A North Tyneside family firm is aiming to double turnover and create new jobs by reaching new markets on the back of new investment.
Cherry Parts, based in Wallsend, has been supplying fire protection equipment to trade customers for more than two decades and currently turns over around £1m every year.
Now the fire safety business is looking to expand its customer base by setting up a new webstore to sell health and safety-related products to businesses and the general public. It will also sell a new line of own brand first aid kits.
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The Cherry Parts management team has worked with regional fund management firm NEL Fund Managers to secure £75,000 from the North East Small Loan Fund investment via the Recovery Loan Scheme, which will support the development and marketing of the new webstore, as well as the recruitment of the staff needed to manage the new service.
A number of new jobs are expected to be created as the online business develops.
Janet Maxted, managing director at Cherry Parts, said: “The business has been trading successfully since 1999, but the increasing recognition of the importance of and need for safety equipment across all workplace and domestic situations made us realise how much more we do could with it.
“Diversifying the product range opens up a whole new range of opportunities, while putting our own brand onto products for the first time is a landmark development that utilises the strong reputation we’ve built in our core market sector.
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“Our success has always been based on good communication, excellent product knowledge and the highest standards of customer service, and we’ll be applying these principles just as much to our new operation.
“We think we can double our current turnover within a fairly short space of time through the new webstore and think we’ll see more new jobs being created here as we grow.
“NEL’s interest in us as people, as well as in our business performance, made the investment option they presented the right one for us to choose, while RMT’s expert advice and guidance has been instrumental in many of the decisions we’ve made around our service developments and future growth strategy.”
Mike Guellard, investment executive at NEL Fund Managers, added: “Cherry Parts is a successful, mature business that is still displaying a hunger for growth and we’re very pleased to be part of the next phase of its development.”
Cherry Parts was introduced to NEL by Julie Cuthbertson of RMT Accountants & Business Advisors. She said: “Janet and the team are building on an enviable reputation within their core area of expertise and now have every opportunity to take their business to the next level.”
Part of the £120m North East Fund and aimed predominantly at smaller SMEs, the £9m North East Small Loan Fund offers loans of between £10,000 and £100,000 to businesses in Tyne and Wear, Durham and Northumberland.