We recently worked with a long-standing stonemasonry client, a highly skilled business delivering bespoke granite and marble worktops for premium kitchen and bathroom installations.
With a small, loyal, and experienced workforce, the company has built an excellent reputation for craftsmanship and personal service. Their work is precision-led, design-focused, and dependent on both skilled labour and quality machinery.
The Funding Requirement
The client approached us seeking approximately £65,000 through an unsecured business loan. The funds were required to:
- Reduce a portion of a “hardcore” overdraft balance that had built up over the past two years
- Support the salary costs of a new Business Development/Marketing hire to drive future growth
- Invest in a new website and broader marketing activity
The initial request was clear, but as always we took time to fully review the business position and explore whether the requested product was the most cost-effective route to the desired outcome.
Looking Beyond the First Option
Unsecured lending can be useful, but it is not always the most economical solution ,particularly for established businesses with valuable assets. Through discussion and financial review, we identified that the company owned several key pieces of machinery outright.
Rather than proceed with higher-cost unsecured borrowing, we recommended a refinance of three existing machines, releasing the required capital while securing a significantly more competitive rate.
The Outcome
By refinancing existing assets instead of taking an unsecured loan, the client achieved:
- The full £65,000 funding requirement
- A lower cost of borrowing
- Structured repayments aligned with business cashflow
- Immediate working capital to stabilise banking facilities
- Investment capacity for marketing and growth
- Support for a new BDM hire to strengthen future revenues
Most importantly, the client reached the same end goal . access to funds, but through a more efficient and cost-effective structure.
Why Advice Matters
This case highlights an important principle, the first funding product a client asks about is not always the best one for their situation. By taking time to understand the business, its assets, and its objectives, alternative routes can often be found that improve both cost and flexibility.
For specialist, asset-rich businesses like this stonemasonry firm, asset refinance can be a powerful tool ,unlocking capital already tied up in the operation without disrupting day-to-day trading.
If you’re considering business funding, it’s always worth exploring the full range of options before committing to a single path. Get in touch with the team at WBF.
