Bibby Financial Services (BFS) has provided an £850,000 (€950,853) funding facility to Fyne Audio, a recent entrant into the high-end, loudspeaker audio market.
The funding line includes £750,000 for export invoice discounting (export ID) as well as a £100,000 FX facility, intended to help the business access working capital and fund export debts, and appeal to an international client base.
Based in Glasgow, Fyne Audio is set to launch three high-performance loudspeaker ranges, with product prices ranging from £200 to £24,000.
The export finance ID facility will enable the business to bridge the cashflow gap between awaiting payment and paying supplier invoices. Furthermore, using export finance will also allow it to benefit from BFS’s language, currency, time zone and legal support when trading in overseas markets.
The Bibby FS provision of bad debt protection will protect Fyne Audio against poor payment practices and customer insolvency, and the FX feature will allow it to convert the cash released from invoices to a currency of its choice.
Andrzej Sosna, managing director at Fyne Audio, said: “As industry veterans, we knew our products had to be high-quality and differentiated if we were to make waves in the market. But we also knew that to help us on our path to growth, especially with a growing international customer base, having access to working capital was vital in these early stages.
“From the offset, BFS stood out to us. The corporate team invested time in getting to know and understand our management team and products. Having the export finance team to support with our transactions, takes away the administrative hassle of prompt debtor payments in multiple currencies, allowing us to focus on growth.”
Craig Durnell, managing director of export finance, Bibby Financial Services, said: “Although it has been suggested that the UK is experiencing a slowdown in export growth this year, our team is really bucking the trend with record levels of new business and opportunity. It is great to see that our expertise and appetite to support SME exporters like Fyne Audio is really penetrating the market.”
Last month BFS agreed a £1m facility to Babease, a manufacturer of baby food and supplier to a number of high-street and online supermarkets.