LLOYDS BANK STEPS UP AS STAIRCRAFT ANNOUNCES EXPANSION

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LLOYDS BANK STEPS UP AS STAIRCRAFT ANNOUNCES EXPANSION

Leading staircase manufacturer, Staircraft (Midlands) Limited, has opened two new sites in the West Midlands following a £1.6million investment from Lloyds Bank.

The expansion came after the firm exceeded its manufacturing capacity at its Nuneaton base, and needed to identify new space. A combined financial package of £700,000 from Lloyds Bank Commercial Banking and £900,000 from Lloyds Bank Commercial Finance has now enabled the acquisition of a new freehold unit in Coventry, together with the lease of an additional production space in Wednesbury.

With more than 25 years of experience in the sector, Staircraft, which produces wooden staircases for major house builders, is using the funding to reinforce its status as one of the leading national suppliers in its field.

Through the expansion, Staircraft expects to increase its sales turnover from £6million to around £10million in 2014, growing to an estimated £15million next year. In line with its increased capacity, the move has also seen approximately 50 new roles offered between the two additional manufacturing sites, increasing its employee numbers to 150.

The acquisition of the new premises was aided by Lloyds Bank’s participation in the Government backed Funding for Lending Scheme, with customers benefitting from a one per cent discount over the life of the commercial loan, helping to realise the growth ambitions of SMEs.

Throughout the fundraising process, Staircraft was assisted by Coventry and Leamington based accountants and financial advisors Harrison Beale & Owen which also helped to secure additional funding through the Regional Growth Fund provided by the Coventry and Warwickshire Local Enterprise Partnership.

The Regional Growth Fund is another Government initiative that provides grants to SMEs looking to purchase new assets and create economic growth and local employment opportunities.

Andrew Hamilton, Director at Staircraft (Midlands) Limited, said: “After exceeding our production capabilities at our Nuneaton base, it was vital for us to secure new premises in order to meet customer demand for our products, and we are pleased to announce our expansion into Coventry and the Black Country.

“The support of Lloyds Bank has allowed us to realise our vision for growth in the Midlands, and through this investment, we are looking forward to maximising our performance as a business, whilst creating new jobs for the local community.”

Kevin Roberts, Relationship Director at Lloyds Bank Commercial Banking, said: “We’re passionate about helping to drive the economic recovery by providing access to lending for businesses, and we’re pleased to have worked with Staircraft on this ambitious plan for growth.

“The Funding for Lending Scheme is designed to enable companies like Staircraft to reach their full potential and we look forward to continuing to support them as they enter this exciting new era.”

Lauro Rodi, Regional Manager at Lloyds Bank Commercial Finance in the Midlands, said: “The financial package we’ve provided to Staircraft (Midlands) Limited has allowed it to spread the cost of its investment over a fixed term, enabling a more manageable and beneficial acquisition process.

“We’re committed to working with businesses to demonstrate how they can benefit from asset finance funding, offering a means to realise growth ambitions without any adverse impact on day-to-day operations.”

November 2014 
Issued on behalf of Lloyds Bank Commercial Banking by Citypress
Press information: Robyn Smith, Citypress T: 0121 314 4197 / E: [email protected]