Driving Forward Success: Funding This Haulage Company’s Next Big Journey
Introduction to the Deal
This is a West Midlands-based haulage company that specialises in road surfacing. Founded in 2020, this business has experienced rapid growth and has built strong relationships with well established clients. With a successful year in 2023, they reinvested their profits back into the company, positioning themselves for future growth. The speed of their growth has presented challenges, especially with cash flow. Timing discrepancies between debtor payments and creditor requirements have caused issues managing their working capital.
What We Did
To address the cash flow pressures from their rapid growth, we provided a tailored, multi-product solution consisting of a £120,000 invoice finance facility and a £150,000 asset finance facility. This solution directly supports their working capital needs and also enables the purchase of an additional HGV truck. By combining invoice finance with asset finance, we’re providing a solution that both stabilises cash flow and also facilitates their growth.
In addition, our team provided our Selective Bad Debt Protection service to safeguard the company in case of any non-payment issues from their customers. This added protection ensures stability in their working capital while they continue expanding.
Outcome of the Deal
The combined facilities provide the business with the resources needed to sustain its growth trajectory. The immediate boost in cash flow alleviates their financial pressures and positions them to handle more clients confidently. Acquiring an additional vehicle further enables the company to take on increased demand, improving turnover. Our team’s expertise and multi-product solution were key in securing this partnership, providing the financial stability and flexibility they need to thrive in a fast-paced competitive sector.
