Beatrice Lang
Smith Electric Vehicles (also known as Smith's) was a manufacturer of electric trucks and milk floats, founded in 1920 in the north of England. The company moved its headquarters to Kansas City, Missouri, in 2011 and suspended all operations in 2017 due to a lack of funding. Smith Electric Vehicles had a long history in the electric vehicle market, dating back to the 1950s, and produced a range of zero-emission commercial electric vehicles. Despite their early success and ambitious plans, financial troubles and strategic shifts led to their eventual suspension of operations.
| Characteristics | Values |
|---|---|
| Year founded | 1920 |
| Headquarters | Kansas City, Missouri |
| Founder | Northern Coachbuilders (NCB) |
| Initial business focus | Electric trams and trolleybuses |
| Initial base | Newcastle upon Tyne |
| Initial vehicle | Milk float |
| Year of vehicle production diversification | 1949 |
| Year of expansion to North America | 1962 |
| Year of temporary suspension of operations | 2014 |
| Year of permanent suspension of operations | 2017 |
| Reason for suspension of operations | Lack of funding |
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What You'll Learn
Smith Electric Vehicles' history and headquarters
Smith Electric Vehicles, also known as Smith's, was a manufacturer of electric trucks and vans. The company was founded in 1920 as Northern Coachbuilders (NCB) in Newcastle upon Tyne, North of England. NCB initially produced electric trams and trolleybuses before moving into electric delivery vehicles. In 1949, the company's electric vehicle and bus production were separated, with buses continuing under the Northern Coachbuilders brand. All NCB electric vehicles were manufactured by Smith Electric Vehicles, which was based in Gateshead.
The Smith family founded the business and ran it until 2004, and they also own Ringtons Tea in North East England. In the 1950s and 1960s, Smith Electric Vehicles focused on the milk float, an electric vehicle designed for doorstep dairy deliveries. During this period, they launched the Smith Cabac, the first delivery float with a rear-entry cab, allowing the milkman to exit the vehicle on either side. Smith expanded its operations to North America in 1962 through a partnership with Boyertown and the Exide Division of the Electric Storage Battery of Philadelphia to produce electric delivery trucks.
In 2010, Smith celebrated its 90th anniversary and introduced the UK's first all-electric 17-seat minibus, the Smith Edison, at the Commercial Vehicle Operator Show. The company also announced SmithLink, the first telematics system for electric commercial vehicles, providing real-time data on battery state and vehicle location.
In 2011, Smith moved its headquarters from Washington, Tyne and Wear to Kansas City, Missouri. This move was driven by Smith's US subsidiary acquiring the parent company for $15 million. Despite producing over 800 commercial electric fleet vehicles between 2010 and 2015, Smith struggled to turn a profit and suspended all operations in 2017 due to a lack of funding. However, the company indicated that it was not shutting down permanently and was working on obtaining financing for a reorganization.
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The company's financial issues and funding
Smith Electric Vehicles (also known as Smith's) was a manufacturer of electric trucks founded in 1920 in the north of England. The company moved its headquarters to Kansas City, Missouri, in 2011. Smith's business in the 1950s and 1960s focused on the milk float, an electric vehicle designed for milk deliveries. Over the years, Smith expanded into North America and diversified its product offerings to include heavier electric trucks.
However, Smith Electric Vehicles faced financial troubles and funding issues throughout its history. In 2014, the company halted truck production and suspended operations, citing strategic reasons and the need to transition to higher volume manufacturing. While Smith had some notable clients, such as Coca-Cola and the U.S. Marines, it struggled to turn a profit due to low production volumes and insufficient return on investment. The company also faced challenges with collaborations and securing large contracts, such as with the U.S. Postal Service.
In 2015, Smith Electric Vehicles was in a precarious financial situation, needing to raise millions to avoid bankruptcy. The company relied on investments from overseas entities, such as FDG Electric Vehicles Ltd. and its subsidiary Sinopoly Battery Ltd., to stay afloat. Despite these efforts, Smith continued to struggle, and in 2017, it ceased all operations due to a lack of funding. The company's board explored alternative financing options, and while they considered it a pause, they were unable to secure the necessary funding to resume operations.
Smith's financial issues also impacted its legal standing. By 2017, the company was facing multiple lawsuits from suppliers seeking payment or contract fulfilment. The company's inability to raise sufficient capital and the uncertainty around its future led to its eventual demise, despite its innovative electric vehicle technology and ambitious plans for expansion.
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The suspension of operations
Smith Electric Vehicles, a manufacturer of electric trucks, suspended all operations in 2017 due to a lack of funding. The company, which was founded in 1920 in the north of England, had moved its headquarters to Kansas City, Missouri, in 2011.
In the years leading up to the suspension of operations, Smith Electric Vehicles faced several challenges. In 2014, the company halted truck production and ceased operations in Kansas City, citing strategic reasons and the need to transition to greater manufacturing volumes. While Smith had some large clients, such as Coca-Cola and the U.S. Marines, the company struggled to turn a profit due to low volumes and limited return on investment.
Smith Electric Vehicles also encountered setbacks with collaborations and contracts. A deal with Ford Motor Co. to develop electric vehicle technology ended, and anticipated large contracts from the U.S. Postal Service did not materialize. The company's financial troubles were further exacerbated by a failed attempt at filing for an initial public offering, leaving it in need of external investment to avoid bankruptcy.
Despite the suspension of operations, Smith Electric Vehicles denied that it was shutting down permanently. The company's board worked to secure financing for a reorganization, and in 2017, there were reports of a potential fresh injection of funding from a US investor. However, it is unclear whether these efforts were successful in reviving the company's operations.
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Smith's electric trucks and vehicles
Smith Electric Vehicles (also known as Smith's) was a manufacturer of electric trucks and vehicles. The company was founded in 1920 in Newcastle upon Tyne, in the north of England, as Northern Coachbuilders (NCB). In 1949, NCB's electric vehicle and bus production were separated, with buses continuing to carry the Northern Coachbuilders brand, and all NCB electric vehicles manufactured by Smith Electric Vehicles, which was based in Gateshead.
Smith Electric Vehicles' business in the 1950s and 1960s focused on the milk float, a vehicle designed for the doorstep delivery of milk and other dairy products. During this time, the company also began producing Mister Softee electric ice-cream floats and the Smith Cabac, the first delivery float with a rear-entry cab. In 1962, Smith Delivery Vehicles signed a partnership with Boyertown and the Exide Division of the Electric Storage Battery of Philadelphia to produce an electric-powered delivery truck, marking the company's first steps into North America.
In 2004, Smith was acquired by the Tanfield Group, an engineering company based in North East England, for £2.2 million and one million new ordinary shares. Tanfield restored the Smith Electric Vehicles brand name and began researching and developing new electric delivery vehicles. In 2009, Tanfield established a Delaware corporation, Smith Electric Vehicles US Corp (SEV US Corp), to penetrate the North American market. In 2011, Smith moved its headquarters to Kansas City, Missouri.
However, Smith Electric Vehicles began to face financial troubles and, in 2014, the company halted truck production and suspended all operations, citing strategic reasons and the need to transition its manufacturing and assembly processes. While Smith denied shutting down completely, the company had failed to turn a profit and was facing increasing competition from other electric automakers, such as Tesla Motors. In 2017, Smith Electric Vehicles ceased all operations due to a lack of funding, with its board exploring possible financing options for a reorganization.
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The company's future plans
Smith Electric Vehicles' future plans are currently uncertain, as the company has ceased all operations as of 2017 due to a lack of funding. However, there are indications that the company is not completely shutting down and is working on reorganizing and exploring new funding options.
In the past, Smith Electric Vehicles had planned to expand its production facilities beyond its Kansas City base, with proposed new plants in New York and Chicago. These plans were put on hold due to financial difficulties and the company's failure to secure large contracts, such as with the U.S. Postal Service.
Smith Electric Vehicles has a history of innovation in the electric vehicle market, dating back to its founding in 1920. The company has produced a range of electric delivery vehicles, including milk floats and the Smith Cabac, which was the first delivery float with a rear-entry cab. In the 1960s, Smith entered the North American market and began producing electric-powered delivery trucks.
To get back on track, Smith Electric Vehicles may need to secure additional funding from overseas investors, such as FDG Electric Vehicles Ltd. from Hong Kong, with whom they have had a previous investment relationship. Smith's board may also need to explore alternative strategies and partnerships to reduce costs and increase production volume to make the business more financially viable.
While Smith Electric Vehicles' immediate future is uncertain, the company has a long history of resilience and innovation in the electric vehicle market. With the right funding and strategic decisions, there is a potential for the company to resume operations and continue contributing to the development of electric vehicle technology.
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Frequently asked questions
Smith Electric Vehicles, also known as Smith's, was a manufacturer of electric trucks, founded in 1920 in the north of England.
Smith Electric Vehicles ceased all operations in 2017 due to a lack of funding.
Yes, in July 2010, President Barack Obama toured Smith Electric Vehicles Corp.’s plant and praised the company for helping to fight through a vicious recession and build the economy of America's future.
Yes, in 2014, Smith Electric Vehicles halted truck production in Kansas City and was in deep financial trouble.
Yes, in 2015, Smith Electric Vehicles formed a joint venture with FDG Electric Vehicles Ltd. to produce and sell electric vehicles.
