Riding the boom in tech stocks Kingston even entered the FTSE

Riding the boom in tech stocks, Kingston even entered the FTSE 100.But then it all went wrong.While Kingston’s customers in Hull stayed loyal, business orders dried up during the economic downturn and the stock market fell out of love with it. “Investors have drained local building societies and banks in the rush to claim a stake,” said the paper at the time of the float. After all, it was the sole network operator for households in Hull and was winning orders to provide telecoms for corporate clients. Hull’s paper was full of tales of optimism as people scrambled to invest in what they thought would be a cash cow. “Try telling your bank manager that you’re doing really well, if it wasn’t for his interest charge He’d laugh at you .. Kingston Communications should be sold. Even at the current share value I could at least expect some return.”Four years ago, when Kingston was floated on the Stock Exchange, it was very different.

And the views of these investors – some of whom put their life savings into the firm – are never far from the Hull Daily Mail.”Is it now time for the management to consider paying some dividends to their long-suffering shareholders? I personally think it is long overdue,” said L Buck of Fairfax Avenue in a recent edition of the paper.Another letter, from J Coats of Canterbury Drive, even discussed the merits of Kingston’s accounting techniques. But in the case of Kingston Communications, the Hull Daily Mail is a rich source of information. The letters page of a local newspaper probably isn’t the first place you’d turn to gauge how a company is viewed by its shareholders. Details should be available from any foreign embassy in the UK.”When you decide to start up a new operation or expand internationally, I would recommend that you research and plan the move in advance. “So there is a lot to be considered before investing in accreditation in foreign markets.”The Kitemark is a certification registered under the Trade Mark Act 1994. “Nevertheless, we believed we would have a lot of credibility with our BSI Kitemark, and that doesn’t always seem to be the case.”While the standard has been important in winning UK contracts, there are examples here of big buyers such as councils and water firms still opting for non-accredited and untested products.

It is also looking at potential deals in Holland, Russia, Hong Kong and Australia.Mr George accepts there is some justification for having different standards because the fabric of buildings can differ from country to country. Recently, a council in Scotland agreed to protect its housing stock with the guards.Internationally, the company has one distributor in France, two in the US, and is currently negotiating with distributors in Germany. This means the immense forces are transmitted towards the edges where the seal is strengthened, rather than bending and weakening the seal, as happens with a flat flood board.”While most of these guards have been sold direct to homeowners, the company has also fitted a number of properties through water companies and housing associations. Mr George claims this is because the company’s products protect doors and other openings in a unique way.”Just like an arch dam, our guards offer a curved face to the weight of water. “We are being pushed towards achieving new standards of accreditation in each country we enter,” says Mr George.The company isn’t just wondering if the investment was worth while. It would also like to know what guidance and financial support might be available for a UK business that wants to expand internationally but faces standards issues.With a turnover of £2.6m, Floodguards has so far installed protection in more than 500 UK properties – a figure that is rising quickly.

“Since we are looking to expand internationally, it felt like a good investment, even though it cost us £25,000 – a lot of money to a small firm.”Indeed, BSI’s brochure states: “For manufacturers, a Kitemark licence has the potential to open doors to overseas markets.”A year on, though, and Floodguards, based in Wokingham, Berkshire, has found the mark is far from universally recognised. At least, it was to Floodguards International, which became one of the first flood-protection manufacturers to achieve the standard.”We worked hard for this because we thought the Kitemark would be accepted nationally, as well as in other parts of the world,” says sales manager Gavin George. The problem for consumers, faced with all this choice, is knowing which products they can trust.
A British Standards Institution (BSI) Kitemark is the obvious answer. Until recently, anyone in the UK wanting to protect their home or business from flooding had no option but to lay down the sandbags and hope for the best. Now, though, there are around 150 companies offering a variety of products that claim to push back the tide when storms cause rivers to burst their banks. The print server – with a parallel, not USB, connection – looks dated. But otherwise this is a well-designed piece of equipment that does what it sets out to.THE VERDICT The Linksys EFG120Rating: 4 out of 5.Pros: well made, easy to use.Cons: no USB printer connection.Contact: Price: £499 (ex VAT)..