New premises leads to growth surge at East Midlands electronics manufacturer
One of the UK's leading contract electronic manufacturers has more than doubled its turnover after relocating to a new site, with the support of a seven-figure funding package from Lloyds Bank.
Read time: 5 mins Added: 01/05/2019
Chesterfield-based Kingfield Electronics makes a range of bespoke components for blue-chip market leading clients across the globe, in sectors including scientific instrumentation, defence and aerospace.
It decided to move from its previous premises in 2013, after it became apparent that the site didn't have the capacity needed to fulfil the larger and more complex contracts that its clients required.
Flicking the switch on expansion
Using a funding package from Lloyds Bank, the firm was able to buy and fully refurbish an existing 46,000 sq ft premises in 2014, boosting its capacity by 300 per cent. In addition to a £1.1 million term loan to purchase the premises, Lloyds Bank also provided a £1.5m working capital facility and funding for investment in state-of-the-art machinery.
Since relocating, the company has gone from strength-to-strength, growing turnover by 200% to £15 million.
The firm's success has also seen it grow its workforce by 75 per cent, creating more than 60 new jobs for local people.
"Moving to the new site was definitely the start of a new chapter. In the past five years we've grown at a phenomenal rate."
Nick Taylor, founder, Kingfield Electronics
Nick Taylor, who founded the business from his bedroom in 1985, said: "The new premises provided us with the space we needed to expand, giving us the flexibility and capacity required to meet our clients' changing needs.
"It wouldn't have been possible without the support from Lloyds Bank. Not only did the relationship team provide the funding we needed to move to the new premises, but its constant guidance and advice has given us the confidence we needed to push forward with our growth plans."
"As the success of Kingfield Electronics shows, having the right funding in place is vital when implementing growth plans."
Chris Perkins, Relationship Manager, Lloyds Bank Commercial Banking
Powering growth with specialist support
Chris Perkins added: "The global electronics sector is constantly expanding, and for British manufacturers to remain at the forefront of the industry they have to remain innovative.
To do this successfully, having the right facilities and equipment in place is a must. Otherwise, they leave themselves at risk of falling behind their competitors.
That's why we've pledged to lend £18 billion to businesses over the next 12 months, helping them to capitalise on new expansion opportunities."
All lending is subject to status.
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