THE RECLAIMED FLOORING COMPANY LTD

Construction

Funds Raised

£100,000.00

Final AER

19.28%

Loan term

60 MONTHS

Auction Closed

2016-10-13

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About the Business

Company Name: THE RECLAIMED FLOORING COMPANY LTD Company Number: 07345130
Business Type: Construction Years Trading: 5-10 years
Business Location: Stockport

About the Risk

Risk rating

C

Default rate

13.30%

Bad debt rate

5.47%

About the Security

Security Offered:

Personal Guarantee - PG from Mr R Henry

Est. Equity: 14000.00

Personal Guarantee - PG from Mr T Henry

Est. Equity: 160000.00

All Assets Debenture - First priority debenture creating a fixed and floating charge over all assets of the applicant company

Est. Equity: 50000.00

Risk Indicators Identified:

Below Average Business Credit Rating
A 3rd party credit rating agency has indicated that this business is above average risk.
High Debt-to-Equity Ratio
This company has a higher than average level of company debt in relation to its equity
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

Important Files

Who are we?

 

The company are award winning manufacturers and specialist finishers for new and reclaimed wooden flooring. It almost entirely sells to trade including world famous architects and interior designers and many well known brands in receipt of their products. This year the company has also ventured into the wholesale to retail market after a successful national trade show early September. The company has become well established in the past few years, growing it's turnover each year and putting pressure on some of it's bigger competitors with their unique brand positioning as leading innovators within their market. In 2015, The Reclaimed Flooring Company was honoured with the Green Hero Award created by Kevin McCloud and Grand Designs to distinguish creative innovation through sustainable practices. While also in the same year honoured as finalists for the London Build Expo 2015 Supplier of the Year Award and finalists for The Family Business Of The Year award at the prestigious North West Business Of The Year Awards. It is in a position where it requires finance to fund an expansion into it's overseas operation in the US, build up stock and improve ’speed to market’ which will help win bigger commercial contracts.

See the link for further details: https://www.reclaimedflooringco.com/

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Loan Offers

What is the loan for?

The company requires finance to further its successful expansion into its overseas operation in the US and also to invest in stock to improve ’speed to market’ delivery which will help win bigger commercial contracts. The UK business has already invested in stock for the US business meaning its working capital is under pressure in the UK.

Investing in stock will allow the company to cut down its current lead times, win more orders and increase margins, whilst freeing up Rob (one of the directors) to concentrate solely on the USA side of the business. After a successful leading trade show in LAs Vegas, Feb 2016, their ‘Driftwood Express’ product launch was the talk of the show. Receiving over 400% more trade leads than the business required for the show to be deemed successful, their US distribution network is firmly in place with more demand for company representation then can currently be managed.

After 3 years of market research the USA business was set up in California December 2015 with one full time manager, contracted manufacturing partners and now a distribution network across the country. The company will be expanding its sales team and manufacturing team late 2016.

Why consider investing?

The continued growth of the business is reliant on the receipt of this funding to allow the directors to push this awarding winning business forward. There is no other wholesale English flooring company in the US which such brand positioning and with such product innovation, projects are generally 100% bigger than the typical project in the UK. The company expects to be instantly profitable with over $1,000,000 net within the first year since the margins on the inventory that has already been paid for is very profitable.

Security

This loan is to be secured by way of a Personal Guarantee from both company directors, Mr Thomas Henry and Mr Robert Henry, as well as a first priority All Assets Debenture over the applicant company.

Mr Thomas Henry has an estimated net worth of £160,000 derived from his ownership of two properties. A personal dwelling valued at £245,000 with an estimated equity of £45,000 and another property with an estimated value of £260,000 and an estimated equity of £115,000. Mr Robert Henry has an estimated net worth of £14,000, which is derived from the deposit of £25,000 he has invested to create an interest in a property.

DateAmountCapitalInterestReceived
02/11/2016£2,609.71£1,002.71£1,607.00
02/12/2016£2,609.71£1,018.82£1,590.89
02/01/2017£2,609.71£1,035.19£1,574.51
02/02/2017£2,609.71£1,051.83£1,557.88
02/03/2017£2,609.71£1,068.73£1,540.98
02/04/2017£2,609.71£1,085.91£1,523.80
02/05/2017£2,609.71£1,103.36£1,506.35
02/06/2017£2,609.71£1,121.09£1,488.62
02/07/2017£2,609.71£1,139.10£1,470.60
02/08/2017£2,609.71£1,157.41£1,452.30
02/09/2017£2,609.71£1,176.01£1,433.70
02/10/2017£2,609.71£1,194.91£1,414.80
02/11/2017£2,609.71£1,214.11£1,395.60
02/12/2017£2,609.71£1,233.62£1,376.09
02/01/2018£2,609.71£1,253.44£1,356.26
02/02/2018£2,609.71£1,273.59£1,336.12
02/03/2018£2,609.71£1,294.05£1,315.65
02/04/2018£2,609.71£1,314.85£1,294.86
02/05/2018£2,609.71£1,335.98£1,273.73
02/06/2018£2,609.71£1,357.45£1,252.26
02/07/2018£2,609.71£1,379.26£1,230.45
02/08/2018£2,609.71£1,401.43£1,208.28
02/09/2018£2,609.71£1,423.95£1,185.76
02/10/2018£2,609.71£1,446.83£1,162.88
02/11/2018£2,609.71£1,470.08£1,139.63
02/12/2018£2,609.71£1,493.70£1,116.00
02/01/2019£2,609.71£1,517.71£1,092.00
02/02/2019£2,609.71£1,542.10£1,067.61
02/03/2019£2,609.71£1,566.88£1,042.83
02/04/2019£2,609.71£1,592.06£1,017.65
02/05/2019£2,609.71£1,617.64£992.06
02/06/2019£2,609.71£1,643.64£966.07
02/07/2019£2,609.71£1,670.05£939.65
02/08/2019£2,609.71£1,696.89£912.82
02/09/2019£2,609.71£1,724.16£885.55Not Due
02/10/2019£2,609.71£1,751.87£857.84Not Due
02/11/2019£2,609.71£1,780.02£829.69Not Due
02/12/2019£2,609.71£1,808.62£801.08Not Due
02/01/2020£2,609.71£1,837.69£772.02Not Due
02/02/2020£2,609.71£1,867.22£742.49Not Due
02/03/2020£2,609.71£1,897.23£712.48Not Due
02/04/2020£2,609.71£1,927.71£681.99Not Due
02/05/2020£2,609.71£1,958.69£651.01Not Due
02/06/2020£2,609.71£1,990.17£619.54Not Due
02/07/2020£2,609.71£2,022.15£587.56Not Due
02/08/2020£2,609.71£2,054.65£555.06Not Due
02/09/2020£2,609.71£2,087.67£522.04Not Due
02/10/2020£2,609.71£2,121.21£488.49Not Due
02/11/2020£2,609.71£2,155.30£454.40Not Due
02/12/2020£2,609.71£2,189.94£419.77Not Due
02/01/2021£2,609.71£2,225.13£384.58Not Due
02/02/2021£2,609.71£2,260.89£348.82Not Due
02/03/2021£2,609.71£2,297.22£312.49Not Due
02/04/2021£2,609.71£2,334.14£275.57Not Due
02/05/2021£2,609.71£2,371.65£238.06Not Due
02/06/2021£2,609.71£2,409.76£199.95Not Due
02/07/2021£2,609.71£2,448.48£161.22Not Due
02/08/2021£2,609.71£2,487.83£121.88Not Due
02/09/2021£2,609.71£2,527.81£81.90Not Due
02/10/2021£2,609.71£2,568.43£41.27Not Due
Total:£100,000.02£56,582.43