Client with Weak Financials

Background

Our client is a UK subsidiary of a substantial foreign parent company. Typically, all the profits are ‘hived up’ to the parent to avoid UK taxation.

Problem

In addition to showing no profits, our client’s working capital was provided through loans from the parent resulting in a negative net worth to the business. As the parent company would not offer guarantees, our client struggled to obtain funding in its own right.

Solution

They contacted us, and to date, we have arranged over £200,000 of finance for vehicles for our client. We were able to do this, because we took the time to fully understand the trading practices of our clients and were therefore able to present it to our funders in a more acceptable format.