Going back to basics - how Liquidity Club shaped an engineering success story
Liquidity Club, the financial intermediary established to help SMEs raise funding in the ever-changing and increasingly complex finance world, has brokered a finance deal which has seen a manufacturing firm post record six months trading figures.
Cube Precision Engineering landed a six-figure funding deal that has enabled investment into its multi axis work that has increased turnover and led to a record order book.
Cube was founded in 2009 by Phil Bannister and Neil Clifton. The pair are passionate about investing in British engineering and embarked on their journey together with their first contract to machine 25 engine protection parts for the rail industry.
Despite the current political uncertainty, Cube has adopted a ‘business as usual’ ethos and continued to grow on the growth of the business - after all, being based in the Black Country, both Phil and Neil are known for their grit and determination.
This hard work, along with the investment arranged by Liquidity Club is paying off. In the first six months of 2019, Cube saw an 30% increase in orders - a record performance since it was established a decade ago.
This has come on the back of an increase in orders from the automotive and aerospace industries. However, the company has been working on developing the business through diversification into new sectors and at the end of last year recruited a new business development manager to facilitate this.
Earlier this year the move paid off as Cube won its first contract in the nuclear industry.
With a strong ethos of supporting both the local area and the UK as a whole, Cube uses local suppliers and staff to service the world’s leading engineering companies. Some 71% of all purchases made by the business are from within 40 miles of the West Midlands factory. The company’s staff are recruited within 15 miles and the products they make are used worldwide.
Neil Clifton MD at Cube said: “ We are determined to support the economy in the Black Country and help to raise its profile as an important region for manufacturing.
“We have a policy, where ever possible to recruit both our team and suppliers from the West Midlands area to help support the local economy.
“With so much uncertainty at the moment and the threat of a ‘no deal’ Brexit we have been determined here at Cube to operate a ‘Business as usual’ policy.
“Enabled by the investment brokered by Liquidity Club, which has brought an increase in profits, we have reinvested back into the business through new machines, our team, and we have focused on diversifying into new industry sectors to drive our new business development forward.
“September will be our 10th anniversary in business and this year has also been our best so far in terms of financial results. We have an ambitious plan for 2020 and the investment that we have made into both our people and machinery means that we are in a great place to push the business forward.’
Paul Varley, Director at Liquidity Club, said: “I started working with Cube Precision Engineering since its inception over ten years ago when Directors Neil, Phil and Diane took the helm with their growth aspirations.
“With all the wider economic uncertainty some businesses are being put off their plans to invest, but Liquidity Club has seen no shortage of enquiries for businesses requesting finance.”
For Liquidity Club, working with growing companies like Cube is all about going back to basics. The company wanted to invest, diversify and develop its employees.
While it’s important to keep an eye on the wider economy uncertainty this shouldn’t cloud a good idea or plan – Cube are proof of this.
This was posted in Bdaily's Members' News section by John Walker .
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