Recognising cashflow support when it matters
Kontrol Ltd is a growing business that supplies dehumidifying products as home solutions directly to a wide range of familiar high street retailers such as Lakeland and The Range and indirectly via key distributors and third parties. It has grown to become UK’s number two in terms of volume and distribution, second only to the German giant Henkel.
Driving its success has been Ken Bates, son of its founder and Kontrol Group pioneer Bill Bates. A highly personable businessman, Ken has been at the helm of a company that has grown steadily, by sympathetically recognising the demographic changes and requirements in demand from its customers as lifestyles constantly adapt and react to the challenges of everyday, modern living.
As a seasonal based company, having a supportive and understanding funder combined with a close regular interaction with his business coach (Stephen Woodland of SWCBC) has been pivotal in enabling Ken and Kontrol to tackle with confidence, the cashflow pressures that have been symptomatic of its growth.
These include maintaining an efficacy in its overseas supply chains and logistics through to minimising exchange rate differentials and potential freight disputes and avoiding unnecessary delays in customer payments. This together with a significant reinvestment of company profits into the business to finance both continuing product development and the creation of its own internal packaging plant, has, according to Ken, totally vindicated his decision to move its invoice finance facilities away from a high street bank funder to Advantedge.
“Advantedge have helped this business massively and have been there for me at key moments in our growth which I will not forget.
Whilst we were very grateful for the services previously provided by our bankers, as a large organisation they were unable to provide the simple, straightforward invoice finance solution that Advantedge as an independent local funder can, alongside their highly personable and easy-access relationship offering.”
A client since March 2019, Kontrol have constantly reaped the benefits of invoice finance and have been fortunate to be part of an industry sector that has not closed throughout the current pandemic that has seen an enforced lockdown of vast swathes of the UK economy.
The business has grown outwards and is according to Ken “in great shape”, back to 2019 levels. However, by his own admission, turnover is no longer the barometer he will uses to measure success and with a much stronger management team in place, and their sights set on the UK and further development into Europe, the future looks extremely encouraging for this business.