A plant and tool hire company from the west of Scotland has set its sights on expansion into northern England following a refinancing agreement.
Hire and Supplies, founded in 2014 with a current workforce of 40, has secured a £2.52 million asset refinance deal facilitated by PMD Business Finance, based in Greater Manchester, and funded by Praetura Asset Finance.
The deal has allowed the firm to refinance over 250 assets across 160 hire purchase agreements and reduce its monthly debt obligations, reports our sister title .
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Director of Hire and Supplies, David Chandler, said: "This refinancing deal frees up significant cash that we will use to grow the business, specifically opening a bricks and mortar centre in Cumbria, where our sales have been steadily growing in recent years.
"The plant hire sector in Cumbria has seen some upheaval, with some competitors leaving or scaling back in the region."
"We believe there is a gap in the market for a firm like ours, particularly as the economic conditions will lead more businesses to hire in equipment than to buy it."
Currently, Hire and Supplies operates centres in Dumfries and Oban and runs an online platform that offers products ranging from excavators and dumpers to hand tools and workwear.
Will Brazel, regional sales director at Praetura Asset Finance, said: “This was a complex deal with many moving parts, but one that showcases the support that asset refinance can offer businesses. In this case, it provided significant additional working capital and reduced monthly finance commitments, to support Hire and Supplies growth into new territories.
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“The primary challenge here lay in the sheer number of agreements which required settlement. It’s a strong example of how close collaboration between the funder, the business and their broker, PMD Business Finance, can drive swift execution and delivery – funding was completed across three tranches in five working days.”
Kai Wynne-Jones, structured finance director at PMD Business Finance, said: "We’re delighted to have been able to support a fantastic business and management team with this asset refinancing transaction, ensuring Hire and Supplies executes its exciting growth plans which will create new job opportunities in Cumbria."
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