From in trouble to prosperous
The Metrofile case study
For those of you who are not familiar with Metrofile. It is an end to end business data and documents Storage provider. They keep all those important documents and data for you safely, and when required destroys it.
This is great when you think of a data privacy perspective. Especially with stricter regulations like GDPR or POPI etc.
The original business model was very paper focused. Meaning that all documents were physically stored in boxes and big warehouses. This was a costly business model. As customer documents increased, so did the fixed costs (as warehouse space became limited). Resulting in a struggling business to keep up with costs in time.
Fast forward to the future (now) where Metrofile still have these warehouses, but customers are moving away from physical storage to digital.
Metrofile was able to successfully pivot their business, with a new focus on digital while maintaining their legacy business, boosted profits for a business that was deemed to be too “aged" to survive.
The digital focus has “future-proofed” the business, as demand for their product (safety and storage of data) will remain relevant and needed. It has created a refreshed business which is profitable, sustainable and has the potential to grow.
It is therefore no surprise that multiple buyers are eyeing the business. If it was not for the Pandemic, the resilient business would have already been bought by a private equity firm from the US.