Premier Invoice and Asset Based Lender Venture Finance has provided mid-Glamorgan-based Parle Skip Hire with a  £750,000 Confidential Invoice Discounting (CID) package to enable the company to achieve its growth ambitions. The package also came with a £100k Government’s  Enterprise Finance Guarantee (EFG) loan, and has already led to the creation of 15 new job opportunities locally.

Founded in December 2004, Parle Skip Hire was formed from the purchase of BMH Skip Hire and Stephen Parle Skip & JCB Hire by Elwyn Jones, a high-profile businessman within the Aberdare & Merthyr Tydfil construction industry. The company offers waste management, recycling and plant hire services to domestic and commercial clients.

With the Welsh Assembly seeking to drive their green agenda by supporting businesses operating within the environmental sector, Mr Jones identified an opportunity to strengthen his business’ position in the local marketplace as well as demonstrate its commitment to the environment. To do so, however, he required an injection of investment. As with many business in the current economic environment, their situation meant that access to growth capital was not possible within their current facilities.

Although Parle Skip Hire already had an overdraft facility in place with its bankers, the company sought a lender that could provide flexible funding to ensure on going working capital and the EFG to provide the additional investment the company needed to move the business forward. On the advice of David Whiteman, a Corporate Financial Advisor who works closely with the firm, Parle Skip turned to Venture, who wasted no time in understanding the business’s needs and implementing a robust and responsive solution.

Furthermore, Venture’s package complements Parle’s existing funding facilities and has provided the solid grounding Jones needed to achieve his growth ambitions. 

Venture’s flexible funding solution has meant, Parle Skip Hire has been able to purchase a 40,000 sq ft unit on a 15-year lease in Neath. The new site will generate additional sales revenue from skip hire, gate fees and income from recycled materials, as well as create 15 new jobs – five of which have already been filled. The Confidential Invoice Discounting facility has given the company the ongoing working capital it needs to build the business and the EFG facility provides manoeuvrability to support further expansion.

David Whiteman, Parle Skip Hire Financial Advisor comments: “Venture’s response to Parle’s challenge bears witness to their reputation as a premier lender to businesses. The fact that they were in a position to offer the EFG alongside Confidential Invoice Discounting was a decisive factor in completing the deal. They are one of the few lenders who have a track record offering EFG loans, providing us with the financial flexibility to grow still further.”

Elwyn Jones, Owner of Parle Skip Hire comments: “Without Venture’s rapid and considered response, our new unit in Neath and the 15 jobs we have created would not exist. Nor would we be able to make a contribution to the betterment of Wales’ environmental sustainability. I’d like to think that is just the beginning though. We now look forward to employing more staff and continuing to build on our recent steps forward.”

Kelvin Thomas, Regional Director, Venture Finance comments: “In these challenging times, it is refreshing to be able to shout about a success story. Elwyn and the Parle team deserve credit for responding to the opportunities offered by the Welsh Assembly’s green policies. We will always try to support a company that has a strong business plan and it is highly rewarding when you start to see that plan become a reality.

“Parle Skip Hire has big ambitions and they are certainly heading in the right direction.”