Sanders Plant and Waste Management
Sanders Plant and Waste Management Ltd – based in Morpeth, Northumberland – is a family-owned transport, recycling and plant hire company. It has operated volumetric concrete mixers since 2008 and thanks to its ongoing success, the company has invested heavily in expanding the business within this niche market.
Challenge
The company was looking to purchase a 44 Tonne, 5 axle Volvo FMX volumetric concrete wagon, manufactured by Armcon, that can guarantee up to 11 cubic meters of concrete per load. This would enable the company to efficiently address growing customer demands and expectations across the North East of England.
New regulations in the industry meant the purchase needed to be brought forward, but the potential requirement of a large deposit would have a detrimental effect on Sanders’ cash flow.
In addition, they needed a quick turnaround with the Hillhead Show just around the corner.
Solution
Chris Hall, Sales Director of the Burton office, responded quickly to Sanders’ call, changing his plans and ensuring a meeting was set-up immediately.
After discussing the deal and looking at various finance options, Chris and the team came to the logical conclusion that the finance product of choice was Hire Purchase funding over a 60 month term to fit their cash flow requirements, meaning the asset would belong to Sanders Plant & Waste Management at the end of term incorporating a VAT deferral to match their VAT return.
Results
The deal meant Sanders could start using the 44 Tonne, 5 axle Volvo FMX volumetric concrete wagon in advance of the new legislation, which allows them to carry more product, thereby increasing productivity, profits, efficiency and delivery.
Carl Sanders, Managing Director: “This is not the first time we’ve dealt with Close Brothers Asset Finance. They have contributed strongly to the growth and development of the business over the years. With their reliable, efficient and stress-free attitude we would always consider them to provide us with a solution and competitive quote."
