Yorkshire Building Services Ltd
Business: Yorkshire Building Services Ltd
Location: Winchester, Hampshire
Funding line: £300,000
Turnover: £7.5 million
Construction firm Ship Shape sails ahead with new funding line from Bibby Financial Services
New acquisition from larger development group set for success
Founded in 2005, Ship Shape was initially created by a larger group in order to offer an in-house construction arm to ‘fill in the gaps’ in their developmental work. After 11 years as part of the group, Ship Shape was snapped up by Versant Developments, who saw an opportunity to use the expertise and talent to bolster their existing work.
As with many SMEs in the UK, Yorkshire Building Services was adversely affected by the economic downturn in 2008. The recession acted as a catalyst for a series of issues that included a lack of investment and failing customers that created a tailspin effect.
With the situation becoming critical in 2014, the business turned to Bibby Financial Services (BFS), and was given a new lease of life through an Invoice Discounting package. In 2016, the business has returned to growth and is delivering profits.
Yorkshire Building Services’ innovative insulation products use the reflective properties of aluminium foil combined with multiple layers to capture air and create a thermal barrier, providing efficient insulation to homes and commercial buildings. Jewson, Wickes, Homebase are just some of the major retailers selling Yorkshire Building Services’ products. Based in Derbyshire, its products are supplied widely to major buying groups across the UK who then supply the construction industry.
Simon Sharkey, Managing Director of Yorkshire Building Services explained: “Without support from Bibby Financial Services we wouldn’t be in business today, let alone turning a profit. Other funders pulled out due to volatility in our market but the team at BFS believed in our business and with their support we have returned to being a growing and profitable company.”
Despite some uncertainty in the market place following the EU referendum vote, today, the business is thriving and after record sales in September and October, the business is looking to expand into new territories.
While the falling pound has brought challenges to many UK businesses, Yorkshire Building Services has seen increasing demand from overseas and the company’s exports are now worth £1.2million.
Andrew Hodkinson, Finance Director of Yorkshire Building Services continued: “After our strong turnaround, we are now well placed to take advantage of the falling pound and maximise the opportunities in overseas markets. There is great potential and appetite for our products in Europe and we have seen significant growth in our export activity. We currently have two thirds of untapped capacity in our manufacturing, putting us in a strong position to take advantage of further increases in demand.”
Gareth Smith, Relationship Manager at Bibby Financial Services continued: “The success of Yorkshire Building Services really is a fantastic turnaround story. After the issues the business experienced following the global recession, this is a great example of how, with the right funding and support, any business with a unique and innovative offering has the ability to turn its fortunes around.
“We’re delighted that we were able to support the business when it needed help and look forward to continuing our successful partnership into the future.”