Tamworth-headquartered logistics firm, OnLogistics Ltd (OnLogistics), is set to expand a number of its divisions, after receiving £350k from the Midlands Engine Investment Fund (MEIF).
As a result of this finance, provided through MEIF Debt finance, operated by Maven Capital Partners (Maven), OnLogistics will hire 14 more employees across its two Midlands sites after recently announcing its occupancy of a new 20,000 sq. ft. facility at Elmdon Trading Estate – strategically creating a second base close to Birmingham International Airport.
Following a three-year contract win with Rolls Royce Control Systems, these new hires will prove critical in the firm’s bid to meet increased workloads associated with larger global contracts.
Lord Digby Jones, Chairman of OnLogistics Ltd, who invested his own capital into the company in 2016, said: “Timed to perfection, this funding boost for OnLogistics will provide the company with the extra impetus to enter new markets and grow its customer reach via three distinctive brands; OnLogistics Aerospace, OnLogistics Distribution and Fulfilment and OnLogistics Nursery.
“The MEIF Debt Finance offered by Maven not only provides ambitious SMEs across the Midlands with important funding, but also strategic and operational advice delivered by the investment team on the ground. Alongside other members of the OnLogistics management team, I look forward to driving the business forward in this new and exciting chapter.”
The firm in recent years has diversified its supply chain offering to now include warehousing, product packaging and distribution. Demonstrating these wider capabilities is the firm’s entrance into other high-growth sectors, including baby travel accessories, after partnering with manufacturer Apramo, that sees OnLogistics manage its domestic and international product distribution.
Outside of recruitment, this round of finance from the Midlands Engine Investment Fund will see the rapidly growing firm make a series of improvements to its distribution service, upgrading its IT systems to unlock further efficiency through order barcoding, electronic tagging and satellite tracking of vehicles.
The funding will also allow OnLogistics to roll out in-house developed technology that integrates with its customers’ e-commerce platform, creating a seamless customer experience, as well as develop next-generation packaging, helping to grow and diversify their existing customer base.
Nick Bennet, Managing Director of OnLogistics said: “We are delighted to have the backing and support of MEIF and Maven. It is a great opportunity for OnLogistics to execute its ambitious growth strategy, expand the team and unlock several market opportunities.
“Our experience with the local Maven team was seamless, where a dedicated investment manager worked with us to make sure the process was as efficient and quick as possible. We look forward to continue working with the team at Maven to embark on our exciting expansion plans.”
Steve Lewis, Investment Director at Maven Capital Partners, said: “We are delighted to support OnLogistics’ ambitious expansion plans. This is an established, entrepreneurial business that has the opportunity to grow its reach and enter new markets, while also cultivate and expand its customer base and create new jobs within the Midlands region.
“The highly regarded senior leadership team has extensive experience and is committed to delivering growth. OnLogistics is a great example of the kind of business we’re looking to support via the MEIF Maven debt fund and we are excited to work with the team to help drive the business forward.”
Ken Cooper, MD at the British Business Bank, said: “OnLogistics is a great example of how money from the Midland Engine Investment Fund can support growing businesses in the Midlands. With this funding from Maven, the company looks set to grow from strength to strength, having identified a great market opportunity. That growth will be supporting the hiring of more employees and boosting the local economy.”
James Leavesley, Executive Board Member at Stoke-on-Trent and Staffordshire Local Enterprise Partnership, said: “We are delighted to see this leading local firm expanding and creating new jobs with the support of MEIF funding. OnLogistics is a great example of the innovative, go-ahead enterprises that make our region such a great place to do business.
“I would urge other firms to contact MEIF and explore the funding options available to support their expansion plans and help our economy to thrive.”
The Midlands Engine Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.