Rapid growth leads to Lloyds Bank funding to launch online acquisition opportunities
Published Date: 28/09/2017
A workplace support company in Essex is considering acquisition targets to expand its market position after securing a £500,000 invoice finance facility from Lloyds Bank Commercial Banking.
Function Business Services Ltd secured the new funding after experiencing a period of rapid growth in which it increased its annual turnover by 25% to £6.1 million in June 2017, from £4.9 million last year.
Having used the funding to launch a new web-based enquiries service, the company is now investigating future acquisition opportunities to continue its growth into new markets.
The company operates through two subsidiaries; an office removal business called Function Business Relocation and an office refurbishment and fit-out business called Eden Interior Solutions.
The company employs 24 full-time staff and is planning to increase its workforce to 28 in the next year.
It also recently won two awards at the Thames Gateway Business Awards, for medium-sized business of the year and business person of the year for founder, Tony Factor.
Tony Factor said: "Our removals and fit-out businesses are very fast-moving, but our payment schedule couldn’t keep up with our growth".
We’re an ambitious firm and the funding support we received means we can keep investing in the business and drive it in the right direction. We’re now focusing on achieving a bigger turnover over the next 12 months.
"Now we’re in good shape to be able to reach more customers online and build up our client base. Part of our future growth plan is also to expand into new markets. Around four-fifths of our customers are based in London and the South East, so we have a great chance to expand nationally as well."
Mark Williams, SME Client Manager, Global Transaction Banking at Lloyds Bank, added: “Function Business Services has seen a record year and is now able to explore different revenue avenues. Invoice finance can be a great tool for firms that don’t receive payment upfront but are keen to keep up growth momentum. It’s no surprise that Tony and his team have seen their hard work rewarded by the local business community.
"We are committed to supporting businesses like Function Business Services and helping Britain prosper by providing solutions which encourage growth. We’ve increased our net lending to SMEs by 31 per cent across the last six years to ensure that more companies can benefit from tailored support options."
Invoice Finance facilities are provided by Lloyds Bank Commercial Finance. Lloyds Bank Commercial Finance is a trading name of Lloyds Bank Commercial Finance Ltd. Registered Office: No.1, Brookhill Way, Banbury OX16 3EL. Registered in England and Wales no.733011.
Lloyds Bank Commercial Finance Limited is part of Lloyds Banking Group and is authorised and regulated by the Financial Conduct Authority under Registration Number 724228 for activities relating to certain types of consumer credit which are regulated under the Consumer Credit Act 1974 and by the Financial Services and Markets Act 2000, and is not a deposit taker and is not regulated by the Prudential Regulation Authority.