Leading energy contractor secures £3m funding deal with Bibby Financial Services
Bibby Financial Services (BFS), the UK’s largest independent invoice finance provider, has provided leading energy efficiency contractor BillSaveUK with a £3m funding deal.
The Leicester-based business provides loft and cavity wall insulation for new build homes, as well as retrofitting existing homes and operates from depots across the country. Clients include the majority of the UK’s largest housebuilders, as well as small-scale builders, and the major utility companies.
To provide working capital for ongoing cashflow and supplier payment, BFS’ corporate finance team structured a £3m invoice discounting facility. The facility enabled the business, which launched in October 2015, to kick-start its growth servicing customers.
BFS stepped in to secure a source of capital within a tight timescale but, as an established market player, BFS’ corporate team were able to see the business’s potential. BFS worked with the business to initiate a capital restructuring and contingency programme.
Simon Latham, chief financial officer, BillSaveUK said:
“BFS could see our potential as a leading supplier in the construction industry and worked closely with us to restructure our capital and provide the business with the funding we needed to get growth kickstarted. Our industry works on long payment terms and within a sophisticated supply chain that means we need to put our cashflow to work.
“We already cover three quarters of the UK but we plan to grow our footprint further to cement our reputation as a first class supplier of insulation to Britain’s builders, as well as the retrofit market. At this present time we are planning to open three more depots so we can better serve our clients with the very best energy saving materials.
“Having a finance partner with experience of the construction sector was vital for us. With funding in place, we can now start to grow the business further.”
Ben Smith, regional head of corporate, Bibby Financial Services, said:
“We are extremely proud to be working with the team at BillSaveUK to put in place the funding package that it needs to realise its ambitious growth plans. We were able to complete the transaction in a short time frame after an incumbent funder was unable to extend its facilities further. This involved strong teamwork from our corporate team, our advisors and the senior management at BillSaveUK. We are looking forward to working with Simon and his team over the coming years as they look to grow.”