Our guide to success in 2024 for businesses and individuals 

As we approach a new year, the business landscape is anticipating some transformative changes, presenting both challenges and opportunities for businesses and individuals alike.  To be successful in such a turbulent market, businesses and individuals must be resilient, adapt and plan as much as they can.  

In this guide, we gain insight from some of our team on areas that require careful consideration for a prosperous 2024. From tax planning to cross-border complexities, mergers and acquisitions (M&A) activity, human resources (HR) trends, and the changing nature of marketing, each area playing an important role in the new year. 

Tax Planning in the New Fiscal Landscape

As tax regulations evolve and governments worldwide adapt to economic shifts, businesses and individuals must keep informed and be proactive. Colin Burns, Tax Partner at Gerald Edelman, shares in his recent video the key changes announced in the Autumn Statement that will impact both businesses and individuals in the coming year. This includes, the freezing of tax bands and allowances running through to 2028, the full expensing tax break for companies spending on new plants and equipment, and finally the cut in National Insurance Contributions. Watch the full video here. Colin also anticipates that the upcoming general election in Q4 of 2024 is expected to sow the seeds for major change in the tax world.  

Cross-Border Tax Planning

In an era where global connectivity is the norm, cross-border tax planning is crucial for businesses with international operations and individuals moving to the UK with assets in different jurisdictions. Moving countries can be daunting and trying to navigate UK tax obligations whilst keeping up to date with tax obligations in your home country is overwhelming. There are lots of steps you can take before moving to the UK in order to optimise your tax obligations.

Pre-arrival tax planning tips for individuals moving to the UK from International Tax Partner, Sonal Shah: 

• • “Establish your residency status and the date UK residency will commence so this is appropriately recorded. Applying the Statutory Residence Test (SRT) is important.
  • Find out whether the split year treatment applies to you, and what this means for your tax position.
  • Establish your domicile status.
  • Link residency to domicile and understand the basis upon you would be taxed in the UK.
  • Consider Remittance basis vs. Arising basis of taxation and how these apply to you.
  • Conduct elements of pre-arrival tax planning such as identifying and maximising pre-arrival ‘clean capital’, clear structuring of overseas bank accounts to ensure segregation of funds and reviewing any offshore structures, investments and business interests where appropriate.”

Mergers and Acquisitions (M&A) Dynamics:

The M&A landscape continues to be a strategic arena for growth and consolidation. In this section, Sam Barr, Associate Director in our Deal Advisory team analyses the anticipated trends in M&A activity for 2024.  

• “M&A activity is on the rise following what’s been a volatile period post-pandemic and amid a challenging macroeconomic environment.
• The emerging trends in deal dynamics include:  
  • Due diligence processes are becoming more comprehensive with emphasis on risk mitigation and control leading to extended deadlines. This increased level of scrutiny means robust preparation is paramount for business owners contemplating a sale.  
  • Increasing adoption of alternate deal structures, such as earnouts and rollover arrangements, to reduce buyer risk.
• Despite challenges, there is substantial dry powder available, and the lower market segment (comprising SMEs) is viewed as less risky by larger strategic buyers.  
• With a potential government transition on the horizon, we may see an increase made to the capital gains tax rate. Therefore, 2024 (or at least the first three quarters of it) may be a good time to get a deal done if one is looking to lock in at the current tax rates.” 

Human Resources Trends:

The covid-19 pandemic has led to an evolved approach to human resources. From remote work arrangements to diversity and inclusion initiatives, business owners must consider these HR trends that will shape organisational culture and productivity in 2024. Prioritising mental health, diversity and inclusion, neurodiversity and supporting new mothers in the workplace are some of the essential components for companies striving for sustained success. 

Read our recent article to see the full list of HR trends for 2024.  

Innovative marketing strategies:

From leveraging emerging technologies to harnessing the power of data analytics, businesses must stay at the forefront of marketing innovation to capture and retain market share. However, innovation is not the only area businesses should be prioritising in 2024. Increasingly conscious consumers are now looking for responsible and action driven brands leading the way in ESG initiatives – but words must be substantiated for this to be recognised by consumers. Businesses should enter 2024 thinking not only what they are gaining through marketing strategies, but also how they are giving back, not only to customers but to the world around them. 

As we approach 2024, businesses and individuals alike are encouraged to embrace adaptability, foresight, and a proactive approach. There will be challenges along the way, but the opportunities for growth and success are equally vast. In using the advice of our team, along with trends in business, you can begin to unravel your own roadmap to a prosperous and fulfilling year ahead.

If you’d like specialist support with your business in 2024, why not speak to one of our business growth advisers?