The UK’s only specialist industrial vehicle tail-lift manufacturer doubled year-on-year revenue in 2021, and is on track to do the same in 2022- reflecting domestic demand for logistics technology.
Independent Growth Finance (IGF) has provided access XL with a £1.45 million asset-based lending (ABL) facility. The flexible facility will be used to fuel their growth, with exceptionally high demand and increasingly large orders.
Founded in 2012, Scottish firm Access XL are the fabrication and vehicle lift division of industrial solutions providers XL Global Group. The business has grown significantly in recent years, and this additional funding will allow Access XL to continue that trajectory.
The funds have already allowed them to purchase and expand their 2,000 square meter facility, increasing lifting capacity by over 50%. Additionally, whilst improved cash flow allows the Forfar-based firm to purchase the specialised raw materials needed to fulfil increasingly large orders.
Scaling to meet demand
During the pandemic, demand for tail lifts across product segments has grown rapidly, from HGV’s, to ambulances, as well as specialised packages tailored to industries including emergency services, recycling, offshore wind power, and oil and gas.
The funding has already allowed Access XL to purchase and upgrade their facility, including the neighbouring building. This expansion will enable an increase in production capacity from three lifts per week to ten.
This boost to production is crucial too, as orders come in for tens or even hundreds of lifts. It is here that the funding serves another crucial role, allowing them to purchase more stock of the specialised imported steel and aluminium needed. Amidst squeezed supply chains and a general increase in raw materials prices, increasing stocks of key raw materials is crucial.
Managing Director at Access XL, Colin Laird added:
“Since the pandemic the business has gone from strength to strength, with revenues nearly doubling year on year. As we continue to establish ourselves as the only UK manufacturer of specialist tail lifts, demand is only rising, so it was vital that we found a partner who could provide the capital needed to meet it.”
“IGF were the perfect partners. They took the time to understand our business and the opportunity ensuring that the process went smoothly. The funds have already been put to work, allowing us to invest in the extra capacity needed to continue our trajectory.”
New Business Director at IGF, Richard Spielbichler, said:
“We’re excited to play a part in Access XL’s impressive growth. We strive to offer the flexibility that many banks can’t, and recognise that each client, and each industry offers unique challenges and opportunities. The headwinds driving Access XL’s success were clear, and we’re glad to have provided the funds and counsel that will accelerate this growth.”