Bangor-based Snowdon Timber Products is eyeing up expansion of sales into Europe after experiencing vast growth during the past year.
The Llandygai Industrial Estate-based business, which was established towards the end of 2019, has experienced a fluctuation in sales following Covid but following a £100,000 finance package it has unlocked a stream of potential business avenues and is optimistic about the future.
Director of Snowdon Timber Products, Jody Goode, said:
“There have been so many market variations that we’ve had to navigate since Covid and Brexit. Not only have we had to work our way through fluctuating market prices, whilst balancing employment, but energy prices and import sanctions. All in all, it’s been quite a journey.
“Last year we were accepted to sell on the B&Q Marketplace, which hugely boosted sales, and now we ship our timber to businesses and customers across the UK. With this growth came the need to invest in stock, so that we could deliver on the sales, but cashflow was tight.”
It was at this point that Jody was recommended to contact BCRS Business Loans and, after working with the North Wales Business Development Manager, James Pittendreigh, he was successful in obtaining a finance package from BCRS Business Loans, one of three fund managers for the £130 million Investment Fund for Wales, which was launched by the British Business Bank in late 2023.
The finance has enabled Snowdon Timber Products to invest in stock, whilst they’ve also retained all staff and employed two further full-time members, as well as recruiting into a number of temporary positions.
Jody continued:
“This funding has unlocked the potential of the business and without it, I think we’d be pretty stagnant. Instead, it’s allowed us to take the business in the direction it needs to go and we’re hopeful that through the B&Q Marketplace avenues that we can start selling outside the UK.
“Last year was a huge milestone for us, and we’ve just exceeded last year’s turnover mid-way through the year. We are really optimistic and proud of the way the business is growing. Earlier this year we were in a catch-22 situation where we could see potential growth but needed investment. This funding has now unlocked our potential – we’re seeing defined growth and are looking forward to the next chapter.”
James Pittendreigh, Business Development Manager at BCRS Business Loans, said:
“We were happy to work directly with Jody to explore how this funding could support the growth of the business and help with cashflow.
“BCRS are a story-based lender, and we support businesses that often find it difficult to access finance through traditional routes. We pride ourselves on our bespoke support and base our decisions on the business itself, not computerised credit scores.
“Snowdon Timber Products has overcome many market challenges, and we are pleased to see how this funding is already positively impacting them and opening up further avenues for growth.”
Bethan Bannister, Senior Investment Manager, Nations and Regions Funds at the British Business Bank, said:
“The £130 million Investment Fund for Wales was launched to support successful and ambitious businesses like Snowdon Timber Products as they work hard to realise their goals, especially while navigating turbulent market conditions.
“We hope that this £100,000 investment delivered through BCRS contributes to their continued success.”
The British Business Bank backed Investment Fund for Wales operates across the whole of Wales and includes a range of finance options with loans from £25,000 to £2 million and equity investments up to £5 million to help small and medium-sized businesses start up, scale up or stay ahead. BCRS Business Loans is managing the smaller loans part of the fund (£25,000 to £100,000). FW Capital is responsible for larger loans (£100,000 to £2 million) and Foresight manages equity deals (up to £5 million).
The Investment Fund for Wales helps to increase the supply and diversity of early-stage finance by providing options to smaller businesses that might otherwise not receive investment. Funding is designed to help businesses with activities including expansion, product or service innovation, new processes, skills development, and capital equipment.
Having worked with SMEs unable to access finance from traditional sources in the West Midlands since 2002, BCRS Business Loans has expanded into Wales to help smaller businesses there prosper and thrive under the fund, which was officially launched in Cardiff in November.
Since BCRS was founded as a community development financial institution in 2002, it has provided loans worth more than £85 million to businesses across the West Midlands. A social impact report for the last financial year showed BCRS lent £6.5m to 72 businesses, safeguarding 999 jobs and creating 473 roles, adding £33.7m in value to the economy of the West Midlands and surrounding region.
