Friday 10th May
Where do you go when your bank doesn’t want to know, doesn’t want to help?
Nationwide Property Assistance (NPA) showed there is more funding out there if you know where to look.
In 2014 (NPA) was an unloved division of a major PLC, in decline and scheduled for closure.
Its management team didn’t see things that way and with the help from the investment team at Finance Birmingham and a modest grant from the Business Improvement Programme team at Birmingham City Council (BCC) a new company was formed and the managers given the opportunity to prove that they were right.
Whilst the management team had a compelling story this was effectively a new company start-up and the high street banks, whilst sympathetic, were unable to help.
In 2019 NPA will comfortably exceed profitable sales of £6m and the company now employs more than 100 staff.
NPA provides a nationwide 24/7 home emergency claims management service to some of the UK’s leading property builders, housing associations and insurers from its HQ on the Hagley Road. NPA clients are assured of a quick response, high standard maintenance service that conforms to regulatory standards.
The investment made by Finance Birmingham was repaid fully within 12 months.
Nick Haycock, Managing Director, NPA, stated:
"Although the operation appeared to be profitable within the stable of its former owners it was relatively small, in decline and heading for closure.
We needed finance to support the investment required to establish the new independent operation, to invest in the new technologies that would help it to grow/thrive and for working capital during those all important but troubling early days.
Traditional lenders showed an interest but viewed the venture as a high-risk start-up and they could not help. The support of Finance Birmingham, the GBSLEP and BCC lent us both the money we needed and the credibility of a strong and stable backer. This backing not only meant that we could make the necessary investment but it also calmed the nerves of key customers and suppliers.
Since those early days the business has gone from strength to strength and we now find ourselves providing services for some of the largest house-builders, housing associations and insurers in the UK.
My message would be that if you believe passionately enough about your project; it won’t be easy and you may have to kiss a few frogs; but there is finance out there to support your ambitions and it is worth investing the time and effort to find it”.
The Greater Birmingham and Solihull Growth has a range of tools and advice to help you find alternative sources of finance for your business-check out our website https://www.gbslepgrowthhub.co.uk/funding-finance. Or call one of our advisers on 0800 032 488 for FREE support.