LS Manufacturing targets £4m turnover following Time Finance support

UK clothing manufacturer LS Manufacturing is on track to achieve £4 million annual turnover after using a tailored £400,000 Invoice Finance facility from Time Finance to support a period of rapid growth.

The Wolverhampton-based business, one of the UK’s few remaining high-end clothing manufacturers, said the funding enabled it to overcome cashflow pressures associated with fulfilling large contracts while maintaining weekly payroll commitments.

Founded in the 1950s, LS Manufacturing produces premium garments for a range of iconic British brands, alongside serving an expanding international customer base.

Having recently reached £3 million annual turnover, the company found that strong demand and an increasing order book were placing pressure on working capital as customer payment cycles lagged behind the costs of delivering large, resource-intensive projects.

Time Finance provided a bespoke Invoice Finance facility that released cash tied up in unpaid invoices, allowing the business to access working capital as required rather than waiting for customer payments.

As part of the partnership, Time Finance also successfully recovered £10,000 of an £11,000 debt after one of LS Manufacturing’s US customers entered administration.

With improved cashflow and a stronger financial footing, LS Manufacturing has now reached a stage where it no longer requires the funding facility. The business is now focused on growing both its domestic and export order books, safeguarding British manufacturing expertise and planning a move from its long-standing mill premises into a modern manufacturing facility.

Daljit Mehat, Managing Director of LS Manufacturing, said: “Our business suffered a unique problem; we were overtrading and our cashflow couldn’t keep up.

“We have worked with traditional high-street lenders in the past, but they lacked the agility we needed and forced us into working with restrictive management consultancies. Switching our facility to Time Finance changed everything.

“The flexibility to withdraw funds exactly when we needed them gave us total stability. They’ve been a genuine partner throughout, and very easy to deal with. With this financial headroom, we now look forward to investing further in the business and potentially entering new premises in the coming years.”

Phil Chesham, Managing Director of Invoice Finance at Time Finance, added:

“LS Manufacturing is a brilliant example of a resilient, high-quality British business that simply needed a financial partner who understood its operational rhythm.

“Manufacturing carries unique pressures such as weekly payroll, and when these conflict with large, monthly or quarterly client invoices, it can cause problems. By tailoring an Invoice Finance facility specifically to their ledger, we’ve been able to unlock the working capital earned, providing the breathing room needed to scale sustainably.”