March 2015

Is this the most expensive typo in history?

Published on: 20 Mar 2015

We’ve all made typos in the past but I bet your typo wasn’t as expensive as this one.

Typos, where you misspell a word or put in a wrong word by mistake, are fairly common. This particular typo though was incredibly costly as it resulted in a company going out of business, 250 people losing their jobs and the government having to pay £9 million in compensation.

business closingBack in 2009 Mr Davison-Sebry, the MD and co-owner of Taylor and Sons Ltd was enjoying a holiday in the Maldives when he received a phone call asking why his company had gone into receivership.

Receivership is very often the first stage of a company going out of business. It typically occurs when a company is suffering financial difficulties and an independent “receiver” is called in to run the company instead of the directors.

Taylor & Sons Ltd was a successful company. It had been established back in 1875 and was doing very well so why the call to the MD asking why his company had gone into receivership?

Well it turns out that Companies House (the organisation in the UK that publishes official notices about companies) had issued a notice saying that Taylor & Sons Ltd had gone into receivership.

Unfortunately for all of the people involved with Taylor & Sons Ltd, it was a typo by Companies House and the company that had actually gone into receivership was Taylor & Son Ltd and not Taylor & Sons Ltd.

Companies House rectified their “one letter mistake” within a few days but it was too late. There was a snowball effect as one supplier after another heard about it and despite being told that Taylor & Sons Ltd was financially secure, they terminated the orders and cancelled the credit agreements.

Within 3 weeks all of the company’s 3,000 suppliers had cancelled agreements and would not supply the company anymore.

The end result was that Taylor & Sons Ltd lost all of their suppliers and as a result couldn’t produce anything for their customers so they ended up going out of business.

The end of a 140 year-old company and all due to a one letter type.

The directors were understandably unhappy about this and took Companies House to court where they were recently successful in their case and won nearly £9 million in damages.

That was probably the most expensive one letter typo in history.

James Bond – from Mexico with love.

Published on: 16 Mar 2015

The James Bond franchise is one of the most successful film series in the world but this success doesn’t come cheap.

It’s been reported that the producers of Spectre, the latest 007 movie, are facing a spiralling budget and the current gross budget is over $300 million which would make it one of the most expensive films ever made.

james bond in mexicoThat’s a lot of money and the producers are under pressure to cut costs to reduce the film’s budget to $250 million.

Gone are the days of relying on the revenue from cinema tickets and DVD sales to cover the costs. Film companies are looking at ever inventive ways of generating revenue.

One idea which has been around for a while is that of product placement. This is where a company pays to have its product on prominent display in the film.

We’ve blogged elsewhere about Heineken paying to have their beer placed in the previous Bond movie but the latest Bond movie has taken that a step further and instead of simple “product placement” it has now got “country placement”.

It’s been reported that Mexican officials are paying the Bond producers up to $20 million to portray a positive image of Mexico in the film.

$14 million will be for filming approximately 4 minutes of footage in Mexico in the opening scenes and $6 million will be paid for the producers highlighting the skyline and modern features of Mexico City.

The idea behind the payment is that it would be a great showcase for the country’s tourism industry. After all, James Bond rushing around in some fantastic scenery should be a great advert for the country.

They also went further in promoting the country as the agreement included a Mexican actress being cast in a leading role. It was recently announced that Mexican actress Stephanie Sigman has joined the cast of Spectre as Bond girl Estrella.

Whilst $20 million is a lot of money, in my mind it seems pretty good value for the Mexican tourist board. They will have stunning shots of Mexico included in the film and the film itself is going to be shown worldwide.

Mexico’s famous tequila drink though won’t be featured in the film as Mr Bond will be drinking sponsored vodka in his vodka martinis (shaken not stirred) as Polish Spirit maker Belvedere has signed a multi-million pound deal to product place Belvedere Vodka in the film.

Dividends – do you want them in cash or clothes?

Published on: 12 Mar 2015

Despite being one of the best known names on the retail market, Marks & Spencer is unusual.

Finland - M&S Helsinki Event Zone 3M&S is unusual in that it has got a very high proportion of individual shareholders.

Whilst a lot of other companies have major corporate shareholders such as pension and investment funds, M&S has over 190,000 private investors who between them hold 30% of the shares.

M&S has just announced an extremely novel idea involving these individual shareholders and their next dividend payment. The individual shareholders will be offered the chance to exchange their dividends for M&S vouchers at a 10% discount. In other words, they can exchange a dividend of £900 for M&S vouchers of £1,000.

That’s a very nice idea.

It’s optional and not compulsory so if individual shareholders still want to receive the dividend in cash they can.

Shareholders however who are interested in buying items from M&S get more for their money and from M&S’s point of view, given that their gross profit margin is more than 10%, they will still be making a profit on items that they sell to holders of these vouchers.

All in all a very innovative idea which works well for all parties.

Will we see this idea spreading to other companies when considering their dividend payments?

Somebody is calling him a loser…

Published on: 08 Mar 2015

Having a good website is vital in today’s business environment but if you’re looking for a certain name for your website there’s a chance you may have to pay a lot of money for it.

360.com has reportedly just been sold by Vodafone to the Chinese security software and mobile services company Beijing Qihoo Technology company for $17 million.

loser business manThe Chinese Technology company previously used 360.cn but they wanted the .com domain to drive their global strategy.

One website that was sold for an undisclosed sum of money is loser.com. Whilst it’s not clear how much was paid for the domain it’s fair to say that it would have been pretty expensive with some people estimating it to be up to $500,000.

But what was the return and what was the website used for?

If you go to loser.com it redirects through to the rapper Kanye West’s Wikipedia page.

Yes, whoever bought the loser.com domain obviously doesn’t like Kanye West but does have a lot of money!

If you’re interested in other expensive domain names, the top 15 most expensive web domains which have been sold are:

1. Insurance.com $35.6 million in 2010
2. VacationRentals.com $35 million in 2007
3. PrivateJet.com $30 million in 2012
4. Sex.com $24 million in 2014
5. Internet.com $18 million in 2009
6. 360.com $17 million in 2015
7. Insure.com $16 million in 2009
8. Hotels.com $11 million in 2001
9. Fund.com £9.99 million in 2008
10. Porn.com $9.5 million in 2007
11. Porno.com $8,888,888 in Feb 2015
12. Fb.com by Facebook for $8.5 million in 2010
13. Business.com $7.5 million in 1999
14. Diamond.com $7.5 million in 2006
15. Beer.com  $7 million in 2004

Looking at the above list makes me think what a great idea it would have been if I’d thought of buying up a load of domain names back in the 90s when the internet was just getting going and domain names were very cheap.

The people that bought those sites and then sold them are no doubt doing very well and flying around in their (number 3 in the list above) whilst drinking lots of (number 15 from the list above) and possibly wearing lots of (number 14 from the list above).

Will you do this when you are 90?

Published on: 05 Mar 2015

As an education technology company we’re supporters of people who are keen to learn. Priscilla Sitienei ranks high up the list of people that we admire in terms of determination to obtain new knowledge.

And what makes Priscilla so special?

old studentWell, what makes her very special is that she is 90 years old and attends primary school together with six of her great-great-grandchildren.

Priscilla lives in Kenya and is believed to be the oldest person in the world attending primary school and if I’m honest I can’t imagine many other people older than her heading off to to school every day.

She missed out on going to school when she was younger as she got married young, raised 10 children and then worked 65 years as a midwife.

Interestingly, her job as a midwife involved delivering some of her schoolmates who are now aged between 10 and 14.

She’s living proof though that you’re never too old to chase your dream and 5 years ago enrolled in the Leaders Vision Preparatory School.

She recently told the BBC:

“I also want to inspire children to get an education… Too many older children are not in school. They even have children themselves…. I see children who are lost, children who are without fathers, just going round and round, hopeless. I want to inspire them to go to school.”

You certainly are an inspiration Priscilla.

[Image of Priscilla via BBC]

Probably not a good idea to do this before an interview.

Published on: 02 Mar 2015

Interviews can be stressful occasions. The best you can do though is to be as prepared as possible, be confident and answer questions as well as you can.

Unfortunately for this particular individual though, no matter how well he performed in the interview he was never going to get the job.

tube stationMatt Buckland was on the tube in London heading to the office. Anyone that has been on the tube in rush hour will know that it gets very crowded but generally people can get in and out of the train without too much drama.

Matt got to his station and was waiting for the doors to open to get off the train when a gentleman behind him started pushing and trying to get past him.

Matt politely told the other individual that he was getting off at that station but the other guy just ignored him, pushed him out of the way and then turned to him and rather aggressively told him to, how can I say it, but perform an act on himself which as far as my understanding of biology goes would be physically impossible.

Anyway, the grumpy individual carried on his way and Matt headed into the office where he was due to interview some people for a job.

In a fantastic coincidence, one of the people that Matt was interviewing that day was the grumpy guy who had told him to “go forth and multiply with himself” on the tube.

Brilliant! A rude person pushes past you and swears at you but you then meet them again a short while later to decide whether or not they should be offered a job at the company you work for.

Needless to say the individual didn’t get the job and as a learning point from this it’s best not to be rude to too many people on the way to an interview.

The ExP Group