From humble beginnings the group has grown to a sizeable business. The original company, Doyen Resources, came to ABN AMRO Commercial Finance because of administrative and posting errors made by its existing funder that were impacting on both the day-to-day running of the business and any ability to plan for growth.
Accurate sales ledger data and reliable cashflow are vital in the recruitment industry in order to pay wages. They are also important when considering the viability of funding an acquisition.
ABN AMRO offered a Confidential Invoice Discounting funding solution with 90% advances against invoices which released the cash required and allowed Doyen to manage its own sales ledger. This also helped with the purchase of another recruitment business which set the company on the path to becoming a group.
Managing Director Tony Graham said, “the support and flexibility of ABN AMRO have been a continuing feature since day one, particularly when four great opportunities arose which could have stretched our finances close to breaking point.”
Those opportunities included an acquisition and three startups and the finance to cover them came by way of a £400,000 Enterprise Finance Guarantee Term Loan (EFG).
Tony is happy to praise the understanding and support of the team at ABN AMRO:
“luckily we had a relationship manager that believed in our business and really went the extra mile to secure the additional finance required to cover these ambitious plans.”
The current facility provides funding up to £3.5m including the EFG Term Loan. The “group” nature of the facility allows the cash generated from the invoices of one group company to be drawn down and used for another.
The business also takes advantage of bad debt protection which insures against customers failure to pay. This guarantee of payment allows Doyen to service US clients in the knowledge that the same high level of funding will be generated despite the physical distance and different jurisdictions involved.
The effects of having a finance partner able and willing to support the growth plans of the business have been impressive. From one company employing two staff the group now boasts 60 staff over nine companies with an annual turnover in excess of £30m.
The staff are spread over six offices nationwide and include a finance team capable of overseeing the overall group position whilst providing the back office function for nine different businesses.
From a one agency operation originally needing to outsource its own back office function, Doyen has grown into a diverse and dynamic business that is now able to provide not just the funding but those same back office services to its existing brands and future recruitment companies joining the group.