Scaffolding Company Acquisition Completed

The team at Primary Asset Finance has successfully arranged funding for the acquisition of a scaffolding company!  Despite the construction industry being relatively difficult to fund, Primary Asset Finance secured £3m of funding with a specialist lender.  The acquisition completed two weeks ago and the new management team are already implementing their growth plans for the company.

Sustainable Finance Roundtable Summary

Hannah from the Primary Asset Finance team recently attended the Sustainable Finance roundtable, hosted by the UCL Centre for Ethics and Law, where sustainable Finance is defined as finance that takes into account and deals with environmental, social and governance issues.

The roundtable discussion focused on issues relating to the extent to which sustainable finance could be applied to the finance market generally, and whether or not profitable finance and sustainability are mutually exclusive. The panel of speakers included 10 key figures and experts in academic and professional law, economics, finance and financial services regulation.  Some of the most interesting comments from the speakers are summarised here.

The keynote speaker, Professor Steven Schwarcz advocated that, to promote lending to small businesses in the US, the government should provide emergency “back up” housing to any small business owners whose business failed but they borrowed money against their residential property, therefore leaving them homeless after losing the company.  Schwarcz believed that this kind of socially responsible and government supported lending could increase business and jobs in less economically developed areas.

Other speakers focused on the current unsustainability of finance, and commented that there are too few environmental experts working to support the finance industry in efforts to become more sustainable (Professor Bert Scholtens); we need experts from a range of industries to collaborate to provide a realistic solution.  Further, David Rouch (speaking in a personal capacity) suggested that sustainability needs to be better defined and that consumer investors (e.g. people investing in pension funds) are indeed concerned with sustainability as well as profit/income, although the banking sector seems to ignore this concern.

Finally, Dr Javier Solana made the interesting point that there is too much focus on making finance more sustainable and too little focus on making finance lessunsustainable.  He suggested that this would be a more achievable strategy to improve sustainability, starting with the current approach and working towards a better situation, rather than starting with the ideal (and maybe impossible) situation and working backwards from that.

Overall, it was an interesting discussion on how we can improve and promote sustainable finance, and a great chance to be in a room with so many experts on the subject.  It was a thought-provoking roundtable on a very important topic.

The Budget – key points for businesses

  • A proposed restriction on repayable R&D Tax Credits for loss-making companies, with a limit 3 times that of PAYE and NICs from April 2020
  • Reduction in Capital Allowances special rate for qualifying plant and machinery will reduce to 6% from 8% as of April 2019
  • New non-residential buildings eligible for 2% Capital Allowance if built after October 2018
  • Businesses that own retail properties with a value up to £51,000 will have their rates bill cut by 1/3 for 2 years from April 2019
  • Large technology companies will face a Digital Services Tax, with a proposed 2% tax on revenues from April 2020
  • Large and medium sized Private Sector business will have to follow IR35 rules from April 2020

Could your business benefit from an unsecured loan?

Through a new link to a funder, Primary Asset Finance is now able to arrange finance for companies on an unsecured basis. These unsecured loans are generally long-term (5-8 years), can be arranged to a maximum of £5m or a 4x multiple of EBITDA, are not backed by assets and do not require any personal guarantees.

Contact us to find out if your company meets the criteria for an unsecured loan.

 

Cambridge B2B exhibition booked!

We’ve booked our tickets for the Cambridge B2B exhibition in September, organised by the Cambridgeshire Chambers of Commerce.  We’re looking forward to meeting new local business people and finding out more about what’s going on in the area!

Vehicle emission control company successfully financed!

Primary Asset Finance has successfully arrange funding for a company that provides engine converters for vehicles to meet European compliance requirements.  The company needed working capital to fulfil a large number of future orders.

With the lender, Primary Asset Finance arranged a £4.3m Invoice Finance facility and a £700k working capital facility, which would allow the company to fulfil their orders.  Furthermore, identifying a lender that could provide a growing facility meant that the funding is in the best solution for the company both now and going forwards, facilitating future growth.

For more details, visit the case study.

Corporate Development Association talk

The Primary Asset Finance team recently attended the quarterly Corporate Development Association (CDA) at the East India Club in St. James’ Square, along with the new Primary Business Finance franchise Associates. Andrew McTear of McTear, Williams & Wood gave a short speech on his experience as an Insolvency Practitioner, as well as conveying some interesting personal insights into the current economic situation. As always, it was nice to learn from a speaker experienced in their field, and to have the opportunity to meet with new and existing contacts.

We would like to thank the CDA committee for their continued commitment to providing these thought-provoking and enjoyable lunch talks – we highly recommend them!

Problems on the high street

It’s hard not to notice the increasing number of problems for businesses in the retail sector at the moment. Over the last few months we’ve seen store closures for New Look, Mothercare and House of Fraser, whilst Toys ‘R’ Us and Poundworld have gone into administration. Experts are expecting more problems to come, due to a slowed rate of growth, rising overheads and high levels of debt, potentially due to irresponsible lending.

At Primary Asset Finance, we work with our clients and funders to ensure that the lending we oversee is responsible, appropriate and transparent, so that it helps the client and company as it should. If your business requires funding and you would like to speak to us to find out what we can do to help, please email us at enquiries@primaryassetfinance.co.uk.

Updated Privacy Statement

Ahead of implementation of the new General Data Protection Regulation (GDPR) on 25th May 2018, we’ve updated our Privacy Statement to outline how we collect, store and handle your personal data.

Our new Privacy Statement is:

– simple and easy to understand

– clear about your rights with respect to your privacy and personal information

– transparent about how we collect and store your personal information

You can find our Privacy Statement here.

If you have any questions regarding how we handle your personal data, please contact us at: enquiries@primaryassetfinance.co.uk