Automotive business moves up a gear following £250k loan
Chorley-based automotive repair specialists DA Techs (NW) has received a £250,000 NPIF loan to help drive expansion.
The loan is backed by CBILS from NPIF-FW Capital Debt Finance, managed by FW Capital and part of the Northern Powerhouse Investment Fund (NPIF).
Set up in 2016 by directors Phil Barnard and Jamie Baxter, the company provides high quality premium repairs and refurbishments for alloy wheels, tyres and bodywork. The business has doubled its turnover each year reaching almost £1m last year.
Despite setbacks brought about by the COVID-19 pandemic, DA Techs went ahead with its plans to relocate to a larger premises and invest in new equipment as part of the company’s growth strategy.
It recently received investment support through Access to Finance Lancashire and said the NPIF-FW Capital Debt Finance loan backed by CBILS helped fund its relocation, and has provided working capital to support expansion plans including the creation of six jobs in the coming months.
Phil Barnard said: “The vast majority of our work comes from the motor trade, insurance companies and body shops where there isn’t the expertise or equipment to repair and refurbish alloys professionally.
“We recently merged with two other brands and now offer further services for bodywork and tyres. We have got a lot of growth potential and have started to work with auction houses, car supermarkets and de-fleet centres.
“However, like a lot of companies we have suffered quite a lot of disruption over the last 12 months because of COVID-19 and we needed funding to keep our expansion plans on track.”
He said the FW Capital and NPIF backing was timely: “The support has been crucial to our recovery and we are now in a strong position despite the current lockdown.”
FW Capital investment executive Maria Ramsdale said: “DA Techs are a great business with excellent growth plans which were just delayed because of the pandemic.
“This was a great opportunity for us to help a business during difficult trading conditions and we are really pleased that our support has enabled the company to continue with its expansion plans, despite the ongoing situation.”
Sue Barnard, at the British Business Bank, said: “The North is set to play a central role in the UK’s economic recovery and access to finance will be vital in the years ahead.
“Through investment in businesses like DA Techs, we are creating a more innovative and prosperous regional economy for the future, filled with new jobs and opportunity.”
The deal was introduced to FW Capital by Caroline Turley at Lancashire’s Boost for Business Access to Finance team.
She said: “DA Tech is an exciting business to work with, introducing the right funding to the business was important. Maria understood exactly what it is the business is wanting to achieve and worked easily alongside the team to make this happen.”
FW Capital provides loans of £100,000 to £750,000 to businesses based in the NPIF region with a focus on the North West, Cumbria and Tees Valley.
The Northern Powerhouse Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.
