FL Plastics boosts production and increases sales with Lombard’s funding
- Lombard funds new technology for FL Plastics, boosting daily production by 35,000 bottles
- Lombard asset finance enables FL Plastics to increase sales revenue to £300k
- FL Plastics explores new opportunities, increases market share and enjoys the tax benefits of asset funding
FL Plastics is a well-established, Norfolk-based family business. Set up in 1991 it specialises in the manufacture and supply of plastic bottles and containers, making an estimated 20 million bottles per year. The bottles are used for both cosmetic and pharmaceutical purposes.
In an industry that is driven by innovation and advancements in technology, it is important for Geoff Fitzgerald-Lombard, Managing Director of FL Plastics to invest in the latest equipment whilst retaining cash flow in order to respond to any business requirements. FL Plastics turned to Lombard to provide the funding needed for this investment. Fitzgerald-Lombard explains, “Lombard was my preferred choice. Its link with my bank gives the advantage of everything being under one roof, better communication and a quicker process. The funding also enabled the depreciation of the asset to be put against taxable profits, which was certainly an advantage.”
It was important for the customer to use the right product for the right scenario so Katie Whitmore, FL Plastics’ Relationship Manager at Lombard created a bespoke deal for the company. Whitmore explains, “There was a considerable lead time on importing a machine from Japan, but as FL Plastics was operating at full capacity it was important to obtain the machinery quickly to support the expansion of the business. Through Lombard’s diverse finance facilities and negotiations with the supplier, the funding was structured through a hire purchase agreement ensuring a quick and positive outcome.”
Lombard delivered the funding required for FL Plastics to expand its existing capability and respond to contract requirements. The whole process took just five months. Lombard’s asset finance facility ensured the customer could enhance its current capabilities while freeing up cash flow.
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