The Kindest Cut of All (Published October 2004)

Miglia Technology ProductsWhen a client names themselves after the 1000-mile Italian motor race from Brescia to Rome and back, you instinctively know it will be fun to keep them on their course.

This association with the essential ingredients of power, speed and reliability of the "Mille Miglia" race is no accident and Miglia Technology credibly carry this through to their product line, obviously backed up by excellence in the pit-crew!

But after an intro like this you may be surprised that Miglia is not a manufacturer of car accessories. I suppose motoring enthusiasts are all technologically driven, but the classic Ferraris, Maseratis and Alfa Romeos of the Mille Miglia are much removed from the technology of Miglia's Digital Video products, although the latter can be used to produce pictures of the former!

"Our job is to ensure that increased turnover does not mean that the wheels simply fall off!"

Miglia's products enable Apple or PC users to edit their videos and watch them on computer or TV. Their principal product, "Director's Cut", is the kindest cut of all. The directors own the Intellectual Property and the company now has a premium brand image in its marketplace – a racing pedigree. Our job is to ensure that increased turnover does not mean that the wheels simply fall off!

Miglia were factoring when we first met them. However, they also needed purchase finance as sales were increasing geometrically, roughly doubling each year, a trend expected to continue. Their customers are distributors and retailers, now 75% exported, 100% insurable. We buy to match customer orders. We sell to Miglia and recover from the factored debt, normally in £, $ or €. Miglia do the credit control, using contracts and processes agreed with us.

Of course, few clients are that simple. We actually buy the Printed Circuit Boards from Singapore and they are stored in bond by Firefly Management in West Bromwich until required to be put and wired into their casing, tested, boxed, packed and distributed. This is done by a company in Scotland. Initially the Singapore manufacturer wanted a Letter of Credit, but now it and the Scottish company are secured by our standard Supplier Undertaking.

Miglia are now approved suppliers to Apple Computer.

With the imminent opening of the Apple store in Regent Street, Miglia is forecasting a further leap in sales.

Watch this one; it will go the course.


Written by David Ross Director

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