburgh Principal Centres 2,495 £1,088.8
3 Aberdeen Principal Centres 1,750 £804.7
4 Dundee Average Regional Centres 1,129 £415.1
5 Glasgow - Braehead Shopping Centre Urban Regional Malls 671 £363.3
6 Silverburn Urban Regional Malls 581 £357.8
7 Falkirk Average Centres 753 £232.0
8 Stirling Average Centres 847 £225.0
9 Inverness Average Centres 820 £221.8
10 Edinburgh - Fort Kinnaird Retail Park Super Parks 507 £184.6
11 Perth Quality Regional Towns 780 £176.7
12 East Kilbride Mall-Dominated Town Centres 730 £173.2
13 Livingston Mall-Dominated Town Centres 507 £148.8
14 Ayr Average Regional Towns 786 £147.6
15 Dunfermline Average Regional Towns 497 £145.0
16 Loanhead - Pentland Retail Park Major Shopping Parks 423 £137.5
17 Kirkcaldy Average Regional Towns 556 £135.4
18 Livingston Designer Outlet Major FOCs Mass Market 220 £131.3
19 Edinburgh - Gyle Centre Average Purpose Built District Centres 358 £129.1
20 Glasgow - The Fort Shopping Park Super Parks 339 £120.6
Source: CACI Retail Footprint
25. ACORN consumer classification
ACORN combines geography with demographics and lifestyle
information, grouping the entire population into 5 categories,
17 groups and 56 types.
By analysing significant social factors and consumer behaviour, it
provides precise information and an in-depth understanding of
the different types of consumers in every part of the country.
ACORN can be used proactively as part of a shopper-focused
tenant mix strategy, to facilitate ongoing asset management, for
effective catchment zoning and ‘battleground’ analysis, and to
drive marketing and shopper communication strategy.
26. Average Retail Spend (£)
10%
15%
20%
0%
5%
Wealthy Executives
Affluent Greys Wealthy
Achievers
Flourishing Families
Prosperous Professionals
Source: ACORN and Retail Footprint
Educated Urbanites
Urban
Stirling
Prosperity
Aspiring Singles
Starting Out
Secure Families
Off
UK Average
Settled Suburbia
Comfortably
Prudent Pensioners
Asian Communities
Post Industrial Families
Means
Moderate
Scotland Average
Blue-collar Roots
Struggling Families
Burdened Singles
Hard-
Pressed
High Rise Hardship
Inner City Adversity
Stirling: Current Catchment ACORN Profile
27. Group A: Wealthy Executives
Consumers with the money and space to enjoy very comfortable lifestyles
£49,400 8.1% 9.0%
Key Features Distribution Map Key Retail Brands Demographic Data
Some of the most affluent
people in the UK
Large, 4+ bedroom detached
houses, many owned outright
Up-market brand
preferences, high spends on
home & recreation
Category
Wealthy A: Wealthy Achievers
Achievers B: Affluent Greys
Urban C: Flourishing Families
Prosperity
Top Retail Centres (%)
Comfortably Guildford
Off
Tunbridge Wells
Moderate
High Wycombe
Means
Bicester Village
Hard-Pressed Reading
Retail ACORN
28. Group N: Struggling Families
These families are disadvantaged due to educational underachievement and consequent lack of opportunity
£25,100 12.0% 12.8%
Key Features Distribution Map Key Retail Brands Demographic Data
Low income families living on
traditional low-rise estates
Some have bought council
houses; most continue to rent
Money is tight; shopping focuses
on cheaper stores & catalogues
Visiting the pub, betting and
bingo are common activities
Category
Wealthy
Achievers
Urban
Prosperity
Top Retail Centres (%)
Comfortably Sunderland
Off
Wolverhampton
Moderate
Doncaster
Means
Dudley - Merry Hill
N: Struggling Families
Hard-Pressed Meadowhall
O: Burdened Singles
P: High-Rise Hardship
Q: Inner City Adversity
Retail ACORN
30. Traditional Consumer Research Method
Time needed for collation/checking
Loss/damage of completed surveys
Hit rates compromised
Non adaptive
30
Copyright 2011 CACI Limited
31. Tablets provide a flexible platform for collection
31
Copyright 2011 CACI Limited
33. Key Benefits
Attractive and professional
Real time data monitoring
Hot swap questions
New question types
Instant statistics
Interactive collection
(age and income)
33
Copyright 2011 CACI Limited
34. Centre Audit
Retail / Service Provider Net Sq. M % of RCG % of Total
Category
Department Stores 20,544 26.0% 17.1%
Variety Stores 7,020 8.9% 5.8%
Clothing & Accessories 34,458 43.6% 28.6%
Leisure Goods 7,186 9.1% 6.0%
Household Goods 3,047 3.9% 2.5%
Health & Beauty 3,704 4.7% 3.1%
Electrical Goods 3,098 3.9% 2.6%
Retail Centre Goods Sub-Total 79,056 100.0% 65.7%
Catering 9,495 7.9%
Markets 6,222 5.2%
Supermarkets 3,144 2.6%
Convenience 588 0.5%
Other Sales of Goods* 1,034 0.9%
Banks and Building Societies 2,075 1.7%
Other Services** 4,030 3.3%
Amusements/Betting Shops 1,263 1.0%
Non RCG Sub-Total 27,851 23.1%
Non-Vacant Sub-Total 106,907 88.8%
Vacant 13,501 11.2%
Grand Total 120,408
34
47. Conclusions
Statistics
Data on people and places
Supplement by customer surveys
Analytical Methods
Benchmarking
Modelling
Visualisation
Provide BIDs with:
Strategic direction (function and mix)
Monitoring (KPIs/Health Check)
Targeted marketing (where and who)
47
51. Issues
Training Needs Analysis
Town Centre Healthchecks
52. Training Needs Analysis
March 2010
81 responses / 31% response rate
Training needs identified
66% - town healthchecks
57% - action plans / whole town strategies
etc
77% - sources of data
71% - participation
53. Town Centre Healthchecks
Systematic collection of information on vitality
and viability of town centres allowing a
comparative analysis between centres and
over time
Vitality – how busy or lively a town is
Viability – capacity to attract ongoing
investment
54. Why?
Understand current position
Monitor over time
Compare with competitors
Measure impacts
Prepare strategy / action plan
Prioritise resources
Inward investment
56. Town Attraction - Commercial
Market Profile
Diversity of Uses
Total Retail Floorspace (gross)
Total No. Retail Units
Retailer Representation
No. of Multiple / Independent Units
Number of Comparison / Convenience Units
Retail Rankings
Promis (Retail Provision)
Venuscore
Zone A Rental
Retail Yields
Retail Vacancy
Office rents / yields
57.
58.
59. Town Attraction – Leisure and
Tourism
No. of Leisure Services Units
Eating /dining venues (cafe/restaurant)
Bingo / amusements /Cinema/leisure
Pubs and clubs
Total number of visitors
Number of tourist days
Total visitor revenue
Total direct and indirect employment
supported
60. Urban Management
Bins in town centre
Recycling points
Average £ per capita on street cleaning
Public / Business perceptions
Nos. of public conveniences
LEAMS Rating
61.
62. Safe
Recorded Crime Incidents
% Change in Recorded Crime Incidents
Change in Crimes of Violence
Public perception of safety (Business /
shopper)
63. Accessible
Total car parking spaces
Total on / off street split
Rail passenger numbers
No. licensed taxis
No. city car club cars
No. town bike club bikes
64.
65. Data Sources
Constabulary Promis
Total Recorded Crimes in the Town Centre Total Catchment Population
Retail Rankings
Local Authority Retailer Demand
Litter Bins Retail Yields
Public Conveniences Zone A Retail Rents
Recycling Facilities Market Size
Cleansing / Maintenance Expenditure
Car Parking Spaces Scotrail
Tourism Statistics Railway station facilities
EGi Scottish Neighbourhood Statistics
Zone A Retail Rents Demographic Profiling
Retail Yields
Scottish Property Network
General Register Office for Scotland Office Rents/Availability
Population statistics
VenueScore
GOAD Retail Rankings
Comparator Cities / Towns Retail Floorspace / Units
Retailer Representation VisitScotland
Visitor Attraction Statistics
Office of Rail Regulations
Annual Rail Passenger Carryings
66. Constraints
Consistency of data
Cost of accessing data
Scale of town / availability of data
Comparability of data
Interpretation
Lies, damn lies and statistics
68. KNOW YOUR AREA
TOWN CENTRE REGENERATION:
AN INTEGRATED APPROACH
Douglas Wheeler
BIDS CPD WORKSHOPS
23 November 2011
69. STRUCTURE
• Context
• Town Centre Regeneration Research
• Integrated Response to Challenges
• People
• Economy
• Place
• Marketing
• Theory of Change
• Conclusions: Way Forward
70. RECENT PROJECTS:
MULTI SKILLED TEAMS
Projects
• Northern Ireland: DSD
• N England: RDAs Market Town Initiatives
• Scotland: Town Centre Regeneration Research
Skills
• Land use & urban design: place intervention
• spatial strategies
• development frameworks
• master plans
• Local economic development
• Involvement & delivery
71. TCR: How does it work and
what can it achieve?
First Aim
• Clearer understanding of activities
• Scope & nature of outputs & longer term outcomes
• Identify factors mechanisms & processes
• TCR Fund Projects: longitudinal: case studies
Second Aim
• Develop & populate Theory of Change model/s
• Involve experts/practitioners: test models
• Overall help to shape policy
Definition: SPP: city town district: irrespective
of size: mix
72. TCR Research: Key Findings
• Complex concept: multi-dimensional issues
• ‘Whole town’: rather than focus just on physical
• Town centre: scale distinctiveness: context
• Partnership: vision: strategy: action plan
• Partnership is not an outcome:
need effective coordinated delivery
• Small/medium business: limited data
• Community ownership of assets
• Improving TCR Project Planning
• Improving Approaches: TC Health Checks
• Applying Theories of Change
73. TOWN CENTRE: INTEGRATED
RESPONSE :
• Visioning process
• What kind of town?
• Integrated diverse whole town strategy
• Priority in Community Planning
• Partnership: three sectors
• Involvement: community/business ‘buy in’
• Townscape: distinctive: design quality
• Town centre plc: competitive position
• Stimulate confidence: compelling economic case
76. Participation: Involvement
Genuine involvement: decision making
Independent businesses: interviews
Market research: users & non users
Not ‘usual suspects’: go to them!
Workshops & design charrettes
Social media: facebook/twitter/web
77. STRATEGY STRUCTURE &
COMPONENTS
Town Vision
People Place
Economy
Place Making:
Sites & Marketing &
Buildings Branding
Environmental
Improvements: Visitor Destination
‘Glue’ Improvements
‘Magnets’
Enterprise &
Business Parking &
Development Accessibility
78. TCR Project Planning: Limitations
• Lack results chains: link
activities to long-term outcomes
• Don’t show short & interim outcomes
on route
• Activities & outcomes are poorly
specified:
who they are targeted at
thresholds of change that are expected
anticipated timescales for delivery.
79. Project Planning Limitations:
Example
• Terminology inconsistent
• Which activities lead to which outcomes?
• Who is targeted & who/what will change?
• Nature and extent of change?
• Order and timelines for changes
• Evidence for claims and underpinning assumptions
• Leading onto problems for evaluation?
Priorities
Timings
Survey power /sensitivity if thresholds unknown
80. Monitoring & Evaluation: Limitations
Poor evidence base & evaluation culture
Lack of critical longitudinal studies/evidence
Evaluation not seen as a priority
Limitations in project planning/health checks make
evaluation problematic
Limited project specific data collected:
implementation process: short & interim outcomes
Attribution (evidence that TCR activity has lead to
anticipated changes) only possible if we can link
outcome data to project data
81. Addressing Limitations
Applying Theories of Change
• Evaluation approach: uses the programme’s ‘plans &
underlying theory’ to guide the selection of evaluation
questions, design & methods
• Claims:
Enhances project planning; provides a ‘road map’
Supports development of evaluation framework
Helps with attribution
• Uses tools & criteria to describe/specify programme &
intended outcomes/timescales/thresholds:
Logic models: flow chart
Plausible, do-able & testable plans
Prioritise evaluation questions, indicators, methods &
timescales
82.
83.
84. Consistent Terminology
Financial
Inputs Activity Output Outcomes Impact
Public and Interventions Intermediate Effect on
private sector delivered effects BID businesses GVA
spend
85. Some Common Measures
Financial Output Outcomes
Activity Impact
Inputs
Footfall
Shopfronts
Projects Perception
Spend Improved
Grants Vacancies Jobs
Leverage Visitors in
Visitor Spend t/o
Funding secured Crime
86. Why Use TOC?
• Build convincing (evidence based) performance story
• Communicate agreed vision & plans
• Provide clarity: activities & linkages to outcomes
• Aid planning & improve implementation
• Helps you know what & when resources are needed
• Highlights assumptions & risks
• Links with bigger picture
• Enhance evaluation & attribution evidence
• Part of wider performance management system
• Value in the process: not product
• Commissioners & funders to encourage use
87. CONCLUSIONS: WAY FORWARD
• Scottish Government: Regeneration Policy: TCRF
• Whole town/integrated strategies
• Focus on what's distinctive
• Proactive: business driven & wider involvement
• Build convincing performance story: evidence
• Theories of Change
88. KNOW YOUR AREA
TOWN CENTRE REGENERATION:
AN INTEGRATED APPROACH
Douglas Wheeler
www.douglaswheelerassociates.com
93. Scottish legislation
/ The Planning etc. (Scotland) Act 2006
/ The Planning etc. (Scotland) Act 2006 (Business
Improvement Districts Levy) Order 2007
/ The Business Improvement Districts (Scotland)
Regulations 2007 (as amended)
/ The Business Improvement Districts (Ballot
Arrangements) (Scotland) Regulations 2007
93
95. BID Structures
/ No statutory requirements regarding organisational
structure – options include:
/ Unincorporated organisation
/ Company limited by guarantee
/ Limited Liability Partnership
/ Trust
/ Community Interest Company
/ Industrial and Provident Society
/ Scottish Charitable Incorporated Organisation
95
96. Company limited by
guarantee
/ Limited liability – members undertake to pay
specified “guarantee” amount if company is
wound up, generally £1.00
/ No issue of shares or payment of dividends
/ Non-profit distributing – profits used to further
company’s aims
/ Model of choice in England and Scotland to date
/ Strikes balance between commercial and social
objectives
96
97. Advantages of
company structure
/ Familiarity
/ Flexibility
/ Transparency
/ Well regulated
/ Ability to attract funding
/ Ability to attract members/directors/stakeholders
97
98. Constitution
/ Objects must tie-in with BID proposal
/ Voting rights – one member, one vote?
/ Distribution of assets on wind-up
/ Degree of tailoring of constitutional
documents will be required
99. Membership
/ Public/private sector
/ Local Authority
/ Local business community
/ Other key stakeholders
100. Governance
/ Board of directors
/ Composition and powers
/ Mix of skills and experience
/ Public/private/community sectors – strategic or
operational responsibility?
/ Delegation of powers
/ Conflicts of interest
/ Partnership working
101. LLPs
/ Similar to partnership
/ Reduced personal responsibility for members
/ Compliance levels similar to companies
/ Requirement to file accounts at Companies
House
/ Normally used as profit-making vehicle
/ May not be appropriate
102. SCIO
/ New legal form for charities registered in
Scotland
/ OSCR is regulator, not Companies House
/ Degree of limited liability for trustees
/ Dependent upon charitable status
/ Ceases to exist if removed from charity register
/ Cannot be restored to register
/ Advice should be sought before establishing
SCIO
103. Key issues
/ Vehicle structure
/ Members
/ Composition and powers of Board
/ Governance
/ Contractual and partnership arrangements –
memorandum of understanding/baseline service
agreement
/ Important to bear in mind that no “one size fits all”
structure – structure should complement overall
proposals, not vice versa
104. Key issues
/ Charitable status
/ Tax issues
/ Ensure establishment of BIDs is combined with
legal, accountancy and taxation advice to ensure
structure covers all bases
105. Directors’ duties
/ Historically, rules governing company
directors came from a range of sources:
/ common law;
/ case law; and
/ statute – Companies Act 1985 and
Companies Act 2006
106. Directors’ duties
/ Current position – Companies Act 2006
(the “Act”)
/ The Act sets out a new statutory statement
of directors’ duties
/ The directors’ duties in the Act replace
previous common law/statutory position
107. Directors’ duties
/ The Act sets out seven “general duties” of company
directors:
/ duty to act within powers;
/ duty to promote the success of the company;
/ duty to exercise independent judgment;
/ duty to exercise reasonable care, skill and diligence;
/ duty to avoid conflicts of interest;
/ duty not to accept benefits from third parties; and
/ duty to declare interest in proposed transaction or
arrangement
108. Directors’ duties
/ Duty to act within powers comprises:
/ a duty to act in accordance with the
company’s constitution (its memorandum
and articles of association); and
/ a duty to only exercise powers of a
company director for their power purpose
109. Directors’ duties
/ Duty to promote the success of the company
/ A company director “must act in the way he
considers, in good faith, would be most likely to
promote the success of the company for the
benefit of its members as a whole”
/ Duty is subject to duty to act in the best interests
of creditors in circumstances of actual or
threatened insolvency – in this regard, Act
preserves common law position
110. Directors’ duties
/ Duty to promote the success of the company
/ In deciding how to promote the success of the company, a director
must have regard “amongst other matters” to:
/ the likely long-term consequences of their decisions;
/ the interests of the company’s employees;
/ the need to foster the company’s business relationships with
suppliers, customers and others;
/ the impact of the company’s operations on the community and the
environment;
/ the desirability of maintaining a reputation for high standards of
business conduct; and
/ the need to act fairly as between members of the company
111. Directors’ duties
/ Duty to promote the success of the company
/ The list of factors to be considered by company directors in relation
to the above duty is not definitive but the new duty is not intended to
impose additional burdens on company directors
/ Intended to reflect what is already regarded as best practice
/ Board should consider at least those factors – but not just a “box-
ticking” exercise
/ Board minutes should refer to consideration of those factors
together with any additional factors deemed to be relevant – e.g.
environmental impact
/ Most companies are unlikely to need to make significant changes to
current decision-making procedures
112. Directors’ duties
/ Duty to exercise independent judgement
/ Concerns raised that this duty would prevent directors
from relying upon advice/guidance from others in areas
in which they may not be expert (e.g.
legal, financial, technical matters)
/ Government has confirmed that directors will continue to
be able to: (i) rely upon external advice/guidance; and (ii)
delegate matters to committees/executive, provided they
exercise their own judgement in deciding whether to
follow particular advice/guidance or delegate matters
113. Directors’ duties
/ Duty to exercise reasonable care, skill and diligence
/ The care, skill and diligence that would be exercised by a
reasonably diligent person with:
/ the general knowledge, skill and experience that may reasonably
expected of a person carrying out functions carried out by the
director in relation to the company; and
/ the general knowledge, skill and experience that the director
actually has
/ Two tests – (i) is minimum objective standard and (ii) is subjective
relative to the knowledge, skill and experience of a particular director
/ Test (ii) – greater knowledge, skill and experience = higher standard
of care, skill and diligence
114. Directors’ duties
/ Duty to avoid conflicts of interest
/ director must avoid a situation in which he has, or can have, a
direct or indirect interest that conflicts, or possibly may conflict, with
the interests of the company
/ applies in particular to exploitation of property, information or
opportunity (whether or not company could have taken advantage of
it)
/ only applies to dealings with third parties, not with company itself
/ no breach of duty if: (i) situation cannot reasonably be regarded as
likely to give rise to conflict of interest; or (ii) non-conflicted directors
authorise the matter in question
115. Directors’ duties
/ Duty not to accept benefits from third parties
/ A director must not accept a benefit from a third party
which is given as a result of that person: (i) being a
director; or (ii) doing, or not doing, something in their
capacity as a director
/ No breach of duty if acceptance of benefit cannot
reasonably be regarded as likely to give rise to conflict of
interest
116. Directors’ duties
/ Duty to declare interest in proposed transaction or arrangement
/ If a director is in any way, directly or indirectly, interested in a proposed
transaction or arrangement with the company, he must declare the nature
and extent of that interest to the other directors
/ Any such declaration must be made before the company enters into the
transaction or arrangement
/ No duty to declare if not aware of interest, transaction or arrangement but
directors deemed to be aware of matters of which ought reasonably to be
aware
/ Need not declare interest if: (i) cannot reasonably be regarded as likely to
give rise to conflict of interest; (ii) other directors aware or ought reasonably
to be aware; or (iii) it relates to terms of service contract already considered
by directors
/ Best practice – proactive approach to declarations by directors and regular
monitoring of interests by company
117. Shadow Directors
/ A shadow director is a person who provides directions to
the directors of a company and the board of directors (or
a governing majority thereof) are accustomed to
following those instructions
/ Consequences of being considered a shadow director?
Given some of the same statutory duties and obligations
as any other director
/ Application of Companies Act 2006, Insolvency Act 2986
and Company Directors Disqualification Act 1986 to
shadow directors
118. De facto Directors
/ A person who assumes, claims and/or
purports to act as a director of a company
/ Occupies the position even if not properly
appointed
/ Duties and obligations of directors attach
to them
119. What if breach?
/ Removal of director by ordinary resolution of members of
the company (simple majority of members)
/ Proceedings raised against director by company
/ Derivate action raised by members of company where
company does not pursue
/ Petition to court by members for unfair prejudice
/ Action by Department for Business, Innovation and Skills
(formerly DTI / BERR) under Company Directors
Disqualification Act 1986
Geodemographic data is useful to define consumers – classifies residential neighbourhoods into types. CACI have a long standing heritage in the creation of such and are currently investigation approaches in some of the emerging marketsRetailers and shopping centres can collect customer data and see what segments they tend to attract – important in asset management – surveys of shopping centres
Understanding value of customers is important – most schemes will have visits from across the social spectrum but a key aid to shopping centre marketing and leasing is to understand spend relativities and help identify areas for improvement. Segment called Educated urbanites – are visiting in reasonable quantity but not spending enough – drive through incentives or leasing.
Sustainability is important and a significant proportion of our work is in helping determine optimal size and market position of a shopping centre development. Our models enable us to test different sized schemes and make recommendations on the findings.