A company that specialises in cleaning industrial components has secured a £250,000 business loan to help it relocate and boost capacity to meet the growing demand.
Sonic Solutions has taken on new premises in Huddersfield which at 8,800sq ft, is almost three times the size of its original site at Dewsbury. The funding from NPIF II – Mercia Debt Finance, which is managed by Mercia as part of the Northern Powerhouse Investment Fund II (NPIF II), will enable the company to fit out the building and invest in new equipment.
Sonic, which has doubled its turnover in the past three years, cleans industrial filters and heat exchangers using techniques such as ultrasonics, chemicals, thermal stripping and vapour blasting. It serves clients across a wide range of industries including BP, British Sugar, British Gas and Airbus.
The company was established in 2004 by former accountant Andrew Taylor and in recent years has expanded into new industries, in particular plastics recycling and defence. It currently employs nine staff and expects to create six new jobs in the next three years.
Andrew Taylor, founder and Managing Director, said: “Filters are used in many industries but can cost up to £1,500 each and require regular cleaning, which companies may struggle to do themselves. Professional cleaning cuts running costs by extending filter life and reducing downtime, with one client saving £75,000 a year. As companies focus on achieving efficiencies in the current climate, we are seeing increased interest in our services. This investment will help us boost capacity to keep up with the demand.”
David Wright of Mercia Debt added: “Andrew has built a thriving business that is now a market leader in plastics recycling and some other industry sectors. After a period of rapid expansion, the company had outgrown its previous site. We are pleased to support the relocation which will improve efficiency and provide space for further growth.”
Lizzy Upton, Senior Investment Manager at the British Business Bank, said: “Supporting ambitious businesses to invest, grow and create jobs across the North of England is a core aim of the Northern Powerhouse Investment Fund II. Sonic Solutions is a great example of a Yorkshire-based company responding to growing demand by expanding its premises and boosting capacity. Access to the right finance at the right time is critical for businesses like this, and NPIF II is designed to help them scale sustainably and realise their growth ambitions.”
Rachael Thurlbeck, SME Growth Manager at Kirklees Council, provided fundraising advice to Sonic.
The £660m Northern Powerhouse Investment Fund II (NPIFII) covers the entire North of England and provides loans from £25k to £2m and equity investment up to £5m to help a range of small and medium sized businesses to start up, scale up or stay ahead.
The purpose of the Northern Powerhouse Investment Fund II is to drive sustainable economic growth by supporting innovation and creating local opportunity for new and growing businesses across the North of England. The Northern Powerhouse Investment Fund II will increase the supply and diversity of early-stage finance for the North’s smaller businesses, providing funds to firms that might otherwise not receive investment and help to break down barriers in access to finance.