- Proficient Security
Sector – Security Services
Facility Size - £1 million
“It was refreshing to do business with Pulse Cashflow Finance. They demonstrated belief in my
business and committed to funding so that I can continue trading”.
Michael Mulvaney, MD, Proficient Security Ltd
Essex based Proficient Security have their sights set firmly on London’s square mile as part of their ambitious growth plans which are fast becoming a reality having secured a flexible finance solution with Pulse Cashflow Finance. However, things could have been very different if fast acting Pulse Cashflow had not pulled out all the stops to get a funding facility in place to ensure the future of the business was safe.
Proficient Security specialise in the provision of security services to a diverse set of companies including Embassies, HNWI’s, construction and education firms. They carry an impressive accolade of being in the top 2% of regulated security firms in the UK. Over time they have built up their product portfolio to include security officers, dog units, CCTV services to training police and security personnel across the globe. With a strong product offering and an impressive client list, the firm found themselves in the frustrating position of fighting to keep the business afloat. The industry suffers from an inherent cash flow challenge –bridging the gap between paying weekly operating expenses such as staff costs and waiting 90 days to receive payment from their customers.
Having recognised the benefits that invoice finance can deliver to a firms’ cash flow situation they had been working with an invoice finance supplier but found that the relationship was not helping their business.
As Michael Mulvaney, CEO of Proficient Security explains: “The business turnovers £5m a year and was doing well but we needed to ensure that we had a reliable cash flow to satisfy demand. Our invoice finance provider continually failed to provide the funds that we were expecting. I have spent the last 6 months managing them and not focussing on the business. It got to a point where I was having to inject my own money into the firm to provide it with the cash flow it needed despite the fact that we had a funding facility in place to do this. Our supplier then without warning withdrew our funding. This could have been disastrous for the business so we needed a solution quickly. My finance broker suggested I switch invoice finance supplier to Pulse Cashflow Finance who saw the value in the business and committed to turning the situation round and getting a facility in place in the time required”.
Pulse Cashflow Finance worked with restructuring and turnaround Specialist ReSolve to provide an immediate injection of £600k against outstanding invoices with an ongoing finance facility of £1 million to support the cashflow gap. This gave a platform for Proficient Security to not only continue trading but to continue planning for growth.
As Toni Dare, managing director of Pulse Cashflow Finance said “It’s a solid business with good quality receivables, so we were happy to offer a funding facility to them. Timescales was a challenge, but the team worked together to make it happen. The most important thing is that the business has an ongoing supply of funding to ensure it can continue trading. We saved the business from going under and protected jobs which is a great result for everyone involved. It demonstrates the importance of businesses taking advice from financial advisors who can take what seems like an irretrievable situation and turn it around”.
Cameron Gunn, Principal at ReSolve noted: ‘The key here was to work with the stakeholders quickly and efficiently to allow Michael and the team to execute their plan effectively. It was rewarding to be part of a focused team ensuring the right partners and funding were in place for the future success of staff, management, owners, customers and suppliers’.
As Michael concluded “It was refreshing to do business with Pulse Cashflow Finance and ReSolve. They demonstrated belief in my business and committed to funding so that I can continue trading. The business has ambitious plans. We strengthened our leadership team 6 months ago and have been targeting firms within London’s Square Mile. The pipeline of potential work means that we are looking at tripling the size of this business in a year! To realise this, we need a healthy cash flow and so we will be working closely with Pulse to reduce our debt turn from 90 days to 70 days which combined with the ongoing supply of funds, will benefit our cash flow situation and help us to expand and move forward. With Pulse Cashflow supporting the business, we have every confidence that our business is going to go from strength to strength.”