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Hedingham Contracts; Invoice Finance sparks growth for fire safety specialist
Hedingham Contracts has transformed from a traditional building maintenance company into one of the UK's leading fire safety specialists, doubling its turnover in just two years with the support of an Invoice Finance facility from Lloyds.
Read time: 5 mins Added: 04/08/26
Accessing opportunity
New legislation presented a major opportunity for fire safety specialist Hedingham Contracts, but pressure on working capital threatened to constrain the firm’s ability to grow. Based in Colchester, the business was established in 2005 as a commercial building maintenance company, serving major clients including the Ministry of Defence (MOD), hospitals and schools across the UK.
Director Mark Game had long recognised the importance of fire safety, investing in specialist accreditations for fire door installation and fire stopping work.
As legislation tightened and building owners faced new statutory obligations, demand for fire safety services surged. Today, Hedingham Contracts employs around 40 people and works with major clients including Sodexo, the MOD, Colchester Borough Homes and numerous local authorities, delivering fire door replacements, fire stopping and fire curtain installations across England and Wales.
But rapid growth brought significant challenges. Like many businesses in the construction sector, Hedingham faced a persistent gap between the need to pay suppliers and subcontractors and receiving payment from customers.
Mark Game Director, Hedingham ContractsUp until around three years ago, around 90 per cent of our business was building maintenance, but now around 80 per cent of our work is fire safety for the commercial sector. That rapid growth meant we were overtrading, which obviously impacts your cash flow. With subcontractors requiring weekly payment and suppliers wanting upfront payment for materials, but customers paying on 60-day terms, the business faced a working capital gap of at least five to six weeks on every contract.
The cash flow crunch
When Hedingham switched their previous banking relationship to Lloyds, it was able to access additional working capital facilities to support the business’ growth, including a £150,000 Growth Guarantee Scheme Loan.
By late 2024, despite strong demand and excellent client relationships, the cash flow pressures were becoming unsustainable. Mark had previously relied on loans and credit cards to bridge the gap, and he approached other high street lenders about Invoice Finance, but he found a lack of willingness to work with businesses in the construction sector.
So, Mark connected with Lloyds and went live with an Invoice Finance facility. By releasing cash tied up in outstanding invoices, this meant Hedingham could pay suppliers promptly and take on larger contracts with confidence.
Edward Booth Invoice Finance Sales Relationship Manager, LloydsThe business had a lot of exciting opportunities but needed to release some additional working capital. It was clear that, if we could release the cash that was tied up in the invoices that were outstanding from their customers, they could then pay their staff and suppliers on time, take on additional contracts and grow the business.
A new approach to growth
The impact was immediate, and since then, the facility has grown alongside the business, increasing from £250,000 to £400,000 to support Hedingham's expansion. Initially using an Invoice Factoring arrangement, the company has since transitioned to confidential Invoice Discounting, giving Mark full control over credit management and customer relationships. Hedingham also uses Lloyds Commercial Cards to manage and reconcile company spending across its teams.
Rob Jones Invoice Finance Client Manager, LloydsBy building a strong working relationship with Mark, I’ve been able to support them throughout that journey, playing a key role in structuring the finance for their new business. We’ve had constructive discussions around additional ways to support the business, including our Debtor Protection product to provide cover in the event of a customer failure, as well as exploring how surplus availability within the facility could be used to repay existing Hire Purchase agreements and reduce overall costs.
Mark says: “I used to spend so much time chasing payments, which was incredibly stressful. Now, I can take on any job because I have the confidence that I can pay my guys and my suppliers. We’re taking on jobs that I wouldn't even have been able to consider in the past. I have no overdue suppliers. I still have overdue invoices, but it doesn’t concern me anymore. Having Invoice Finance means I can take on anything, and it has made all my ambitions for the business more attainable.”
Edward Booth Invoice Finance Sales Relationship Manager, LloydsThis is a great example of Invoice Finance fuelling growth and creating opportunities for businesses where long payment cycles and high upfront costs put severe strain on cash flow. Mark has immediate, flexible access to working capital tied directly to the sales ledger, giving him the confidence to bid for larger contracts without fear. Since moving to a confidential Invoice Discounting facility, there's no disclosure to Mark's clients that he's using Invoice Finance, which means he's fully in control in terms of credit control and sales ledger.
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Invoice Finance facilities may be provided by one or more of Lloyds Bank Commercial Finance Limited, Lloyds Bank plc and Bank of Scotland plc. Lloyds Bank Commercial Finance Limited. Registered in England & Wales no. 733011. Registered office: No.1, Brookhill Way, Banbury OX16 3EL. Bank of Scotland plc. Registered in Scotland No.SC327000. Registered Office: The Mound, Edinburgh EH1 1YZ. Bank of Scotland plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration no. 169628.