Facilitating Business Acquisition in the Property Furnishings Sector

Momenta Finance recently provided crucial financial support to acquire an established enterprise in the property furnishing sector. This case study illustrates how our flexible lending approach facilitated a seamless business transition. Stuart Milton from Reservoir Finance worked with us to meet their client’s needs effectively.

The Client

The prospective business owners were seasoned professionals seeking to acquire an 18-year-old enterprise specialising in furniture, white goods, and furnishings for housing associations, local councils, and private landlords. It operates from a strategically located warehouse in Burton on Trent, which has expansion potential. The business boasts a robust workforce with long-standing team members.

The Challenge

Our clients required a substantial loan to finance the acquisition, with specific requirements:

• Loan amount up to ￡250,000
• Flexible repayment terms
• Capacity to accommodate a deferred payment structure

Momenta’s Bespoke Solution

Following a comprehensive assessment of the client’s requirements and the business’s potential, Momenta Finance crafted a tailored lending package:

Amount: ￡250,000

Term: 60 months

Facility: Growth Guarantee Scheme Special feature: No exit or early repayment fees

Key Lending Features

Momenta Finance’s solution offered flexibility that was aligned with the client’s cash reserves maturing. We utilised a government-backed Growth Guarantee Scheme facility to support the transaction. This adaptable approach ensured that the financial package met the client’s immediate needs while accommodating their long-term financial planning.

“This deal had several challenging aspects that caused reluctance from multiple lenders to support it. However, Jeremy Crinall and all the Momenta team were prepared to take a positive view once provided with a comprehensive background, financials and business plan. Our client was exemplary but still this was an acquisition where assets were very limited and Momenta took time to understand and create the best solution using the GGS scheme and still meet a very tight deadline. A great outcome all round!”?

– Stuart Milton , Reservoir Finance

Conclusion

The lending solution provided by Momenta Finance empowered the clients to acquire a reputable business in a specialist market successfully. It enabled them to preserve the company’s experienced team and operational integrity, ensuring business continuity. Furthermore, the financial structure created a robust platform for future business development, positioning the new owners to capitalise on growth opportunities within the sector.

This case study exemplifies Momenta Finance’s commitment to providing sophisticated, adaptable financial solutions for complex business acquisitions. By deeply understanding the transaction’s nuances and the clients’ financial landscape, we delivered a lending package that addressed immediate funding requirements while supporting long-term strategic objectives. Our collaboration with Stuart Milton from Reservoir Finance further enhanced our ability to meet their client’s needs effectively.

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About Reservoir Finance

Reservoir Finance is an independent commercial brokerage dedicated to providing businesses with the best funding options across a wide market of lenders. Whether the finance requirement is straightforward and purely based on cost or more unusual and complex needing a specialist lender prepared to be flexible and who truly understands the diversity of business circumstances