Phat Pasty - success story

Why this successful company stopped using Invoice Factoring

Posted: 26th August 2016
The Beginning

The Phat Pasty Co is all about bringing the best quality, authentic products in a fun brand to the food service market place.

Phat Pasty is a business built on a mission to deliver tasty pasties to offices across the country. The business began from Laura and Paul’s kitchen table and they wanted to bring pasties and homemade goodies to businesses in their quirky Phat van. Customers loved their products and funky, surf-inspired brand and although they had grown their business to £350k turnover, they were looking for a way to grow to the next level but didn’t have the capital to do so.

The Middle

We were introduced to Laura and Paul at Phat Pasty and really liked them and their business. We soon realised that with our support we could help get the business to the next level of growth. We happily offered a bespoke Invoice Factoring solution. This released important cash tied up in their outstanding sales invoices which they then used to invest in new products, new people, and taking on new customers, offering various credit terms to win new business.

Our tailored credit control meant that they never had to worry about chasing customers for payment, which meant their customer relationships became stronger and they only time they needed to call them was to build upon these relationships, and sell more products!

Over the 3 years since choosing Calverton as their finance partner, the business grew and grew! Their turnover increased fourfold from £350k to £1.2m. Their profits increased at an even greater rate and they got to the point when, rather than needing more capital to increase sales, the business started generating cash and slowly reduced their reliance on the Factoring facility.

Eventually, through their healthy profitability, the business became cash rich and no longer needed any outside funding. Even with no borrowings they stayed with us for a while as they were so used to the outsourced credit control, but eventually they employed their own credit controller and we parted ways, wishing them all the best for the future.

The End

Now you would think that we would be unhappy as we lost a great client, but quite the opposite; our mission is to ‘help businesses to thrive and grow’, we had done our bit and helped them through a phase where they needed some financial help to grow their sales. We have numerous ex-clients who have similar stories and we are proud to have done our bit to help these great businesses.

Phat Pasty became a great success story for the use of Invoice Factoring to help a business achieve its goals for growth and the business continues to thrive, having used Factoring to get them to where they are today!

If you are interested in learning more about how Invoice Factoring can work for you or would like to compare service and costs with your current provider, contact us today and we will happily discuss your needs so you can choose which service works best for you and your business.