Hydraulics firm acquires premises
A SUPPLIER of commercial vehicle hydraulics has moved into larger premises to help accelerate its growth in a deal funded by The Royal Bank of Scotland.
Sheffield-based VHS Hydraulics Components has annual turnover of £2m but is aiming to increase its revenue by a further 15% over the next 12 months following the move.
The property purchase was backed by RBS Commercial Banking and RBS Invoice Finance. The new premises were sourced by the RBS property team.
VHS Hydraulic Components was established in the late 1990s by Danny Whitehead primarily to specialise in the supply of commercial vehicle hydraulics such as gearboxes, directional control valves and tanks.
VHS merged with Parmafluid S.R.L, an Italian system manufacturer and component supplier, in 2002, enabling it to offer a more comprehensive offer.
The company now offers a full hydraulic service to include system design, manufacture and distribution of hydraulic components and systems including industrial power packs with electric, diesel or petrol drives for a variety of applications including industrial, marine, agricultural and commercial vehicles.
Danny Whitehead, founder and director of VHS, said: “Like most businesses we are ambitious and have grown the company over a relatively short period of time. We are keen to maintain this momentum moving forward and to achieve this we needed to move to larger premises to allow for growth in line with our expansion plans and find a banking partner who understood our business and the investment we are making for the future.”
Martin Gorman, from RBS, and Duncan Schofield, of RBS Invoice Finance in Sheffield, structured a funding package to support the purchase of the new premises alongside the provision of working capital facilities to meet and grow with the businesses needs.
Mr Gorman, a relationship manager at RBS Commercial Banking, said: “VHS is a successful company with a clear vision for the future and we are delighted to help with the finding and funding of the new premises. We wish Danny and the team every success and look forward to working with them as the company grows.”
