Mobican Furniture Inc.
BDC’s green loan was perfect for our company. The account manager answered our questions and provided scenarios to help us make the right decision. Building a new facility is a major investment, the project of a lifetime for an SME. This would have been unthinkable without a trusted partner like BDC.
Patrick Selmay
President
Mobican distributes high-end furniture, proudly designed and crafted in Canada, through retailers across North America.
About the company
Family-owned company established in 1988 manufacturing contemporary and Scandinavian influenced furniture for residential clients.
Location: Saint-Jean-sur-Richelieu, Quebec
Industry: Furniture
Entrepreneur challenge
The high-end furniture manufacturer was experiencing significant growth, with its revenue having doubled in recent years. When the owner’s two sons joined the management team, it marked a decisive turning point, driven by a renewed design approach and a surge of innovation. The company had also seen its sales skyrocket during the pandemic. Despite purchasing more efficient equipment and investing in automation, the lack of space was hindering growth. The 40,000-square-foot factory had become too small. The entrepreneurs were looking for flexible financing to buy land, build a new facility and shift production there.
BDC expertise
BDC granted the company a certified green building loan with flexible, advantageous terms. The financing was used to purchase a 388,000-square-foot parcel of land in the Saint-Jean-sur-Richelieu industrial park, and to build a new 110,000-square-foot factory, with potential for future expansion. BDC advised and supported the entrepreneurs throughout the entire financing process. Given the company’s solid financial situation and the project’s viability, BDC was also able to provide a lower interest rate and free sessions with consultants specializing in green certifications, which bolstered the entrepreneurs’ decision to construct a LEED-certified building.
Results
- 100% increase in production capacity
- 15% of productivity gains in the first year
- Increased production capacity and optimized efficiency through improved space management
- Well positioned to achieve 15% sales growth per year
- Increased flexibility for customizing the building and launching furniture production for the commercial sector
- Reduced energy costs and greater facility sustainability through LEED environmental certification
- Stronger brand image and improved staff retention following the building’s green certification
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