As a packaging expert with knowledge, technical expertise and production flexibility, PT Plastics contacted Menzies to support them with their growth into the UK Market.
As a successful business in their local Croatian market, the Directors’ identified an opportunity to build on this success by joining one of their customers in their expansion into the UK. With little experience of the UK market, Menzies were approached to assist with the set-up and establishment of the UK business.
Following an introduction to Caroline Milton, Menzies International Manufacturing specialist, PT Plastics outlined their objectives and the challenges they believed they may face by expanding into the UK market with the main issue surrounding the financing of their projected growth.
Financing growth in the UK
During the advisory meetings with the management team, Caroline discussed and recommended options in relation to the structure of the UK business and advised on the approaches for raising finance to manage their working capital requirements and capital expenditure needs.
Identifying the need to maintain accounting records and produce management information on a timely basis, PT Plastics outsourced their finance function to Menzies to enable overhead costs to be closely monitored through this start-up phase. We used Xero, which gave the management team the flexibility to monitor the company’s finances remotely whilst allowing management accounts to be produced quickly, VAT returns to be completed with ease, yet controlling the administrative costs of employing finance staff directly in the UK at this critical time.
Financing new machinery
As the business became more established, further machines were necessary. To support the financing of new machinery, Menzies assisted the company in preparing cash flow forecasts, derived from the accounting records on Xero and exported to Futrli. These forecasts enabled the business to raise the necessary funds to make significant capital expenditure purchases.
Our #BrighterThinking approach also facilitated introductions to UK banks and asset based lenders to further assist with working capital financing, invoice discounting facilities and finance lease funding.
Looking to expand your business horizons?
Working with companies such as PT Plastics is our passion and we’re proud to have supported them throughout their expansion into the UK manufacturing market. Whether you need an agile format whilst you are testing the UK market, or want to fully expand into the UK, Menzies provide comprehensive assistance in all areas to ensure nothing is missed giving clients the best advice from experts who are familiar with international business in general and the manufacturing sector.