Client:An industrial chemicals company
Product:Industrial chemicals for use in paint and powder coat stripping.
The finance need:
Short-term funding was needed for a buy-out of the company in 2014, which the traditional high street banks had refused to finance due to the buyer being from a different professional background. The company has since used ongoing invoice discounting from Henry Howard Cashflow Finance to ensure it maintains a healthy cash flow. It has also benefited from Henry Howard Asset Finance’s services in funding equipment and hire purchase agreements.
A successful management buy-out of the company which has recorded like-for-like sales up by 67% in the last six months. The company has been so successful under the new ownership it has expanded its team from six to eight people and looks set to continue growing throughout 2016.
“The funding from Henry Howard Cashflow was agreed quickly on flexible terms,” the new owner said.
“Their client managers provide much more than simply the invoice finance, they provide advice on finance, business consulting, contacts in finance and collections. They’ve been a huge help.”
New Owner, An industrial chemicals company
The new managing director of the company, who oversaw the buy-out in 2014 had been looking to acquire a new business for several months when he came across this business. His background was not in the chemicals business which meant, despite a solid business plan and the support of other senior management, he was refused funding by a number of major high street banks.
He was introduced to Henry Howard Finance, in November 2014 and was quickly able to agree a short-term funding package to facilitate the buy-out. Henry Howard Finance’s team has continued to provide invoice discounting to ensure a healthy cash flow even when customers’ payments are delayed.
They also introduced him to the Henry Howard Asset Finance team, which has been able to help out with capital spend on equipment and supported hire purchase agreements with customers.