Granite Systems Limited secures six-figure CBILS loan from Bank of Scotland
Kirkcaldy-based Granite Systems Limited, a manufacturer of granite, stone and marble kitchen worktops, has secured a six-figure funding package from Bank of Scotland, enabling the business to continue its operation during the COVID-19 outbreak.
The firm designs, manufactures and installs bespoke kitchen worktops, selling directly to private customers, wholesalers and housebuilders across the UK.
Many of the housebuilders the company supplies, and the kitchen studios wholesalers trade from, stopped operating after the government-imposed UK-wide lockdown.
As a result, its order income came to an immediate halt and the business’ two factories were forced to close. Its team of 34 staff were subsequently put on furlough.
Granite Systems Limited has a long-standing relationship with Bank of Scotland, securing a six-figure asset finance package in 2019 to purchase two new computerised machines to increase capacity and efficiency of production.
After reviewing its projected income for 2020 and the impact the crisis is having on the business, Granite Systems Limited decided to approach Bank of Scotland again for support. Within a week, the firm secured a six-figure loan through the Coronavirus Business Interruption Loan Scheme (CBILS), allowing it to maintain its working capital during lockdown.
Peter Brown, managing director of Granite Systems Limited, said: “We had a feeling early on that the lockdown would last much longer than the initial three weeks, so decided to seek support to reduce the impact on our business.
“We felt very strongly about paying any outstanding invoices to support our suppliers, allowing us to maintain our relationships with them and be in a strong position for when we return to normal trading. Bank of Scotland provided us with support in just a week which without, it is likely we’d struggle to operate as usual when the lockdown is lifted.
“We anticipate a positive increase in activity when we reopen. People are spending a lot of time in the house and are looking at making home improvements. Hopefully, this is the silver lining during these challenging times, and we can move forward successfully in the coming months.”
Louise Fraser, relationship manager at Bank of Scotland, added: “COVID-19 is impacting all Scottish businesses and their supply chains. It is encouraging however to see the resilience being displayed by firms during this uncertain time.
“We’re committed to helping business like Granite Systems Limited to adapt and adjust while putting measures in place now to best position them for success once we emerge from these unprecedented circumstances.”
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