Emergency Working Capital for a Food Manufacturer After Supermarket Delisting Threat
£150,000 · 12 months · 10.50% fixed. A Midlands food manufacturer was informed by a major supermarket that a labelling compliance issue needed to be resolved within 60 days or their product would be delisted.
The Client
Midlands food manufacturer
The Challenge
A Midlands food manufacturer was informed by a major supermarket that a labelling compliance issue needed to be resolved within 60 days or their product would be delisted. The cost of redesigning packaging, running new print runs, and replacing existing stock on shelves was £140,000 - capital the business did not have immediately available.
Our Solution
Doulton arranged a £150,000 secured working capital loan within nine working days, secured on the company's trade debtors and stock. Speed was paramount - the supermarket's deadline was firm. The loan was structured for repayment over twelve months from ongoing trading cashflow.
The Outcome
Packaging compliance achieved within the 60-day window. Supermarket listing retained. The cost of the loan was a fraction of the revenue that would have been lost from delisting. Loan repaid on schedule. Key highlights: 9-day completion - supermarket compliance deadline met; Listing retained - delisting would have cost multiples of loan cost; Secured on debtors and stock - no fixed charge on property required.