The Plan is to set up a Steel Fabrication Project in Watford. Project will cater for commercial, domestic and government steel work. It will include:
1. Decorative Steel Work: Gates, Grills, Railings, etc.
2. General Steel Fabrication; Tubular steel fabrication, Fences, Barriers and Bollards, Security products including window and door grills, etc.
3. Kitchen Accessories and BBQ Equipment: Kitchen grill, Restaurant Grills (Normal Grill and SR Special, Asado, Dupla Grills and Rotisseries Barbecue Grills), Restaurant Accessories (Tables, Trollies, Shelves, Cabinets), etc.
Current Status
Start up sheet metal wotks
Market
UK is the most attractive destination for foreign direct investment in Europe. Due to UK’s ideal location, investors choose to expand or move their businesses to UK. More companies locate their European headquarters in the UK than anywhere else in Europe. UK has people with the talent and right skills; simple and competitive tax rate system and transparent regulatory system making it easier to do business in the UK.
Between 2005 and 2015, manufacturing productivity grew 3 times faster than the rest of the UK’s economy. The industry is currently made up of over 90,000 companies and employs 2.7 million people (according to the Engineering and Employers Federation). Advanced manufacturing contributes over £162 billion to the UK’s economy, which places UK at the 9th place in the global economy.
Problem or Opportunity
No correct investor.
Solution (product or service)
Project will produce following three major product ranges:
1. Decorative Steel Work Gates Grills Railings
2. General Steel Fabrication including Tubular steel fabrication (furniture) Fences Barriers and Bollards (various types) Security products including window and door grills
3. Kitchen and BBQ Kitchen grill accessories Restaurant Grills, including: Normal Grill and SR Special Grill Asado Grills Dupla Grills Rotisseries Barbecue Grills Restaurant Accessories, including: Tables Trollies Shelves Cabinets
Competitors
It is recognized that there is competition in the steel fabrication industry. Some of the competitors in Luton area are Nu Star Engineering, Round Green Luton, Weldit Llp, SPB Metal Works, Border Manufacturing, etc.
As there is an increase in the demand of this business from domestic and industrial users, the quality of products and customer satisfaction will the key to success.
The Sponsor aims to ensure 100% customer satisfaction. There will be no compromise on quality, and the end-product will be produced, delivered and installed as per the customers’ expectations. Efficient after sales service will be provided to the customers. Aim will be to provide with the best quality, at the most economical prices. It will give business an edge over competitors and ultimately a good reputation in the market.
Advantages or differentiators
UK is the most attractive destination for foreign direct investment in Europe. UK has people with the talent and right skills; simple and competitive tax rate system and transparent regulatory system making it easier to do business in the UK. Between 2005 and 2015, manufacturing productivity grew 3 times faster than the rest of the UK’s economy. The industry is currently made up of over 90,000 companies and employs 2.7 million. There is lowest corporation tax among the G20 nations (19%), besides lower labour costs than Germany, France and Italy.
Finance
a. Projected Cashflow forecast for Year One
An initial capital of £4,528,198 will be injected into the business, which will comprise of equity and 100% financing.
Total fixed cost of the Project would be around £2,995,527. The direct costs, in the first year of operations will be around at £1,492,621, which include raw materials, packaging costs and wages. Other expenses, in the first year of operations will be around £616,437, including bank interest and principal repayment.
The Project would generate positive cash flows of around £4,238,553, in the first year of its operation.
Business model
The Plan is to set up a Steel Fabrication Project in Watford. Project will cater for commercial, domestic and government steel work. It will include:
1. Decorative Steel Work: Gates, Grills, Railings, etc.
2. General Steel Fabrication; Tubular steel fabrication, Fences, Barriers and Bollards, Security products including window and door grills, etc.
3. Kitchen Accessories and BBQ Equipment: Kitchen grill, Restaurant Grills (Normal Grill and SR Special, Asado, Dupla Grills and Rotisseries Barbecue Grills), Restaurant Accessories (Tables, Trollies, Shelves, Cabinets), etc.
This unique selling point of the business is to provide its customers with high quality customized products, at competitive prices. All products manufactured and sold will have a minimum of 2 years warranty, besides full after sales support. It will guarantee production, delivery and installation of the products.
