The Client
Our client is a well-known livestock farmer based in Aberdeenshire. A tenant on a 240-acre farm with a further 60 acres of seasonal space, the client rears sheep and cattle. He also grows cereal crops to use for animal feed across 150 acres, with the remainder serving as pasture for the animals. On average, our client has 100 head of cattle. Once ready for market at the end of the year, the cattle fetch around £3k per head when sold at a local market. The 400-500 sheep also sell during April and May.
The Challenge
Our client required additional funding to help ease the pressure on his 2025 season. His accounts are profitable and steady if the sale of equipment is taken out of the 2024 accounts. He still managed to make a good profit in 2024, despite the challenges of double fertiliser costs, an increase in depreciation, and substantial vet bills in the wake of dealing with Bluetongue virus (BTV) in the flock.
Beef is our clients’ predominant focus thanks to its strength in the market. With this in mind, our client wishes to purchase 75 head of cattle at £100,000, to make a profit in surplus of £100,000 when they sell at market for £3,000 per head. Our client has also factored in feed costs, which will predominantly be grass during the summer months.
How we helped
The sole proprietor of a seasonal business and a non-homeowner, our client faces a unique position when it comes to securing business finance. That said, the client made a good profit despite a tough 2024 and runs his accounts well within his overdraft limit, with headroom to make repayments. At White Oak UK, we were able to offer £100k over 10 months on 9 payments of £1000 and a final lump sum when the cattle are sold to market in December.
Our flexible approach to finance meant that the client could structure the payment plan around his needs. In practice, monthly repayments would mean he would have to sell cattle every so often to meet repayment when they haven’t reached their potential best weight to gain the optimum price per kilo. As a result, we were able to tailor the payment structure to meet the needs of a seasonal business.
Talk to us
If you are looking to find the right finance for your business, contact us today.
