Aquaspira

Background

Started by Neil Wallace and Mark Stanway, both working for a major UK manufacturer of drainage systems. Seeking the next generation of such products, they identified a new technology developed in Australia to make steel reinforced polyethylene (SRP) underground drainage systems. This composite combines the advantages of the two existing solutions; namely the strength of a rigid material such as steel with the flexibility and lightweight of high-density plastics. It also has much lower environmental impacts.  Such was their belief in the product that Neil and Mark:

• Set up their own business to pioneer the use of SRP drainage systems in the UK
• Decided to manufacture the products in the UK rather than simply import them
• Secured the exclusive UK license for the system from its Australian developers
• Raised £1.4 million in equity funding from over 20 private individuals to help finance the initial development phase of the business
• Invested considerable sums of their own money and obtained over £1 million in an asset backed finance package from HSBC
• Established a state of the art extrusion plant in Nelson for volume manufacture
• Spent nearly two years to perfect the technology and the associated manufacturing processes

Aquaspira focuses on providing a bespoke drainage solution via a complex, technical, specifier led, sale aimed at consulting engineers. Neil “wanted something that would be hard for the Chinese to make and transport to Europe!”

Support     

Signed up in January 2009 as a pre start. Received three days of specialist high growth coaching and mentoring support from an experienced business coach. Coaching support began immediately. The coach’s input:

• Provided additional marketing and business development expertise during a crucial phase in the launch of the Aquaspira system
• Helped to set the strategy for the business and the route to market with the focus on direct, technical, sales rather than product sales through distributors
• Improved how Aquaspira presented the system to the target market
• Gave an independent assessment of Neil and Mark’s ideas – and brought greater clarity

Outcomes    

Aquaspira started trading in June 2009. Progress to date has been truly spectacular:

• £100k worth of business invoiced in the first 3 months alone; on course to invoice £200k by the end of 2009
• Secured several major contracts for Tesco, Sainsbury and a PFI project on Merseyside
• Exceeding their targets in the Business Plan – now forecasting twice the level of business in their first 12 months
• Already made some export sales to Ireland and sales of a second product, rainwater harvesting tanks
• 10 people now employed - about to recruit a further 5 - and forecasting 20 staff by the end of the first year
• Bringing forward plans to increase their capacity; shortly to install a second extrusion line
• Planning to open a second UK facility to service mainland Europe and to raise £5 million funding to accelerate the growth of the business