A Nottinghamshire-based creative agency, which has drawn on its international export expertise to keep the country safe during the COVID-19 pandemic, has successfully delivered over 28 million pieces of protective gear individual after obtaining a six-figure CBILS loan from finance for business credit provider.
The CCM Group, which operates out of Huthwaite, began stocking up on face masks and hand sanitizer during the first nationwide lockdown in February 2020 when a customer struggling to obtain sufficient supplies requested assistance. ‘aid. Drawing on their knowledge and existing supply chains in the Far East, they successfully helped the company overcome the challenges they faced, but they quickly realized that they weren’t the only ones to struggle to find potentially life-saving equipment.
To help others, CCM Group has launched a new division within the company, specializing in supplying a range of products including COVID-19 test kits, thermometers as well as hand sanitizers and masks. Trading as Trusted PPE, the company quickly found its services in high demand. The company’s turnover has almost quadrupled from £ 2.6million to £ 9.5million, while the company’s headcount has grown from 16 employees to 46. Today , the company is responsible for selling its PPE equipment to organizations working on the front lines of the battle. against COVID-19, including local authorities, nursing homes and the NHS, as well as providing their products directly to members of the public.
Despite the success, the CCM Group quickly realized that demand exceeded supply. The supply agreements they had in place with their manufacturers meant that payment was required before manufacture, and with 60-90 days before the supplies arrived in the UK, the company realized that ‘additional support would be needed to support the company’s cash flow and turned to the government’s Coronavirus Business Interruption Loan Program for help.
After spending time researching the government website and with the quick turnaround time needed to ensure their order was delivered on time, CCM Group reached out to Finance For Enterprise to see if it could help.
Together with experienced investment manager Mike Gregg, Finance For Enterprise helped CCM Group raise £ 250,000. The loan was granted in just ten days, allowing Trusted PPE to order enough stock in time to meet demands as Britain entered its third nationwide lockdown.
With green shoots recovering and COVID-19 cases reducing across the UK, the CCM Group plans to continue expanding its export operations and plans to use the skills and expertise it has. developed during the pandemic to diversify its operations as lockdown restrictions start to relax.
Trent Peek, Director of the CCM Group said:
“The CCM Group has been a family business since 1997. Before the COVID-19 pandemic, we did a lot of work to help businesses obtain promotional and printed products. We knew it was important to diversify our business, and when we got a call from one of our customers asking if we could help find hand sanitizer, we were able to use our existing supply chains to respond to the request.
“Almost overnight, we saw an increase in demand for the products, so we decided to launch the Trusted PPE brand in April to help other companies overcome their supply issues. After successfully placing a number of orders, we knew the business concept was viable, but as demand increased, we recognized the delay between ordering and paying for manufacturing the products and selling the product to our clients. To support our cash flow, we began to explore if a CBILS loan could help our business.
“Our CFO spent time researching different companies and with a quick turnaround time we reached out to Finance For Enterprise to see if they could help us. We spoke to our investment manager, Mike Gregg, and after telling him about our plans, in just ten days the money we needed was in our bank account.
“The application process was simple and straightforward. Mike kept us updated on the progress of the request and, with the support we received, we were able to continue to meet the demand for PPE equipment. As a result, we have been able to help many organizations working on the frontlines against the virus, including nursing homes, local authorities and the NHS, saving them significant savings. We have been able to create additional jobs in our business and have supplied over 28 million PPE products to date.
Mike Gregg, chief investment officer at Finance For Enterprise, said:
“It is not uncommon to buy goods from overseas so that payment is required at the time the order is placed, but with a certain amount of time between the order and the possibility of selling the goods, they knew that the volumes involved would put pressure on the company’s cash flow.
“At Finance For Enterprise, we’ve always tried to help businesses when they need it most. For the CCM Group, this meant accessing the necessary funds to quickly meet its commitments with its suppliers.
“The government’s Coronavirus Business Interruption Loan Program was developed to help businesses affected by COVID-19, and for the CCM Group, this presented an opportunity to diversify their existing model. With continued demand, they knew that the volumes of PPE equipment needed would put significant short-term pressure on the company’s cash flow and we were able to step in and help.
“CCM Group’s request was accompanied by a clear business plan and financial forecast. Therefore, we were able to accept the request within ten days of receiving their request, allowing the products to reach the first line as quickly as possible. “
Finance For Enterprise offers a range of tailor-made loans up to £ 250,000 to support SMEs in Yorkshire and the North Midlands. The company is a delivery partner of the British Business Bank-backed coronavirus business interruption loan program and acts as a fund manager for the Northern Powerhouse Investment Fund and Start Up Loans UK.
The Coronavirus Business Interruption Loan Scheme (CBILS) is administered by the British Business Bank on behalf of and with the financial support of the Secretary of State for Business, Energy and Industrial Strategy (BEIS).
CBILS provides facilities of up to £ 5million for small businesses that experience lost or deferred income causing disruption to their cash flow. Provided by the British Business Bank, through more than 40 accredited lenders and partners, CBILS will support the continued provision of finance to UK small businesses during the Covid-19 outbreak.
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