A Dundee firm which started with just three staff eight years ago has now reached sales of more than £16 million.
Alpha Projects was set up by Paul Cortese and Kevin Brown who thought there was a gap in the local market for projects up to £3m.
The company has since expanded with offices in Montrose and Aberdeen.
Alpha Projects will have its name on the back of Dundee Football Club shirts next season. It also sponsors Forfar Athletic’s Station Park ground.
Strong growth in sales for Alpha Projects
The company is a principal contractor, specialising in construction, fit-out and refurbishment projects in the commercial and residential sectors.
Newly filed accounts for the Broughty Ferry Road business show sales increased by more than £2m to £16.3m for the year ending October 31 2024.
Pre-tax profits increased from £620,000 in 2023 to £680,000 last year.
Mr Cortese said: “We increased our client base last year. Having the geographical flexibility within the business, with our workforce spread from Fife to Aberdeen, helps to open doors.
“We’ve retained a really good team and that’s another big factor. It’s an old cliche, but we’re only as good as the people doing the job for us.
“Over the years we’ve learned from some of our mistakes, and we’re beginning to refine things in terms of what works well for the business.
“All these things are contributing to what is a pretty positive picture.”
Tougher market conditions
The company is currently fulfilling a £2.7m contract to convert and extend the former Russell Hotel in St Andrews into six flats.
It also worked on the new Dundee events space The Big Real at the Water’s Edge building at City Quay, which held the Courier Business Conference last week.
The company directly employs 70 staff, but, through its use of sub-contractors, usually has between 90 and 100 people working each day.
Mr Cortese said the current financial year has gone well, but a “tightening” of the market has become evident.
He said: “There’s still a reasonably solid pipeline of good projects. However, it’s becoming more competitive, so margins are tightening.
“The market in Aberdeen isn’t great just now. I think this is the result of the squeeze on energy companies which has an impact on the wider economy there.
“We’ve always had a tight rein on cost. Our overheads have been well managed and that helps us when we do head into these troughs.
“We’re making sure we’re doing a good job and doing everything right in terms of our pricing.”
Meanwhile, Alpha Services, an arm of the business which conducts plumbing, heating, mechanical and renewable services, is rebranding as Peak Renewables.
The company sees this as an area of opportunity and has recently gained the qualification to install air source heat pumps.
The director added: “We’ve got a business plan in place to expand this side of the business and extend our suite of renewable services.”
Alpha Projects won the Courier Business Award for Growth last year. Entries are now open for this year’s awards.
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