When renewable energy consultancy, Electek Solutions Limited (ESL), needed a short-term working capital injection they had no hesitation turning to Reward Finance Group.
With demand for their services growing right across the UK the money was needed to fund this rapid growth and to help win a major new contract.
ESL director David Hutchinson, speaking after the loan was completed, pointed out that it was interesting to note that 53 per cent of SMEs have no environmental and energy efficient management systems – this despite it being a Government requirement to have a strategy in place.
The company, which is based in Newcastle and recently retained the Consultancy of the Year title at the 2020 North East Energy Efficiency Awards, audits companies’ energy performance. It supplies and installs solutions to reduce consumption, save costs and protect the environment. LED lighting, solar panels, PV and battery storage and advanced energy monitoring systems are among the varied solutions offered.
The business works across all sectors including local authorities and housing association, schools, colleges, hospitals, manufacturing facilities and offices. With its working capital tied up in ongoing contracts, the cash injection from Reward Finance Group means ESL can buy the energy-saving products needed to complete a large project it has recently been awarded.
Hutchinson explained that the rapidly changing needs of the energy sector and changes to the law now requires high-level reporting and control. If this is not in place companies can potentially risk breaching environmental laws.
“The demand for our services has really grown during the pandemic, possibly because organisations have had more time to review their energy consumption in response to legislation. This has led them to recognise the commercial and financial benefits which will be gained through a review and overhaul of their current energy systems.
“As well as reducing operating costs, organisations will also enhance their environmental credentials which could help them access new markets and provide a competitive differentiator. We were asked to tender for a large project but, as our working capital was tied up in completing other contracts, we considered turning it down."
Hutchinson went on to explain how Matt Lister, of commercial finance intermediary, Corporate and Commercial Business Solutions Group, introduced them to Reward Finance Group:
"The team at Reward recognised Finance help three popular pubs flourish">our growth potential and track record and provided us with the funds. It meant we could tender for the contract with confidence, knowing we had the additional working capital to purchase systems and products needed to complete the job, which we were subsequently awarded.”
Reward Finance Group’s senior relationship manager, Alan Sanderson, said he was impressed with the company and had no hesitation in providing the funds:
“David and his team have built a business which has an excellent reputation with a blue-chip client list. This has led to many new contracts which require a significant investment to complete.
When we were advised about the invitation they had been given to tender for a large contract we worked quickly to turn around the Business Finance funding in a few days so they didn’t miss the opportunity to take on this profitable project.”