Loan to support the growth of refuse and recycling vehicle hire and repair specialist to help create 25 new jobs in Wolverhampton.
The Midlands Engine Investment Fund (“MEIF”) Debt Finance, managed by Maven Capital Partners (“Maven”), has provided CMS Hire Limited (“CMS”), with a £300,000 funding package, enabling the company to grow and create 25 new jobs.
Based in Wolverhampton, the refuse and recycling vehicle hire and repair specialist are looking to grow their fleet of Euro 6 compliant engine Refuse Collection Vehicles (RCVs) and expand their customer reach.
This family-run, second generation business is led by an experienced management team whose dedication to solution management in the waste management industry is supported by over 30 years of experience, expertise and knowledge in this sector.
Initially founded as a generalist truck repair and maintenance service provider, CMS had primarily dealt with repairing RCVs for local authorities. After identifying a gap in the market, the businesses’ senior management team sought to meet demand from local authorities wanting to hire RCVs. The business currently has a fleet of 50 RCVs which it will be looking to upgrade with 50 new Euro 6 compliant RCVs over the next three years.
The drive towards Euro 6 compliant vehicles is a result of the Government’s proposal to reduce Nitrogen Dioxide (NO2) with the introduction of a Clean Air Zone (CAZ) in selected cities across the UK. Currently CAZ is in operation in London and is expected to be rolled out in Leeds, Birmingham, Bath, Sheffield, Greater Manchester, Oxford and Glasgow from 2020-21. Other cities considering CAZs include Bristol, Derby, Cambridge, Newcastle, Cardiff and Edinburgh.
Sandra Cooper, Director at CMS said,
“We are thrilled to receive funding from the MEIF debt fund managed by Maven. This loan will be a catalyst for growth for our Company and enable us to purchase the vehicles needed to drive growth, expand our team, and strengthen our ability to meet the forecasted high demand in our market. We look forward to working with the MEIF Maven Team as we pursue our growth strategy!”
Sajid Sabir, Investment Associate at Maven said,
“CMS is a long established business with a strong customer base and impressive track record for providing reliable and highly sought after services in this specialist area. This family run company is a leader in the local refuse market with strong ties to local authorities, and we are delighted to provide them this loan in support of their growth journey.
Ryan Cartwright, Senior Manager from the British Business Bank said,
“It is good to see that with the support of the MEIF managed by Maven that CMS Hire are able to implement their growth plans including increasing the number of staff they employ. We would actively encourage any businesses in the region looking to expand to see how MEIF investments could be beneficial to their growth.”
Stewart Towe, Chair of the Board, Black Country LEP said:
“Investment like this is great news both for Maven and the Black Country as a whole as it demonstrates increased confidence in the area. The Midlands Engine Investment Fund is delivering economic growth and job opportunities all of which makes the Black Country an attractive prospect to both live and work.”
The MEIF debt funds, managed by Maven, focus on providing growth funding to high-growth potential businesses located across the Midlands. Composed of two separate lots, of £50m for SMEs located in the West Midlands, and £40m for growth businesses in the East and South-East Midlands, the funds can provide finance of between £100,000 and £1.5million.
The Midlands Engine Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.