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In 2017 we assisted a client in achieving an important round of funding in record time! We’re now pleased to update that the management buyout we helped to shape is in the final stages of the payment plan with the seller.
As mentioned in our previous article our client, a household name in the manufacturing industry with a turnover of over £1.5m, came to us for advice as the company began to go through a change of ownership.
Working closely with the MD we were able to identify the most efficient finance solution. Following this decision, we were then able to prepare the business plan and application so that when it arrived with Close Brothers they were able to process the funding in less than two and a half weeks!
Payment Plan Completion
We’re now extremely pleased to announce that the client is almost at the end of the payment plan with the seller. The completion is set to be an incredible four months earlier than expected and the client’s business is booming!
After the company was sold to the Sales Director back in April 2017 the earn out period and payment plan for the purchase was scheduled over 12 months. Although there were reservations about this being enough time, this was far from the case. The company has excelled, and with help from their new Head of Finance the final payment is due to be made four months earlier than expected.
The company has had a fantastic few months, and on top of looking forward to completing the payment plan, they have also recently secured a grant from the government to help improve the lighting within the warehouse, and won a new contract with an industry leading car manufacturer.
Cottons Services and Corporate Finance
We worked very closely with our client along with Close Brothers to provide an invoice finance facility that helped to support the on-going cash flow requirements in the buyout.
Callum Veasey from Cottons Chartered Accountants has commented,
“It was great to work so closely with the funder and client. The time constraints created a situation with slightly increased pressure, however we were able to build a great relationship with both parties. We worked extremely hard, day and night, to ultimately achieve the goal within such a tight deadline. It has been a great experience and it’s fantastic to know what our team is capable of achieving under such pressure.”
Our dedicated corporate finance team can assist you with all things funding while our partners, accountants and tax advisors can work with your business before and after to ensure that your business is operating in an organised, effective and tax efficient manner.
To discuss business planning and finance, or find out more about our tax and accounting services then contact us today.