To work cost-efficiently and stay ahead of competition, sustainable investments are important for entrepreneurs in due course. For Venlo furniture maker Leolux, 2022 was all about catching up. Two huge projects were completed: the opening of an Experience Centre in Breukelen and a brand new production hall with sustainable woodworking machine in Venlo.
These investments were made possible partly thanks to the trust and funding of partner Rabobank. "We are happy to invest in sustainable solutions," said Peter Vaesen (Rabobank account manager, Industry & Renewable Energy sector).
Leolux opened an Experience Centre in Breukelen on 18 November last right on the A2 motorway. "Consumers, architects and living specialists can experience all the Leolux Furniture Group brands here," says Sebastiaan Sanders (director-owner Leolux). A hefty investment, which Leolux financed from its own resources. However, the company had another strategic plan on the table at the same time, namely a new production hall to be built in Venlo, including sustainable woodworking machines. For this, Leolux requested a financial investment from partner Rabobank. "This wasn't just an out-of-the-blue decision'', says Geert Litjens (Finance & IT Director Leolux). "Leolux does an investment every year, but now there were plans for two huge projects at the same time." Added Sebastiaan Sanders: "Investing our own money was a possibility, but then we would have had to continue saving for another three years or so. This while you need your own money for financial security: to pay your staff and supplies, among other things. The developments in sustainability are also huge, so we have to make financially wise choices to stay ahead of the competition. Fortunately, Rabobank has made capital available so that we as a company can make the most of our growth opportunities."
Peter Vaesen (Rabobank account manager): "Leolux has been a customer of ours for many years. We As Rabobank, we are proud to have such a unique player in the European manufacturing industry in our client portfolio. By sitting down together several times a year, we help think about the company's future. The investment request for a woodworking machine was a legitimate request from Leolux. As player in the manufacturing industry in the Netherlands, you need to be able to stay ahead of competition, such as cheap manufacturers from China. By investing in sustainable machines, you avoid a (huge) increase in your production costs. Rabobank is happy to invest in sustainable solutions. Because of the mutual trust between them, plus a good jointly drawn up strategic plan (including earnings model), Rabobank decided to facilitate the investment."
Vaesen sees another positive outcome of investing in machines, related to the labour market: "We have to be economical with the people who want to and can work, especially if they have to remain productive until the age of 67. Where necessary, you can have heavy work taken over by machines to prevent wear and tear and physical limitations in people we desperately need in this tight labour market."
