News
When the wholesaler of a leading range of branded consumer electrical equipment approached Mark Turner, Business Development Manager at Bibby Financial Services (UK) Limited to discuss a working capital facility, he thought that an invoice finance facility could provide the ideal solution.
However, after speaking with the client Mark concluded that in this particular situation, supply chain finance could be a better option. As Mark said, At BFS, we always place the client at the centre of everything we do and this includes finding them the right solution for their business, irrespective of whether this is with us or another funding provider. In this instance, supply chain finance was undoubtedly the best option for the client, which is why we introduced them to Shaun Hyland at Reach Commercial Finance to help source the necessary facility. We have a great relationship with the team at Reach said Mark and while it is usually them passing opportunities to us, in this situation I wanted to know that my client was in safe hands.
After discussing the position with the client, Shaun also concluded that a supply chain finance facility could best meet the clientes needs. However, the fact that this was a new business purchasing initial inventory to sell to major retailers proved a major challenge for most trade and supply chain finance providers. After considering the options, Shaun introduced the opportunity to Clive Briggs of Reward Finance Group, commenting We needed a lender that could see the commercial opportunity behind the problem and then work with the client to deliver a solution rather than simply see if the proposition fitted a rigid lending policy.
While best known for delivering short term business finance facilities, often in demanding timeframes, Reward can also provide structured Asset Based Lending Solutions. The Client held a strong brand and established trading relationships but was changing the structure of the operation to improve efficiency said Clive. We established that the business owners could provide sufficient support for us to provide a £0.5m inventory loan for an initial 3 year term repaid from the proceeds of sale to major retailers.
A satisfactory outcome for everybody, especially the client and proof of the value of business relationships and the fact that even the challenging deals can be completed if everybody holds the correct mindset.
Reach Commercial Finance is an independent financial brokerage of Leonard Curtis Business Solutions Group. It has a wide range of experience in helping limited companies and corporate entities secure funding.
Get in touch with the team on 0800 993 0193 or hello@reachcf.co.uk to find out more about how we can help.
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Donec ultricies consequat.