Purchase of a Trading Engineering Business
Published by Fusion Finance on 21st November 2019 -
Mr Stevens ran a successful foundry company for 11 years. He had the opportunity to acquire a castings engineering business as the current owner was in financial difficulties. The business also complimented Mr Stevens existing operation. There were also significant expansion opportunities as well as cost savings in managing the combined operations.
As well as the freehold property the sale also included significant fixed assets, machinery, raw materials and £150k of debtor invoices. Working quickly to obtain an ‘agreement in principle’ we organised valuation of the property, a full inventory and sales ledger audit. The audit concluded within three weeks. Solicitors were appointed, and the client received a combined business loan facility of over of £1 million. The loan included the commercial mortgage over a 30 year term. It also included asset finance over five years and an 80% non-recourse factoring facility to cover the sales ledger and release the existing debt. Mr Stevens successfully concluded the purchase within two months of the first call he made to our team.