Midlands contractor eyes growth after seven-figure buyout
A Midlands contractor known for transforming retail spaces has completed a seven-figure management buyout, allowing the current owners to step down.
GI Sykes, a third-generation family business based in Stourbridge, will now be led by the existing management team, as brothers Richard and Jason Sykes, grandsons of the founder, step away.
The brothers will stay on as consultants while the business is now in the hands of Richard Downs (managing director), James Sykes (operations director), Anthony Bennett (contracts director) and Dan Westbury (commercial director).
The buyout is backed by £720,000 in funding, with half from Mercia’s SME Loans Fund and the rest from the Midlands Engine Investment Fund II, managed by Frontier Development Capital.
Founded in the 1940s by Richard Sykes as a painting and decorating company, GI Sykes capitalised on the post-war housing boom and later expanded its services to include specialist coatings for cladding, roofing and flooring, alongside general building work, maintenance and repairs.
The company currently employs 40 permanent staff and works with numerous independent contractors.
GI Sykes serves a range of clients, including local authorities, developers, private landlords and commercial property agents.
It has worked on projects such as Harvey Norman’s flagship store at Merry Hill, MacArthur Glen Designer Outlets, River Island, Home Bargains and McDonald’s restaurants.
Richard Downs, the new managing director, said: “The Sykes family have built a great business with a solid reputation and we are proud to be taking over the reins. We want to maintain the family business ethos, which is all the more relevant as some of our employees now have their own children working in the business.
“We will continue to provide the same first-class service to existing clients while seeking opportunities to expand our service lines and client base. We aim to achieve steady growth while continuing to support our loyal workforce and, through our apprenticeship scheme, nurture a new generation of skilled tradesmen in the region.”
Ryan Cartwright of Frontier Development Capital added: “GI Sykes is a great business and an important local employer, not only in terms of its direct workforce but also the work it provides for independent contractors in the region. The buy-out will secure its future and enable the existing management team to pursue their growth plans to take the business forward.”
