Tapping into the all-Ireland economy could hold the key to continued growth for businesses in a challenging market, writes Colin Kerr
Businesses that fail to build on the opportunities on offer in the all-island economy risk losing out on a market rich with potential, according to Feargal McCormack, Managing Director of FPM, the Newry-headquartered business advisory firm.
“The island is small, relatively speaking, but there is immense potential for expansion in a market where we have a well-educated English-speaking workforce and a highly tech-enabled business environment.”
Founded in Newry in 1991, FPM today employs 120 people at its headquarters in the town, as well as Belfast, Tyrone, Antrim, and Dublin, recording annual revenues of £9.5 million (€11.2 million).
Following its recent merger with Anderson Anderson & Brown (AAB), the Scottish advisory firm, McCormack is looking forward to further all-island expansion for FPM.
“We were one of the first firms in our sector to implement an all-island focus strategically from day one,” he said.
“Our business has been very resilient. The current political uncertainty poses challenges to us and the sooner it gets resolved, the better.
“All-Ireland trade has benefited from good relationships between everybody on both sides of the border. We also face global challenges, but we have faced these in the past and we have overcome them, and I am confident in the long-term.”
As McCormack sees it, a long-term strategy and ‘big picture’ outlook is crucial to ensuring lasting success in business.
“You must look at the bigger picture. You would not recognise Northern Ireland, or the island of Ireland now, compared to 20 years ago,” he said.
“Our educational infrastructure has been hugely beneficial to businesses operating on the island and it continues to help us benefit from Foreign Direct Investment as we develop technology transfers and digital transformation.
“This is a wonderful place to do business. If you are fortunate enough to have a good job on the island of Ireland, where else would you want to live?”
Establishing FPM as an all-island business has been something of a personal crusade for McCormack and one of the big drivers behind the decision to merge FPM with AAB.
“One of the biggest challenges for any business is the ability to embrace change,” he said. “There are always risks attached when you expand, but, if you look at the historical context of business in Ireland, Glen Dimplex and Ryanair both started in times of recession. I am confident that this is a step in the right direction for FPM and we see this as a unique opportunity.”
McCormack was drawn to AAB by the Scottish group’s established global connections and experience working with high-growth SMEs and large corporations internationally.
“The synergies across our teams, service provision and sector specialisms, will provide a fantastic platform for future growth. In the evolving business of accountancy in Ireland there is going to be much more consolidation. We must increase our competencies—in a consolidated market, you need to have a breadth of services and capabilities.”
Headquartered in Aberdeen, AAB Group has three offices in Scotland and two in England. The merger with FPM gives AAB an immediate reach across the island of Ireland from FPM’s five existing offices in Northern Ireland and the Republic.
“AAB Group has grown rapidly in the last 12 months, following three M&A transactions and investment from August Equity in October 2021,” McCormack said.
“Our complementary geographic presence will enhance the wider AAB Group as a key player in the UK and Irish accountancy and business services markets.”
FPM’s nine shareholder directors will remain with the business post-merger. “There are strong opportunities in the market for corporate finance, HR services and consulting in wealth management,” said McCormack.
“Our focus initially will be on consolidation, but this merger does create opportunities for our combined businesses on the island.
FPM would be ‘the hub’ on the island of Ireland for the group, which would be looking for opportunities to potentially add niche businesses to its offering, McCormack explained.
“AAB has a strong corporate finance presence and that will complement FPM’s existing capabilities,” he said.
A past President of Chartered Accountants Ireland, McCormack’s personal philosophy is that business is ultimately about “people and relationships.”
“In 1991, when I addressed the Chartered Accountants Ireland Student Society, the title of my paper was: I Don’t Care How Much You Know, Until I Know How Much You Care.
“FPM has been, and always will be, focused on a people-centred approach and that is a core value that has not changed and will not change in the future.
“The key to any business is your team and I have always recognised that you have to build a team that facilitates the growth of talent and provides the opportunity for people to step up and develop.
“I am confident that the people I am working with can bring the business forward. I have always been motivated by the creation of excellence and that is really important.”