Kadco Fashion & Textiles Ltd

Investment Requests for Total Debt Consolidation

Overview
Funding Required
£125,400
Offered so far
£45,640
Loan Term
60
Deadline:
18/12/2018
About the Business
Company Name: KADCO FASHION & TEXTILES LTD Company Number: 08133224
Business Type: WHOLESALE AND RETAIL TRADE INCLUDING REPAIR OF MOTOR VEHICLES Years Trading: 5-10 years
Business Location:
About the Risk
Risk Rating: C

Default rate

17.0%

Bad debt rate

0.14%

Risk Idicators
Identified:
Irregular preparation of management Accounts
This company may not regularly be preparing management accounts
High level of dividends
It has been identified that directors have recently taken significant dividends from the business
Below Average Business Credit Rating
A 3rd party credit rating agency has indicated that this business is above average risk.
Low Quick Ratio Score
The quick ratio is an indicator of a company’s short-term liquidity. The quick ratio measures a company’s ability to meet its short-term obligations with its most liquid assets
Low Liquidity
This business has a lower than average ratio of liquid assets to current liabilities
Satisfied CCJs
The business has incurred County Court Judgements in the past. Whilst now satisfied, this can still be indicative of poor creditor management
About the Security
Security Offered:
content
Personal Guarantee - PG from Samir Kader
Est. Equity: £0.00

content
Personal Guarantee - PG from Sabra Kader
Est. Equity: £1000000.00

content
Debenture - First priority all assets debenture over the applicant business
Est. Equity: £27248.96

content
Corporate Guarantee - Corporate guarantee from the parent company, KADCO GROUP HOLDINGS LTD
Est. Equity: £0.00

Important Files
Login to view files

Who are we?

Kadco has raised money through rebuildingsociety.com previously. This new loan will be used to refinance the old loan. If you currently have Capital Outstanding on the existing loan you can transfer this to the new application, by making use of Transfer Bids.

Visit the existing loan here

Bombay Stores Retail is a 51 year old business, and the UK’s largest Asian and Multicultural Department Store. We specialise in the retail of Wedding garments for ladies, gents, kids, footwear, jewellery, handbags, loose textiles and much more. Based in Bradford at our 30,000 square ft premises, we thrive to ensure that we offer as much variety in our products as possible under one roof.

READ MORE...

Details

Who are we?

Kadco has raised money through rebuildingsociety.com previously. This new loan will be used to refinance the old loan. If you currently have Capital Outstanding on the existing loan you can transfer this to the new application, by making use of Transfer Bids.

Visit the existing loan here

Bombay Stores Retail is a 51 year old business, and the UK’s largest Asian and Multicultural Department Store. We specialise in the retail of Wedding garments for ladies, gents, kids, footwear, jewellery, handbags, loose textiles and much more. Based in Bradford at our 30,000 square ft premises, we thrive to ensure that we offer as much variety in our products as possible under one roof.

READ MORE...

We are looking to ease cash flow by consolidating some of our debts into this loan, allowing us the ability to fund growth through our own cash flow. Currently we have £110k worth of debts which account for £12.2k worth of monthly repayments. By consolidating all of these, it would reduce the payments against these loans from £12.2k a month to a simple repayment of this new loan only of approx. £3.2k a month, giving us an extra £9k per month in our cash flow automatically. The remaining capital raised would also give us a small buffer in our cash flow, allowing us the space to renovate during the Christmas period and get ready for our upcoming season.

Loan Offers
Business Profile

What is the loan for?

We are looking to ease cash flow by consolidating some of our debts into this loan, allowing us the ability to fund growth through our own cash flow. Currently we have £110k worth of debts which account for £12.2k worth of monthly repayments. By consolidating all of these, it would reduce the payments against these loans from £12.2k a month to a simple repayment of this new loan only of approx. £3.2k a month, giving us an extra £9k per month in our cash flow automatically. The remaining capital raised would also give us a small buffer in our cash flow, allowing us the space to renovate during the Christmas period and get ready for our upcoming season.

Why consider investing?

We are a 51 year old business, and have grown from strength to strength over the past few years. Our sales are increasing year on year at the moment, and the future looks good to grow even further, with a lot of new opportunities with our loose textiles department, namely increasing in our craft, cotton and dress fabric ranges. This also proves itself to be a lot more profitable, and we are confident that ongoing this growth will improve margins in the business as well.

Security

This loan will be secured by way of Personal Guarantees from the directors and an All Assets Debenture.

Personal Guarantees will be provided by the two directors, Mr Samir Kader and Ms Sabra Kader. Mr Samir Kader is not a homeowner and has a negligible estimated net worth. Ms Kader has an estimated net worth of £1m derived from her ownership of two residential properties and one commercial property. The residential properties have an estimated value of £600,000 and £650,000 respectively (based on online estimates). The commercial property, which is the location this business trades from, has an estimated value of £1.9m. The three properties have a combined estimated equity of £1m.

An All Assets Debenture will also be taken over the business. This will create a first priority fixed and floating charge over all assets of the business, replacing the existing charge in favour of the company's factoring facility. The charge will cover all of the assets of the company, primarily comprised of a debtor book with a total current balance of £97,315.78 and fixed assets that were valued in the 2017 filed accounts at a value of £38,929.

X
Bid Now
X

You must be logged in to bid on this loan.

Discussion Etiquette

The Discussion tab is your place to ask questions of the borrower and discuss the lending opportunity with other members of the community. In order to keep the discussion focused and useful, we moderate the forum according to our house rules:

  • Be nice: keep it polite & courteous
  • Ask one question per comment box
  • Off-topic posts will be removed; the discussion tab is for conversation around the loan in question
  • No advertising
  • If you have a question for the rebuildingsociety.com team, contact us directly
  • Be aware that comments reflect the personal and professional views of users, not those of rebuildingsociety.com

Please:

Identify the user type from the colour of the border on their avatar:

  • Lenders
  • Borrower
  • Introducer
  • Admin
Loan Updates
This tab allows you to read information posted by rebuildingsociety staff pertaining to the progress of the loan, whatever stage of life it may be in.
You can read the latest loan updates for loans you are involved with on your user dashboard at your user dashboard.
Thank you
Your Bid's been
Placed...
7sdlazj04wDYBDhgDFOemAwZEv8gKkzHdznVAWhdoYY=