Nova Scotia Company Expanding Export Markets

first_imgAnother rural Nova Scotia manufacturing company is significantly expanding its markets and sales overseas. Interhabs Limited, located in Hubbards, designs and builds customized, pre-engineered homes. Based on growing demand in the United Kingdom and Ireland, the company has the potential to double its sales. The provincial government will provide a $300,000 loan guarantee to help support this growth. Robert Williams, vice-president of Interhabs, said the demand for the company’s finished product requires a significant front-end investment. “Interhabs has been active in the Scottish market for over 25 years, working hard to blend Canadian technology and materials with the styles and traditions of the Scottish highlands,” he said. “The quality and value of our product, combined with expanded marketing and recent changes in U.K. requirements for energy efficiency, have increased the demand for our product.” The company must pay for labour and materials well before payment is received for the finished product. As well, the lengthy process required to receive construction approval in the U.K. can temporarily affect the company’s cash flow. “The bank loan helps bridge the gap between our production costs and profits,” Mr. Williams explained. “The guarantee from the province will help us strengthen our credit relationship with the bank.” Economic Development Minister Kerry Morash said the guarantee is in line with the province’s new economic growth strategy. “This company adds value to our raw materials, uses innovative designs, focuses on a diverse export market, and has been in business for more than 30 years,” the minister said. “We are pleased to help the company grow the business, and increase the flow of export dollars into the Nova Scotia economy.” The decision to provide the guarantee was based on the investment criteria in the province’s growth strategy, the financial track record of the company, the company’s long history, and an analysis of risk versus benefits to taxpayers. Interhabs employs about 30 people. The company has been in business since 1975. Export sales total about 80 per cent of its business. Interhabs has twice won Nova Scotia Export Achievement Awards. It has also won a Nova Scotia Home Award for its Solarhab design model which highlights the Interhabs focus on energy-efficient homes.last_img

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