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Ambitious growth plans. How do you finance that?

A producer of packaging machines in Coventry successfully exports abroad. Machines are exported with direct sales but also via leasing contracts. Both can include additional contracts for servicing and maintenance. A Polish customer wants to buy a number of machines to expand their operations. The transaction includes a contract for servicing and maintenance. In order to satisfy this order additional working capital is needed. The existing bank indicated that they could not fully finance the extra working capital associated with the leased machines and the operational costs. Local financing also proved challenging.

How did Caple help?

Because Caple primarily bases credit on the future cash generation of the business and its strategy, more complex credits are possible. In this instance, Caple was able to provide a long-term loan of £1.8m based on the expected cash flows of the existing business and those from the Polish contracts. No security was needed. The new loan provided additional finance next to that provided by the businesses bank.