The Client:
Eric Wilson & Co, an Essex-based manufacturer of fabrications and solid surfaces, has secured its long-term presence in the area by buying its Witham premises. It’s encouraging news for the local community and its 20-strong workforce, with the business having initially struggled to find a bank able to support their purchase. The move has ended uncertainty about the future location of the business, allowing it to double-down on investment in the area and its ongoing growth.
The manufacturer makes solid surfaces for a range of commercial uses, such as shop fittings, hotels, catering and hospitals. After initially struggling to find a bank able to lend to them, the firm was supported by Goodman Corporate Finance, who introduced them to Allica Bank.
The Deal:
The business required a commercial mortgage. Eric wished to purchase the property that he had been renting from the landlord – there was a tenant discount to the purchase as the business had already occupied it for many years already. The commercial mortgage was 4.99% over base.
Success!
By working closely with the customer and broker to understand the strength of the business and taking a flexible approach to structuring the deal, Allica Bank was able to provide 95% of the eventual purchase price. This also allowed the company to repay existing loans it had taken out to fund improvements to the site.
Quotes:
“It’s fantastic to be able to commit Eric Wilson & Co’s future to our Witham base, which has been our happy home for six years now,” said Eric Wilson, the company’s owner. “We’ve invested significantly in the property during that time to meet the needs of our growing business. By purchasing our premises, we can really focus on our ongoing expansion plans post-pandemic and provide certainty for our fantastic and skilled local team.”
“Working with Paul and his team has been very professional, quick, and easy,” Eric said. “They took the hassle away from things and looked after the whole process. Allica’s flexibility, too, helped massively to reduce the stress of getting the deal done.”
Paul Goodman of Goodman Corporate Finance says that a post-pandemic recovery requires banks to be flexible: “This case highlights all the benefits of using an experienced commercial finance broker and a bank like Allica. They were prepared to be more flexible in their thinking and terms and are always ready to support a growing business.”
Garry Wilkinson, Broker Business Development Director at Allica Bank, said “We are so pleased to support such a strong business as they look to secure their future in the area. By helping them purchase their premises, Eric Wilson & Co can focus on getting on with growing their business. It goes to show what great collaboration between customer, broker and bank can achieve.”