Solihull-based Paragon Bank has provided a £975,000 finance package to Midd Engineering, a Coventry-based specialist engineering business, to support the takeover by a new owner after it was sold last year.
Midd Engineering specialises in the provision of a comprehensive range of sub-contract machining services, including tools for milling, turning and grinding.
Established in 1999, the company employs more than 20 members of staff, servicing motor clients across the Midlands and beyond. In 2020, the original owners decided to sell the firm and Sam Denton took over late last year. Sam already headed up another engineering business, D&S Engineering, for which he’s secured funding for through Paragon in the past.
To support the transition, Paragon provided a combination of invoice and asset finance funding. The asset finance funding, valued at around £700,000, financed existing turning and milling engineering equipment. The invoice finance deal was worth £275,000 and supported a smooth takeover of the business.
Sam Denton, owner of Midd Engineering, said: “The support that Paragon was able to provide has been vital in ensuring a smooth transition when I took over the business late last year. The funding will not only support us in continuing business as usual but will also help our growth plans as we start growing our client base and taking on more projects.
“I have a long-term relationship with Paragon and have worked with the team there for eight years, having sourced funding for both of my existing businesses previously. I find Paragon really easy to deal with – everyone is flexible, friendly and professional.”
Adrian Taylor, Head of Invoice Finance at Paragon, said: “It’s been great to work with Sam again and support Midd Engineering during this period of transition.
“There are many benefits to working with one lender to access both asset and invoice financing. This is so much simpler and involves one underwriting process, one set of legal documents and one single point of reference for our customers.”