ABL Business has recently been having a global reach – helping foreign nationals to invest in UK business.
They’ve supported entrepreneurs from India, Hong Kong and Greece to realise their dreams, often working with High Net Worth Individuals on entrepreneurial visas which require them to inject over £2m into a UK business.
The Cleckheaton-based commercial finance brokers are experienced in supporting international entrepreneurs with their UK ventures. The team has established relationships with lenders who are used to working with foreign nationals, so are able to find them competitive rates.
There have been a number of interesting scenarios, including management buy-ins or buy-outs, and clients purchasing property, or refinancing property that they have bought and refurbished.
Some have been keen to invest in providing rental accommodation such as buy-to-lets and HMOs (Houses in Multiple Occupation) when “term mortgages” or bridging finance have enabled them to buy and refurbish properties, providing cash up front until the project is off the ground and bringing in rental income.
The latest challenge was to help an entrepreneur from India to buy a signs and graphics company, based in Welwyn Garden City in Hertfordshire.
The client did have more than enough funds for the £250,000 buy-out. But as a foreign national, his situation was slightly more complicated than usual. Visa conditions allowing him to enter the country as an entrepreneur stipulated that he must inject his own capital into growing a UK business. This meant he still needed extra funds for the initial purchase itself.
The agent selling the graphics firm recommended ABL Business Ltd due to their good track record in this field.
The entrepreneur was soon fixed up with invoice finance and cashflow lending and, within just ten weeks, he was able to purchase the long-established 16-year-old company which designs and installs signage for a range of businesses and organisations.
Joint Managing Director of ABL Business Andy Redman said: “Invoice finance was most suitable in this particular case because the client was buying an ongoing concern, with outstanding debts owed to the company on the day of completion. That meant he could raise funds against those invoices, knowing the money would be available to him as soon as the payments came in. Cashflow lending could then be used to supplement his own funds in order to speed up the business growth.
“From our point of view, supporting foreign nationals to invest in UK businesses is very rewarding, as we feel we’re doing our bit to encourage inward investment from abroad, to the benefit of the national economy as a whole.”