Member Article

Repair services group to create 45 jobs following £2 million funding

Chester-le-Street-based Pacifica Group have secured £500k from FW Capital, managers of the North East Growth Plus Fund, as part of a £2 million funding round to set up a new site in Washington.

Founded in 2003, the group is made up of six companies and provides a comprehensive repair and replacement service for domestic appliances.

Pacifica Group is the latest company to receive investment from the £142.5 million Finance for Business North East (FBNE) programme, a ground-breaking suite of seven funds managed by North East Finance, which has achieved the significant milestone of making its 650th investment in North East companies.

Pacifica’s funding round also included a £1.16 million commercial mortgage and loan from HSBC as well as a £250k Let’s Grow grant, whilst FW Capital’s loan assisted Pacifica in its move to the new site.

This site will help spearhead Pacifica’s growth in the region where it expects to create 45 jobs.

It also installs, services and repairs domestic central heating systems and gas appliances through its nationally recognised 0800 Repair brand.

Since its launch in 2010, the FFBNE programme has provided more than £105 million of debt and equity funding to North East SMEs, creating or safeguarding almost 4,000 jobs.

It has also secured more than £120 million of private sector cash to support deals from venture capital firms, business angels and other investors.

The money has been invested in firms across the region, from the Tweed to the Tees.

Beneficiaries include engineering, bio-technology, manufacturing, renewable energy and software development companies.

Director of Pacifica, Kevin Brown, said: “This investment marks a major milestone for us as we embark on the next phase of the company’s expansion.

“It has put us in a great position to achieve our aim of becoming Europe’s premier support services provider to the domestic appliance industry.”

Finance director at North East Finance, Jason Hobbs, said: “This significant milestone puts us well on the way to achieving our goal of supporting more than 900 businesses by the end of next year.

“FFBNE was launched to provide alternative investment at a time when companies were finding mainstream affordable finance hard to come by.

“Now, as the economic recovery continues to gather momentum, more companies are seeking debt and equity-based investments to fast-track their expansion plans.

“Pacifica is just one of many beneficiaries of FBNE and there is still money available from the programme for other businesses that require additional investment.”

Joanne Pratt, FW Capital’s fund manager in the North East, said: “Pacifica has become a major player in the European domestic appliance industry and now provides customers with a comprehensive range of services.

“They’ve have built an excellent reputation and taken on additional staff as they’ve expanded.

“The move to Washington is an important step for Pacifica and I’m pleased FW Capital has been able to join forces with HSBC to come up with a funding package to back its continued expansion.”