This office equipment article first appeared in full in The Scotsman by Kristy Dorsey on Monday 11th May 2015 – this is the first part of the article.
Tom Flockhart is partial to sailing and fishing. When talking about his ambitions for Capital Document Solutions, he draws parallels with the more combative pastimes of his youth.
Founded by Flockhart in 1979, Capital generated turnover of £22m during the year on sales of copiers, printers, scanners and software to private and public sector organisations across Scotland. It has more than 13,000 devices in service. However, Flockhart insists he has yet to conquer the tough office equipment sector haven.
“It’s a very competitive market, which is why I enjoy it,” says the former Preston Lodge wing forward. “It’s almost like playing rugby all the time.”
Office equipment results
Although sales this past year edged just 4% higher, pre-tax profits rose by 13% to £1.5m, driven by Capital’s heavy deployment of “click machines”. This equipment has either been purchased or leased by the customer, who then pays Capital a set price for every copy made. In exchange, Capital supplies maintenance and consumables for the lifetime of those machines.
More than 80% of Capital’s equipment in the field are click machines. They generate about 60% of the company’s turnover. It makes for steadier revenue streams, and is an incentive for Capital to ensure that any faults are quickly repaired.
“It is a major motivator to keep service levels high,” says Flockhart. He employs over 215 people from the company’s headquarters in Edinburgh. Further operations include Aberdeen, Dundee, Glasgow, Inverness and Shetland.
Copyright The Scotsman
Posted in About Us, Entrepreneurship
