Aldermore Bank has delivered its first transaction under the government-backed Growth Guarantee Scheme (GGS), providing a structured funding package to support a management buy-in at JPH Steelworks.
The £1.5m acquisition was completed with local entrepreneurs contributing £500,000 of their own capital, while Aldermore supplied the remaining finance through a combined facility.
The lender structured a £250,000 invoice discounting line alongside a £750,000 GGS-backed loan, enabling the buyers to complete the purchase and establish a foundation for future expansion.
The new owners intend to double turnover within five years and work towards an eventual sale.
Aldermore’s specialist lending approach was used to provide both working capital and longer-term funding, addressing requirements that were not met by conventional finance options.
Chris Meldrum, head of business development at Aldermore, said: “This first transaction under the Growth Guarantee Scheme demonstrates Aldermore’s ability to design flexible finance for businesses with clear growth plans.
“We created a structure that supports our client’s growth ambitions by combining invoice discounting with a GGS-backed loan. We look forward to supporting them as the business scales.”
A representative of JPH Steelworks said: “This was our first experience working with Aldermore Bank, and it was a pleasure collaborating with the team, especially Nick, Ben and Chris, whose support and perseverance were instrumental in getting this over the line.”
The deal was introduced by broker Alan Marston of Commercial Sense, who recently began working with Aldermore.
His role helped align both parties and ensure a smooth process.
Alan Marston, broker at Commercial Sense, added: “Aldermore were the natural partner for this deal with a well structured funding proposal.
“Their determination and pragmatic approach meant the deal was completed with the borrower’s growth plans front of mind. It’s been a pleasure working with the Aldermore team and I appreciate their support in getting the deal over the line.”
