Accrol Papers boosts growth with £15m funding deal
LANCASHIRE paper tissue manufacturer is looking for future expansion after sealing a new £15m funding facility.
Family-owned Blackburn-based Accrol Papers, has agreed the new deal, which includes working capital, from Lloyds Bank Commercial Finance.
Accrol was founded 20 years ago and has grown to become one of Europe’s largest independent soft tissue converters, with manufacturing capacity in excess of 65,000 tonnes per annum. It supplies many of the discount retailers which have enjoyed strong growth during the recent downturn.
Products include branded and own label toilet rolls, kitchen towels and napkins, as well as facial tissues.
The business was founded by Jawid Hussain but the company is now run by his three sons Majid, Wajid and Mozam.
Having opened a new 120,000 sq ft office and warehouse in 2012, the business has recently invested in new machinery and opened a facial facility which will help the company cope with increased demand.
Managing director Majid Hussain said: “This is a period of strong growth for Accrol, as increased demand for our products has necessitated investment in machinery, premises and our workforce.
“We have ambitious plans for future growth for the business as well, but we want to make sure that these are implemented in a controlled and achievable way to give us the best possible chance of success.
“Keeping a tight control on our working capital is a vital part of this process, which means the funding package from Lloyds Bank Commercial Finance forms an important part of our growth, and the team has shown a thorough understanding of the opportunities and challenges we are facing as a business.”
Darren Winterbottom, director for business development at Lloyds said: “Accrol Papers is a great example of a UK manufacturer that is going from strength to strength, and the rapid growth of the business is testament to the business acumen of Majid, Wajid and Mozam as well as their father before them.
“Although the growth being implemented by the business is on an impressive scale, the management team have put measures in place to ensure that this is controlled and not putting undue strain on the firm’s cashflow.
