The asset finance team at UTB was approached by a supporting broker on behalf of the company, which was seeking funding to refinance a number of unencumbered curtain side trailers to release finance to be used to renovate and expand its workshop, service and office buildings.

The broker had previously dealt with the company for nearly 20 years and provided the lender with a strong business performance and repayment history on previous funding facilities.

Following the agreement to provide the requested finance, Klara Hanrahan, a business development manager of asset finance at United Trust Bank (pictured above), carried out a number of inspections at locations where the trailers were hired.

Klara was satisfied with the assets and UTB provided the facility to the borrower shortly after.

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Klara said: “Lots of businesses have many hundreds of thousands of pounds of capital tied up in their existing assets and refinancing is a quick and cost-effective way of releasing that capital.

“In this case, it was to fund building works at the company’s base, but the funds released by refinancing vehicles, plant and machinery can be used to raise capital for a number of different uses.

“For example, refinancing can be used to provide a working capital buffer when starting a substantial new contract, it can be used to fund expansion plans such as acquiring other businesses and it can also be used to purchase parts and materials.

“In most cases, the funds are paid out to the customer within a day or two, so when speed is important, refinancing can be a much quicker alternative to companies approaching their existing business bank for a loan or increased overdraft.”