Worcester engineering firm secures £130K CBILS loan from Paragon Bank
Solihull-based Paragon Bank has provided a £130,000 Coronavirus Business Interruption Loan (CBILS) loan to Worcester-based engineering firm, GDK Engineering Company Ltd.
GDK is a subcontract engineering firm, based in Worcester, specialising in low volume production of machined products.
The business approached Paragon for support when demand for their services dropped as the pandemic impacted the business’ three major customers. This meant that GDK rapidly ran out of work, which had a negative impact on turnover.
Paragon originally provided GDK with a payment holiday on existing loans and invoice discounting fees during the early stages of the coronavirus pandemic. Paragon was also able to provide a flexible approach to funding production, by providing finance against completed work being held pending delivery to the end customer.
GDK is a subcontract engineering firm, based in Worcester, specialising in low volume production of worm drive slewing rings and gearboxes, designing products to the requirements of each customer.
Stuart Easthope, Director at GDK, said: “It’s hard to speculate as to how the manufacturing economy will recover or what the traditional trades will look, so times remain uncertain. However, the support from Paragon is professional, flexible and friendly and they continue to support GDK through this period of financial difficulty.”
Adrian Taylor, Head of Invoice Finance at Paragon, said: “We are really pleased that we were able to be a further arm of support for GDK when difficult times hit.”
