Business features

Hotel Chocolat co-founder offers his ten steps towards chocolate heaven

Anna Sheinman — Mon, 20 May 2013 10:19:52 +0100

Peter Harris co-founded the luxury chocolatier in 2004 and has watched it grow from one store in Watford to 74 shops worldwide, a boutique hotel and a cocoa plantation in St Lucia — with a revenue of £63 million last year. Speaking at a Norwood dinner, he told guests:

1. Forget research
“If we had researched I don’t think we would ever have started. We were making corporate mints and one hotelier said: ‘Could you do a little box of four chocolates with our name on it?’ We made a mock-up and went back. He said: ‘That’s exactly what I want, could I have 5,000?’ Suddenly we found ourselves in the chocolate business.”

2. Start right now
“When we started I had just taken on a massive mortgage, my wife had given up work and our son was one. There’s never a good time, you can’t wait until the planets align. ”

3. Never work alone
“A business partner is a way to remotivate. A problem can seem severe but when you start thinking it becomes smaller. When you have someone else there, that process happens quicker.”

4. Test out a partnership
“People share flats and months later they are no longer friends — business is similar. My partner and I spent a year working together in a different business. I respected his ability to sell and he hopefully respected my ability in finance. Working together is like one plus one makes three.”

5. Sell together
“I’d get orders from people like Ford and British Airways and he’d have the Dorchester Hotel, Vauxhall — we competed. Both selling created camaraderie and shared responsibility.”

6. Go without
“We didn’t spend money until we’d earned it. We probably didn’t have the most sparkling clothes or meals-out but weren’t any less happy. We were motivated by what we were doing.”

7. Pay yourself
“When we started, we lent our business £5,000 each and paid it back to ourselves at the rate of £500 a month. It gave us a goal, if you worked for the month you actually got something at the end of it, although it was your own money.”

8. A financial class helps
“When I was in the computer business I raised £250,000 completely unsecured. I don’t know anyone who has raised that. I was a chartered accountant so the bank thought investing in me was worth a try.”

9. Seperate bank figures
“Have two sets of figures: the figures to motivate your staff and more moderate figures for your bank.”

10. Seek out Opportunities
“A member of our chocolate tasting club sent us a book on cocoa production — which we read. We could have left it there. Instead we found an estate in St Lucia and went over. I made appointments with four out of 12 cabinet ministers — I wanted to know the industry wasn’t about to be nationalised. We came back with a signed contract. It was mad but it was our hearts.”

Tackling terrorism with technology

Sandy Rashty — Mon, 13 May 2013 10:33:16 +0100

An Israeli company is battling terrorism with technology used by government agencies across the globe.

Cellebrite, founded in 1999, is headquartered in Petah Tikva, Israel, and more than 50 per cent of the technology company’s $200 million average annual revenue stems from its forensics division — established in 2007.

The division develops software and hardware used to prevent terror activity. The sophisticated technology can retreive deleted or lost data from mobile phones, digital tablets and PCs — but it is only available to authorised government agencies and corporate organisations such as insurers.

“We recognised the need to create software capable of satisfying law enforcement needs,” says Cellebrite co-CEO Yossi Carmil, who has worked for the Israeli Ministry of Defence.

“Our Universal Forensic Extraction Device (UFED) is able to retrieve data from a mobile phone — from the technology of a suspicious person.”

He says “someone could think that if they press delete the message is gone — but it’s not the case.”

With around 15,000 UFED devices deployed to agencies across 60 countries and with more than 50 per cent of forensic revenue stemming from the United States — the company is a recognised authority in the market. Clients have included the Indian army, West Yorkshire and Japanese police.

Cellebrite’s expertise extends to its retail division. The company’s Universal Memory Exchanger (UME) technology, targets the everyday mobile user. It facilitates back-up storage and the swift transfer of data from on device to another.

Mr Carmil explains that “the UME can access technology from a source to a target phone. You can transfer all your contacts from a Blackberry to an iPhone, from a Siemans to a Nokia and from a PC to iCloud using this device.”

It is a swift and convenient mechanism for consumers who can access the helpful facility at mobile retail stores.

In the UK, consumers access the service via the Carphone Warehouse, Orange, T-Mobile and Vodaphone stores. The global service sees 250,000 transactions each year at 145,000 stores.

“It was something that was never done before,” claims Mr Carmil. “It reduces barriers from each different phone.”

Without a doubt, Cellebrite is established in the mobile industry. But in a competitive digital market, the Israeli company faces challenges.

“Cellebrite suffers from the fact that we have to work hard not to lose our customers,” says Mr Carmil. “We have a lot of ideas but always try to keep our technology simple.

“In Hebrew we have a saying, keep it simple, even stupid.”

Mr Carmil, 46, grew up in Petah Tikva. He has worked as director of ITS Telecom and as vice president of mobile Siemens commercial division in Israel.

As part of the Cellebrite’s founding generation, he has watched it expand from five to 290 employees.

In 2007, Cellebrite was sold and is now a fully-owned subsidiary of the Japanese Sun Corporation. The sell was part of a “strategic decision to grow,” according to Mr Carmil.

He says it faciliates access to markets beyond Cellebrite’s subsidiaries in the US, Canada, Mexico, Germany, Singapore and Brazil. The company has no Middle East base outside of Israel, but Mr Carmil says “there is no reason we can’t pursue other regions”.

www.cellebrite.com

All my business is from social media

Sandy Rashty — Mon, 06 May 2013 10:52:53 +0100

Social media has transformed the advertising and marketing industries, according to Lilach Bullock, who was last month named among the Top 20 Women Social Media Power Influencers and the Top 50 Social Media Influencers 2013 by Forbes.

Mrs Bullock, 40, says to retain consumers, business leaders need to develop their social media presence over advertising — from Twitter to Linked In and Facebook. The majority cost-free sites “are guaranteed to increase business,” she explains.

“A lot more travels through social media than marketing or advertising. Companies find it tougher to attract clients if they don’t have a strong online presence.”

She established Socialable, a social media advisory site, last year. Her clients include start-ups, business leaders in retail, digital technology and accountancy firms.

“Each company needs to utilise different types of social media to suit them. My job is to look at every single channel available. For one company Linked In is appropriate, while Facebook is more suited to another.”

The message is simple. Each company must have an online web presence and prioritise social media over advertising. She practices what she preaches as adverts are noticeably absent from her website.

“I absolutely hate it,” she retorts. “Why put adverts on your website? They just divert people away from the site you spent so much money, time and effort on. It will all go to waste.”

She describes her business as “ethical online marketing.

“It means that I don’t bombard people with adverts and ‘salesy’ material. I offer them useful tips, blogs and advice to keep them on the site. It gives you a good reputation online”

She insists that “there are other ways to make money if you think creatively — I get all my business from social media.”

So where does the revenue come from?

“We offer services from consultancy to running in-house workshops and working with companies directly on building their social media presence.”

Mrs Bullock, who has written books and lectured on the future of social media in America, Poland and the UK, says it is a vital method of engagement with consumers and networking with other businesses.

Most of her clients are based in the US, but the industry is competitive and “noisy. There is so much going on that it can be difficult to get heard above everything.

“It’s important to stay up to date and be strategic about what avenues you use.”

Another concern lies in the reluctance of senior business leaders to accept change. “Some of my clients find it frustrating when they don’t see immediate results from using social media. But the younger generation and start-up businesses especially appreciate its importance.

“It does work — we always double or treble results.”

Tel Aviv-born Mrs Bullock, 40, has split her life between the UK and Israel. Bypassing university, she spent her career-forming early twenties living in Israel “where it is really high-tech and they definitely get social media much more than UK companies get it.”

Growing up in the environment gave her an “advantage over competitors — I had more time to get to grips with it and it was easier for me to get recognised.”

Socialable is her second business. The Radlett and Bushey Reform synagogue member and mother of one sold her first business, asklilach.co.uk, a virtual-PA support service in 2009. She was recognised as being a finalist at the Best MumPreneur of the Year Awards at No 10 Downing Street in 2008.

The “exciting” Forbes listing has already brought in more clients, opportunities and attracted an investor’s interest.

www.socialable.co.uk

Women are stuck in the comfort zone

Sandy Rashty — Fri, 26 Apr 2013 10:00:14 +0100

Banking is an aggressive, competitive and challenging industry dominated by men. Women — especially Orthodox women — are noticeably absent from top positions in the financial industry. But it is not the workplace environment that is holding them back, says leading financier Judy Heicklen.

Ms Heicklen, who is Orthodox, is managing director at Credit Suisse and has sustained a successful career in finance for more than 25 years. Since the Los Angeles-born chartered accountant joined the international banking giant in 1986, she has had the opportunity to oversee decisions, travel the world and leave the office before Shabbat comes in each week.

But Ms Heicklen’s path is not typical of your average career woman, let alone the religious women who she says “are reluctant to break out of their comfort zones.

In general they are choosing a certain type of career that is more culturally acceptable, because of more flexible times and emotional needs.”

But Ms Heicklen insists that “it’s not harder in the workplace for Orthodox women.” She says “the cultural conditions are different. The general social pressure, from Golders Green to Stamford Hill, is to stay at home. That’s actually what makes it harder for women.”

She insists there is no longer any debate about women taking senior positions in financial organisations. “I don’t think the ability of women to lead is even a conversation any more. There are so many examples of women as lay leaders in their community and they are predominant on the board of schools — we just need to take that model and apply it to industries.”

Ms Heicklen, who grew up in an observant home, made her way up the career ladder because she “had to work. I was not very ambitious growing up, but I was financially independent and reliant on myself — that’s why I worked hard and focused on career building throughout my twenties. It was my only option. I would then get a reward, and so I worked harder. It’s a cycle and I sort of fell into accountancy — it wasn’t my passion, not by a long shot.”

But the 50-year-old now finds waking up at 5 30 every morning to work a 17-hour day easier because “I love my work. I love solving problems and get a lot of job satisfaction from managing people. I especially love that part of my job.”

Her passion is clear as she is determined to defend her industry even if “banks are not popular right now.

“We’re giving back a lot. Banks still have an important role to play and are critical to the smooth functioning of the economy,” she says.

Ms Heicklen has been posted across the globe, from Tokyo to Singapore and London to New York — where she is currently based.

During her four-year stay in London, she lived in Hendon where she attended the Ner Yisrael Synagogue.

This week, in her capacity as president of the Jewish Orthodox Feminist Alliance (Jofa), which recently launched in the UK, she spoke about the role of women and leadership at a United Synagogue event at the Norrice Lea synagogue in Hampstead Garden Suburb.

“I do sometimes speak to girls in the religious community about pursuing jobs in finance. I would absolutely encourage them to pursue it if that’s what they want,” she says.

Having had the opportunity to travel the world, the divorced mother-of-three would “recommend it to anyone. Travelling is absolutely fabulous. My eldest child was born in Hong Kong, my second in London and youngest in New York.

“Not a lot of Orthodox women would volunteer to go to Japan, but I did. I looked into it and saw that it was possible to keep kashrut, and so I went for two years and also learned Japanese. I guess that I did have the feeling of: ‘I’m not going to do what everyone else does’.”

So can you have it all? “I don’t think you can have it all, but you can have a lot of it,” says Ms Heicklen. “I wish I had more time to breathe, more time for myself and my children — but I do love my job. And let’s be honest, the money’s good.”

www.jofa.org

Man with the recipe for sweet success on the high-street

Sandy Rashty — Fri, 12 Apr 2013 11:00:26 +0100

Experts say the food industry has changed. Consumers are looking for practical products over pricey luxuries and stores will be replaced by online retail. But Asher Budwig, operations director of Lola’s, is bucking the trend with his cupcake business. The former Immanuel College student, who took over the upmarket bakery days after his 23rd birthday in December 2011, decided to divert online sales towards retail stores.

The brand is now to be seen in sophisticated locations across south-east England — in its own stores, in stores within stores and on two dedicated “carts”. Among places where Lola’s cupcakes are available are Mayfair, Brent Cross and in Selfridges and Harrods.

“There’s definitely room for growth in retail,” says Mr Budwig, who redesigned two and established two new stores in 2012. “When I got involved with Lola’s, there wasn’t enough space to show what we do. So we changed that and started themeing the counters — people enjoy the visual experience.”

A recent report by the Office for National Statistics showed that the food sector experienced close on a 10 per cent rise in online sales over a year So why focus on shops?

“Since opening new stores, we have seen a nicer proportion of our sales going through them. It’s not all about buying online — it’s also about the service that comes with our stores.”

Lola’s is best known for its bespoke range of cupcakes in 30 combination flavours priced between £1.35 and £3. Mr Budwig says the Selfridges branch has the highest customer footfall. But in our economic climate, isn’t the bite-size cupcake craze on its way out?

“I say no. Our sales keep on growing. People still want to enjoy nice things.”

The company’s latest figures — under Mr Budwig’s management — show trade has increased since last year by 40 per cent in Topshop, 20 per cent in Selfridges and 15 per cent in Mayfair.

There are no immediate plans to make Lola’s international. “I first want to grow the business in the south-east.” Mr Budwig recognises that Britain’s most affluent region offers a warped economic perspective on the UK market, but still believes “opportunities are there. We’ll go where people are prepared to pay that bit extra for a good, freshly baked and fun dessert. Last year, we opened a store and cart in Kent, where people had never heard of Lola’s before — and it’s growing each month.”

Mr Budwig’s responsibilities include marketing, staff management and even product development as he has taken on shifts at the central bakery in Brent.

“You don’t get into retail if you don’t put the hours in,” says Mr Budwig who has been known to work 19-hour days. “Even a weekend is a weekday in retail — it never stops.”

The 70-strong team of staff is integral, emphasises Mr Budwig, who wears the brand’s blue uniform, “so I can be part of the team, I don’t want to be that person prancing around in a colourful shirt,” he says. “I spend at least half my time managing people. Respect is really important to me so I lead by example.”

In the coming months, the company plans a new range of chocolate flavours and is opening two new sites and five carts.

Mr Budwig watched his father Mario, the managing director of Lola’s, found the Millie’s Cookies chain and become an authority in the industry. “I’ve always seen him in the food business and your surroundings do impact what you end up doing for sure.”

This is Asher Budwig’s second business, having already established a food stall in Camden Town while studying for his business management degree at Nottingham University.

“The only thing I really took from my degree was Excel — being entrepreneurial is something you have or you don’t have.” He has worked at Boost Juice Bars, Auntie Anne’s pretzels and mixed the occasional drink at the Spaniards Inn in Hampstead.

www.lolas-kitchen.co.uk

Time for transparent management

Candice Krieger — Fri, 05 Apr 2013 10:10:00 +0100

The UK investment industry is failing its clients, says Alan Miller, one of the world’s most respected fund managers.

Mr Miller, the founding shareholder of New Star Asset Management, believes there is a lack of transparency between fund managers and their clients.

He says: “Some do it in a solid, sensible fashion but unfortunately that isn’t the norm and many large fund management companies have grown by taking advantage of the trust which their clients have put into their brand. In essence, they have completely misled their customers.”

Mr Miller has one of the longest track records in money management in the UK, having spent 19 years playing principal roles at Gartmore, Jupiter Asset Management and, more recently, New Star, where he made more than £30 million as chief of its flagship hedge fund.

Mr Miller now runs SCM Private with his second wife Gina, a serial entrepreneur who has set up seven businesses. SCM was established in 2009 to give investors a better deal for their money rather than the high fees and underwhelming performance that Mr Miller believes are all too common. Four years on and the absolute return portfolio (run along the lines of an absolute return fund and may be all equity, all bonds, or all cash, in order to provide strong absolute returns while trying to reduce downside risk) is up 43.7 per cent and the long-term return portfolio (akin to a traditional pension fund with a broad diversification of asset classes that change as circumstances warrant) is up 54.1 per cent. The bond reserve portfolio, launched in June 2011, is up 17.4 per cent.

Last year, SCM launched its True and Fair Campaign, calling for 100 per cent transparency on fund management fees and transaction costs, and full disclosure of where savers’ funds are invested. Mr Miller believes savers are being ripped off, having to pay £18.5 billion a year in fund management and dealing costs — nearly 80 per cent more than savers pay in the US.

Other leading money managers have picked up the campaign, including Legal and General, CoFunds and the Treasury Select Committee.

“It’s astonishing that you have to produce a campaign to enable customers to see where their money is being invested and how much it’s costing. When you think about it, you couldn’t get more ridiculous,” says Mr Miller.

“Clients should be entitled to know what their investment is costing all in, from top to bottom, so that they can compare it to whatever they think the returns will be,” says Mr Miller.

“If you are investing in Western Government bonds that are yielding close to two per cent per annum and you think your return is going to be two per cent per annum, that strikes me as a slightly absurd investment decision.”

He recognises that there is a worry among managers that, if people knew how much it cost, they would not want to invest. “But that’s a fairly short-sighted approach, which doesn’t look at the long-term future of the industry.

“We need to provide investors with information on how much it is really costing. And because many customers realise they are being ripped off — and in essence defrauded — by many fund management companies, they are choosing to bypass the system completely.”

Mr Miller says because fund managers do not have a crystal ball investors should not rely on past performance as an indication of future returns. “But, as fund managers ,what we do know is that markets have just risen sharply and it is our view that the pace of change will be much less pronounced from here on in.

“The best strategies for investing in such markets are to reduce the overall cost of investing; focus on generating income and capital returns; increase the overall diversification; and actively manage the portfolios based on the fundamentals.

Mr Miller hopes his company — which has all-inclusive annual charges of between 0.5 per cent and 0.75 per cent plus VAT — together with the campaign could trigger change in the industry.

He says: “This will never come from fund managers directly. It will only come from politicians or regulators. The industry doesn’t want to change and will do whatever the regulatory minimum is.”

SCM Private is on course to manage £100 million by the end of 2013. The minimum investment is £250,000.

SCM recently partnered with Deutsche Bank’s exchange-traded fund platform “db X-trackers” to launch a fund of ETFs.

A former pupil at Haberdashers’ Aske’s school, in Hertfordshire, Mr Miller left New Star in 2007. His decision to do so followed a bitter public divorce from his wife of two years. Despite an appeal to the High Court and House of Lords, Mr Miller, earning up to £3 million a year at the time, was ordered to make a £5 million settlement to his ex-wife.

www.scmprivate.com

Algae - it has real appeal, ﬁnancially

Candice Krieger — Fri, 29 Mar 2013 10:00:03 +0000

An Israeli kibbutz located north of Eilat is not alone in seeing the potential of one of its products. Its Algatechnologies business, which commercially cultivates microalgae to supply one of the world’s most powerful antioxidants available for human consumption (astaxanthin), has been bought by a leading UK investment firm.

Founded by former Investec colleagues Leon Blitz and Bradley Fried, Grovepoint has invested an estimated $50 million in Algatech, based in the Arava desert, for a 56 per cent stake in the business.

Algatechnologies was founded by Kibbutz Ketura in 1998, supported financially by JCA (a British charity that supports novel Israeli projects in education, tourism and agriculture). The JCA was the controlling stakeholder. It now holds a 23 per cent share while the kibbutz holds 21 per cent.

Algatech has developed a technology that enables it to grow microalgae on a large scale. These microalgae are then used to harvest the commercially successful astaxanthin, also known as “asta”. Astaxanthin is the dark red organic pigment found in algae and aquatic animals, which gives shellfish, salmon and flamingos their distinctive pink/red colouring. It has several benefits such as anti-inflammatory and to promote skin, joint, eye and muscle health. It can be found in sun creams, food supplements, cosmetics and crustacean food colourants.

The deal is Grovepoint’s first investment in Israel. Mr Blitz, who left Investec in 2009 to launch Grovepoint with Mr Fried, said: “We always wanted to do something inward-investing into Israel. We are very keen on the country because of their technological prowess particularly in water, agriculture and food, biotech and clean tech. We felt that this was very transportable and respected internationally.”

Grovepoint set up an Israeli office last year, run by Hagai Stadler and Gil Meirovich.

Mr Blitz said: “The JCA had been supporting the kibbutz for 14 years but it got too big for the charity. They didn’t have the resources to increase production.” Experienced investor Stephen Grabiner, the former media chief of Apax Partners, has partnered Grovepoint and also an investor in Alagatech.

“Microalgae is a very hot area globally,” says Mr Blitz. “The whole antioxidant, well-being, health and nutritional space is such a growth area. It’s a really sexy space.”

Algatechnologies does not sell “asta” directly to consumers, but supplies the raw materials to manufacturers which use it in their products. Its main markets are Israel, the US and Japan. Customers include NBTY, the parent company of Holland & Barrett.

Grovepoint plan to double Algatech’s production over the next few years and will be making additional capital available for growing the business, marketing the “AstaPure” brand globally and investing in R&D, so new algae-derived products can be brought to market.

South Africans Mr Blitz and Mr Fried set up Grovepoint three years ago. The close friends, who have know each other for 40 years, both grew up in Cape Town and trained as accountants at Arthur Andersen.

Mr Blitz joined Investec in South Africa over 20 years ago, before moving to London with the firm when it opened its first bank there in the early 1990s. He became head of direct investments and growth and acquisition finance, and head of private banking.

Mr Fried is the former chief executive of Investec Bank in the UK in 2000. After training at Arthur Andersen, he went to the US to complete an MBA at the Wharton School of the University of Pennsylvania. He joined McKinsey & Co in New York where he was partner before moving to Investec Bank in the UK becoming its London chief executive in 2000.

Since Grovepoint was founded, it has made $1 billion of investments. The founders are keen to explore investment opportunities in Israel. “We think Israel is very exciting,” says Mr Blitz. “One area that people seem to accept Israel for is its technological prowess and know-how.”

Join our Flat-Club, we've taken the top prize in JC competition

Candice Krieger — Wed, 20 Mar 2013 11:00:07 +0000

Two Israelis have won the JC’s first Young Entrepreneurs’ Challenge. Nitzan Yudan and Tomer Kalish, now based in London, were chosen by the judges to receive the unprecedented prize: £10,000 from the judging panel, £10,000 from Investec Specialist Bank, £5,000 of strategic consultancy from Albion London and free accountancy advice from leading north London firm, Berg Kaprow Lewis.

Mr Yudan was successful with his start-up, Flat-Club, which he founded with Mr Kalish. It helps young professionals find short-term accommodation by renting through their trusted social networks. It is aimed at students and alumni of top universities.

Launched in November 2010, the business started with five apartments on its books. Within two weeks it had 70 and today, it boasts 3,000 apartments across 10 global cities. It is targeting £1.2 million of revenues this year and hopes to achieve £30 million by 2015.

Flat-Club is aimed at young professionals, specifically students and alumni of top universities and business schools. It works with UCL, King’s College London and INSEAD, among many others. The business also plans to tie in with employees of top companies and recently completed a successful pilot with Barclays, BCG and American Express. It launched in the US a few months ago.

The judging panel comprised Stephen Grabiner, Nick Leslau, Philip Lewis, Claude Littner and Robert Voss. They were impressed with Mr Yudan’s final pitch, which he conducted from Israel via Skype due to family commitments. A father-of-one, Mr Yudan, who was mentored for his presentation by The Apprentice’s Claude Littner, was clearly not put off by his mother making matzah balls in the background.

The decision was a tough call for the panel, who were full of praise for fellow finalist Kelly Klein and her Student@Home venture, which matches IT students with residents and small businesses in need of computer help. As a group, the panel is talking to her further about possible investment.

Mr Yudan and Mr Kalish, both 34, moved to London to complete MBAs at the London Business School. Mr Yudan has a background in IT and finance — prior to Flat-Club, he worked for Bank Hapoalim in Israel plus a few start-ups — while Mr Kalish’s experience is in property. They both served in the Israeli army: Mr Yudan in the special forces unit and Mr Kalish in intelligence.

The duo found out about the JC competition over a Shabbat dinner at friends. Mr Yudan says: “They had the JC at their place, showed it to us and we thought: ‘Why not?’”

Flat-Club has already secured significant investment and counts financier Jeremy Coller (Coller Capital) and Professor Eli Talmor (London Business School) among its investors, but Mr Yudan says winning the JC competition is invaluable. “It’s unbelievable. I’m so happy. This was the most demanding competition and panel I have ever presented to, which makes winning ten times more rewarding. Being an entrepreneur is a journey full of ups and downs. Most of the time you hear the words ‘no’ and ‘it won’t work’ so to have the endorsement of such an impressive panel is a huge boost.

“Stephen Grabiner suggested a name I should contact regarding potential future funds. This is how these things work. It’s all about networks and knowing people who can open doors for you. And getting such direct feedback is so beneficial.”

He adds: “We entered for a couple of reasons: to get the exposure and have access to the impressive panel as advisers and mentors.” He adds: “One of the most impressive things I learned from Claude was his ability, when he met our team, to understand each of their individual tasks and to contribute his opinion on them. This is something that I hope to learn from him — developing leadership skills and encourage motivation, and the ability to execute.”

Flat-Club will use the prize money to recruit another team member in London to further grow the business. It plans to replicate the model of leveraging trust within existing social networks. “We want to go into more networks where trust already exists, and in more locations.”
The other finalists were Student@Home, Pashkes of London, Written Medicine and Cyclebeat.

www.flat-club.com

WHAT THE JUDGES SAID

CLAUDE LITTNER:
“For me, there were two key features in participating as a judge in this challenge. First, it was a delight to be involved with my fellow panelists and secondly, in meeting a number of really interesting and outstanding
young entrepreneurs.”

NICK LESLAU:
“It was refreshing to participate in this competition where we were exposed to some wonderful young entrepreneurs and their exciting businesses. To the finalists, I offer my sincere congratulations. You were worthy participants and I look forwarding to following your progress with great interest.”

ROBERT VOSS:
“This was a fascinating experience during which I was surprised by the very high standard of the contestants and all five finalists deserve to be highly commended. It was an enlightening experience for the judges as well as being most enjoyable.”

STEPHEN GRABINER:
“It has been a great pleasure to be involved in this challenge. Meeting the entrepreneurs has reinforced my belief in what people with vision and commitment can achieve. It should stand as an example for others wanting to start out on their own. Good luck to them all.

PHILIP LEWIS:
“This has been a fun competition and I was pleasantly surprised at the quality of entrants. We had a great range of businesses and found it hard to select the winner. It was a treat to share the judging with Stephen, Nick, Claude and Robert.”

... AND WHAT DID THE SPONSORS THINK? WE ASKED THOSE GIVING THEIR TIME AND CASH

DOUG KRIKLER, INVESTEC:

“Investec is committed to supporting entrepreneurs as they grow their businesses. We are delighted to be involved in this initiative, nurturing entrepreneurial talent among young people. Congratulations to Nitzan Yudan’s Flat-Club and we wish him and the team the very best of luck in the future.”

JEFF HARTSTONE, BERG KAPROW LEWIS

“Many congratulations to Nitzan and the team on winning the JCYEC. Their impressive academic
and business backgrounds show in the formulation of the company’s strategy and the quality of
their presentation. Berg Kaprow Lewis is very much looking forward to working with Nitzan and his
colleagues over the course of the next year.

JASON GOODMAN, ALBION LONDON

“Our team at Albion are really excited to be working with Nitzan and Tomer — two really talented entrepreneurs from the “Start Up nation”.
It is a zeitgeist concept for a student generation needing to economise however they can.”

THE PRIZE

£10,000 investment From the judges
£10,000 from Investec Specialist Bank
A year’s free financial and tax advice from Berg Kaprow Lewis
£5,000 of consultancy from Albion London
Profiling in the the JC
Opportunity for further funding

Who else is pitching their way to the £20,000?

Candice Krieger — Thu, 14 Mar 2013 09:38:08 +0000

Last week, we revealed the first three finalists in the JC’s Young Entrepreneurs’ Challenge. Today, we introduce the final two, in with a chance of winning over £20,000.
Backed by some of the biggest names in business, including Investec Specialist Bank, the competition aims to find the start-up stars of the future.
We asked existing businesses and aspiring entrepreneurs to pitch their ideas to five of the nation’s most respected businessmen: Stephen Grabiner, Nick Leslau, Philip Lewis, Claude Littner and Robert Voss, who wouldmentor a final five before selecting the winner to invest £10,000 in.
The winner, chosen after scrutinizing presentations, will also receive £10,000 from Investec Specialist Bank, £5,000 of strategic consultancy from Albion London and free accountancy advice from leading north London firm, Berg Kaprow Lewis.
After months of working through the applications, the judges chose their final five to present: Flat-Club, Written Medicine and Pashkes of London (profiled last week). And now...

The final presentations are taking place at Investec Specialist Bank on March 18

Finalist Four: Cyclebeat
Company: Cyclebeat is a new approach to indoor cycling, aka, spinning.
Details: Cyclebeat is a chain of cycling studios — it launched its first one this year in London, near Bank. The studio is specially designed for indoor cycling and uses technology that makes it easy to book classes (currently mon-fri) and track performance. Classes sell on a “pay-per-ride” basis.
Team: Greg Allon (co-founder), a lawyer who works for a TV company, keen triathlete. Justin Crewe (co-founder), a corporate lawyer who also runs Hot Bikram Yoga, which he helped his wife (Greg’s sister) set up.
Fact: The idea for Cyclebeat was hatched in a taxi on the way to a family barmitzvah.
Mentor: Philip Lewis
Quote from Philip Lewis: “The Goverment’s chief medical officer has highlighted cycling as an effective way to prevent many serious illnesses. Spinning is a fun way to replicate the benefits of cycling without worrying about traffic and inclement weather. I look forward to spending time with the team and burning off a few calories at the first branch.”

Finalist Five: Student@Home
Company: Student@Home is a friendly low-cost service that brings IT students to homes or small businesses to help resolve their computer problems.
Details: Founded in 2012, Student@Home aims to solve two problems by; 1) providing students lacking work experience with employment, and 2) help residents and small businesses struggling with technology. Students get paid £12/hour plus £2.50 travel per job.
Team: Kelly Klein (founder), former private banker at JP Morgan.
Fact: Unemployment is highest among IT grads — it is easier to get a job if you study sports science.
Mentor: Robert Voss
Quote: from Robert Voss: "I am delighted to be mentoring Student@Home. The concept is great, bringing together employment for the young, a particular interest of mine, and other socially responsible aspects, yet is also a money-making and well-thought-out business opportunity with enormous possibilities for growth.”

THE PRIZE

£10,000 investment from the judges
£10,000 from Investec Specialist Bank
A year’s free financial and tax advice from Berg Kaprow Lewis
£5,000 of consultancy from Albion London
Profiling in the the JC
Opportunity for further funding

WHO'S JUDGING?
Stephen Grabiner, experienced investor and former head of global media at Apax
Nick Leslau, major property player, who sits on several company and charity boards
Philip Lewis, heads the property division of the Kirsh Group
Claude Littner, corporate turnaround specialist, well-known for his appearances in The Apprentice
Robert Voss, investor and head of metal traders, Voss International

WHO ELSE APPLIED? Some of the other entries
MyMummyMadeIt: A husband-and-wife collaboration, MyMummyMadeIt delivers fresh healthy (and hot) homemade baby food to busy parents, and nurseries.
InMotion: One for golfers, inMotion is offering a hardware device (the EchoSwing) that can be attached to golf clubs, providing swing data to help them improve their stroke.
MyMag: Founded by a 17 year-old, My Mag is a magazine that invites aspiring journalists to submit their blogs/articles for a monthly fee. A top 20 are chosen and pubished in a free monthly magazine.
Nutrino: A virtual nutrionist, Nutrino is a personalised food recommendation platform/app that learns user eating habits and preferences and provides a customised plan for optimised well-being.
MyMZone: Founded by two business grads, “my Market zone” is an e-commerce platform that enables market traders to showcase and sell their products online.
The Boutique Hotel Awards: Set up in 2010, it claims to be the world’s first international awards body aimed solely at recognising excellence among boutique hotels.
Millinery by Rosie Olivia: Rosie Olivia is a Liverpool-based established business designing and creating a range of contemporary women’s headwear. Current stockists include Fenwicks of Bond Street, London.

It's time to reveal the final five vying for the top prize

Candice Krieger — Thu, 07 Mar 2013 10:18:58 +0000

Six months ago, the JC launched its biggest — and most rewarding — business competiton to date.
Backed by some of the biggest names in business, including Investec Specialist Bank, the initiative aims to find the start-up stars of the future.
We invited existing businesses and aspiring entrepreneurs to pitch their ideas to five of the nation’s most respected businessmen: Stephen Grabiner, Nick Leslau, Philip Lewis, Claude Littner and Robert Voss, who would mentor a final five before selecting the winner to invest £10,000 in. The winner, chosen after industrious presentations, will also receive £10,000 from Investec Specialist Bank, £5,000 of strategic consultancy from Albion London and a free accountancy advice from leading north London firm, Berg Kaprow Lewis.
After months of working through all the applications, which came from a variety of sectors including retail, leisure and technology, the judges — after much debate and deliberation — have selected their final five to present. We reveal them this week and next.

Final presentations will take place on 18 March at Investec Specialist Bank.

The Finalists:

Finalist One: Flat-Club
Company Flat-Club
provides short-term rentals within social networks.
Details Launched in 2010, Flat-Club is developing an online marketplace to help young professionals find short-term accommodation by renting through their trusted social networks. It is aimed at students and alumni of top universities.
Team Nitzan Yudan (co-founder, pictured), 12 years experience in IT and finance. Tomer Kalish (co-founder), 10 years experience in property.
Fact In 2012, Flat-Club employed more interns from London Business School than Goldman Sachs (or any other bank).
Mentor Claude Littner
Quote from Claude Littner “Just when you think you have seen everything, along comes a very clever young entrepreneur with a solution to a problem I didn’t know existed. I am looking forward to mentoring Nitzan and Tomer, and challenging the business model and impressive looking financial forecasts. It should be an interesting encounter — I hope I survive!”

Finalist Two: Written Medicine
Company Written Medicine is a start-up providing software to the healthcare sector.
Details Founded in 2012, it aims to re-energise the pharmacy sector by creating software that enables pharmacies to print bilingual medication labels in English and any other language.
Team Ghalib Khan, a pharmacy technician of 10+ years. Murtada Alsaif, a practicing pharmacist with a PhD.
Fact Ghalib came up with the idea while in the shower and called Murtada mid-shower (Murtada still doesn’t know this — though he probably does now!)
Mentor Stephen Grabiner
Quote from Stephen Grabiner ”I am very excited to be working with these two. They have identified a real need in a sector they understand. Their initiative will very
likely improve the
way medication is taken, and consequently, save the NHS money, address a real problem for patients whose first language is not English, and also make stakeholders a return. They are also really nice guys, which is just as important.

Finalist Three: Pashkes of London
Company: Pashkes of London wants to produce the world’s finest lactose-free iced dessert.
Details: Pashkes makes and distributes its Antonio Russo dairy-free ice cream brand. Founded in 2011, and made from a site in Stamford Hill, it offers three signature flavours with six “special issue” flavours. Paskes is accredited by the London Beth Din, Muslim Food Board and Vegetarian Society.
Team: David Russell (strategic director), co-founded The PR Office. Marton Braun (creative director)Judaica collector. David Braun (sales and operations director), celebrated photographer. Yisrael Pashkes (production director), master-chef, who had previously served 13 months in a Jerusalem prison.
Fact: Pashkes began over a Shabbat dinner. Mentor: Nick Leslau
Quote from Nick Leslau: “I am delighted to be mentoring Pashkes. They have a terrific product, have made good inroads into their niche markets. Now we need to explore whether the business is scalable and the management has the ambition and ability to achieve that.”

The Prize
£10,000 investment from the judges
£10,000 from Investec Specialist Bank
A year’s free financial and tax advice from Berg Kaprow Lewis
£5,000 of consultancy from Albion London
Profiling in the the JC
Opportunity for further funding

Who's Judging?
Stephen Grabiner, experienced investor and former head of global media at Apax
Nick Leslau, major property player, who sits on several company and charity boards
Philip Lewis, heads the property division of the Kirsh Group
Claude Littner, corporate turnaround specialist, well-known for his appearances in The Apprentice
Robert Voss, investor and head of metal traders, Voss International