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136 
WEST MIDLANDS EXPANSION
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Simarco's expansion is now set to benefit the West Midlands, with Reed revealing that he has secured a 2.5-acre site in Barton-under-Needwood near Burton-upon-Trent.
Recruitment for the depot is already under way and it could be open for business as early as next month.
"We took time to fully investigate all our options as we wanted a facility that not only gave us the potential to handle large volumes of freight immediately, but could grow with our business. The facility will reduce journey times for client shipments to and from Europe, and enable us to develop even closer ties with Palletforce."
While Reed confirms acquisitions are not his priority, he does not rule them out. He tells CM. "In my opinion, if you're not going forward, you're going backwards. It's tough, but I believe you need to invest for the future.
"My aim is to move forward as quickly as possible. If you throw yourself into developing, you know you have at least given everything in your power a go," he insists. Reed cope with the crippling 2008 recession so soon after becoming head of the company?
"Because of the nature of our business, our sales remained strong because exports were still doing well. Sadly, you can see why so many small hauliers collapsed during the period, because UK general haulage is a tough market, but we had a variety of services that customers always need, and we could offer it in one package," says Reed.
Strong numbers
The company made a switch to Palletforce and has thrived in the past few years if numbers are anything to go by. Simarco recorded turnover of £22m for the 12 months ending 31 March 2011— a 25.7% jump on the £17.5m recorded for the year ended 31 March 2010. Pre-tax profit was £800,000, marking a 20% rise on the £668,000 made in 2010.
Reed adds that in the last financial year Simarco broke the 100,000 pallets mark via its partnership with Palletforce. He says: "We are continually trying to offer our clients more. For example, in 2010 we improved our European operations even further with new overland routes into Turkey and Germany, better partnership deals in Belgium and Po
land, as well as moving to daily deliveries to Spain, from twice weekly."
Most recently, Simarco delivered a wide range of merchandise, including hats and hoodies, to Hyde Park in London for the Hard Rock Calling concert, where stars such as Rod Stewart and Bon Jovi performed.
Reed says: "There is obviously a lot of security and planning involved in moving the goods for a high-profile event like Hard Rock, but we have been working with the Hard Rock Cafe for a long time, and its a partnership we love as well as a continual source of revenue."
Foreign destinations Plans for 2011 include adding further cities to its roster of foreign destinations, as well as increasing the company's 110-strong workforce, and adding to the 30-strong fleet.
Reed explains: "The volumes of exports, imports and domestic freight traffic that we are handling, means we need more skilled individuals. However, they won't be short-term appointments simply to cope with an acutely busy period. We believe that a stable workforce is one of the key components of our success and we have no desire to change that approach."
The firm's recruitment drive has not gone unnoticed by the government, with Priti Patel, Conservative MP for Witham, saying: "The fact that Simarco is expanding is immensely heartening to me. I fully recognise the value logistics companies have in helping businesses to grow and expand with trade, both home and overseas." •