SH1 BUSINESS NEWS

What did Phar Lap and South Canterbury Finance have in common?

They were both born in the same year, both became the greatest icons of their time and were both murdered

Allan Hubbard was born 2 years after them and he worked hard and became a chartered accountant 

With a desire to help people Allan built South Canterbury Finance which eventually became the biggest and most respected finance company in New Zealand and as a result he became the richest man in the South Island.

Those who make a living from cutting down tall poppies did not murder Allan Hubbard and his wife Jean they just striped them both of their assets and left them to die a slow death in their modest home in Timaru

The rise and fall of South Canterbury Finance Ltd
My association with South Canterbury Finance goes back over 30 years when I first came to Timaru to take up a position with a major public finance company Broadlands Finance Ltd
Broadlands was the first finance company to open premises in the main street of Timaru in competition with the banks.
More finance companies and building societies followed and the open plan style of attracting finance business from the main central business area was born and the concept was not popular with some retailers

South Canterbury Finance ran their business from the office of Hubbard & Churcher chartered accountants. Tim Underdown was the Manager of the South Canterbury Finance and in the times when I visited him he had 2 main things on his desk. A prospectus for fundraising and a cheque book for lending. That is the way finance business was done in those days.
Broadlands Finance Ltd was taken over by Fletcher Challenge then by Australia National Bank and now it has been swallowed up by the Bank of New Zealand.
Most of the building societies and many finance companies were also swallowed up by the banks. This left smaller companies like SCF with the local market to themselves.  SCF flourished and built new premises next to Hubbard & Churcher chartered accountants in the central business area. The company purchased other small finance companies such as Ashburton Finance and Oamaru Finance.

I felt let down
A few years ago Alan Hubbard decided to float his finance company on the stock exchange and obtained a Standard and Poors rating to do so. At that time I owned a debt collection agency Debtor Communications an we collected the bad debts for SCF in Timaru. SCF stopped giving us bad debts to collect and when  I asked why I was told that they are now a corporate company and the they were using an Auckland Debt Collection agency to collect debts in Timaru. I was looking forward to the opportunity to buy shares in SCF when without reason Mr Hubbard decided not to sell his shares and at that time he owned 97% of a finance company he never founded I felt let down. The yuppies had taken over SCF and the loss of their business was part of our reason for me closing our debt collection agency down.

The yuppies took over
I had been investing with SCF for some years and after they had built their new building I went into the building to invest some more money and I found myself sitting on a very uncomfortable seat that was stuck on a wall. There was no prospectus our financial statement of any kind in sight. There was not even a newspaper or magazine to read. Every now and again a yuppie in a dark suit would run up and down the stairs.
One yuppie went by with a tray full of food and I knew the food was not for me but I realised if I invested my money with them I would be paying for it. I had discussions with their former funding manager Kevin Gloag at the time and expressed my concern that SCF had moved away from the times when the company lent small amounts of money to lots of people. Tim Underdown and Kevin Gloag were the face of SCF and when they left the company went on a downward slide
I was offered their investment with a government guarantee but I never took it because I sensed the company would go under because it had forgoten the people who built it and it was now run by yuppies from Auckland

Quote from Allan Hubbard
“It has been deeply frustrating and hurtful over the last 9 months to have been sidelined by my fellow South Canterbury Finance directors”
Media Release by Sue Wood & Associates 31 Sept 2010

Timaru Needs a Lifeline
Timaru is facing one of its most difficult times in its economic history. South Canterbury Finance Ltd together with Timaru’s wealthiest man Allan Hubbard are in deep trouble. This is having a huge effect on investor confidence in South Canterbury as many stand to lose their life savings

 A Foal is Born
There is hope. During the depression in the 1930’s a young foal was born in Seadown near Washdyke and was named Phar Lap
He was sold as a yearling to Australian interests. Phar Lap lifted the spirits of millions of people around the world
 during the depression with his big heart as he won race after race with ease. After Phar Laps untimely death the memory of the great  champion lived on and he has become recognised as one of the  greatest champion race horses of all time.

 Phar Lap Statue & Icon
In 2009 the Phar Lap Trust and in particular local man Derick Mayne put a lot of time and energy into raising money for a life like statue of Phar Lap to be built on Phar Lap raceway at Washdyke.

• The icon is now in place on the Phar Lap race course and the champagne has been drunk but where are the people?
• The fund raiser and motivator of the statue Derick Mayne and his wife have left the district.
• The trustees of the  Phar Lap trust have all resigned.
• We understand that the Timaru District Council is to foot the bill for celebrations at the unveiling of the statue.
• Phar Lap is left looking for another motivator and fundraiser to promote him to tourists around he world.

If the business people of Timaru and Washdyke don’t make use of this great icon to promote the district then the Phar Lap statue
will become just another white elephant in South Canterbury.

 Sponsorship of Phar Lap online
My goal is to promote tourism along State Highway One  and on the Timaru Directory website www.timarudirectory.co.nz 
 We plan to build a special page  for Phar Lap where the statue and his story will be told in a slide show for all the world to see.
To do this Par Lap needs sponsorship from which we will promote the logos of all businesses that make a donation.
http://www.timarudirectory.co.nz/pharlap.htm

 The minimum donation we are asking is only $100 +gst
Your donation to promote the Phar Lap statue in the home of Phar Laps birthplace could rekindle the spirits of all those in South Canterbury who are faced with economic disaster. If your business can afford $100 or more then invest in Phar Lap online and let him bring tourist into the district.

 How to donate to Phar Lap’s Promotion
Phone me on 03 686 1271 or email ron@timarudirectory.co.nz

“Without a vision the people will perish” quote from Gods hand book of life.
I’m not sure about you but in the last few years I have had a real nervous feeling
about the future of the Timaru District.
As an outsider I have watched with interest as South Canterbury people wheel
and deal with each other in an effort to satisfy their own greed for money and power.

Farming, finance, tourist promotion, and motivation of people is my background.
My failure of not being elected Mayor 3 years ago has not stopped me from wanting
to share my vision with the people of the Timaru District.

I admit I’m not popular in some circles because my vision is different to that of the hierarchy.
My vision is to see the people of the Timaru district become the investors and owners of their community assets.

This vision began over 20 years ago when I single handedly collected donations in order to form
a public company that would build a 5 star hotel and conference centre on the Bay Hill.
The Hydro Grand Hotel was sold 1o years ago and the new owners gave us a promise to build something that
would benefit the whole community but all we have ever had from them since is hot air.

Despite having no luck on the Bay Hill idea I have now directed my attention to the council land
alongside the tennis centre on Maori Park over looking Caroline Bay and the Yacht Club.

A publicly owned 5 star hotel that specialises in conferences linked to a new $23.5 million aquatic and wellness centre and tennis centre as part
of the package would have to be a winner.
I have put this idea to the present Mayor and councillors on several occasions but each time they have totally ignored it

The council can continue wasting ratepayers money on luxuries but unless they open their doors
to private enterprise to provide a vision then I’m afraid their people will perish.

As a business promoter I travel from Invercargill to Christchurch and on my travels I get to call on a lot of business people in industrial areas. It seems that the towns that make provision for industrial parks do very well because industry brings jobs for young people and the increasing population spreads the burden on ratepayers.

Rolleston Ashburton and Mosgiel are South Island towns that have shown real initiative in building successful industrial parks. However thanks to the foresight of property developer Noel Fitzgerald I am suitably impressed with the industrial growth rate that has taken place in Washdyke in the last couple of years. If Timaru is going to grow we need to open up more land for industrial development in Washdyke and possibility on the vacant land in the south end Timaru.

One of the disincentives of establishing a business in Washdyke is the rates. During the last 2 terms of the present council one businessman showed me how his rates have gone up over 200% in 6 years from $1876 to $6067 and he says he has received no more services. Apparently a few years ago there was some meetings held with the council over the rapid rise in Washdyke rates but in the end the ratepayers were told to pay up and shut up.

The Washdyke people have a great opportunity to promote their community after being gifted with a magnificent Phar Lap Statue. It’s a shame that Phar Lap sits behind a hedge with not so much as a sign to tell the passing traffic who he is or that he is even there.
With the Phar Lap Raceway, Richard Pearse Airport, Motor Sport Raceway, and the industrial industry I believe that Washdyke has a great future in the overall growth of the Timaru District but to do that it must build a closer working relationship with the district council and the Mayor.

Riding my horse Indian Style

Many people have said that I’m crazy standing for Mayor when I failed last time. My answer is I rode a horse to school with bare feet and no saddle when I was a boy and whenever I fell off my horse I got straight back on again.Life is life that, it will buck you off sometimes but you just have to get back on the horse and let him know who’s boss.

Many people have asked me why I don’t I serve on the council before trying to be elected as Mayor. I’m a leader not a follower. I’m a  motivator of people and an ideas man who likes to lead by example. As Mayor I will put forward new ideas and policies for the council members to consider. My farming background coupled with my experience in the world of business commerce and finance has moulded me into a town and country man who can rub shoulders with people from all walks of life.

My challenge if elected as Mayor would be to become an encourager not a dictator.

.

I was raised on a farm and educated in the Waikato Bay of Plenty and have spent a large part of my working career in the finance industry dealing with people at all levels of society. 
A former toastmaster I’m now a professional speaker and motivational coach.
 I’m also an independent Business and Tourism Promoter trading as Timaru Tourist Promotions Limited   www.timarudirectory.co.nz

 I own 6 business directory websites covering Christchurch, Ashburton, Timaru, Oamaru, Dunedin and Invercargill all of which are designed to promote Timaru www.sh1directory.co.nz  
 I am a regular writer to Timaru Directory News, Travellers Guide, Facebook and occasionally the Timaru Herald.
 The reason I am standing for Mayor is because I believe my experience as a communicator, motivator, financier, business & tourism promoter would be valuable assets to the ratepayers of the Timaru District.
I would bring to the council wisdom and fresh new ideas to get Timaru moving again

Tourism
I have just returned from being a tourist in Victoria Australia. Melbourne with its magnificent sports stadiums would have to be the sporting capital of the world.  Melbourne sells 3 basic things  Sport, Education and Tourism (SET) In Timaru we have the potential to sell these 3 things but unfortunately we do not have a public relations manager employed to travel the country selling Timaru.
Our council is very good at spending money on Caroline Bay, Maori Park and Art statues but there is no person appointed to sell the finished product The Phar Lap statue is a good example of a product that is hidden without any promotion It’s on SH1 but how many tourists know it’s there. 

Steve Earnshaw who is a candidate for the up coming elections indicated in this morning herald that his group called Team Timaru is keen to promote Tourism if elected to the council. I admire these young people for having the courage to come forward and be counted but my only concern is that they have not appointed a leader. They would have much more influence in the community and be a far bigger threat to the old guard if they were to put a name forward for Mayor.

They don’t need to win the mayoral race they just need to to add some motivation against the leadership apathy that has been strangling Timaru for a number of years.

Building a Bridge accross the Ditch

The fastest growing industry in the world today is information technology (IT) Transferring of a message has come a long way since man first rode on horse back long distances to deliver the mail. A message can now be sent to any part of the world within seconds. Computers that once where the size of a house can now be held in one hand and fit in your pocket. While the growth in technology is increasing the education on its value and how to use it is leaving the older generation struggling to keep up. Everything I now about computers has been self taught and while I’m in my 70 ‘s so I am still far behind the younger generation. In the last 5 years I have spent many hours on a computer building a website as a tool to promote business and tourism my home town Timaru in New Zealand.

Crossing the Ditch to buy a Pie
I was in a bakery in Beaconsfield enjoying a nice hot pie and on the way out of the bakery shop I asked the owner for his business card. I told him I was going to advertise his bakery on a chain of New Zealand websites. He seemed surprised and said no one is going to come from over the ditch to Beaconsfield to buy a pie. I told him I was a Kiwi and just did.  With the internet we can sell a lot of pies on both sides of the ditch.

Keep tuned for more information about other things we are going to sell as we build a bridge accross the ditch online

Book to Be Released Soon
There are some laws in New Zealand that reward people for commiting criminal activity. One such law is the personal greivance clause in the employment relations act where employees can claim compensation from their employer just for having their feelings hurt. They can commit a crime in the workplace and make a claim which will normally get settled by a team of solicitors who use threats of large legal costs and bad publicity.
There is a real need in New Zealand for a book to protect small business owners who are being fleeced by cleaver solicitors who know how to manipulate the emplyment relations act 2000

A True Story
At the time of writing I am waiting for an employment court Judge to make a decision regarding a claim by an employee whom I was forced to sack. My book will be released one that decision is known. I have been writing chapters of the book over the past 2 years and have posted them on this site.
Every small business owner in New Zealand will need a copy of this book.