Skip to main content

Finance for Business UK - Hire Purchase

A new customer of Finance for Business UK manufactures and erects metal structures for main contractors, local fabricators and sub contract steel stock holders.

 They have recently achieved ISO9001 and BSE1090 exec 2 for CE markings which are now a requirement by law and will set the company ahead of its competition.  With 27 years experience in engineering, the company Director comes from an engineering family and his business formation is the culmination of years of hard work.

Increased capacity increases profit

Finance for Business’ client currently run CNC and NC profilers in constructing their metal structures.  In order to move into the laser market to speed up the cutting process and become more accurate and efficient, the client approached Jeff Rimmer at Finance for Business to discuss financial options to fund a Bystronic Byspeed 3015 machine.  Jeff introduced the customer to Barry Joughin, Business Development Manager at Close Brothers Business Finance to discuss funding requirements.

The Bystronic machine is much sought after in the second hand market and the particular machine the client wanted to purchase was in excellent condition.  Barry worked with Jeff and his client to develop a tailor-made financial package to acquire the machine.  Through assessing affordability, it was apparent that once in place, the machine would pay for itself.  It would also allow for increased capacity and increase profit.  As well as improved efficiency, the machinery would allow the business to expand in the sub contract market and revolutionise the business model.

Taking on the competition

Barry quickly realised that Finance for Business’ client would be eligible for a Regional Growth Fund (RGF) grant.  It would allow for the young company to invest, expand and grow which fits perfectly with the ethos of RGF.  Without the support of RGF, the company could not afford to make the large deposit required.

Following a successful RGF application, a suitable financial package tailored to the business’ needs was put in place.

With the funding in place, the client was able to purchase the Bystronic machine and enter the laser market.  The company can now expand and compete in the sub contract market.

Jeff Rimmer at Finance for Business UK said: “The RGF has been very successful in allowing SME’s to invest in the latest technology. In a lot of cases this has been life changing for the businesses. This support from the Government in conjunction with Close Brothers gives the manufacturing sector the confidence to invest, with the added bonus of growing their business and creating jobs. Close Asset Finance are leading the way with their approach to assisting SME’s with their flexibility towards underwriting. Their Broker Development Managers work closely with the broker, which works well when developing customer relations. Barry was quick to react on this occasion and he made himself available for a joint customer appointment that was mutually beneficial to all parties.”