UTB completes complex £625,000 SME refinance case

Published on

United Trust Bank (UTB) has completed a £625,000 refinance facility to support the acquisition of a coach operator in a deal described as unusually complex by those involved.

The transaction was introduced to UTB Asset Finance by Mike Austin, director at Crystal Business Finance, who was acting on behalf of a growing coach operator looking to expand through acquisition.

To raise the capital required, the buyer proposed refinancing a number of coaches from its own fleet, as well as several vehicles owned by the company it was acquiring.

This requirement added significant complexity to the structure of the deal. It was underwritten by Rob Irving, UTB’s roving asset finance underwriter for the North of England, and made subject to satisfactory valuation and proof of title on seven vehicles in total.

CHALLENGES

Obtaining title documentation proved to be one of the more challenging aspects of the deal. Some of the coaches involved lacked full supporting documents, including missing invoices.

However, collaboration between the teams at Crystal Business Finance and UTB ultimately resolved these issues to the lender’s satisfaction.

Once agreement was reached, UTB released the funds directly to the client’s solicitor handling the purchase. The solicitor provided UTB with a letter of undertaking confirming that the funds were being held to the bank’s order.

Upon completion of the acquisition and formal transfer of the vehicles, the funds were passed to the vendor and UTB received confirmation of the transaction.

Mike Austin

Austin said: “This wasn’t a straightforward case, but I talked to Paul Barter at UTB and he quickly confirmed that they would be able to do it.

“Once our client was ready to go ahead, Rob Irving completed the underwriting and UTB’s operations team completed all the admin, processing and arrangements with the solicitors to enable my client’s acquisition to proceed.”

Paul Barter (pictured), business development manager at United Trust Bank, added: “We pride ourselves on being able to take on more complex deals which benefit from having direct communication with our underwriters from the start.

“Thanks very much to Mike for giving us the opportunity to show what UTB are capable of and for the excellent support we received from him and the Crystal team in getting this deal over the line.”

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Assetz Capital cuts refurb and dev exit loan rates

Assetz Capital has repriced its refurbishment, regeneration and development exit loans, with all borrower...

London Credit strengthens Midlands presence with new BDM hire

London Credit has expanded its regional footprint with the appointment of Sophie Jones-Trutwein as...

Keystone joins LMS Panel Link to widen conveyancing access

Keystone Property Finance has become the latest lender to adopt LMS’s Panel Link and...

The Darlington relaunches foreign currency mortgages

Darlington Building Society has reintroduced foreign currency mortgages to its intermediary range, to support...

Mortgage Guarantee Scheme supported over 56,000 loans before closure

The government’s Mortgage Guarantee Scheme, which ended in June this year, supported more than...

Latest publication

Latest opinions

Bridging the Pond: How large is the US bridging finance market, and compared to the UK?

When we first got started with LendInvest in the UK, post the financial crisis,...

Passing the affordability exam

As teachers and students of various ages have spent August nervously opening exam results...

Investors are changing their approach – and lenders should too

The buy-to-let market never stands still, but the pace of change in recent years...

Leasehold fees, specialists and the need to shop around

Leasehold properties account for around 20% of all dwellings in the UK, and while...

Other news

Assetz Capital cuts refurb and dev exit loan rates

Assetz Capital has repriced its refurbishment, regeneration and development exit loans, with all borrower...

London Credit strengthens Midlands presence with new BDM hire

London Credit has expanded its regional footprint with the appointment of Sophie Jones-Trutwein as...

Keystone joins LMS Panel Link to widen conveyancing access

Keystone Property Finance has become the latest lender to adopt LMS’s Panel Link and...