£75,000 business loan aids Airdrie firm's expansion

Loans scheme open to local companies

Airdrie company

A £75,000 loan has helped a growing Airdrie business secure £700,000 worth of new contracts and a full order book.

WQS (UK) Ltd contacted our Enterprise Team when the need to raise working capital to service a series of large public contracts arose. The loan finance helped plug the gap in a £150,000 funding package, enabling the business to resource itself to meet the scaled up demands.

The company, who have been trading in their current form for two years, specialise in the monitoring, maintenance and upgrade of hot and cold water systems to help control the possible growth of Legionellosis. Customers span the public and private sectors across most of Scotland, with the majority located in the central belt.

Established by brothers Kevin and Des McGivern, WQS (UK) Ltd employs 17 staff and operates from 2,000 sq ft premises at Chapelhall Industrial Estate.

A second business, Wonderseal Ltd, which provides 'patches' for the repair of commercial water storage systems and is also run by the brothers, is seeing similar success, with products being shipped overseas to Belgium, Germany and the US to meet increasing customer demand.

WQS (UK) Ltd Director Kevin McGivern said: "In WQS, 90% of our work comes from local authorities and the public sector. Contracts in this space can be high-value and framework driven providing a secure pipeline of work which is great, but cashflow for a young company like us, was a challenge. 

"We were confident of our abilities to deliver on the contract requirements but just needed the injection of capital to allow us to get started. The loan funding has helped finance five new employees and three vans, propelling us forward and taking the business on to a new level."

Yvonne Weir, our Enterprise Manager said: "Business Loans Scotland funding can be used for multiple purposes and it is pleasing to see the impact that this loan has had in servicing a need for working capital. These contract wins will undoubtedly be a big confidence boost to the company and will no doubt pave the way to winning more work, enabling the business to grow turnover and jobs here in North Lanarkshire."

Any businesses interested in Business Loans Scotland should contact North Lanarkshire Council Enterprise Development Team on 01236 632863 or by email at businesssupport@northlan.gov.uk.

Business Loans Scotland can provide loan funding of up to 50%, to a maximum of £100,000. Limited companies, social enterprises, partnerships and sole traders are eligible to apply. The funding can be used for working capital, purchase of plant and equipment or business property. Loans are repayable over a five-year period at a fixed interest rate of 6% (can vary according to risk). There is an option to take up a capital repayment holiday of up to three months, as part of the loan conditions and agreement. BLS is part-funded by the European Regional Development Fund (ERDF).

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