Q-MAC wins largest contract

FROM humble beginnings in a backyard laboratory and an office in a home garage, in less than a decade military technology company Q-MAC Electronics has morphed itself into a multi-million dollar international export business.

Q-MAC was founded in 1994 by radio design engineer Rod Macduff and continues to expand its operations with staff numbers now approaching 30.

Mr Macduff, the managing director and principal shareholder of Q-MAC, started the company after leaving a senior designer position with Barrett Communications, a competing communications supplier in Perth.

Mr Macduff left Barrett Communications after a proposal providing portable military radio equipment to the smaller end of the scale was rejected.

This proposal formed the basis of the business plan for Q-MAC - designing radios suited to poorer countries in the world wanting good quality, robust military equipment.

The company has since secured a global niche in the market for smaller, cheaper and simpler tactical radios.

Contract negotiations in Europe last week yielded a $3 million order destined for the Middle East, the biggest in the company's history

The company recently relocated to Malaga after spending the past five years in Osborne Park.

Q-MAC export marketing manager Russell Webber said the move to a smaller and more suitable factory was a step in the right direction.

"We've spent the last three months gutting the place," Mr Webber said.

"The refit will let us work at closer quarters, which means better co-operation between our employees and better work overall for our multiple product lines."

But the future wasn't always so bright, as Mr Macduff found out in the early days when he had to remortgage his house to prop up his company.

"Basically, he set up the company and ran it, even at that time, like a big company with regular management meetings and minutes and all those sort of good things," Mr Webber told WA Business News.

"The first order came from the State Emergency Service for about 200 systems.

"The company received a Western Australian support scheme grant and technology grant of about $20,000, which at that time was absolutely critical."

This wasn't the only funding the company was to receive, with strong backing from federal and state governments over the past 14 years.

"We've been federal exporter of the year once and WA exporter of the year three times," Mr Webber said.

"We've now sold radios to 113 countries around the world, including Antarctica, used by research teams.

"We've cherry-picked the very best staff from all over the world, taking radio engineers from the world's largest radio companies."