£5M ABL Solution for High-Growth Construction Subcontractor

A national construction subcontractor with turnover set to rise from £21M to £28M needed an asset-based lending solution that went beyond traditional invoice finance.

By unwinding their existing facility and securing a £3M invoice discounting facility, backed by a £2M term loan supported by the government’s Growth Guarantee Scheme, Clifton Private Finance delivered the working capital they needed to fulfil contracts and support ambitious growth plans.

The Scenario

Our client is a major subcontractor in the UK construction sector, specialising in new build residential and education properties. With turnover of £21M and contracts in hand to increase that figure to £28M, they required substantial working capital to meet demand.

Traditionally, construction businesses are limited to secured debt against property or highly specific invoice finance tied to applications for payment — a process unique to the industry and seen by many lenders as high risk. The client wanted to move away from their restricted invoice finance arrangement and secure a more flexible funding structure.

The Solution

We helped the client unwind their existing invoice finance facility and negotiated a new £3M invoice discounting facility.

The funding was supported by an additional £2M term loan under the government’s Growth Guarantee Scheme, which provided the lender with first-rank security while ensuring the client had the liquidity to meet upcoming project demands.

The Outcome

The £5M total facility gives the business the flexibility and working capital it needs to execute major contracts and sustain its growth trajectory, without being constrained by the limitations of traditional construction sector finance products.

If your business is ready to scale but held back by industry-specific finance constraints, we can help you restructure facilities and access broader funding options to unlock your potential.