Overheads lowered following property sale

A County Durham glass manufacturer is set to boost its turnover by 30% after acquiring its existing property, with the support of Lloyds Bank Commercial Banking.

Part of the United Glass Group, PLG Glass purchased its 50,000ft Mill Hill premises last month, using a £1.3 million term loan provided by Lloyds Bank.

The deal has enabled the firm to lower its overheads releasing additional working capital that it intends to use to accelerate its expansion plans.

Since buying the property the firm has created four new permanent roles as it looks to boost capacity to meet growing customer demand and reduce lead times. As a result, the business expects to achieve a turnover of £4 million by 2020, a 30% increase compared with 2018.

Mark Harrison, director of United Glass Group, said: “When the opportunity arose to buy the premises, we immediately recognised the long-term financial benefit it would deliver, providing the business with the flexibility and long-term security we need to push ahead with our growth plans.

“Since expanding into our current site in 2017, the company has gone from strength-to-strength and we’ve grown both our client base and product range.

“We’ve worked with Lloyds Bank for seven years, and it has been by our side for every phase of our growth. Not only has the relationship team supplied the tailored funding we’ve needed to expand, but the personable guidance and expertise the bank has provided has been a vital source of support.”

Mark Smith, relationship director at Lloyds Bank Commercial Banking, said: “The past few years have been difficult for firms in the glass manufacturing sector, with raw materials shortages making it challenging for many. However, thanks to the ambition and drive of the management team, PLG Glass has bucked this trend, and the past two years have been a huge success.

“At Lloyds Bank we’re committed to providing the tailored funding that firms need to prosper, which is why we’ve pledged to provide £700 million of new lending to north east firms in 2019.”