Business Finance Solutions has now completed three deals from The GM Export Loan Fund to the value of £400k.
The three businesses that have received support from BFS are: FitCloud, based in Manchester, Home Inc based in Oldham and Moda Furnishings Ltd also based in Oldham.
Moda first came to BFS in early 2015 for financial support to grow their business when mainstream lenders were unable to assist. Staff numbers doubled after securing a £100,000 cash boost. Owners, husband and wife team Philip and Joanne Lomax, used the cash injection to enable Moda to design and make a wider range of goods in China.
Moda will now use the £250k Export Fund loan to significantly expand their current operations in the US, importing high quality rattan furniture from China and selling in the US through a number of online reseller sites. Longer term growth plans for Moda also include launching a dedicated American website to sell direct to customers and to build a showroom in California. The loan will also create 23 new jobs and safeguard the jobs of 20 full time employees in Oldham.
Andy Nichols, Senior Loans Manager, BFS and the lead for Export Loans said: “I’m delighted that we have now made our first three loans from the Greater Manchester Export Loan Fund that will help local businesses increase their export sales whilst also safeguarding and creating new jobs in Greater Manchester.
We want to make it easier for businesses to access the finance they need to help them to sell their products abroad. “
A minimum of £2.5m of the £9.5m fund is to provide loansof up to £500k to enable businesses to pursue and fulfill export orders, this element of the Fund is managed by Business Finance Solutions (BFS) and the loans can be used for export related working capital, asset investment to support export activity or as cash support to enable the client’s bank to issue tender bonds, advanced payment guarantees or performance bonds.
£7m of the funding will be managed by Business Growth Hub (BGH) as a grant fund to support SMEs with up to 20% of a total cost of a project designed to support export growth, such as purchasing new machinery; site refurbishment; consultancy services to support export growth; R&D; attendance at trade fairs and overseas visits and training.