When a self-storage business in the West Midlands acquired a new building, the opportunity was clear: transform the space into an operational self-storage facility and unlock a significant new revenue stream. To make it happen, the business needed flexible funding that could cover a specialist fit out, including three floors of partitioning and keypad locking systems.
The Highlights
✅ £105,000 funding facility secured for the new self storage development
✅ £200k additional annual revenue potential from the new site
✅ 60-month funding term to spread the cost of the investment
✅ 3-month VAT deferral to help manage cash flow during the project
✅ Staged supplier payments completed on time with no delays
The Challenge
The investment involved more than traditional removable assets. A significant proportion of the project consisted of fitted elements, including mezzanine flooring, CCTV and electrical wiring, which can present additional challenges when it comes to securing asset finance.
The storage business also needed flexibility around how and when the supplier was paid. Rather than requiring the full amount upfront, the project needed funding to be released in stages as the work progressed. This made finding the right funding structure particularly important, as delays in payment could have held up the wider development and pushed back the opening of the new site.
The Solution
Moorgate Finance structured a £105,000 funding facility over 60 months, providing the business with a long-term funding solution for the development of the new site.
The package also included a 3-month VAT deferral, helping the business manage the additional cash flow requirements associated with a major investment. Alongside this, a staged payment facility was arranged with the supplier, allowing payments to be made at the required stages of the project.
The deal was introduced by the supplier, and the funding was paid out on time, with no delays to the staged payments. This meant the fit-out could continue as planned, helping the business move closer to opening its new facility and putting the additional space to work.
Once operational, the new site is expected to generate an additional £200,000 in revenue per year, turning the investment into a significant growth opportunity for the business.
Need funding solutions like these for your business? Give us a call on 01908 92 62 62 or head to www.moorgatefinance.com/apply-now to start the conversation.
