DF Capital helps drive expansion for Forktruck Solutions
Having worked with Forktruck Solutions since 2021, DF Capital has increased its facilities almost ten-fold; enabling the forklift dealer to finance the import and sales of sought-after lithium-ion forklift trucks throughout 2023 and beyond.
About Forktruck Solutions
Forktruck Solutions is a commercial and industrial equipment supplier based in the North of England. With over 20 years’ experience in the market, it provides customers with a comprehensive range of the latest pallet trucks, forklift trucks, order pickers, stackers, reach trucks, articulated VNAs, tow tractors and utility vehicles.
What did Forktruck Solutions need?
With increasing numbers of customers now asking for more ‘green’ forklifts, Forktruck Solutions made the decision to import and sell the new lithium-powered EP range of forklift trucks and warehouse equipment. It combines the advantages of a gas and diesel truck chassis design with the benefits of Li-ion battery to create the first Lithium forklift truck – suitable for tough working environments while being gentle on the environment, without the fuel costs.
Manufactured by EP Equipment, the units needed to be funded and shipped over to the UK ready for distribution. DF Capital was referred to Forktruck Solutions by EP Equipment to see if the bank could support this activity.
How did DF Capital help?
In 2021 a £350,000 a funding facility was created for the business – covering both stocking and rental. In the space of a year – and once Forktruck Solutions had entered the electric forklift market – the demand for the units was so strong that the facility was increased to £3m.
The inventory finance package provided by DF Capital supports the supply chain by paying EP Equipment upfront on behalf of Forktruck Solutions. DF Capital is then paid when the assets are sold, thereby ensuring cashflow and working capital benefits.
Results
Forktruck Solutions has gone from strength to strength in the last two years because of its foray into the lithium-powered forklift market. DF Capital has enabled the business to make the most of the opportunities that have come its way. Not only has the business seen its orders increase by 70% and been provided with the flexibility to order and sell considerable amounts of stock, but it has also been able to expand its business premises because DF Capital’s funding line helped it free up capital to do so.
What do our customers say?
Simon Penny-Smith, managing director at Forktruck Solutions Ltd commented: “Pivoting our business model and focusing on lithium powered range of EP forklifts and warehouse equipment has changed our business beyond all recognition – taking us from under £2million turnover to nearer £7million in less than 3 years. DF Capital was able to structure a unit stocking package unlike any other provider – with a solution to a specific challenge and with a fast turnaround. We’ve known Brian for over two decades, and once we knew exactly where we wanted to go, he was our go-to person and gave us support us when we needed it. We’re very glad to have DF Capital as our funding partner – without its help we would never have got this far.”
Kevin Boyd, head of client management – commercial, at DF Capital, said: “Lithium ion has taken off in the UK massively because so many people want to move away from internal combustion engines – not only because of the environmental perspective but because of the duty costs and the fact that the new-style forklifts are also able to work outside on rough ground. These particular units are robust, fast charging and a complete game changer, so we were happy to find a solution. We love to support business leaders with ideas and entrepreneurial drive – and the team at Forktruck Solutions has this in spades!”
