Upminster based Ergro Group, is the latest company to benefit from the East of England Regional Growth Loan Scheme, with a gear changing loan that will enable the company to service new contracts and deliver against a strengthening pipeline.
Ergro was founded in 1991 as a provider of heating, ventilation and air conditioning (HVAC) services. Following a management buy-out in 1996, the present team saw an opportunity to create a more unique offering and since then has been providing total facilities management, mechanical and electrical and fit-out solutions to offices, shops, leisure facilities and public sector spaces. The company is at the forefront of thought leadership and solutions surrounding the impending ban on the refrigerant R22 and has a highly qualified renewable energy division.
Chris Wollen, Ergro Group Managing Director explains: “Whilst we were working with companies to supply and service HVAC equipment, it was apparent to us that clients spend a great amount of time and effort dealing with numerous suppliers. We knew that we could offer a far more efficient provision by rolling all of the associated services into one but still allow clients to access individual elements of our service when appropriate.”
In addition, Ergro strengthened its position in the market by wherever possible, not relying on the general tendering approach to securing new business, that is common in this sector. Holding onto their belief that quality is more important than being able to offer the lowest price, they have been successful in winning contracts that have resulted in longer term relationships. In fact, repeat business accounts for around 85% of their work, with recommendations accounting for a further 5%.
This approach helped the company grow with a good deal of success. But Ergro, like many businesses, has needed to manage the impact of some tough economic conditions over the past couple of years and has had to refocus its efforts and work harder to win new contracts and keep itself ahead.
This determination has paid off and Ergro is now strongly positioned for further expansion. With significant new business gained, the company is set to create an additional five new roles in 2013 to both deliver against what has already been won as well as secure further new contracts and continue to grow the business.
Stuart Ager, Senior Fund Manager at Finance East, which manages the Regional Growth Loan Scheme comments: “Through a somewhat bleak economic climate, Ergro Group took the measures necessary to implement cost savings through a challenging trading period. They are now benefiting from this with the continued growth of the business, which we are delighted to be supporting with this important loan.”