Broder shows its metal with investment
A Sheffield-based metals stockist and distributor, which increased its turnover by £2.2 million last year, is set to grow again after doubling the size of its premises.
Broder Metals Group Ltd, which specialises in metal distribution, moved from its 8,500 sq ft Attercliffe site in March to a new 19,000 sq ft base in Ecclesfield following investment from Finance Yorkshire.
Now, with the help of a £70,000 business loan, the company has increased its warehouse size, bought new plant and equipment, added to its range and depth of stock and has increased its speed and capacity to quote with a new internal system - to underpin its growth of 40 per cent year on year.
The group was established in 2006 and sought initial help from Finance Yorkshire’s predecessor, South Yorkshire Investment Fund, to assist with systems, stock and the associated cost of business development.
Mike Andrews, Director of Broader Metals Group, said: “This initial investment has helped to increase our turnover from £2.3m in 2006 to £7m in 2011 and the number of employees from from eight to 21 staff members.
“The business has shown steady growth and now encompasses four companies which all focus on the same market but specialise in a different area of metal supply.”
This year the group began searching for larger premises to help meet the increase in demand for stock and turned to Finance Yorkshire for help after finding the new Ecclesfield location on Starnhill Close.
Mike, continued: “We needed new equipment like racking, CCTV, fire alarms and installation of a computer network which were costs traditional sources of finance were unable to fund and so we approached Finance Yorkshire for help with the capital costs.”
David Ward, Finance Yorkshire Portfolio Manager, said: “We knew from working with Broder Metals previously that our investment had been wisely utilised and had increased profit and employment.
“We were happy to help continue their growth by helping the group move to larger premises so they can capitalize on opportunities and potentially increase employment by a further four roles.”
Mike added: “We have always found Finance Yorkshire great to deal with and our Portfolio Manager, David, was always on hand to give assistance whenever we needed him.
"We work hard to provide our customers at home and abroad with a fast and efficient service and look to develop niche products and long term partnerships with a worldwide customer base. Last year exports accounted for 50 per cent of turnover and we now have customers in 26 countries.”
The extra space has also allowed Broder to purchase a new Combilift side loader which speeds up warehouse loading and unloading, gives additional room for future expansion and has provided further offices, training and meeting rooms and a spacious new boardroom.
Finance Yorkshire provides seedcorn, loan and equity linked investments, ranging from £15,000 to £2m to help a range of small and medium sized businesses to meet their funding requirements for growth and development.
The project is supported financially by the European Union. It has attracted £30million investment from the European Regional Development Fund (ERDF) as part of Europe’s support for the region’s economic development through the Yorkshire and Humber ERDF Programme, £15million from Yorkshire Forward’s Single Programme, and £45million match funding from the European Investment Bank.
For more information about Finance Yorkshire, please visit www.finance-yorkshire.com or ring 0845 649 0000.
Note: this news article is from Finance Yorkshire’s previous fund. Read more about Finance Yorkshire