Kingfisher Leisurewear, based in Ludlow, has secured the Coronavirus Business Interruption Loan (CBILS) from Paragon Bank.
The loan, which came from asset finance broker Premier Asset Finance, allowed the custom clothing company to deal with cash flow issues during the pandemic.
The CBILS loan allowed the company to continue making payments to suppliers, staff and contractors, while awaiting full payments from clients in the tourism industry.
Kingfisher Leisurewear produces custom clothing for a wide range of industries including school uniforms and hoodies, universities, work wear and tourist attractions. During the lockdown of the Covid-19 pandemic, the company was unable to source stock and faced reduced demand in a number of sectors, such as tourism and workwear, which which forced her to put most of her employees on leave until the resumption of activities at the end of April.
Kingfisher Leisurewear is now seeing demand gradually increase as various industries begin to resume operations, and the company is now on the cusp of exceeding its fall business goals.
The company has a long-standing relationship with Paragon Bank and Premier Asset Finance and has worked with the latter for 12 years. In 2018, Premier arranged a loan through Paragon to fund a £ 300,000 digital textile printing machine, which increased the company’s efficiency and productivity.
Angus Mitchell, Managing Director of Kingfisher Leisurewear Ltd, said: “The Covid-19 pandemic has had a significant impact on our business. The CBILS loan has allowed us to manage payment issues with some of our clients who work in sectors hit hard by the pandemic, including tourism. This allowed us to maintain relationships with these clients by giving them more flexibility, which was a plus.
“We have a long-standing relationship with Premier Asset Finance and Paragon, who know our business inside out and have supported its growth in recent years. “
John Phillipou, Managing Director of SME Lending at Paragon, said: “We are delighted to be able to help our customers meet the challenges of the pandemic. Our understanding of Kingfisher Leisurewear has enabled us to provide ongoing support, tailored to their needs, both before and during the coronavirus pandemic. “
Mark Ripley, Managing Director of Premier Asset Finance, said: “As a leading provider of asset finance products, we are well positioned to support our clients through the challenges posed by the pandemic by offering a wide range of financing solutions that are both competitive and tailor-made.
“We have worked with Kingfisher Leisurewear for over a decade and look forward to continuing this relationship and supporting the business. “