Case Studies - Medium Business

Steel Fabricator

A supplier of steel manufactured products, this company also provided skilled industry staff to large companies. The company's sales team were doing a great job, with sales expected to triple over the coming twelve months. However when they approached their bank manager, he refused to increase their overdraft facility.

The steel fabricator's managing director contacted a factor who 'sat' on their case for two weeks. Exasperated and worried that they might not be able to pay their staff in two days time, the directors contacted us.

We moved fast and arranged for one of the top management of a local factor to visit the company the very next morning. He also moved with speed to complete the necessary paperwork during the initial meeting. Later that afternoon - less than one day after contacting us - the company received the required cash from the factor to pay the staff.

Mobile Accessories

This was a well-established dealer of branded mobile phone accessories. They dealt in the international marketplace, and were able to secure keenly-priced deals from suppliers by paying cash on delivery.
Although these purchase transactions were mainly funded through the use of a trade finance facility, the facility did not allow them to offer credit terms to their customers, consisting mainly of independent retailers throughout the United Kingdom. Sales forecasts were approaching £2 million.

We were able to secure the company a solid factoring facility that enabled it to offer credit terms to its customers, thereby meeting its demanding forecasts.

Council House Maintenance

A provider of maintenance services to Housing Associations and County Councils. The company had a small overdraft facility with its bank, which was not adequate for its needs. They approached the bank's factor, but were turned down factoring facilities because the business held a CIS (Construction Industry Scheme) certificate.

Additionally, much of the firm's turnover was attributable to one customer, something that many factors are not particularly keen on (even if the customer is a local authority). In a relatively short period, we obtained a suitable factoring facility for the client. This improved their cash flow dramatically, and in the first month were able to completely repay their overdraft facility.