Phil Trueman from Reach Commercial Finance talks about the challenge of finding funding to meet the global ambitions of this Hull-based fresh produce wholesaler
An East Yorkshire firm has secured a Trade and Invoice Finance facility worth £1.15 million from Bibby Financial Services (BFS) to boost its international expansion plans.
The funding was brokered by Phil Trueman of Reach Commercial Finance.
Based in Hessle, near Hull, independent fresh food wholesaler Tuber Produce supplies food produce to UK wholesalers and food service clients.
The business buys its stock through a network of suppliers across four continents, with live contacts in countries including China, USA, Egypt and Belgium.
Starting out as a potato supplier in 2017, by husband and wife team Steven and Rebecca Humphrey, the business has since expanded its product range to include an extensive range of fresh fruit and vegetables, taking advantage of seasonal trends.
The funding line from BFS will fuel the company’s desire to exploit new opportunities for growth and the team are already preparing for imminent expansion to the USA.
The business is also looking to consolidate its UK operations, and this year it is targeting a turnover of £4.5 million from domestic revenues.
BFS is providing Tuber Produce with Trade Finance, Invoice Finance, and FX support. The Invoice Finance facility will allow the business to better manage cashflow by releasing liquidity from invoices rather than waiting for payment from customers.
Tuber Produce is well placed to maintain strong relationships with its global trading partners through Trade Finance, and the added benefit of an FX facility to mitigate any currency risks.
It was a successful outcome for Phil Trueman who worked with Steven and Rebecca to move funders twice in less than four months and also managed to keep administrative costs to a minimum from exiting and new funding partners, BFS, thanks to strong relationships with both.
Steven Humphrey, Managing Director, Tuber Produce Ltd. said: “We sought a funder that could support our needs and grow with us for the long-term. It was also important for us to maintain our family business culture that continues to serve us so well.
“The way BFS operate is perfect for trading businesses like ours. The team has provided a funding line that means we now have all the necessary support under one roof, and it is expertly tailored to help us achieve our revenue targets.”
Sarah Williams, Business Development Manager – North, Bibby Financial Services, said: “At BFS, we love working with young, aspirational businesses such as Tuber Produce. Steven, Rebecca and their team have been a pleasure to work with and we are very happy to be partnering with the company as they continue their exciting journey to growth.
“We have created a funding line to offer our best possible support for Tuber Produce. As a result, the business can now finance its expansion plans without having to worry about cashflow and currency risks.”
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