£5M Asset-Based Lending Facility for Fast-Growing Property Management Firm

A rapidly expanding property management firm in Central London needed a significant injection of capital to sustain growth and fund new opportunities. With revenues rising from just £75K in year one to over £25M by year three, the business’s acceleration had outpaced the support available from its existing lender.

Clifton Private Finance structured a £5M funding solution combining an asset-based lending facility and a government-backed term loan, unlocking the capital needed to drive their expansion forward.

The Scenario

The business rents and sub-lets properties across London and had an existing confidential invoice discounting (CID) facility with Metro Bank. However, Metro was unable to extend further debt to support the company’s growth. With multiple subsidiaries under shared ownership by two young directors, siblings and non-UK nationals, the structure was complex and lacked UK-based personal assets for security.

The Challenges

The case presented multiple obstacles: a highly complex group structure, non-UK directors, and an unusually rapid growth trajectory that many lenders would struggle to rationalise. The business’s limited trading history and lack of tangible guarantees compounded the difficulty of securing a large facility in a short timeframe.

The Solution

Ben prepared a detailed and transparent funding proposal, including a comprehensive credit report and three-year cash flow forecast to justify the company’s exceptional growth. This helped demonstrate the credibility of the business model and reassure lenders of the sustainability of future performance.

We successfully structured an asset-based lending (ABL) deal comprising:

• £3M confidential invoice factoring facility, and
• £2M term loan via the Government Growth Guarantee Scheme

The facility leveraged the company’s debtor book to raise the required value without relying on personal guarantees.

The Outcome

The £5M funding line was concluded within six weeks, providing the liquidity the business urgently needed to continue acquiring and managing new properties. Without our intervention, the client would have faced significant delays in obtaining funding and risked stalling their growth plans.