Contract boosts Velocity's annual turnover by R100-m

New Durban warehouse on the cards Ray Smuts THE i's have been dotted and the t's crossed; all that remains is a signature which will boost Cape-based Velocity Freight Services' turnover by more than R100 million a year. That says something for a black empowerment company that decided to 'do it my way' after being refused a lowly R50 000 by the banks to start out in business. In the words of partners Shaheed Essa and Faldielah Jattiem "it's the best fifth anniversary gift we could have anticipated." (They are hoping for a five-year contract). The name of the company will be made known once the contract has been signed some time this month, but it involves importing and distributing a certain commodity throughout South and sub-Saharan Africa, including Madagascar and the Indian Ocean islands. In anticipation of the contract which will almost double Velocity's turnover - projected income for this year is R60 million - Essa and Jattiem have signed an offer to purchase for R12,3 million a 20 000 sq m warehouse at Prospecton in Durban. Velocity currently operates a small warehouse in Durban and employs a staff complement of three, but the intention is to increase to around 20. The same applies to to Gauteng where the search is on for 8 000 sq m of warehouse space in Jet Park, Kempton Park or Benoni. Approval is awaited from the Cape Town city council to proceed with the building of a R5 million, 6 000 sq m, warehouse at Velocity's headquarters at Lansdowne/ Phillippi.