Plans for a 'BID' divide Helensburgh's business community

Business owners in the town on both sides of the debate have spoken to the Advertiser this week after a steering group set up to take the next steps in the process was rocked by two resignations – including that of the group’s chair.

Fiona Howard, the steering group’s chair, and Dr Wendy Hamilton of Grasshopper Toys stood down after expressing concern that supporters of a business improvement district – or BID – did not want to present information about the scheme in a neutral fashion.

Dr Hamilton told the Advertiser: “My original understanding was the initial BIDs consultation phase would provide information to all businesses in a neutral manner thereby enabling them to make a considered decision as to whether they would ultimately support a BIDS application.

“That does not appear to be the approach being taken and as I feel it is crucial that information is presented in an entirely neutral manner, I have felt compelled to withdraw my involvement.”

A public meeting in Helensburgh in January, attended by around 30 local business owners, heard presentations on the merits of a BID in the town.

BIDs commit all business owners in an area to pay a levy, determined by their premises’ rateable value, on top of their non-domestic rates to fund specific projects in their area.

Projects funded by that levy must be additional to, not instead of, services already provided by a local council.

Ms Howard, who runs the Cove-based PR firm Let’s Promote UK Ltd, said she had agreed to be a neutral chair of the group as a business owner from outside Helensburgh with no axe to grind – but was concerned at what she saw as efforts to “market a BID in a positive way”, rather than presenting the pros and cons independently.

She said: “When I agreed to take the chair of the small group set up to go for funding for a full consultation with local businesses it was because, as a business owner with no premises in in Helensburgh and no axe to grind, it would help to keep the process neutral.”However, it has since turned out that there is a determination among other members of the group to involve BID Scotland in every step of the process and to, in effect, market BID in a positive way. “This goes against the original tenets of the group and I found that if the process was not to be completely neutral, with an independent consultant who would provide information and seek views on what each business would expect from a BID I could no longer play a part and consequently have resigned from the group.”

BIDs are only set up if a ballot of all businesses in a particular BID zone produces a vote in favour of a scheme.

The ballot only requires a turnout of 25 per cent – both of people eligible to vote and in terms of rateable value – and backing of only 50 per cent, by rateable value and turnout, to proceed.

Roger Ferdinand, owner of Helensburgh firm Perspective Marketing, said that while he was not a member of the steering group, he, too, had concerns over transparency – and questioned what benefits a BID would bring to many businesses in the town.

Mr Ferdinand said: “A BID commits business owners in its area to pay a levy for five years and I’m not sure it’s right that only 12.5 per cent of rate payers in Helensburgh should be able to commit everybody to something for five years.

“There will be lots of businesses that will find it hard to see the benefits. It will be good for restaurants and hospitality businesses, but I don’t think people in Glasgow, for example, will come to Helensburgh for a plumber or to get their dry cleaning done.”

Among the Burgh business owners in favour of a BID is Michael Curley, who owns the Deli in the Square in Colquhoun Square with his wife Anna.

Mr Curley told the Advertiser: “A successful BID is another way of talking up the town. I don’t know what a BID would be like, but I would be happy to support whatever a BID is about.

“A small business owner might be asked to pay £150 a year – that’s £3 a week, and if we can revive this town on £3 a week I’m happy with that.”

Responding to the concerns raised, Kathleen Owen, owner of the Pet Shop in Sinclair Street, who organised January’s public meeting, said: “There are currently more than 70 business improvement districts either existing or in the process of being set up in Scotland.

“Helensburgh has merely started a discussion amongst businesses and stakeholders to see if a BID is the right model for the town.

“If the idea gains traction and support then proposals that deliver priorities and address the needs of local businesses can be developed. However, discussions, agreement and partnership must come first from within the town.”

Ms Owen’s view was backed by Steve Losh, owner of The Journey, the new personal fitness centre in West Clyde Street.

Mr Losh said: “I can’t see any reason why we wouldn’t at least investigate the idea further.

“From where I sit there’s nothing to be scared of. I’ve spoken to some people who are sceptical, but that’s because they don’t know how much they’re going to be asked for and what the longer-term process is.

“I understand why some sectors of the business community might not see the obvious benefits, but if more people are coming to visit Helensburgh that means more are likely to want to come and live here and that creates more work. It’s a virtuous circle.”

Will Smith, who owns one of the Burgh’s newest restaurants, The Sugar Boat in Colquhoun Square, added: “I accept the benefit is not immediately obvious for tradespeople and services. But many businesses in the town rely on them to be successful.

“Some people are worried, but the process hasn’t really started yet.

“However, it’s crucial that the process embraces all sectors in the town – and that process needs to be transparent.”