Online retailer buys premises, slashing costs thanks to £680,000 funding package
An online bathroom and kitchen retailer in Cwmbran, Wales is set to triple turnover and slash its overheads by £50,000 by buying its own premises, with the support of a £680,000 funding package from Lloyds Bank.
Read time: 5 mins Added: 12/03/2019
Zeffa Online, which trades online as Plumbtap, used the funding to buy its 50,000 sq ft site in Avondale Business Park.
The move means Zeffa can streamline its processes by consolidating operations that currently sit across four warehouses into one space, saving £50,000 on overheads.
A platform for growth
The increased space will also allow Zeffa, which was founded in 2011 and now has a £5 million turnover and 25 staff, to boost its capacity to meet rising consumer demand.
As a result, it expects to achieve a turnover of £15million and double its workforce within the next five years.
"Buying the new site will transform our business model, enabling us to make the vital efficiencies needed to drive growth over the coming years."
David Nash, founder, Zeffa Online
"We recognised we needed to streamline our processes, while continuing to offer the best possible service to our customers. Taking the steps needed to buy the premises was quite challenging, and we relied on the support of the Lloyds Bank team throughout.
"Not only did they supply the tailored funding needed to purchase the site, but they were always on hand to provide guidance when an issue arose."
Over the past seven years Zeffa Online has grown significantly, achieving a turnover of £5million and employing 25 people from across the local area.
Chris Ryan, relationship manager at Lloyds Bank Commercial Banking, said: "Plumbtap is renowned for providing a high-quality and efficient service to customers across the country."
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