Member Article

£1.5m funding provides stability to Teesside engineering business

SBV Engineering Limited has secured a £1.5m invoice discounting facility from Secure Trust Bank Commercial Finance.

The Teesside-based business provides heavy fabrications in carbon, stainless steel and aluminium, along with site services to clients in the oil and gas, nuclear and high-end industrial sectors. The company, which employs 155 staff, is forecast to achieve turnover of £7m in the year to November 2015.

The additional funding will enable SBV to improve its cash flow, offering a greater degree of stability, which is crucial in the highly cyclical markets in which it operates.

Samantha Condren, director of SBV Engineering, said: “We needed a funder that understood the complexities of the business and its various revenue streams. Our previous lender was unable to offer the breadth of facility that met these specific requirements. Secure Trust Bank, however, was able to provide the tailored package that was necessary for the business to operate in the most efficient way possible”

Lee Humble, regional sales director for the North East, added: “SBV operates across a diverse range of industries with a strong emphasis on the North East. We are delighted to be able to support the business going forward.

“From the outset we identified that a conventional facility was not fit for purpose and, through dialogue with management, we were able to structure a funding line which will assist cash flow without imposing unnecessary restrictions.”

Peter Cromarty, sales director of Anglo Scottish Commercial Finance who facilitated the deal, commented: “The main aim was to find the right funder that shared the vision of the management team. The business now has the facility to move forward and Secure Trust Bank has a progressive and committed client in the North East.”