The challenge
A national haulage firm wanted to raise £2.4 million to fund operational expenditure
Our client, a household name in the haulage and logistics industry, operates extensively in various sectors, such as transportation and distribution.
The Group Treasurer of the firm wanted to raise £2.4 million to fund the operational expenditure of their energy and renewables division. The key challenges faced by the company included:
- Raising a large amount of funding at a competitive interest rate
- Ensuring cost-efficiency in the funding arrangement
- Obtaining specific Terms & Conditions tailored to the business's unique requirements
The solution
Leveraging asset financing to secure large funding at an agreeable cost
Millbrook Business Finance, took up the challenge and conceptualised an asset refinance strategy. This approach involved refinancing 50+ assets belonging to the business, including their entire fleet and various owned construction equipment.
The solution addressed several key concerns by:
- Leveraging asset financing to secure large funding at an agreeable cost
- Securing a competitive interest rate
- Introducing a 20% balloon payment to reduce monthly costs effectively
- Tailoring the Terms & Conditions to accommodate the business's unique parameters
The results
£2.4 million of cost-efficient asset refinancing for over 50 assets
With the implementation of Millbrook's asset refinance solution, the national haulage and logistics firm successfully achieved the following outcomes:
- Raised £2.4 million of cost-efficient asset refinancing for over 50 assets
- Improved their financial position and capacity for operational expenditure in the renewable energy division
- Developed a sustainable funding solution that satisfied the business's specific criteria, including competitive interest rates and custom T&Cs
Get in touch to learn more about how Millbrook could help you or check your eligibility for our business finance solutions.