To accelerate the business’ plans to target new clients, particularly in the offshore industry, and to respond to increased demand for structural steel services from its clients, the firm needed to invest in new state-of-the-art machinery.
Lloyds Bank Commercial Banking is the long-term banking provider for the business, and the bank’s Commercial Finance team provided the hire purchase facility to buy the Ernst Deburring machine and the Gemini Ficep Fabrication machine. The facility allowed the company to purchase the equipment and pay down the full amount over an agreed period to ensure its cashflow remains fluid.
An additional £72,000 was secured by the business through the Regional Growth Fund, a Government initiative that provides grants to SMEs that want to buy new assets and create economic growth and local employment opportunities.
The investment has resulted in one new job at the business, with further opportunities expected in sales and inspection over the coming months. A new apprentice is also set to join the business, which now employs 26 people and has an annual turnover of £5.5million.
Paul Dyche, Director at RMP Products, said: “Investing in these new machines is a significant step in our growth strategy, as it complements our current processes, allowing us to shorten lead times and increase production capacity.
“The support of Lloyds Bank has been instrumental in this process, and the business is now focusing on securing new business and expanding our presence in the offshore industry.”
Lauro Rodi, Regional Manager at Lloyds Bank Commercial Finance, said: “Manufacturing is the cornerstone of the Midlands economy, and investing in new technology is essential in such a competitive industry, and by using a hire purchase facility RMP Products was able to buy the machines without the purchase impacting its working capital.”
Mark Meakin, Relationship Manager at Lloyds Bank Commercial Banking, said: “The arrival of the new machines will help the manufacturer to maintain the high quality reputation it is renowned for, but it is also an investment into the local economy, with a number of new job opportunities expected in the coming months at its Wednesbury site.”