Allwood Machinery was established in 1981 By Peter and Jacky Whitehead, followed 2 years later by Michael Hinks.  Both Peter and Michael gained their experience in the industry at Interwood Ltd.

At first the company carried out servicing and repair work for all kinds of woodwork machinery.  This quickly developed into supplying pre-owned machines and rebuilding ex-Interwood equipment.  Because of Allwood's experience within the woodworking industry their customers started to ask for special purpose machines to be manufactured for their specific jobs.  This proved a huge success and Allwood, within 5 years of starting their business, outgrow their premises and moved into a purpose built factory.

Eventually, a comprehensive range of new machinery agencies was built up, with machines supplied mainly through European companies, many of which are still solely represented by Allwood.  These being Bi-Matic, Magic, Pinheiro and Unitec.

When in December 2001 Interwood closed after 73 years Allwood purchased the spares, stock, intellectual property rights and the Interwood trademark allowing Allwood to continue the well-established name and supply spare parts, accessories and advice.