Clitheroe based door hardware manufacturer Loxta Hardware secured a £50,000 investment to fund major expansion plans from Business Finance Solutions (BFS).
The investment, facilitated by NPIF – BFS & MSIF Microfinance – a product fund managed by BFS in partnership with MSIF – is part of the Northern Powerhouse Investment Fund (NPIF).
Loxta was established in 2012 by founder and director Shaun Singh, who was driven to design his own range of door hardware products after extensive experience in the sector. Shaun has since developed over 100 product ranges using innovative design and manufacturing techniques that have enabled the business to deliver stronger products, softer contours and a wide variety of colours and finishes that are resilient and resistant to corrosion.
In response to increasing demand from its trade customers, which include interior designers, architects and ironmongers, Loxta will use the NPIF funding to design and manufacture high quality architectural ironmongery and door hardware across its seven product ranges.
The company will also purchase additional stock and launch new products to spearhead its entrance into the export market for the first time in 2018, focusing on European and Middle Eastern markets.
Shaun originally contacted Boost; Lancashire’s Business Growth Hub looking for support and was introduced to funding options available at NPIF by Access to Finance Specialist Prakash Patel from A2F North West. Boost is also providing funded mentoring support to Shaun to help him manage the expansion.
Shaun Singh said: “We created Loxta to bring a new era of exceptional engineering to the interior hardware industry and BFS were immediately able to see the national and global potential of our products. We have immediately invested the funds in the development of a full range of new door fittings solution and as a result we are able to really develop both our trade client base and our export strategy.”
Mark Gibbons, Senior Loan Manager at BFS, said: “Shaun and his team have created a great British company that is proudly designing, manufacturing and distributing all of their own products.
“They came to us with a strong plan for growth, anchored to an ambitious brand extension, which we were very happy to support with funding from NPIF and, as a result, Loxta is already well on the way to establishing a new standard of product and engineering within this market.”
Sue Barnard, Senior Manager at British Business Bank, said: “We are committed to supporting companies across the North of England and it is great to see our fund managers continuing to back businesses like Loxta that will drive the future of Lancashire’s local economy.”
Andy Walker, Head of Business Growth and Innovation at Lancashire County Council, said: “This investment is a perfect example of how Boost and the Access to Finance programme have worked together to find the right funding solution for Loxta. The fact that Shaun intends to use the NPIF investment to boost productivity and increase exports is also fantastic news, as these are two major drivers of growth which will help benefit the whole of Lancashire’s economy.”
The Northern Powerhouse Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.
The MSIF group of funds are managed by Alliance Fund Managers Limited which is regulated by the Financial Conduct Authority in the course of investment business. Financial Conduct Authority Registration Number is 180891.
BFS Funding Managers Limited is regulated by the Financial Conduct Authority as a Small Authorised UK AIFM under firm reference number 608682.