The company is a waste management and recycling firm based in the North West, who have been supporting domestic, industrial and commercial customers for over 50 years. PMD was approached by the company’s accountants to look at supporting them through the coronavirus crisis, as their current bankers were not providing the support needed.
An injection of working capital was needed for the business but PMD’s team of advisors identified that the company would also benefit from refinancing their existing hire purchase commitments to lower their monthly outgoings, allowing them to grow over the upcoming years.
PMD utilised two finance providers to deliver the respective facilities, using our specialisms across business loans and asset refinance. A funding package of £150,000 was sourced to provide an injection of working capital and Asset Refinance was agreed with a cash release of £300,000 and at the same time lower their existing monthly outgoings on hire purchase agreements to provide a platform for growth.
The company’s accountants were key to helping PMD pull the deals together, by modelling the new financial structure and forecasting the firm’s cash flow and growth capacity post COVID-19 with the new structure PMD had proposed.
The company now has a financial structure in place that will give them the platform to grow the business further over the next few years. It is a great result and PMD is proud be able to successfully support businesses throughout these times. Chris Harland, Managing Partner at Barlow Andrews, commented about the deal:
Despite the challenges of lockdown and remote working we have been working proactively with our clients to help them manage the impact of covid-19. Forecasting cash flows and securing funding to support our clients has been key to this. Working closely with PMD and the client meant we were able to source a funding structure that minimises the impact of COVID-19 and supports their future growth plans.
‘There are many UK businesses who have been declined by their banks for funding but there are other options available. When we were introduced to this client from their advisors, we quickly identified that the business could benefit from combining two funding packages. This is a longstanding, family owned business who we are proud to have supported. They now have the financial backing to keep them growing as we move out of the pandemic.’