Momenta Finance provided a secured property loan for the refurbishment of a two-bedroom apartment located in Camden, London. The project involved the acquisition and renovation of a first-floor flat above a commercial retail unit, transforming it into a modern, high-quality living space.
Property Details
Type: First-floor flat above a commercial retail unit
Internal floor space: 592 sq ft
Features: Open plan kitchen/reception room, principal bedroom with en-suite, second double bedroom, family bathroom
Loan Structure
- LTV 75% (gross)
- Loan term: 12 months
- Refurbishment period: 3-4 months
- Sale period allowance: 6 months
- No exit or early repayment fee
Refurbishment Plan
The project aimed to transform the existing unit into a modern, high-quality apartment. Key aspects of the refurbishment included:
- Structural improvements to address exterior cracks
- Interior renovations to create an open-plan living space
- Installation of a new kitchen and bathrooms
- Modernisation of all fixtures and fittings
The Outcome
The refurbishment project has completed and has transformed a dated apartment into a desirable modern living space. The newly refurbished two-bedroom apartment now boasts an open plan kitchen/reception room, a principal bedroom with en-suite, a second double bedroom, and a family bathroom.
The property’s location on Brecknock Road in Camden has proven to be a significant asset. The area has developed a blossoming village vibe, becoming a hub for independent restaurants and amenities.
Local establishments such as Bread By Bike, Salvino’s, Healthy Wealthy, and Bumblebee Natural Foods contribute to the area’s unique character and appeal to potential buyers or renters.
The proximity to Kings Cross (less than one mile away) adds substantial value to the property. The nearby Granary Square and Coal Drops Yard offer an eclectic mix of boutique shops and foodie hotspots, set against the backdrop of Victorian heritage and breathtaking canalside architecture. The presence of major tech companies like Google, Facebook, and YouTube in the vicinity further enhances the area’s desirability.
Given the property’s prime location, modern amenities, and the area’s growing popularity, the post-refurbishment asking price is now £550,000. This outcome demonstrates the success of Momenta Finance’s investment in supporting this refurbishment project in a rapidly developing area of London.
Borrower Profile
The borrower’s career in real estate was initiated as an estate agent before a transition was made to a development land agency. A move into the lending finance sector was subsequently undertaken, where he was employed as an Investment Associate at a private development firm. Currently, through his company, MAROSET, focus is placed on building strong relationships and partnerships with professionals. Additionally, properties and lands are acquired where value can be added through planning and redevelopment.
Testimonial
“As a young property developer, securing financing for my initial project was a daunting task. However, working with Momenta made the process seamless. They were incredibly understanding of my situation, flexible in their approach, and remarkably quick in financing the bridging loan I needed. I truly appreciate their efficiency and professionalism and would highly recommend them to anyone in need of reliable and responsive financial support within the development sector.” – Aboubacar Traore, Director of Maroset
Conclusion
The Brecknock Road refurbishment project showcases Momenta Finance’s ability to support experienced developers in transforming properties in prime London locations. By providing a structured loan facility and implementing robust risk management measures, Momenta Finance enabled the successful renovation of a dated apartment into a desirable modern living space, potentially generating significant value for the borrower.
When a care home operator approached HH Business Finance seeking an unsecured loan for a comprehensive refurbishment project, Commercial Director Gareth Williams knew that Momenta Finance would be the ideal lending partner. This case study demonstrates how Momenta Finance’s flexible approach and commitment to understanding client needs can provide crucial support to businesses in the healthcare sector.
The Client
The client is an established care home operator looking to upgrade their facilities to enhance the quality of care and improve the living environment for their residents.
The care home required significant funding for a full refurbishment, including:
- £150,000 for comprehensive refurbishment works and fit-out
- £100,000 for new furniture and fittings
The challenge was to secure funding that would allow the care home to undertake these improvements without compromising their cash flow or requiring them to provide security against their assets.
Momenta Finance’s Solution
Momenta Finance provided a tailored unsecured business loan with the following terms:
- Loan Amount: £250,000
- Loan Term: 36 months
- Loan Type: Unsecured Business Loan
Advantages of the Unsecured Loan
- PG Backed Loan: The care home could access substantial funding without putting its property or other assets at risk.
- Flexible Use of Funds: The loan covered the refurbishment works and the purchase of new furniture and fittings.
- Extended Repayment Term: The 36-month term allowed the care home to spread the cost of the improvements, making repayments more manageable
The Outcome
Thanks to the unsecured loan from Momenta Finance, the care home was able to complete a comprehensive refurbishment of its facilities, creating a more modern and comfortable environment for residents. The funding allowed for significant upgrades to both the physical structure and the interior design, which enhanced the quality of life for residents and improved the workplace for staff.
Additionally, the investment in new furniture and fittings contributed to a welcoming atmosphere, making the care home more attractive to prospective residents and their families. This not only helped to retain current residents but also positioned the care home to potentially increase its capacity and revenue by appealing to a broader clientele.
Overall, the successful execution of this project marked a significant step forward for the care home, reinforcing its commitment to providing high-quality care in an inviting setting.
The Broker’s Perspective
Gareth Williams, Commercial Director at HH Business Finance, commented on the collaboration with Momenta Finance:
“Tom was instrumental in getting the deal over the line and I have since picked up the phone numerous times to discuss new opportunities. Tom is always available to take a call and has a real desire to help.”
This testimonial highlights the strong working relationship between Momenta Finance and its broker partners, as well as the dedication of the Momenta team to finding solutions for clients.
Conclusion
This case study demonstrates Momenta Finance’s ability to provide tailored financial solutions to businesses in the healthcare sector. By offering an unsecured loan with flexible terms, Momenta enabled a care home to undertake significant improvements without compromising its financial stability.
About HH Business Finance
Founded in 2020, HH Business Finance emerged to revolutionise the business finance market, leveraging its deep industry roots in order to simplify access to finance for SMEs across the UK. No longer will you spend weeks searching for the right funding or wade through complex applications with non-existent bank managers, their streamlined process is designed to be quick and friendly.
They have over 100 years of experience in offering business finance to UK customers and pride themselves on finding the right solutions for you. We make the whole process simple, friendly and personal.
The Client
The borrower, a successful entrepreneur in the retail industry, sought expansion of their business by acquiring a new 5,300 sq. ft supermarket to meet growing demand in the local area. The client required urgent funding to secure the new lease and proceed with the plans.
The Challenge
The borrower needed assurance of funding before committing to the new lease, which added complexity to the deal. The urgency to secure the funds quickly to seize the expansion opportunity posed a significant challenge.
Pilot Fish Finance chose Momenta Finance as the lender for this deal due to Momenta’s unique understanding of the business proposition and their willingness to provide favourable terms subject to the agreement of heads of terms. It was decided a government-backed scheme would be best.
Transaction Excellence
Momenta Finance excelled in providing constant updates to all parties involved, including the client and the landlord, ensuring a seamless and efficient process. The quick turnaround time from the agreement of heads of terms to the payout of the deal within a week demonstrated Momenta’s commitment to expedite the funding process.
- Loan Amount: £150,000
- Loan Term: 48 months
- Interest rate: 16.44%
- Special feature: No exit or early repayment fees
Feedback on Working with Jeremy Crinall
“Jez and the team at Momenta Finance were exceptional in their communication and execution, providing constant updates and ensuring a swift payout. Their proactive approach enhanced the client’s experience and facilitated smooth interactions with all stakeholders involved in the transaction.”
Ewan Clarke – Director Business Finance
Conclusion
This case study underscores the successful collaboration between Pilot Fish Finance and Momenta Finance in facilitating the expansion of the client’s business. By leveraging Momenta Finance’s expertise and efficient lending process, Pilot Fish Finance effectively supported the client’s strategic growth initiatives, underscoring the value of strong partnerships in achieving business objectives.
About Pilot Fish Finance
Pilot Fish is a financial broker that focuses on client service and advice. We have been operating for over 12 years and all our staff are very experienced finance professionals with experience as either finance directors, corporate finance or banking backgrounds. This means we can provide our clients with the best advice and solutions. Pilot Fish can provide a complete solution for our clients as we cover all products whether business or property requirements.
This case study showcases how Momenta Finance, working alongside knowledgeable brokers such as Conrad Robins from ASC Finance for Business, can provide tailored financial solutions to meet borrowers’ needs with a quick turnaround from application to Bridging Loan pay out.
The Client
The borrower is a family of agricultural specialists & property developers operating in the Cornwall area, possessing a portfolio of commercial and residential investments. They had obtained planning permission to construct a new house on one of their farms but required funding to initiate the project.
The Challenge
The broker recognised that releasing equity against their existing assets would be more efficient than obtaining a small development facility for the project. They needed a flexible financing option that would allow them to leverage their current property portfolio while embarking on this new venture.
Familiar with Momenta Finance’s reputation for flexible lending solutions, Conrad assessed the family’s situation and recognised that a bridging loan would be the ideal solution to meet their immediate needs while providing time to arrange long-term financing.
After careful consideration, Momenta Finance provided a tailored bridging loan with the following terms:
- Loan Amount: £245,000
- Loan Term: 12 months
- Interest rate: Fixed
- Special feature: No exit or early repayment fees
Fast Processing
One of the standout features of this transaction was the speed at which Momenta processed the loan. The entire process was completed in under two weeks, allowing the borrower to access the funds quickly and begin construction without delay.
The Outcome
Thanks to the broker’s insight and Momenta Finance’s flexible lending approach, the borrower was able to:
- Demonstrate their ability to manage diverse projects, enhancing their credibility for future developments.
- Commence construction on their new house project promptly.
- Maintain control over their existing assets while expanding their property portfolio.
The Broker’s Perspective
Conrad Robins who introduced this opportunity to Momenta Finance commented:
“The great thing working with Tom and the team at Momenta is that they will always try to find the best solution to get a deal done. In this case we were up against genuine time constraints, and they were up for the challenge. A great outcome for my clients, who otherwise would not have been able to get their project on wheels.”
Conclusion
This case study highlights the importance of strong relationships between brokers and lenders like Momenta Finance. By leveraging the broker’s local knowledge and Momenta’s flexible lending capabilities, we were able to provide a solution that perfectly met the client’s needs. This collaborative approach continues to support the growth and diversification of property portfolios across the UK, benefiting brokers, lenders, and clients alike.
About ASC
ASC is an independent business finance broker that helps ambitious and hardworking business owners throughout the UK to obtain commercial, business, and property finance. With over 20 offices nationwide, there is always a local director to assist. Whether in need of large-scale funding for significant renovations or for simpler refurbishments, ASC can help with development finance, new building projects, and bridging and short-term finance for developers, among other services. There is an increasing interest in property development finance, and ASC is well-versed in identifying suitable lenders.
The Client
The successful first loan of the Growth Guarantee Scheme beneficiary is a well-regarded joinery manufacturer and contractor. This business has established strong relationships with major contractors, leading to a significant amount of repeat business. Their reputation in the industry is built on quality craftsmanship and reliable service delivery.
- Facility Amount: £150,000
- Term: 60 months
- Special feature: No early or over repayment fees
This financial package was tailored to meet the specific needs of the joinery manufacturer, providing them with the flexibility and security required to manage their cash flow effectively while focusing on growth.
Purpose of the funding
The loan will be utilised to support several upcoming projects, including a major project valued at approximately £1 million in the Liverpool area. This project is expected to further enhance the company’s portfolio and strengthen its market position.
Conclusion
The swift successful first loan of the Growth Guarantee Scheme both with approval and disbursement underscore Momenta Finance’s commitment to facilitating business growth and development. By removing barriers such as early repayment fees, our product offers businesses the opportunity to focus on expansion without additional financial constraints. The success of this initial funding highlights the potential of the Growth Guarantee Scheme to drive economic growth and support businesses in achieving their strategic objectives.
This case exemplifies how targeted financial solutions can empower businesses to seize new opportunities and scale their operations effectively.
The Growth Guarantee Scheme aims to facilitate increased access to finance for smaller businesses by offering a 70% government-backed guarantee to participating lenders on loans up to £2m. This move is expected to support approximately 11,000 businesses from 1 July 2024 to 31 March 2026.
Supporting UK Businesses
The first two iterations of the Recovery Loan Scheme have already made significant impacts, enabling £4.3bn of finance to smaller UK businesses, with the third iteration offering over £1bn since August 2022, according to the British Business Bank (Figures as at the end of March 2023).
Accredited by the British Business Bank, Momenta Finance will offer business loans ranging from unsecured £50,000 – £350,000 and up to £1.5m secured. Since being accredited by the British Business Bank, we have supported over 300 smaller businesses with over £67m in funding by working with the British Business Bank. And we look forward to continuing that support under the Growth Guarantee Scheme.
With the Growth Guarantee Scheme, the key terms remain consistent with its predecessor, ensuring continuity and stability for both lenders and the business community. This means businesses can continue to benefit from:
- A 70% government-backed lender guarantee
- Competitively fixed interest rates
- Assurance that Principal Private Residences cannot be taken as security
- Eligibility for previous applicants of Coronavirus Business Interruption Loan Scheme (CBILS), Bounce Back Loan Scheme (BBLS), or the Recovery Loan Scheme
- Flexibility to use funds for almost all business purposes.
“At Momenta Finance, we understand the challenges faced by SMEs, especially in these uncertain times. Our participation in the Growth Guarantee Scheme reaffirms our commitment to supporting the growth and sustainability of small and medium-sized businesses across the UK,” said Luke Jooste, CEO of Momenta Finance. “We are dedicated to providing accessible and reliable financial solutions that empower businesses to thrive.”
Amanda Hardy, Head of Capital Markets for Momenta Finance commented: “We are delighted to continue our role as delivery partner on this critical scheme. Working with the British Business Bank on our shared goal to champion SMEs as the heartbeat of the UK economy.”
About Momenta Finance
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta offers a suite of lending options, including unsecured and secured business finance, bridging and cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank.
Deal Summary
- Facility Amount: £250,000
- Interest Rate: 13.25%
- Brokerage: United Business Finance
Momenta Finance recently facilitated a significant financial deal introduced by Chris and Cam from United Business Finance.
The Challenge
The borrower, a Southampton-based company established in September 2011, faced a critical need for cash flow support as they approached a busy period with several upcoming projects. Known for their comprehensive renewable energy solutions, they required £250,000 to:
- Employ new staff
- Purchase new equipment
- Facilitate the undertaking of new projects
- Ensure smooth business operations during the busy period
The company, having completed over 6,500 installations and saved over 850,000 tons of CO2, was at a pivotal moment in their growth trajectory. Without the necessary funds, they risked missing out on significant opportunities and hampering their expansion plans.
The Solution
Chris brought this opportunity to Momenta Finance. Specialising in the construction sector with over 30 years of experience, United Business Finance collaborated closely with Momenta Finance to structure a deal that would meet the borrower’s needs.
The proposed solution was a £250,000 unsecured business loan at a 13.25% interest rate. The process involved navigating numerous fast-moving parts, requiring meticulous coordination and communication between all parties.
The Result
The successful funding enabled the borrower to secure the necessary resources for their upcoming projects. With the £250,000 infusion, they were able to:
- Hire additional staff to handle increased project demands
- Purchase new equipment essential for their operations
- Confidently take on new projects and drive business growth
This financial support not only ensured that the borrower could maintain smooth operations during their busiest period but also positioned them for sustained growth in the renewable energy sector. The deal underscored the effective collaboration between United Business Finance and Momenta Finance, highlighting the importance of teamwork and expertise in achieving successful financial outcomes.
Meaningful Book Growth
This quarter, we achieved meaningful book growth, showcasing our continuous efforts to expand and enhance our lending portfolio. This accomplishment underscores our strategic focus on delivering reliable financial solutions to businesses.
- Our business loan originations saw a remarkable increase, contributing to a 16% growth in the overall business loan book. This growth reflects our unwavering commitment to providing crucial financial support to enterprises in need.
- Similarly, with the new HSBC funding line, our property loan originations contributed to a 34% growth in the overall property loan book. This significant increase highlights our ability to leverage strategic partnerships to better serve our clients.
Recovery Loan Scheme Phase 3: Launched in March, our Recovery Loan Scheme Phase 3 has been a resounding success. In a short period of time, we lent over £4 million to approximately 30 borrowers through this iteration of the scheme, demonstrating our commitment to supporting businesses during challenging times. Although this scheme is now closed, its impact has been substantial.
Our mission at Momenta Finance is to empower businesses by providing flexible and reliable financial solutions. The achievements of Q2 reflect our unwavering commitment to this mission, and we are excited to continue our journey of growth and support for the business community.
Stay tuned for more updates as we continue to drive success and innovation in the finance sector.
About Momenta Finance
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta offers a suite of lending options, including unsecured and secured business finance, bridging and cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank.
Step One
Visit the HMRC online services website at https://www.gov.uk/log-in-register-hmrc-online-services. Then, click the green ‘sign in’ button.
Step Two
In the ‘Business tax account,’ locate the section called ‘PAYE for employers.’ Here, you will find a summary of upcoming and overdue amounts, reflecting your HMRC status for PAYE.
Step Three
Under the ‘Your payments’ section, click ‘Check what you owe and make a payment.’
Step Four
This will show you your HMRC position for VAT.
- Client: A London-based Solicitors Firm
- Broker: Acorn Business Finance
- Loan Amount: £150,000
- Outcome: Significant reduction in monthly payments, enhanced cash flow, and comprehensive funding for a new project.
At Momenta Finance, we believe that the right financial solution can be a game-changer for business growth. This case study highlights our successful collaboration with Acorn Business Finance to support a London-based solicitors firm in securing the funding they needed for a new project while simultaneously reducing their financial burden.
The Challenge
A well-established firm of solicitors in London approached Acorn Business Finance with a funding requirement for an upcoming project. During a detailed review of their business and financial needs, Stuart Gibson, Managing Director at Acorn, discovered that the firm had previously taken out a high-interest loan from a peer-to-peer lender. This loan was costing them nearly £7,000 a month—a significant strain on their finances.
The Solution
Recognising the potential for significant savings and better financial management, Stuart Gibson collaborated with Momenta Finance to devise a more cost-effective funding solution. Leveraging our extensive network of funders, Stuart proposed a bespoke financing option tailored to the client’s unique needs.
Our dedicated team, including Tom and Tim, worked closely with Acorn’s Simon Rickman to expedite the loan process. The solicitors firm, proactive and cooperative, swiftly provided all necessary documentation, enabling us to move quickly.
The Results
In just a few days from the initial proposal, we secured £150,000 in funding for the client. This new unsecured business loan not only covered the costs of their new project but also allowed them to repay the existing high-interest loan. The impact was immediate and substantial:
- Reduced Monthly Payments: The new loan reduced their monthly payments from £7,000 to £3,980, providing a significant boost to their cash flow.
- Business Growth: With lower monthly obligations, the firm now has more funds available for other business needs.
- Tailored Financial Strategy: By understanding both the short-term and long-term goals of the client, we provided a financial solution that addressed their immediate needs and offered the flexibility for early settlement if desired.
This case is a testament to the power of collaborative, client-focused financial solutions. By working closely with Acorn Business Finance and thoroughly understanding the client’s business, Momenta was able to deliver a funding solution that not only met their project needs but also significantly improved their overall financial health.
