Zip-Clip’s expansion plan as its £1.8m facility opens
Mid Wales-based Zip-Clip is ramping up its international trade with plans to see exports account for 60% of sales by 2018.
Its international growth plans were outlined by its chief executive Steve Goldsworthy at the unveiling of its new £1.8m facility on Offa’s Dyke Business Park in Welshpool which was built by the Welsh Government and opened by Economy Secretary Ken Skates.
Exports currently account for 38% of sales by the company which designs and manufactures innovative suspension systems for installing heating, ventilation and air condition systems in industrial and commercial buildings. It also supplies the electrical market and specialises in Seismic bracing for the building services industry.
Zip-Clip has more than 50 key distributors globally – many of whom were present at the opening – and plans to increase its presence overseas.
This year it is opening a new distribution centre in Melbourne, appointing two distributors in Japan and has already appointed a global manufacturer of cable management containment systems to represent their range in South America, Portugal and Spain.
It is currently in discussions regarding representation in Lithuania, Latvia and Estonia and has appointed a new commercial manager to support its exports and liaise with a number of OEM clients operating across Europe.
Its export drive has benefited from support from the Welsh Government’s Export Support Programmes which enabled the company to explore and access new international markets including New Zealand, Australia, South Africa, the Middle East, India and Europe.
At 17,500 sq ft, its new premises are more than twice the size of their previous facility in Newtown and since moving they have hosted business visits from Finland, Italy, US and Australia.
Managing director Matthew ClayMichael said: “Without this new facility we couldn’t even consider growth and now we have the space to expand and target new markets.
“As well as securing a three-year £1m contract with a major global manufacturer of electrical containment systems, we are in talks with one of the world’s largest manufacturers of lighting products to make a bespoke lighting suspension system.
“We experienced a 24% growth in UK and overseas sales last year and plan to achieve at least 15% growth year on year over the next three years which is achievable given the increased capacity in our new facility and new products being developed.”
Economy Secretary Ken Skates said: “This is a great illustration of how SMEs can really benefit from exporting and find new lucrative markets for their products.
“I am also pleased the Welsh Government is supporting the company’s expansion and that Zip-Clip is already reaping the benefits from operating from larger premises having already secured a new £1m plus contract and taken on five new members of staff to service growing orders.”
Zip-Clip’s products have been used on numerous prestigious buildings worldwide – ranging from Ferrari World in Abu Dhabi to the Dallas Cowboys Stadium in Texas – from the Kuala Lumpur Tower in Malaysia to The Gherkin and Shard in London.
Last year the company processed over seven million metres of cable – the equivalent distance from Welshpool to Philadelphia – and this year the firm anticipates increasing this to around 8.5 million metres.
It currently employs 38 workers and anticipates this will increase to around 45 staff by the end of the year.