Belvoir Lettings is looking to grow further following an agreement with HSBC bank for an acquisition related loan facility of up to £17m.
The Grantham-based company operates the UK’s largest high street franchised network of residential lettings and estate agents and wants to grow the business by taking on more franchises and property-related service companies.
Following a number of acquisitions in recent years, Belvoir Lettings already has around 300 franchisee offices across the country.
The HSBC acquisition fund is part of a revolving credit facility, which extends up to £17m and includes £6.5m refinancing of existing borrowing.
Louise George, Chief Financial Officer at Belvoir Lettings, said: “When it came to providing the funding to support our immediate and longer-term growth ambitions, HSBC stepped in and offered the necessary facilities that were both competitive and flexible enough to meet our needs.
“Phil Carr, our relationship director at HSBC, went out of his way to understand our company, our franchising business model, the sector in which we operate and our future plans. Phil’s team also guided us through the process of moving our banking to ensure that the onboarding was as streamlined as possible.”
Roger Pratt, HSBC area director for corporate banking in East Midlands, said: “The lettings industry is going through a period of consolidation with increasing regulations placing pressures on administrative tasks for smaller agencies. This is creating a greater need for a business like Belvoir Lettings. We’re delighted to welcome Belvoir to HSBC and look forward to supporting the business as it continues to push forward its ambitious acquisition strategy.”
The funding and bank refinance was supported by bank acting lawyer Oliver Morgan of Pinsent Masons, Belvoir acting lawyer Shaun McCabe of Browne Jacobson, and Simon Hall of BDO LLP.
Source: Grantham Journal