A nursery based in Stockport has received an NPIF loan which is backed by CBILS from NPIF – FW Capital Debt Finance, managed by FW Capital and part of the Northern Powerhouse Investment Fund in order to make adaptations to the business and comply with new social distancing rules.
Stockport Village Nursery will use the loan to ensure that all the children can return to class sizes no larger than 16 as specified by the guidelines. The loan will also provide working capital headroom if there is a reduction in children attending due to more parents working from home.
The Ofsted rated “Outstanding” nursery remained open during the lockdown for children of key workers and it is anticipated it will be back to full capacity soon when more parents return to work.
Managing Director David Carroll said: “The safety of our staff and children is paramount. At full capacity we can accommodate up to 120 children, but we need to make adaptations so that we can reduce class sizes, giving comfort to parents.”
“We approached the bank for a loan but found it difficult to get a response. We were fortunate a family member, Mike Berger, has worked with FW Capital before and he introduced us. He supported us with the financial model and other documents we needed to prepare.
“The entire investment process only took around three weeks. There was constant communication throughout and there was never any doubt that we would receive the money which really took the pressure off.”
FW Capital investment executive Adam Husband said: “It is tough for many businesses at the moment and the childcare sector has taken a big hit. However people are now starting to go back to work so they need to send their kids back to nursery and places are filling up again.”
“Stockport Village Nursery is a well-run, family business with an excellent reputation, and I believe there are good prospects for the sector in the future. We’re really pleased to have been able to help.”
Sue Barnard, senior manager at British Business Bank, said: “NPIF continues to provide vital funding to Northern businesses across the region. We are pleased to continue this support and are proud to work in partnership with FW Capital and our other appointed fund managers to make a real impact on business communities.”
FW Capital offers NPIF loans backed by CBILS from £100k – £750k to SMEs that are looking for financial support as a result of the Coronavirus pandemic.
CBILS, delivered through British Business Bank accredited lenders, is designed to support the continued provision of finance to UK smaller businesses (SMEs) during the Covid-19 outbreak. The scheme enables lenders to provide facilities of up to £5m to smaller businesses across the UK who are experiencing lost or deferred revenues, leading to disruptions to their cashflow.
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.
FW Capital Limited is regulated by the Financial Conduct Authority as a small authorised UK Alternative Investment Fund Manager under firm reference number 506719