Arbuthnot Commercial ABL provides £11.25m to waste management group

Arbuthnot Commercial Asset Based Lending (ACABL) has completed an £11.25 million growth finance package for McCarthy Marland Limited, providing the independent waste management group with additional liquidity to support future expansion.

The funding package combines a £3 million receivables finance facility, a £5.25 million property loan, a £2 million Growth Guarantee Scheme loan and a £1 million cashflow loan.

The new facilities refinance MML’s existing borrowing arrangements while creating additional working capital headroom for investment and growth.

Founded 25 years ago by the McCarthy and Marland families, McCarthy Marland operates licensed waste transfer stations in Bristol, Wantage and Tetbury, providing waste management and recycling services to commercial and construction sector clients across Bristol, Gloucester and Oxfordshire.

The transaction was advised by Cadence Advisory, with John Weeden introducing the opportunity to ACABL.

Alex Marland, director of McCarthy Marland Limited,said the previous funding structure had restricted the company’s ability to invest and grow.

“The amortisation on our previous cashflow loan was too aggressive and effectively starved the business of cash,” he said.

“We had to pull the reins up on everything, and in a competitive, heavily regulated market, that holds the business back.

“Arbuthnot restructured the facilities in a way that has given us our liquidity back. The team responded quickly throughout the process, senior people engaged directly, and they came to visit the sites. We wanted a lender we could communicate directly and openly with, and Arbuthnot has shown that is how they work.”

John Weeden, managing partner at Cadence Advisory, added that ACABL had maintained a consistent and commercial approach throughout the process.

“Arbuthnot was positive from the very first meeting and the message never changed from the day they met management to the day we completed,” he said.

“They understood the dynamics of the business, were commercial throughout, and delivered exactly what they said they would from the outset.”

“Getting the funding structure right makes a real difference to what a business can achieve,” he said.

“This multifaceted asset-based lending package gives McCarthy Marland the financial flexibility it needs, and we look forward to supporting the management team as they realise the Group’s potential.”