CCT Demolition knock down the walls of late payment with tailored Invoice Finance facility

Founder and Director of CCT Demolition, Aidan Tait, identified an opportunity sourcing specialist, temporary labour within the realm of demolition and asbestos removal, and is looking to take the business to new heights thanks to a new tailored Invoice Finance facility. 

As a recruitment agency, meeting payroll obligations on a weekly basis for temporary staff, whilst waiting to be paid themselves, was an obstacle to growth and left a large hole in company cashflow that needed to be filled.

This issue was further compounded by a declining industry workforce and an increasing cost of doing business. The solution was a bespoke Invoice Finance facility from Optimum Finance, overcoming any potential cashflow challenges and helping CCT Demolition to gear up for growth. 

Invoice Finance is a method of cashflow funding that uses receivables (invoices) as the principal asset against which money can be raised. Optimum Finance pays CCT Demolition an agreed percentage of the invoice value as soon as it is submitted, driving access to liquidity at the point of invoice, as opposed to having to wait. 

Aidan says the benefit of Invoice Finance is that it opens an immediate avenue for cashflow: “Typically, temporary staff are paid weekly, but we often have to navigate through extended payment terms when 30 days frequently turns into 60,” he explains. “This means we face the challenge of paying out before we get paid ourselves. That, in turn, puts our cashflow under pressure and stifles our ability to grow. 

“Working with Optimum,” he continues, “has allowed us to bridge the gap between payment cycles, and pay staff and suppliers on time, with what is effectively our own money. It enables us to further strengthen our business position and grow, without the stress or hassle of chasing payments. And as we grow, so too does our Invoice Finance facility with Optimum.” 

Laying down the law  

The law mandates that the removal of asbestos is carried out by HSE licensed and trained professionals before refurbishment work or demolition is carried out, as per the recent CAR2021 (Control of Asbestos Regulations) ruling, due to the carcinogenic risk that asbestos poses to people when directly inhaled. Demolition operatives must also be trained to handle hazardous materials, operate heavy machinery and explosives, whilst being qualified and confident to work in potentially confined or high-risk environments.  

As regulations on the disposal of asbestos continues to tighten, and green alternatives to asbestos within modern construction continue to emerge, the market for the removal of asbestos is expected to continue toward an upward trajectory.  

Sourcing personnel, however, that are trained to handle and remove asbestos, and trained in demolition, can be a challenging task. Aidan says the issue is further compounded by a declining construction industry workforce overall, and an increased cost of doing business: “In a candidate driven business, it is essential that we retain the staff that we have on our payroll,” he adds. 

Aidan’s ambition is to deliver between 150 and 250 temporary workers a week to meet the demand, an increase of 200% on current numbers: “We provide between 75 and 100 temporary workers a week for sites placed all around the UK, from London to Manchester, and everything in between,” he continues. “Having the financial flexibility to not only operate, but train and source new candidates is critical in our onward journey, and for us to continue to grow.” 

In terms of the company’s relationship with Optimum Finance, he says the support of the team has proven invaluable: “The Optimum name came with high recommendation. They quickly understood the unique position of our business and what we needed to achieve to be successful.”