MAINDRAIN LINCS LTD

Other

Funds Requested

£50,000.00

Offered so far

£0.00

Loan term

36 MONTHS

Auction Closed

2016-02-11

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This loan is now passed its deadline, lender funds will soon be released.

About the Business

Company Name: MAINDRAIN LINCS LTD Company Number: 05876410
Business Type: Other Years Trading: More than 10 years
Business Location: Nettleton

About the Risk

Risk rating

C

Default rate

13.30%

Bad debt rate

5.47%

About the Security

Security Offered:

Personal Guarantee - PG from [name of director(s)]

Est. Equity: 0.00

Risk Indicators Identified:

Important Files

Who are we?

Maindrain Lincs Ltd (MLL) has been established 10 years as a family run business. MLL trades as part of the franchise Metro Rod; the UK leader in drain cleaning and drain maintenance.

Major companies and leading high street names trust MLL to deal with all their regular drain maintenance. From Feb 2016 In addition to the Drain services offered by Metro Rod, Maindrain will be launching a new division offering plumbing services to its existing client base. (Similar to Dyno Rods offering) This service will be offering Maintenance & Plumbing services for jobs such as leaky taps etc.

The existing client base of over 1500 customers which includes approx. 40 Facilities Management Companies will be offered the services. The FM companies have been contacted alongside larger corporate clients & from research conducted, confirm they eagerly await the launch of this new service.

Read more

Loan Offers

What is the loan for?

Over the past 4 years we have taken the business from 600k t/o to £1.4M but with this has come some serious investment into specialist equipment. To further complement our service offering we are launching a new Plumbing Division.

Funds are therefore sought to assist in cash flow (as the Franchisor pays all Maindrain's invoices on 60 days, regardless of when the client pays) and replace the existing overdraft which will bring some structure to the finances. A number of finance agreements are also completing which by March will release £2,300 per month back into the business (plus the £300 per month interest which was for the OD). There are no additional costs as part of launching the Plumbing side of the business as all equipment is now in-house & available.

Why consider investing?

MLL has been established for 10 years and built a strong client base. Over the past 4 years the business has grown from 600k t/o to over £1.4M achieving profits of £80k to July 2015 and increasing the balance sheet by 10% to 281k. 3 months MI to Oct 2015 show a further profit of £23K for the 1st quarter which is traditionally a loss making period. With the funds in place we can concentrate on building the new Plumbing division, servicing the existing contracts and the day to day operation of the business.

On top of this, the people who run the business have a passion for success, with 3 family members sharing ownership and responsibility. The investment in machinery is now at an end (and some of the leases are completing) which will further improve the liquidity over the next 24 months.

Security

The loan is to be secured by way of directors guarantee. The director has an estimate net worth of £118.5k This is based on ownership of 3 properties, Property 1 Est Val. 139k Est Equity. 18k; Property 2 Est Val 159k, est equity 40k; Property 3 Est Val 109 Est Equity 63k.

DateAmountCapitalInterestReceived
17/03/2016£1,813.39£1,053.81£759.58
17/04/2016£1,813.39£1,069.82£743.57
17/05/2016£1,813.39£1,086.07£727.32
17/06/2016£1,813.39£1,102.57£710.82
17/07/2016£1,813.39£1,119.32£694.07
17/08/2016£1,813.39£1,136.33£677.07
17/09/2016£1,813.39£1,153.59£659.81
17/10/2016£1,813.39£1,171.11£642.28
17/11/2016£1,813.39£1,188.90£624.49
17/12/2016£1,813.39£1,206.97£606.43
17/01/2017£1,813.39£1,225.30£588.09
17/02/2017£1,813.39£1,243.92£569.48
17/03/2017£1,813.39£1,262.81£550.58
17/04/2017£1,813.39£1,282.00£531.40
17/05/2017£1,813.39£1,301.47£511.92
17/06/2017£1,813.39£1,321.24£492.15
17/07/2017£1,813.39£1,341.32£472.08
17/08/2017£1,813.39£1,361.69£451.70
17/09/2017£1,813.39£1,382.38£431.01
17/10/2017£1,813.39£1,403.38£410.01
17/11/2017£1,813.39£1,424.70£388.69
17/12/2017£1,813.39£1,446.34£367.05
17/01/2018£1,813.39£1,468.32£345.08
17/02/2018£1,813.39£1,490.62£322.77
17/03/2018£1,813.39£1,513.27£300.13
17/04/2018£1,813.39£1,536.26£277.14
17/05/2018£1,813.39£1,559.59£253.80
17/06/2018£1,813.39£1,583.29£230.11
17/07/2018£1,813.39£1,607.34£206.05
17/08/2018£1,813.39£1,631.76£181.64
17/09/2018£1,813.39£1,656.55£156.85
17/10/2018£1,813.39£1,681.71£131.68
17/11/2018£1,813.39£1,707.26£106.13
17/12/2018£1,813.39£1,733.20£80.20
17/01/2019£1,813.39£1,759.53£53.87
17/02/2019£1,813.39£1,786.26£27.14
Total:£50,000.00£15,282.19