ChipsAway plots path to 60% growth in network

ChipsAway, the accident repair specialist, is planning to increase its network by 60 per cent in the next two years. The company, which specialises in small to medium accident repairs, wants to increase the number of UK franchisees from 300 to 500 by 2005.

It comes after the Kidderminster-based company was the subject of a management buy-in in September. Now it plans to approach insurers to gain approved repairer status – a move that could put it on a collision course with UK bodyshops competing for a valuable revenue stream. However, many accident repair centres consider minor accident repairs unprofitable and prefer to focus on more major work.

Steve Bignell, managing director, says total turnover for the business's franchisee stands at £20m a year. “We haven't even scratched the surface yet," says Bignell. As part of ChipsAway's expansion plans, it is also hoping to increase its presence in the European SMART repair sector. That means increasing representation abroad from 12 to 20 countries with the group's key focus on France and South Africa.

The latest ChipsAway franchise to open is in Greece, shortly after the company opened on the Spanish market.