BUFFALO, N.Y.—Lynch Fluid Controls Inc., established in 1987, is a manufacturing company based in Ontario, Canada, producing hydraulic and motion control products. They supply the aerospace, military, material handling, construction, and oil and gas industries. In Canada, they own multiple facilities totaling 63,000 sq. ft. and employing upwards of 90 employees.
Despite all that success, Lynch knows, like a great painting, his business is never finished. In 2017, he put his eyes on a new frontier: American expansion.
With the help of Invest Buffalo Niagara, in just a few months, Lynch USA, the U.S. subsidiary company, was born. Since, they have set up a warehousing and distributing space, with hopes to break into American manufacturing in phase two of their expansion. In each of their first 10 months, Lynch USA has hit targets, reaching 210% of their goal in June.
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Exporter Insights 2018 is a national report by CanadianManufacturing.com focused on industrial businesses that export their products and services overseas. This year’s report included a number of top Canadian exporters including Ernie Lynch. His contribution can be viewed on pages 12-14 of the report. Below is a short excerpt.
Meanwhile, what works for one exporting business, might not work for another. Lynch Fluid Controls, for instance, recently set up a new facility in the U.S. to handle shipments from its Canadian manufacturing plant, mainly because it didn’t want to rely on a third-party logistics provider, better known as a 3PL. “We wanted to have our own people handling our own goods without any interference from the states happening,” Ernie Lynch said. “We’re very tight on quality control so if our own people are trained the way we want them to be trained then there’s a higher probability of success in doing it that way.” While the hydraulic equipment manufacturer has been shipping product to the U.S. for years, the company decided it was time to establish a bricks and mortar presence south of the border, partly as a result of the changing political climate.
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Invest Buffalo Niagara worked with Lynch to set up cross border meetings so that they could get information on incorporation, tax and accounting, banking, immigration, and human resource compliance in the U.S. Research concerning workforce, and colleges and universities was given to help the business case.
“Owning A business is like making a painting that never dries” – Ernie Lynch
Invest Buffalo Niagara also coordinated the site selection process and helped find their ideal site. In their first phase, they have set up a warehousing and distribution space. In each of their first 10 months, LynchUSA has hit targets set, reaching 210% of their goal in June. Their current location in Niagara County has space for eventual expansion into manufacturing.
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