AlarmForce envisions opportunities in U.S.
TORONTO,Ã‚Â Ontario - AlarmForce Industries is developing its blueprint for success and the next step involves expanding the companyÃ¢â‚¬â„¢s business into the states.
Ã¢â‚¬Å“We are using our Canadian platform to move into the United States,Ã¢â‚¬Â said Joel Matlin, the companyÃ¢â‚¬â„¢s president.
AlarmForce, the major installer and manufacturer of two-way voice alarm systems in Canada, will begin broadening operations across the border in October. The company plans to open 50 offices within the next three years, although where they will be located is still up in the air.
Ã¢â‚¬Å“We havenÃ¢â‚¬â„¢t decided exactly where we are going to be,Ã¢â‚¬Â Matlin said, Ã¢â‚¬Å“but we are working on those plans right now.Ã¢â‚¬Â
The company currently has more than 30 offices and 50,000 subscribers throughout Canada. Matlin said he hopes to increase the subscriber base to 250,000 through the expansion. And growing this base may be easier considering the technology the company offers, which is not readily available through other providers.
Ã¢â‚¬Å“The product they offer, two-way voice, there is a place for it,Ã¢â‚¬Â said Jack Mallon, managing director of Mallon Associates.
The move was secured through a financing agreement with Acumen Capital Group that garnered proceeds of $3.25 million Canadian. According to Matlin, the funds coupled with AlarmForceÃ¢â‚¬â„¢s strong financial performance - the company has no debt per subscriber - assists the company with its growth.
Ã¢â‚¬Å“We are in a strong financial position and we are going to lever that to grow our business,Ã¢â‚¬Â Matlin said. Ã¢â‚¬Å“We have tremendous cash flow.Ã¢â‚¬Â
Mallon noted that the company has succeeded financially because it has stayed away from the acquisition fray that plagued other mass marketers such as Protection One and ADT Security Systems.
Ã¢â‚¬Å“That separates them from the pack,Ã¢â‚¬Â Mallon said. Ã¢â‚¬Å“They are the only alarm company that makes a bottom-line profit.Ã¢â‚¬Â
And if the profit margin continues after the expansion, Matlin said there may be plans to move the companyÃ¢â‚¬â„¢s service area further, although he was not able to disclose any specific details. For the time being, the companyÃ¢â‚¬â„¢s focus for the near future is clear.
Ã¢â‚¬Å“We are going to build a national operation in the United States,Ã¢â‚¬Â he said.