Scottish growth company turns to ArchOver for record £2.3m working capital loan
ArchOver, one of the UK’s fastest growing B2B crowdlending platforms, is asking its lenders for a record-breaking £2.3m to provide working capital for outstanding Scottish occupational healthcare company Duradiamond.
The loan is broken down into two components: a one year loan of £500k to provide additional working capital to support four new contracts recently won by Duradiamond; and £1.8m two year loan to take out an existing working capital facility provided by RBS. Lenders over the ArchOver platform will earn 6.25% and 6.75% per annum respectively.
Commenting on the new facility, ArchOver CEO Angus Dent said: “What really matters is that this exceptional Scottish company receives all the support it needs and deserves. It would be a tragedy if its growth potential was restricted by lack of appropriate finance. This is a golden opportunity for lenders, both North and South of the border, to get behind this project and, at the same time, earn a good return on their money.”
“On another level, not only will this represent a record loan for ArchOver, we also believe it will be the largest non-property related working capital loan in the crowdlending sector anywhere in the world. It is a ‘coming of age’ story where we can demonstrate our flexibility and capacity to provide facilities that are beyond the reach of the banks.”
As a result of the four new contracts, Duradiamond, based in Perth, is expecting its turnover to rise to £14m this year, an increase of 19% over 2015, and to £17m and 21m in 2017 and 2018 respectively. Founded and run by medical professionals since its inception in 2002, the company counts among its customers Jaguar Land Rover, BMW UK, EDF Energy, Cross Rail, BA and Heathrow and Luton airports. To find out more please visit: www.duradiamondhealthcare.com
The deal was arranged by Neil Davidson, founder and MD of Alderburn Finance Solutions, based in Edinburgh.
Posted: 22nd of February 2016