Mar 4

Affinity assist established client with over £1M of funding to expand their production facility, due to sudden bank withdrawal

Posted: 4 March 2020 by admin

We were approached by an existing customer who needed to expand and overhaul a large amount of production equipment. They specialise in food manufacturing and production, supplying mainly blue chip companies. In the first instance, they had already paid for over £1M of various equipment from cashflow, as their bank had suddenly withdrawn from the Asset Finance sector. Although they had significant cash, it was the prudent measure to refund the money already spent through a Sale & HP back facility. We provided a 5 year facility with only 10% + VAT deposit, meaning  all the new equipment was under one agreement and they could benefit from cash back into the business.

In addition, they had already ordered a new continuous processing system which was due for delivery in December. We had an approved facility within a matter of hours for £462K structured over 5 years with only 10% + VAT deposit. This demonstrates how the broker market is key to supporting SME’s across the country. As the bank had withdrawn so suddenly, the client’s options were limited. However, we were able to step in and become a seamless alternative to a major high street bank, offering the same competitive terms and rates. The client was delighted and we will continue to develop our relationship going forward.