Working Capital Repatriators (WCR) was established in 2014 and has since experienced some impressive growth. As a reputable provider of outsourced credit control, including debt collection, tracing and credit checks, they are highly experienced in their field and have experienced good levels of new business during this time.
Earlier this year, WCR was delighted to win a significant amount of new business with a local council. The contract was to administer and manage debt collection services on their behalf.
It was a fantastic opportunity for WCR, only slightly overshadowed by the additional resources this would require. As with any small business experiencing sudden demand, this only meant unexpected costs.
With the contract in hand, WCR mapped out the full requirements and confirmed the need for an additional member of staff. As expected, the business didn’t have sufficient funds to justify the salary of an extra employee at this time. They set about trying to secure some external finance to fill their funding gap.
They needed an unsecured commercial loan, but, with no assets to offer as security, WCR was turned down by a number of funders.
This meant that any viable solution was likely to require a personal guarantee. And some good advice from a financial consultant.
The Pegasus solution
With an urgent need for a cash injection, and early refusals from funders so far, WCR contacted the Pegasus team for the first time.
The business appeared to have been very well run over a number of years making it difficult to understand the current reluctance to lend. So, after seeing strong P&L and cashflow projections for the next two years, combined with evident growth to date, Pegasus was able to proceed with identifying possible solutions.
The main criteria for the finance was speed of delivery. Favourable terms were obviously a priority, but the need for a quick turnaround was the driving factor.
Pegasus approached a number of providers from traditional banks to other lending institutions and all were happy to offer a solution, with good terms. The chosen funding came from a crowdfunding source who delivered a repayment package over five years.
This was the option that best suited WCR’s needs because the crowdfunder was able to act very quickly. Backed by a personal guarantee, WCR was able to secure the funds without delay.
Benefits for the customer
Pegasus Funding was able to resolve a situation which had the potential to slow down the business expansion.
By looking at the facts, and being focused on the available finance solutions, Pegasus delivered a cost-effective and rapid solution to an urgent funding gap. Finance was secured for WCR in a short space of time meaning they were able to employ additional personnel to meet the planned workload.
Thanks to the stability of the business, WCR was an appealing prospect for the funders approached – giving the client a choice of finance solutions to meet their needs.
What WCR said…
“We were very impressed by the proactive attitude of the Pegasus team. Their approach was realistic and focussed on what was achievable given the criteria set.
We were faced with a problem of urgency, but thanks to their reputable network of contacts, this never became a problem.
Pegasus secured, in a short space of time, a range of options for us to choose from; each offering favourable terms. We had the scope to cherry-pick a provider who could release the funds quickly whilst not costing the earth – a luxury we didn’t think possible.”
About Pegasus Funding Solutions
Pegasus Funding is a finance specialist that works with businesses at all stages of growth.
Pegasus takes pride in treating every client individually to achieve the best solution for them – with over 600 different sources of funds, including equity raising, debt funding and asset-backed finance, available.
The solutions provided, and the packages created, meet the needs of start-ups, expansions, contractions and turnarounds – as well as companies that are no longer supported by their banks. Pegasus goes the extra mile to secure the very best deals and works to obtain a minimum of two offers for each client, creating competition between the lenders.
From a short-term quick fix to long-term funding for growth, no two deals are ever the same. Whether you’re looking for invoice factoring or private equity investment Pegasus offers unrivalled service and attention.
Pegasus Funding is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
For further information please contact:
Pegasus Funding Solutions
Tel. 0203 3270567
Email: [email protected]