Large Businesses
Difficulties were encountered when the directors moved into publishing with further losses materializing because of the mismanagement of a large fixed price contract. By the time Cashflow UK were introduced, preferential arrears had reached £382k.
With severe Inland Revenue and paper supplier pressure, and the bank refusing to increase their overdraft, we were challenged with sourcing a facility in the knowledge that at least 4 factors had already declined.
Recognising the breadth of the problems the business was facing, we decided to present the business to a provider capable of taking a wider view of security. This included equity in printing machinery and a freehold property.
Within a week of us submitting our report and information pack, a factoring provider agreed to provide a £900k facility, subject to the overdraft and mortgage being cleared, and a repayment structure being agreed with the preferential creditors. With a debenture registered by the factor to encompass the wider security, cash was made available 17 days after our introduction.
This company had developed a unique software product that copies all emails in and out of an organisation and is able to hold them in the same way as a Blackbox recorder. When approaching Cashflow UK they already had a large number of purchase orders in the pipeline from various professionals including pharmaceutical companies, law firms and shipping brokers. They were forecasting turnover in year one of £6m from a standing start.
A confidential invoice discounting facility was obtained for the client.
A labour and plant hire business serving the railway industries. They were seeking a confidential facility. However, there was some history; two disqualified directors, Inland Revenue and VAT arrears although a repayment plan was in place, and CCJs registered but mostly cleared. The business was CIS registered, forecasting a turnover of £12.5m.
Despite this backdrop an invoice discounting facility was duly secured for the client.
