40 Issue 251 - February / March 2024 www.signlink.co.uk FINANCING AND FINANCING Walking the aisles of The Print Show just a couple of months ago, one thing was abundantly clear: people are buying new kit. Whether this is a new wide-format printer to support their expansion into a new market or taking on additional finishing technology to offer new effects to customers, new machines are being snapped up across all areas. This can only be good news for a sector that was hit hard during the pandemic as demand for certain work dried up, with many manufacturers and suppliers supporting companies with their investments by offering certain funding and financing arrangements. Add in third-party options from specialist financing businesses and this can help open doors to new purchases for print companies of all kinds. Here, we highlight recent examples of funding and financing in practice and present some of the options available to those in the UK industry. A Tough Market Compass Business Finance is an independent finance company specialising in asset-based lending to the print sector. Director Jamie Nelson explains that asset-based finance having increased by 6% in October reflects an overall rise in confidence across the UK market. However, he says the situation is not quite the same in the print sector. “For the print market, investment has slowed, perhaps in part because we have Drupa on the horizon,” Nelson says, adding: “However, the market is tough. We’ve been working with customers on various projects, including debt restructuring, MBOs and acquisitions, as well as direct investments. “During the past year, we’ve seen a lot more investment decisions being driven by potential energy savings and workflow efficiencies. Sustainability is high on the agenda for many businesses, especially where it has the ability to help them win more contracts. The majority of investment we’ve seen has been in sustainable largeformat and packaging applications.” So, what can Compass offer to help print companies overcome the financial stumbling block with new investment? Nelson says Compass is passionate about the success of customers and will work with them whether times are buoyant or tough. Compass is able to support customers through a range of funding solutions, whether they are making investments or looking to improve their own cash position. “We take a relational rather than transactional approach to doing business, valuing our team, our customers, and our partners so that we can provide the best possible products, service, and experience now and into the future,” Nelson says. In addition to what Compass does, Nelson says there are tax incentives in place to encourage continued investment. Such schemes run alongside the Recovery Loan Scheme (RLS) and help to support lending to businesses that may otherwise not be able to attain the funding they need. However, it is worth noting that the Often a major stumbling block for companies looking to make new kit purchases, how can the financing and funding options available to businesses help them push ahead with investment? We’ve been working with customers on various projects, including debt restructuring, MBOs and acquisitions, as well as direct investments Look After the Pennies ▼Compass Business Finance specialises in assetbased lending to the print and packaging sector
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