State Securities has funded a new start Scottish concrete company to the tune of £170,000.
The company wanted to purchase a new volumetric concrete dispenser, comprising of a Scania truck and Armcon cementech unit, to expand their production and increase profits. The dispenser can mix on site, providing instant concrete production, and therefore can travel further than a standard mixing truck, with less wastage. This new operation fills a niche in the market and provides concrete on a small scale, which some larger concrete suppliers avoid. However, as a new start business and with a deposit of only £17,000, high street funders did not have the appetite to lend the money. Then State Securities stepped in.
As a specialist in fulfilling complicated transactions, State Securities was approached and provided a funding package of £76,500 asset finance and a Small Firms Loan Guarantee (SFLG) of £76,500. An SFLG is used where there is a shortfall of traditional security and is ideal for small firms and new
start businesses (trading up to 5 years). VAT was deferred using a 3 month charge on residential property. Once the VAT is paid, the charge will be removed.
Rob Wall, the Account Manager at State Securities who oversaw the deal, commented, “By using our asset finance product combined with an SFLG, even with a minimal deposit, we were able to provide the funding, enabling the customer to complete the purchase of the cement dispenser and to start building up their concreting business. The deal demonstrates how we can provide a customised solution to meet customer’s specific needs, whatever their business circumstances.”
State Securities provides an extensive range of asset finance, refinance, commercial mortgages, factoring, turnaround finance packages and the SFLG to UK based SME’s.
Contact : Rob Wall, tel 01489 775624 or visit www.statesecurities.co.uk
