When Lincoln-based IMPS (UK) Ltd won a £140,000 contract with Sri Lankan Railways to provide engine parts for its fleet of locomotives, it was a major international success. However, due to the custom-made nature of its reverse-engineered products, and the requirement to pay suppliers up-front, undertaking the contract required significant investment. With this size of order, IMPS was unable to find the finance in the private market. The company needed to explore financing options to access the required cashflow.
Supporting expansion into international markets
By working with Tony Petersen, our export finance manager for the East Midlands, IMPS found a solution. UK Export Finance (UKEF) provided the company’s bank, HSBC, with a guarantee so it had the security it needed to make an export working capital loan. This gave IMPS the working capital to fulfil the order.
Chris Woolley, Managing Director at IMPS (UK) Ltd, said:
We’re a small company, but expanding into new markets is an important part of our growth strategy. Winning the contract with Sri Lankan Railways was a huge boost to our business, and working with UKEF meant that we were able to realise this success.
Tony Petersen, UKEF export finance manager for the East Midlands, said:
IMPS has found a lucrative gap in the market, with products that will be in demand across the world. UKEF is delighted to be able to support its expansion into international markets, helping to make its exports happen.