Finance Led Growth – Q&A

Liberti Club (LC): Why are mid-market companies so important to the UK economy?

Malli Kini (MK): Mid-market businesses are genuinely the engine room of the UK economy, employing over ten million people and with a combined turnover equivalent to more than half the value of UK GDP. Research from the CEBR suggests mid-sized firms have been growing at roughly three times the rate of the wider business population over the past five years and are projected to contribute around £745 billion in gross value added by 2028.

LC: What are the biggest barriers & enablers to growth?

MK: The biggest barriers remain an increasingly complex tax and regulatory environment, access to growth capital, and the cost of employment – particularly after recent rises to employer National Insurance contributions. The enablers are tax incentives that genuinely reward risk-taking, access to skilled talent, and the confidence that comes from stable fiscal policy. Too often, policy changes arrive with very little lead time, making it extremely difficult for businesses to plan.

LC: Where do fractional C-suite solutions have the greatest impact?

MK: For businesses between roughly £5 million and £30 million in revenue – or pre-revenue, but scaling rapidly – a full-time CFO or COO may not yet be justified, but the strategic thinking those roles bring is essential. Fractional solutions bridge that gap and, importantly, they complement the work of external advisers because they ensure there is someone internally who can act on the advice and drive implementation.

LC: Why are partner ecosystems and peer networks important growth enablers?

MK: No single adviser can solve every problem a scaling business faces. The real value comes when your accountant, lawyer, banker, and other trusted partners are connected and communicating. Networks like Liberti Club add another dimension entirely, helping founders and fractional professionals learn from each other.

LC: What are your most in-demand services for mid-market and scale-up businesses?

MK: We work with over 1000 mid-market businesses directly. Through our membership of Allinial Global, a network of more than 260 independent firms across over 100 countries, we can support clients wherever their growth takes them.

Our most in demand services include outsourced accounting, payroll, audit, corporate tax compliance and advisory work, transaction services around acquisitions and disposals, R&D tax relief, employee share incentive plans, shareholder structuring and future planning as well as international expansion support. Increasingly, we’re seeing demand for global mobility advice as businesses move people across borders more frequently.

UK businesses expanding into the US, and US firms coming to the UK is a real area of focus for us. We have a dedicated team of dual-qualified US/UK tax professionals who advise on everything from entity structuring and state-level tax obligations to employment tax and personal relocation matters.

We also support over 100 overseas companies a year entering the UK market. Our CEO Nimesh Shah was recently appointed Chair of the Global Executive Board at Allinial Global, which underlines our commitment to international connectivity at the highest level.

LC: What’s on the horizon that scaling SMEs should prepare for this year?

MK: My advice would be to use this year to get your house in order – stress-test whether your corporate structure is fit for purpose and review your employment costs. Work with your advisors to stay on top of amendments to FRS 102, bringing significant changes to revenue recognition and reported numbers.

For those with international operations or ambitions, get compliance advice if you’re putting people on the ground in a new tax jurisdiction.

This article originally appeared in the The Liberti Club’s ‘Stronger Together’ report showing how Fractional leadership is helping small to medium enterprises (SMEs) hire senior staff with less risk. The full report can be read via this link.

Would you like to know more?

If you have any questions please get it touch with your usual Blick Rothenberg contact or Malli using the form below.