PMD Leasing Ltd.’s customer supplies all levels of Traffic Management Operatives to some of the industry's biggest and most distinguished companies. The company’s primary operation is hiring out traffic maintenance vehicles along with crews of men to support highway maintenance contractors.
Increased service demand
PMD approached Close Brothers Business Finance with a customer who had recently secured several new contracts, which meant they needed to invest in a number of new specialist vehicles in order to be able to meet the demand.
Realising that they would need support to fund these purchases, the company Director met with their contact at PMD who introduced them to Close Brothers to discuss possible finance packages available.
An innovative funding solution
Together with PMD, Close Brothers put together an application for a grant from the government’s Regional Growth Fund (RGF) through the Close Brothers Asset Purchase Scheme. This scheme enables qualifying businesses to receive a grant towards a deposit on a new business asset, of up to 20% of the value of the investment, dependant on the size of the business and the number of jobs being created or safeguarded.
PMD’s customer application was successful, resulting in a grant worth £30,000, with Close Brothers providing a flexible Hire Purchase facility to cover the balance of the specialist vehicles.
‘Sustainable platform for growth’
The RGF grant and the residual value based funding from Close Brothers enabled the business to meet their new customer’s needs and competitively fulfil the new contracts gained.
The customer said “The funding from Close Brothers has helped create a sustainable platform for growth that allows us to capture an increased market share.”
“We are now becoming a very strong player in our market with a rapidly increasing client portfolio. The sector is buoyant at present due to legislative changes and increased government spending, and we are well placed to capitalise on that,” he added.
Rob Dermody from PMD commented, “When this customer approached me with their requirements, I knew this was a deal for Close Brothers. With the speedy decision making and assistance with an application to the Regional Growth Fund, they were the best lender to suit my customer’s needs.”