Beer & Young Case Study – April 2011

1 April 2011

Many business owners come to us with a similar tale – a history of profits, but two years of recession has weakened the balance sheet, and they’ve suffered. 2011 brings a renewed opportunity for growth, but how do they fund this? Can’t rely on banks…they have their own issues and are struggling to lend to SME’s in today’s climate.

Beer & Young specialise in raising capital urgently for businesses which have a need for capital. Our network of private investors is unmatched in the UK. Investment from private investors can be the answer: it enables the business to secure its immediate future and gives it the funds necessary to plan for growth and profits.

There are solutions to the funding problems facing many UK businesses – we are pleased to highlight another success in 2011. The names have been changed to protect the innocent.

Beer & Young were engaged to raise funds for our client, Product Promotions Ltd.

Established in 2000, Product Promotions achieved continuous growth until the late Noughties, at their high point achieving sales of £5 million whilst delivering excellent returns for the directors/shareholders.

The recession hit our client hard with many blue chip customers reducing their spend, the result of which put our client into a loss making position. Having traded through this period – under some duress – they were unable to fund the numerous new sales opportunities that had arisen as their customer base returned.

Beer & Young generated considerable interest from potential investors. We are delighted to report that after the usual period of due diligence, one investor has injected £400,000 of new money into the company.

This investment has given PP a much needed boost to the working capital position and balance sheet. Their bankers can relax somewhat with over £500,000 of debt still to be serviced. The danger of looming business failure has now gone.

We wish both client and investor well for the future.

We can help so give us a call…

If you know of a business that is experiencing financial pressures and has a need for capital, please talk to us. Our Investors are very active in today’s market; businesses can be preserved and subsequently thrive – for the benefit of all stakeholders.

Beer & Young Case Study – April 2011

By Beer and Young01 Apr 2011