North Yorkshire-based Watermark Plumbing Supplies has opened its third premises and is continuing to grow across the region, after securing an asset based lending (ABL) facility from Lloyds TSB Commercial Finance.

The company, which predominantly provides plumbing supplies to trade customers, was established in February 2005 in Malton. Its founders and owners Glenn Moxon, John Helliwell and Mick Dodson, have over 70 years combined experience in the industry.

Watermark Plumbing Supplies has followed an ambitious expansion programme since inception, opening its second premises in York in May 2008, to service increased demand.

To maintain this high level of growth, the firm approached Lloyds TSB Commercial Finance which devised an ABL facility to release the value of the company’s assets and allow it to quickly inject cash into the business.

Watermark Plumbing Supplies is currently in the process of building a showroom at the York depot which will extend its offering to the public as well as trade customers. It also intends to consolidate its position in the marketplace in 2010 and consider its options for further expansion.

Director Glenn Moxon said that the opening of the new Huddersfield premises is expected to boost capacity and result in a 20 per cent increase in profits this year.

Mr Moxon commented: “Our new Huddersfield depot is already profitable and our ability to expand during a downturn is testament to the hard work of our 23 dedicated employees and the assistance of Lloyds TSB Commercial Finance.

“The ABL facility has enabled us to maintain a healthy cash flow by bridging the gap between us issuing our invoices and receiving payment.

“Here at Watermark, we’ve always subscribed to the Yorkshire mentality that you should only spend what you can afford. I believe that what we have achieved during the difficult economic times puts us in an excellent position for the economic recovery.”

Lloyds TSB Commercial Finance’s regional manager Steven McGawn added: “Access to working capital is vital for companies at whatever stage of the economic cycle we are in and becomes even more important when a business is forging ahead with its expansion programme.

“ABL is an ideal funding tool to support many firm’s growth, as it releases the value of its assets, including the sales ledger, to quickly inject cash into the business and enable management to seize growth opportunities.”

“The experience and expertise of the company’s three founders combined with their ambitious business plan put them in a good position to continue growing.”

February 2010