Counterline boosts orderbook by £2m thanks to funding

A FOOD service counter manufacturer which counts Tesco among its customers has become the first business in the North West to benefit from a bank’s ‘manufacturing fund’.

Knowsley-based Counterline has received money from The Royal Bank of Scotland’s fund after securing finance to help cover the costs of new orders worth £2m.   

The company secured a £546,000 loan from the manufacturing fund as part of a £2.3m finance package, which also included funding via the enterprise finance guarantee (EFG) scheme and from RBS Invoice Finance.

Counterline needed to increase its working capital facilities after successfully winning a number of new orders including one with supermarket giant Tesco and another with a major distributor of food service equipment in the Netherlands. 

The new contracts are expected to boost Counterline’s turnover by £2m. 

The company took advantage of the RBS Group’s manufacturing fund which was launched in mid January. 

The £1bn fund provides UK manufacturing businesses of any size with loans available on competitive fixed rates and with the option to defer repayments for up to three years.          

Established in 1983, Counterline’s products are used by the majority of high street food and beverage retail chains and major retailers including Marks and Spencer, BhS and Debenhams.  

Counterline manufactures bespoke and off the shelf products ranging from free-standing display units to built-in counters.

All products are designed and manufactured at the company’s base on Knowsley Business park. 

Counterline has a turnover of £8m and employs 95 people.

Simon Dutton, finance director at Counterline Ltd, said: “As we continue to grow the business by winning new orders it is important to have strong working capital facilities in place so that we can absorb any initial increase in production costs. 

“The manufacturing fund is a good solution as we have been able to secure investment finance on very competitive terms.”

Ian McGee from RBS Business Commercial Banking and Leyton Jeffs from RBS Invoice Finance provided the funding package to Counterline. 

Mr McGee said:“The Manufacturing Fund was established to ensure that businesses like Counterline have access to finance to take advantage of any opportunities that present themselves. 

“We believe the fixed rate deals are amongst the best on the market and hope that other Merseyside businesses will be able to benefit from them.”