Wheelbarrow manufacturer invests to support growth
A WALSALL manufacturer has invested in additional machinery to increase its productivity by two thirds following a successful bid for funding.
The Walsall Wheelbarrow Company, which has been established for over 20 years, has secured a £500,000 funding package from Lloyds Bank.
The firm sells its products to distributors, as well as directly to both retail and trade outlets, with its customers including B&Q, John Lewis, Amazon and Screwfix Direct.
After receiving funding from Lloyds Bank Commercial Banking in 2008 to support the acquisition of Thacker Barrows, The Walsall Wheelbarrow Company targeted fresh expansion. It was referred to Lloyds Bank’s Commercial Finance team for an asset finance loan to fund the purchase of two additional tube bending machines, which are used to form the wheelbarrow framework.
Following the purchase, the business has increased its output levels by 67%. This will prove vital as it looks to fend off growing overseas competition.
The firm’s annual turnover has also increased as a result of the investment, growing from £6.5m to £8.5m in a year.
The Walsall Wheelbarrow Company now plans to move to larger premises to give it the space to increase capacity still further.
Jonathan Thacker, director of The Walsall Wheelbarrow Company, said: “We realised that in the face of international competition we needed to increase our output levels, and the purchase of new machinery has given us that extra capacity to more than double our productivity.
“Thanks to the support provided by the bank, we can now make a greater number of wheelbarrows whilst maintaining the high mark of quality associated with our brand, and the next stop for us is purchasing larger premises in the Wednesfield area to accommodate our growing operations.”
Lauro Rodi, regional manager at Lloyds Bank Commercial Finance, said: “With the Walsall Wheelbarrow Company experiencing high demand for its products in a competitive market, the asset based lending facility is ideally suited to its lending needs as it will effectively lift its cash flow restrictions, and provide it with a strong platform for growth, without putting pressure on its working capital.”
Phil Davies, relationship director at Lloyds Bank Commercial Banking, said: “As market leaders in wheelbarrow manufacturing, it’s important that The Walsall Wheelbarrow Company maintain their position at the forefront of the market, offering both competitively priced products of an unrivalled standard.
“As long-term customers of Lloyds Bank, we have been able to support the business through different stages of their growth plans across our Commercial Banking and Commercial Finance teams, as part of our ongoing commitment to the manufacturing sector.”
