Mick McNamara of Lloyds Commercial Finance and Parafix owner Mike Punter
A seller and distributor of self-adhesive materials has made a £500,000 investment in new technology.
Sussex-based Parafix Tapes & Conversions made the investment with aid from Lloyds TSB Commercial Finance. The company, which also has a factory in Budapest, creates products for pharmaceutical companies and also specialises in thermal management and foam and rubber production.
The company uses an invoice finance facility of £1.75m from Lloyds TSB Commercial Finance, which helps to fund working capital. This allows the business to draw against its sale invoices creating flexibility when waiting on payment from clients.
Parafix currently employs over 100 members of staff and with the acquisition of a new building this year; employee numbers are to increase further. The new machine that the business has invested in has faster output and more accurate cutting, allowing the firm to cope with increased client demand.
Michael Punter said: “This year we are acquiring a new building to continue operations further and it seemed sensible to invest in a machine that will increase output, create more profit and make a difference for years to come. Demand for products has been high and we plan to take on more employees in accordance with our growth.
“The financial support the company has received from Lloyds TSB Commercial Finance has been substantial and integral to our growth. Having a client manager to act as a sounding board for ideas has been a real boost and our aim for the future is to continue growth, create more employment opportunities and gain even more contracts.”
Nick McNamara, client manager at Lloyds TSB Commercial Finance, said: “Parafix uses a number of financial products from Lloyds TSB Commercial Finance and we are glad that we can assist and help the company as it continues to grow. The success of Parafix is down to Michael and his co-owner’s hard work and persistence and this had led to significant growth within different market sectors.
“We are committed to supporting the UK business community. I am glad that Parafix has used our support and I would like to wish Michael and his team the best for the future.”