Oldbury engineering parts supplier hits £1.2m turnover milestone in only second year of trading

SOS Components was set up by directors Stuart Johnson, Oli Dilloway and Steve McBeth, who have extensive experience in the industry and secured £50,000 funding to get the business up and running in July 2019.

The company experienced a successful first year of trading despite the challenges posed in the early stages of the pandemic, and through diversifying their current product range, which included supporting the NHS and other essential industries, went on to record a 50 per cent increase in turnover in year two.

Stuart Johnson said: “We are over the moon to have achieved £1.2m turnover in only our second year of trading, which is testament to the industry-leading knowledge and customer service delivered by our team and the quality of our products.”

SOS Components secured the funding from the Midlands Engine Investment Fund and the Community Investment Enterprise Facility, both of which are delivered to West Midlands based businesses by alternative lender BCRS Business Loans.

Steve McBeth added: “This would not have been possible without the support and backing we received from BCRS Business Loans. MEIF and CIEF funding enabled us to purchase stock, IT equipment and to also move into larger premises, resulting in us winning over 50 customer accounts since being established.”

Oli Dilloway commented: “SOS Components prides itself on being a single-source solution for customers looking to purchase engineered products. Our ever-expanding stock range varies from bespoke options such as turned parts, machined parts, laser cutting, pressing and stampings and weld fabrications to name a few, along with our extensive range of standard products such as bearings, loctite, O rings, circlips and standard fasteners and fixings.”

The company was supported throughout the loan application process by Lynn Wyke, who is a senior business development manager at BCRS Business Loans.

She added: “I am delighted to have been able to support SOS Components with the funding they required and incredibly proud of the whole team for their brilliant achievement in reaching £1.2 million turnover in such a short space of time. When the directors approached us with a business plan, it was obvious to us that their ideas, knowledge, and experience was going to be a successful combination. In addition, it’s really pleasing to see that SOS Components are continuing their success into year three with the acquisition of an additional unit next door and are on track to achieve their target of £2m turnover in 2022.

“We are committed to supporting businesses right across the West Midlands region that are unable to tick all of the boxes at other lenders. As a non-profit lender, we are able to take a human approach to lenders, where we base our decisions on the business itself, not computerised credit scores.”

Mark Wilcockson, senior investment manager at British Business Bank, added: “SOS Components has displayed significant growth in the past two years and the £50,000 in MEIF funding will support this expansion further. Midlands’ businesses looking to achieve similar expansion are encouraged to seek MEIF funding to support the growth of the wider region.”

Tom Westley, chaiman of the Black Country Local Enterprise Partnership board, added: “It is great to see that Midlands Engine Investment Funding is making a real difference to business across the Black Country. Through MEIF we aim to support regional business growth and there has been clear growth for SOS Components, congratulations to the whole team. Through supporting individual companies with the right investment, we are seeing a positive impact across the local and regional economy as a whole.”

The Midlands Engine Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.

Businesses in the West Midlands region that are struggling to access finance from traditional lenders can secure loans from £10,000 to £150,000 from BCRS Business Loans to support growth and recovery plans. BCRS is a delivery partner for the Recovery Loan Scheme.