Tech firm secures UK’s first general export finance facility
Tech company Simworx has become the first UK business to take advantage of a new offer from the Government’s credit agency UK Export Finance (UKEF), securing a seven-figure sum to accelerate its international growth plans.
Simworx, based in Kingswinford, recently completed the first General Export Facility (GEF), with support from HSBC UK.
Through GEF, UKEF can guarantee 80% of any facility offered by a bank to finance the costs of exporting.
Simworx designs, develops and manufactures attractions for the global theme park and entertainment industries, with recent projects completed in countries such as Malaysia, New Zealand and Vietnam.
The company employs 30 people in the West Midlands.
The seven-figure facility from HSBC UK, guaranteed by UKEF, will provide additional working capital, helping to ease cash flow constraints as a result of the pandemic and enable Simworx to raise advance payment guarantees to secure and complete significant overseas contracts worth typically between £1m and £8m.
With exports contributing to 90% of its annual turnover, the ability to raise payment guarantees will be key for its future expansion plans.
The business has built a strong presence in the Far East, Middle East and Northern Europe for its advanced simulation technology products and has identified these ‘emerging markets’ as key growth areas for the business post-Covid-19.
Terry Monkton, CEO of Simworx, said: “There’s no greater thrill than coming up with an idea for an attraction, seeing it built and installed, and then experiencing people’s reactions. Despite Covid-19 presenting a series of extraordinary challenges for our business, and the leisure and entertainment industry as a whole, we’re now witnessing a healthy return of enquiries from our partners worldwide.
“As we start to see the green shoots of recovery, we’re extremely grateful to be the first export business in the UK to benefit from the new scheme put in place by UKEF. I would also like to thank our banking partner HSBC UK for backing our business and making this process completely seamless.”