CLIENT SNAPSHOT

Online supplements retailer | £15m annual revenue | Double-digit YoY growth
A subscription-based e-commerce brand selling direct-to-consumer across the UK and Europe. Transitioning from fractional to in-house FD during a critical growth phase.

THE CHALLENGE

Two major supplier payments totalling £1.7m were due over the next quarter, including a £1m order and a £700k commitment. With Q4 approaching (their biggest revenue period), they needed to secure inventory while preserving cash flow. The timing pressure was intense: miss these orders, and they'd risk selling out during peak season.

WHY THEY CAME TO US

• Fractional CFO referred them during the handover to their new in-house hire
• Previous experience going direct to lenders, but needed speed and certainty this time
• Initially skeptical about broker fees ("We don't want to pay more than needed")
• Other offers were coming in at 1.2-1.5% per month, too expensive for their margins

The new FD was under pressure to get this right, and they did.

OUR APPROACH

We mapped out their cash flow cycle and supplier payment terms. Key insights we highlighted:

• 30-day supplier payment terms could be used strategically
• Peak season cash flow patterns needed flexible drawdown timing
• Their £15m revenue scale needed flexibility and the best pricing

Rather than rush to market, we spent time structuring the perfect solution. We negotiated directly with a lender who typically only offers single drawdowns, convincing them to create a bespoke two-tranche structure.

THE IMPACT

• £1.6m growth capital across two flexible tranches
• 0.9% monthly rate (vs 1-1.4% from competitors)
• 9-12 month flexible term
• No broker fees to client, lender-paid arrangement
• Funds available to drawdown when ready

The two-tranche structure was key: they could delay the second drawdown until needed, minimising interest costs while maximising supplier payment terms. Total interest savings vs competitors: approximately £115,000 over the term.

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TAKEAWAY

Even at £15m revenue, the right broker relationship releases better terms than going direct. Strong lender partnerships mean bespoke structures that actually save money.

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