Factory Shelving Stores a £3.5 Million Business!

Small Businesses Ideas 056

Name: Andrew Donaldson.

'Foolish' Idea: Kitting out factories and renting out storage space.

Start-up Capital: £2,000 from the Prince's Trust and £3,000 from the sale of his motorbike.

How Idea was Launched: With Andrew's funds he purchased a second-hand van and visited industrial estates drumming up business by knocking on doors. Started his own company, Active Supply and Design (CDM) Ltd. in Crewe.

Andrew's firm buys in shelving and racking. Adding a mark up, they sell it on as a complete package, hiring subcontractors to do the fitting work.

Experience in this field had come from Andrew's first job which was estimating shelving systems. He worked in the storage equipment field for a total of eight years before a fall out with his boss spurred him into setting up his own business in 1991.

In the first year, he sold £92,000 of kit. In 1997 the business had a turnover of £3 million.

Andrew lost interest in the business through boredom and sold 50% of the company to Mark Holme, who had been his best sales rep. Andrew has diversified into self-storage warehouses, which has revitalised his motivation.

Earnings: Andrew has personal assets worth £500,000, including a Georgian manor house. He values the business at £3.5 million.

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