Northampton-based pallet network, Fortec Distribution, is celebrating its three-year milestone as a wholly owned subsidiary of Pall-Ex Group.
Operating out of its hub in Watford Gap, Fortec has benefitted from the support of Pall-Ex Group, which has allowed it to retain the agility of a smaller network while gaining the experience and resources of an international market leader.
Under its previous ownership model, Fortec was losing over £2.5 million per annum, however Pall-Ex Group has transformed the business into a much stronger outfit, seeing it bring in an EBITDA profit of £286,000 in the year to July 2023.
During the last three years, one of the biggest changes has been the introduction of the shareholder model, a tried and tested model which has proved successful amongst Pall-Ex’s members. Long-standing members Brocklehurst Transport, Team C Express Logistics and Devereux Transport were amongst the first to sign up, giving them the opportunity to acquire shares in the business and have a say in how it operates.
Barry Byers, Managing Director of UK Business Units at Pall-Ex Group, comments on the partnership: “It’s been great to watch Fortec Distribution and its members thrive over the last three years.
“Our commitment to our members is our highest priority, so every investment made into Fortec has been worthwhile as we continue to watch the network grow. It’s been a fantastic partnership to date and I’m excited to see what the future holds.”
Fortec Distribution now has over 60 members operating across the UK, offering a cost-effective distribution service to customers in every UK postcode. Access to Pall-Ex Group’s international network also provides them with the opportunity to take their customers’ freight further afield, with full European coverage.
In July 2023, the business launched a best-in-class product range. The range boasts five new products, including the first-to-market in the pallet network, Parcel Pallet.
This compact pallet supports loads up to 150kg and allows a cost-effective, efficient, and secure way to send large parcel and multiple parcel consignments. The full range can handle loads up to 1200kg, offering members complete flexibility to ship a range of different consignments.
Investments into Fortec’s hub facility have seen major improvements in its operations. A fleet of 36 new forklift trucks worth over £250,000 are in operation, while an additional £180,000 has been spent on upgrading the roof of its 210,000 sq. ft warehouse. Further improvements will see Fortec’s hub capacity increase by an additional 2,000 pallets per night, allowing the network to deliver a much stronger and more efficient service.
The future holds even more enhancements to the sector leading core operational system, Nexus. The system has already given members tracking capability and an integrated messaging system, allowing them to communicate better than ever before.
But 2023 will see further developments to the system, giving members the ability to book delivery timeslots within a 2-hour period.
To join the Fortec pallet network visit fortec-distribution.com/become-a-member.