Smart Business Link (SBL), which provides invoice-factoring services to firms in the automotive repair industry, is the first company to benefit from both BOOST&Co’s new accounts receivable offer and the lender’s traditional venture debt product.
The Leeds-based business, founded in 2015, was given a growth capital loan of £3.5m in March 2019 to invest in expanding its ledger. This was followed by an accounts receivable facility of up to £20m to help the company continue to fund its clients’ invoices.
New product fills a funding gap
“SBL has already shown a clear capacity for growth, which gives us the confidence to offer this dual facility,” says BOOST&Co’s Manchester-based principal Ryan Sorby. “This offer felt like the right option for us,” says SBL’s chairman, Gary Smith, who expects the business to move from the venture debt facility to the accounts receivable platform within three months.
The UK’s automotive-repair market is worth an estimated £3.5bn, accounting for around 4,700 body shops. SBL has focused on single-site to medium-sized businesses so far, but the funding from BOOST&Co creates an opportunity for the business to expand its pipeline substantially and to sign up national operators, in addition to providing the working capital that the company needs.