New investment supports ambitious growth

A manufacturer of low energy lighting has moved to the next level in its business strategy after securing £500,000 funding to take on new contracts.

MHA Lighting, based in Atherton in Greater Manchester, has specialised in the manufacture of bespoke LED lighting systems for a range of blue-chip clients since it was founded in 2009. The company's innovative products have won numerous accolades within the low energy lighting sector as they shine the light from the LED sideways then reflects it onto the area to be illuminated.

This results in them emitting a bright white light which is uniformly distributed - in the manner of a fluorescent tube. The patented technology has been shown to provide energy savings of up to 80% compared with more traditional lighting sources. The business employs 30 staff in Greater Manchester.

HOW MHA LIGHTING WILL USE THE FUNDING TO GROW

In the first six months of 2011, MHA Lighting won several large contracts.

These included a contract to supply lighting in Manchester Airport's terminal two and three car parks which will involve fitting more than 2,000 lights. Manchester Airport is expected to save up to £80,000 a year in electricity costs by using the product. In addition, it secured contracts with Chevron-Texaco to supply lighting on its garage forecourts.

MHA Lighting approached its bank - NatWest - to secure the money to ensure that it was able to successfully fund the new contracts. It now anticipates that these new contracts - and an ever-growing order book - will enable it to break through the £4m turnover threshold over the current financial year.

Tom Harrison, Managing Director of MHA Lighting, said: “We are delighted to have secured these contacts and also with the positive responses we have received towards our range of lighting solutions. "We provide each client with a bespoke solution based upon a quality product, which is designed and made in the North West, and we are confident this approach will help secure more orders.

"To help cover the costs of taking on new orders it is essential to have enough capital in place at the start of each job. The funding we have secured from NatWest now provides us with this.”

CONTINUED GROWTH IN OTHER SECTORS

In addition to being low energy, MHA Lighting’s products generate far less heat than conventional lighting. This brings tangible savings to temperature controlled environments like offices and grocery stores. Convenience retail stores to recently purchase lighting systems from MHA Lighting include Mace, Cost Cutter and SPAR.

Mr Harrison added: “Convenience retail is a growth area for us and in 2011 we installed lighting for a branch of SPAR in Widnes. By installing our LED lighting, energy consumption at SPAR Widnes was reduced by 79% and the annual electricity costs have been reduced from £7,629 to £1,618 per annum. The lack of heat given off by LED lighting also allows further energy savings to be made through reduced use of air conditioning systems.”