Arbuthnot Commercial ABL provides a £5m financing package to fund healthy growth for Hectic Lifestyles
Arbuthnot Commercial Asset Based Lending (ACABL) has completed a £5m funding package for Hectic Lifestyles Ltd t/a Nutra Direct, a leading contract manufacturer of health supplements based in Rochester, Kent
The Advisory Firm referred ACABL to Hectic Lifestyles to structure a flexible facility that would allow the business the freedom to continue its rapid growth trajectory.
Arbuthnot Commercial ABL structured a confidential invoice discounting line to generate the increased headroom required, supplemented by an RLS facility to support investment in a substantial new production facility.
Hectic Lifestyles was founded by Managing Director, Bal Sandher in 2008 while at university and has grown rapidly in recent years. Today, the business is an established, multiple award-winning manufacturer of vitamins and health, sports, and nutritional supplements.
Since starting to manufacture in-house in 2015, the business has accelerated year-on-year; continuously investing in new technology, equipment, and people. Hectic Lifestyles created a purpose-built, brand-new 40,000sq ft manufacturing facility in 2020 and will add a second 30,000sq ft facility in 2022 that will house cutting-edge technology to allow the business to expand its offerings.
Commenting on the transaction, Abri Coetzee, Managing Director, The Advisory Firm, said:
"Hectic Lifestyles is quickly becoming recognised as one of the premium health product manufacturers in the UK. We needed to find a strong lender capable of funding an increased level of headroom that the business can grow into, as opposed to constantly bumping against its availability. Arbuthnot Commercial ABL was able to structure a longer runway than previous funders have been able to, effectively futureproofing the facility and the relationship.
Generally, funders have a siloed approach in respect to the facilities they will offer and either focus on invoice discounting, ABL, or cash flow. Arbuthnot Commercial ABL looks at the bigger picture and can offer the flexibility of a combination of facilities across assets and cashflow to meet a client’s needs.”
Andrew Rutherford, Commercial Director at Arbuthnot Commercial Asset Based Lending, said:
“Lifestyles is a dynamic business in a fast-growth sector. We were very pleased to work alongside The Advisory Firm and the management team to structure a facility that will enable the business to grow without constraint. We are focused on building relationships that combine the certainty of funding, responsiveness of service and foresight as a firm foundation for long-term growth.”