The financial benefits of using an aluminium stockholder 

The primary reason manufacturing companies use aluminium stockholders may be for assistance in sourcing high-quality materials, but there can also be some important financial benefits in long-term supply partnerships.

Good metals stockholders now do much more than simply buy materials and then sell on an ex stock basis. For example, Multi Metals offer a full supply chain management service that can guarantee availability of the specific materials used in your production process and help you to manage your working capital.

This does not just apply to ‘standard’ materials, such as sheet and box section, as we can also offer the service on bespoke aluminium extrusions.

How does it work?

One of the major problems SME manufacturers have when trying to source custom extrusions is the large minimum order volumes required when purchasing direct from aluminium mills.

This can leave you with a tricky decision between tying up your funds by buying a significant quantity of materials before you have guaranteed orders and risking not being able to respond quickly enough to changing order volumes from your customers due to the long lead times of mills.

The Multi Metals stock management service can remove the need to make this choice and provide you with the security of guaranteed availability of materials, without having to commit the funds needed to meet the minimum order volume of the producer in one go.

Utilising our established relationships with reputable aluminium mills around the world, we can identify the right producer for your bespoke extrusions, negotiate the best price, ensure that everything complies with your quality systems and organise the manufacture of the materials.

We then offer a full designated stockholding service, organising storage for the custom aluminium extrusions (in some circumstances, materials could be held at your premises for added convenience) and allowing you to draw down from the stock and pay for the materials at an agreed price as and when you need them.

This type of arrangement offers a number of advantages over buying direct from the mill, including:

  • Simpler working capital management
  • Price stability
  • Establishment of a highly efficient and robust supply chain
  • The security of guaranteed availability of materials
  • Just In Time delivery
  • Quicker response times to customer requests

The Multi Metals team can replicate the dedicated stock model for any aluminium material used in volume, including sheet, section, bar and tube.

Having the required grade and size of key materials available for next-day delivery at a fixed price, without having to tie up large amounts of capital in stock, is beneficial for any manufacturing business.

Engineering and finishing services

Stock management and supply chain management are not the only ways in which Multi Metals help to reduce costs for our customers.

We also offer an extensive range of engineering and finishing services to ensure your aluminium is delivered in the exact form required for your production process, helping to reduce your sub-contractor spend and transport costs.

The services available include cutting, welding, CNC machining, fabrication, sleeving, kitting, anodising, powder coating and polishing.

For more information about our stock management service or to discuss your aluminium requirements in details, please contact Multi Metals.