Tue | Aug 22, 2017

Paramount Trading Gets Growth Opportunity

Published:Thursday | April 14, 2016 | 4:00 AM
Contributed Photo From left: Radcliffe Knibbs, Barbara Kudis, Rowena Buddington - company secretary; Sharon Donaldson-Levine - mentor; Richard Rogers, Daryl Fong Kong and Hugh Graham

Head of Paramount Trading (Jamaica) Limited, Hugh Graham took up the option to list on the Junior Stack Exchange because of the opportunity to grow the company through capital injection as opposed to going the route of loans, which would lead to high interest rates that would have proved inimical to their growth.

Graham told The Gleaner that the opportunity presented an option to allow the staff, in particular the ones who have been there for a long time and have invested their time and efforts, to see the company succeed. Most importantly, the listing allowed them to own a stake in the business.

"Second, we were able to retire expensive loans and expand the business, such as, through the acquisition of necessary equipment and offer services to our customers that we were not able to do so before listing," Graham said.

The result is that the company has experienced immense growth, due to:

(a) Increase in the staff complement which has now doubled,

(b) An increased product portfolio

(c) Greater contribution to the economy,

Graham said he would most definitely encourage other small enterprises to list on the junior exchange because of the cheaper source of funds which allows companies to expand their businesses through retooling and retirement of old machinery, re-engineering and launching of new products, increasing inventory, adequate/increased working capital, retirement of expensive loans and upgrading fixed assets.

"Listing also allowed us the opportunity to have a more efficient workforce, appoint a mentor to guide us every step of the way and also appoint a board of directors to provide more guidance and policymaking.

janelle.oswald@gleanerjm.com